Synopsys, Inc.

(NASDAQ Global Select)
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Bullish +72

Morgan Stanley raised target for Synopsys stock to USD 574

Analyst upgrade AI-generated analysis

πŸ“ˆ Morgan Stanley raised its Synopsys price target to USD 574 on October 20, 2026, maintaining an Overweight rating.

πŸ’° Fiscal third-quarter revenue surged 42.4 percent year-over-year to reach USD 2.48 billion.

πŸ“Š Diluted earnings per share climbed to USD 2.84 with net income of USD 545.8 million for the quarter ended July 31, 2026.

πŸ”„ The company authorized a new USD 1.0 billion share-repurchase program covering up to 1.1 percent of outstanding shares.

πŸ“‰ Synopsys stock traded at EUR 383.75 on October 26, 2026, slightly below the EUR 386.00 Xetra close.

🏒 The company maintains a market capitalization of USD 82.4 billion as of October 23, 2026.

🎯 The average analyst consensus target is USD 586.95, with high targets reaching USD 700.00.

πŸ’» Synopsys operates in the Technology / Software - Infrastructure sector and recently held its 2026 Investor Day.

Bullish Signals
  • Morgan Stanley raised its price target for Synopsys to USD 574, a 14.8 percent increase from the previous target of USD 500, maintaining an Overweight rating.
  • Fiscal third-quarter revenue accelerated significantly by 42.4 percent year-over-year to reach USD 2.48 billion, demonstrating strong top-line growth.
  • Diluted earnings per share increased to USD 2.84 with net income attributable to common shareholders reaching USD 545.8 million for the quarter ended July 31, 2026.
  • The company authorized a new USD 1.0 billion share-repurchase program covering up to 1.1 percent of outstanding shares, signaling confidence in its capital allocation strategy.
  • Analyst consensus targets remain elevated with an average of USD 586.95 and a high target of USD 700.00, indicating strong institutional support.
Full Analysis
Morgan Stanley raised its price target for Synopsys Inc. to USD 574 on October 20, 2026, maintaining an Overweight rating following a robust fiscal third quarter. The company reported fiscal Q3 revenue of USD 2.48 billion, representing a significant 42.4 percent year-over-year increase, with diluted earnings per share reaching USD 2.84 and net income attributable to common shareholders totaling USD 545.8 million. Synopsys also announced a new USD 1.0 billion share-repurchase program authorized on October 5, 2026, which covers up to 1.1 percent of its outstanding shares. This capital return initiative complements the strong operating growth, providing dual support for the company's valuation as analyst consensus targets remain elevated relative to current trading levels. As of late October 2026, Synopsys held a market capitalization of USD 82.4 billion and traded within its established 52-week range. The stock price at EUR 383.75 on October 26 was slightly below the recent Xetra close, while the broader analyst consensus average target sits at USD 586.95, suggesting continued positive sentiment from Wall Street regarding the semiconductor design automation leader's performance.