Synopsys, Inc.

SNPS

TechnologyLarge CapUS Equities · NYSE / NASDAQ

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Company Profile

Synopsys, Inc. provides design IP solutions in the semiconductor and electronics industries. It operates in two segments, Design Automation and Design IP. The company offers Digital and Custom IC Design solution that provides digital design implementation solutions; Verification solution that offers virtual prototyping, static and formal verification, simulation, emulation, field programmable gate array (FPGA)-based prototyping, and debug solutions; FPGA design products that are programmed to perform specific functions; synopsys technology computer-aided design (TCAD), mask synthesis, and manufacturing analytic solutions; and AI-driven EDA solutions. It also provides pre-verified and silicon-proven IP solutions, logic libraries and embedded memories, processor and security solutions, IP Offerings for the automotive market, SOC infrastructure IP, data path and building block IP, and mathematical and floating-point components. Synopsys, Inc. has a strategic collaboration with Arm Holdings plc for development of AGI CPU that provides solutions across its full-stack design portfolio including EDA, interface IP, and hardware-assisted verification (HAV). The company was incorporated in 1986 and is headquartered in Sunnyvale, California.

Valuation

Market Cap$94.7B

Current Price$468.58as of Jun 23, 2026

P/E Ratio71.07

P/B Ratio3.34

EV / EBITDA42.40

EV / Sales15.03

Profitability

Operating Margin13.0%

Net Profit Margin18.9%

EBITDA Margin35.4%

Returns

ROE4.7%

ROCE4.4%

ROIC %-

ROA2.8%

Solvency

Current Ratio1.62

Debt / Equity0.50

Debt / Assets0.30

CFO / Net Profit1.14

Price History▼ 0.51% over 1Y

Technical Chart

Historical Performance Charts

5-year financial trends. Figures in USD millions.

Revenue vs Net Profit (5Y)

Free Cash Flow vs Operating Cash Flow (5Y)

Operating Margin % (5Y)

Growth Summary

Latest fiscal year: 2025

Revenue$7.1B▲ 15.1%

EBITDA$2.5B▲ 35.5%

Net Profit$1.3B▼ 41.1%

Cash from Ops (CFO)$1.5B▲ 7.9%

Free Cash Flow (FCF)$1.3B▲ 6.4%

Revenue CAGR 3Y15.2%

Revenue CAGR 5Y-

Net Profit CAGR 3Y10.6%

Net Profit CAGR 5Y-

Historical Growth

Year-by-year revenue, profitability, and cash flow (USD millions, last 10 years)

Year	Revenue	EBITDA	Net Profit	FCF	ROE	Rev Growth 1Y	NP Growth 1Y
2025	$7.1B	$2.5B	$1.3B	$1.3B	4.7%	15.1%	-41.1%
2024	$6.1B	$1.8B	$2.3B	$1.3B	25.2%	15.2%	84.0%
2023	$5.3B	$1.6B	$1.2B	$1.5B	20.0%	15.2%	24.9%
2022	$4.6B	$1.3B	$985M	$1.6B	17.9%	-	-
2021	-	-	-

Financial Statements

Income statement, balance sheet, and cash flow as reported

Consolidated Figures in USD Millions.

