The company currently holds 674.08
M in liabilities with Debt to Equity (D/E) ratio of 0.13, which may suggest Synopsys is not taking enough advantage from borrowing.
Macroaxis provides recommendation on Synopsys to complement and cross-verify current
analyst consensus on Synopsys. Our trade recommendation engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon.
We determine the current worth of Synopsys using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Synopsys based exclusively on its
fundamental and basic
technical indicators. By analyzing Synopsys's
financials, quarterly and monthly indicators, and related drivers such as
dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Synopsys's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Synopsys. We calculate exposure to Synopsys's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Synopsys's related companies.
Synopsys Investment Alerts
Synopsys investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Synopsys performance across your portfolios.Please check all
investment alerts for Synopsys
Synopsys Valuation Ratios as Compared to Competition
Our valuation model uses many indicators to compare Synopsys value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Synopsys competition to find
correlations between indicators driving the intrinsic value of Synopsys.
Synopsys Gross Profit
Synopsys Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Synopsys previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Synopsys Gross Profit growth over the last 10 years. Please check Synopsys'
gross profit and other
fundamental indicators for more details.
Going after Synopsys Financials
Synopsys reported the previous year's revenue of 4.08
B. Net Income was 753.52
M with profit before overhead, payroll, taxes, and interest of 2.94
B.
Margins Breakdown
Synopsys profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Synopsys itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Synopsys profit margins.
| Operating Margin | 13.49 |
| EBITDA Margin | 20.03 |
| Gross Margin | 92.35 |
| Profit Margin | 13.94 |
Synopsys Average Assets is increasing over the last 8 years. Synopsys Earnings Before Interest Taxes and Depreciation Amortization USD is relatively stable at the moment. Additionally, Synopsys Earnings Before Interest Taxes and Depreciation Amortization EBITDA is increasing over the last 8 years. Synopsys Average Assets is increasing over the last 8 years. The latest value of Synopsys Average Assets is 3,630,246,776. Synopsys Earnings Before Interest Taxes and Depreciation Amortization USD is increasing over the last 8 years. Additionally, Synopsys Earnings Before Interest Taxes and Depreciation Amortization EBITDA is increasing over the last 8 years. The previous year's value of Synopsys Earnings Before Interest Taxes and Depreciation Amortization EBITDA was 619,876,043.
Will Synopsys retake control in December?
Latest coefficient of variation is at 1133.26. Synopsys has relatively low volatility with skewness of -0.59 and kurtosis of 0.48. However, we advise all investors to independently investigate Synopsys to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Synopsys' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Synopsys' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Synopsys Implied Volatility
Synopsys' implied volatility exposes the market's sentiment of Synopsys stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Synopsys' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Synopsys stock will not fluctuate a lot when Synopsys' options are near their expiration.
Our Bottom Line On Synopsys
When is the right time to buy or sell Synopsys? Buying stocks such as Synopsys isn't very hard. However, what challenging for most investors is doing it at the right time. Proper
market timing is something most people cannot do without
sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
While some short-term oriented retail investors may not share our view, we believe it may be a good time to acquire new shares of Synopsys.
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Ellen Johnson is a Member of Macroaxis Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Synopsys. Please refer to our
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