Metric	2021	2022	2023	2024	2025
Total Revenue	-	4,615.71	5,318.01	6,127.44	7,054.18
Operating Revenue	-	4,615.71	5,318.01	6,127.44	7,054.18
Cost Of Revenue	-	898.01	1,030.84	1,245.29	1,623.55
Gross Profit	-	3,717.70	4,287.17	4,882.15	5,430.63
Operating Expense	-	2,557.77	2,960.84	3,526.44	4,515.70
Research And Development	-	1,589.85	1,849.94	2,082.36	2,479.34
Selling General And Administration	-	956.28	1,101.61	1,427.84	1,843.84
Total Expenses	-	3,455.78	3,991.68	4,771.73	6,139.25
Operating Income	-	1,159.94	1,326.33	1,355.71	914.93
Total Operating Income As Reported	-	1,148.71	1,273.24	1,355.71	914.93
EBITDA	-	1,333.56	1,555.29	1,845.75	2,500.30
Normalized EBITDA	-	1,340.08	1,609.91	1,782.48	1,901.80
EBIT	-	1,105.15	1,308.17	1,550.69	1,839.87
Interest Income	-	-58.97	36.67	67.02	277.68
Interest Expense	-	1.70	2.70	36.83	446.73
Net Interest Income	-	-60.67	33.97	30.19	-169.04
Other Non Operating Income Expenses	-	10.71	-0.21	64.68	48.76
Other Income Expense	-	4.19	-54.83	127.96	647.26
Interest Income Non Operating	-	-58.97	36.67	67.02	277.68
Interest Expense Non Operating	-	1.70	2.70	36.83	446.73
Net Non Operating Interest Income Expense	-	-60.67	33.97	30.19	-169.04
Pretax Income	-	1,103.45	1,305.47	1,513.86	1,393.14
Tax Provision	-	139.38	90.19	99.72	55.99
Tax Rate For Calcs	-	0	0	0	0
Tax Effect Of Unusual Items	-	-0.82	-3.77	4.18	23.94
Net Income Continuous Operations	-	964.07	1,215.28	1,414.14	1,337.15
Net Income From Continuing And Discontinued Operation	-	984.59	1,229.89	2,263.38	1,332.22
Net Income From Continuing Operation Net Minority Interest	-	970.22	1,227.04	1,441.71	1,336.12
Net Income	-	984.59	1,229.89	2,263.38	1,332.22
Net Income Common Stockholders	-	984.59	1,229.89	2,263.38	1,332.22
Net Income Including Noncontrolling Interests	-	978.44	1,218.12	2,235.81	1,333.25
Normalized Income	-	975.93	1,277.89	1,382.61	761.56
Diluted NI Availto Com Stockholders	-	984.59	1,229.89	2,263.38	1,332.22
Basic Average Shares	-	153	152.15	153.14	163.95
Diluted Average Shares	-	156.49	155.20	155.94	165.66
Reconciled Depreciation	-	228.40	247.12	295.06	660.43
Reconciled Cost Of Revenue	-	681.24	793.02	966.46	1,155.64
Total Unusual Items	-	-6.53	-54.62	63.28	598.50
Total Unusual Items Excluding Goodwill	-	-6.53	-54.62	63.28	598.50
Minority Interests	-	6.16	11.76	27.57	-1.03
Net Income Discontinuous Operations	-	14.37	2.84	821.67	-3.90
Special Income Charges	-	-11.22	-53.09	56.98	596.66
Gain On Sale Of Business	-	0	0	55.08	545.27
Restructuring And Mergern Acquisition	-	11.22	53.09	0	0
Gain On Sale Of Security	-	4.69	-1.53	6.29	1.84
Depreciation Amortization Depletion Income Statement	-	11.64	9.30	16.24	192.52
Depreciation And Amortization In Income Statement	-	11.64	9.30	16.24	192.52
General And Administrative Expense	-	313.55	376.68	568.50	769.65
Other Gand A	-	313.55	376.68	568.50	769.65
Gain On Sale Of Ppe	-	-	0	1.91	51.38
Selling And Marketing Expense	-	642.73	724.93	859.34	1,074.19
Amortization	-	11.64	9.30	16.24	192.52
Amortization Of Intangibles Income Statement	-	11.64	9.30	16.24	192.52

Peer Comparison

Technology sector peers, ranked by market cap

Company	Ticker	Market Cap	P/E	P/B	ROE	EV/EBITDA
Synopsys, Inc.this co.	SNPS	$94.7B	71.07↑ premium	3.34	4.7%	42.40
Fortinet, Inc.	FTNT	$109.7B	59.16	88.61	149.8%	44.07
Adobe Inc.	ADBE	$104.5B	14.65	8.99	61.3%	10.65
Automatic Data Processing, Inc.	ADP	$92.5B	22.66	14.94	65.9%	14.76
Datadog, Inc.	DDOG	$86.7B	804.83

Learn while you research

Hand-picked academy chapters to deepen your understanding of Synopsys, Inc. and the metrics that matter.

01 Stock Valuation BasicsHow to think about what a fair price for a stock looks like.7 min read 02 Valuation Multiples Explained

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Year

Revenue

EBITDA

Net Profit

FCF

ROE

Rev Growth 1Y

NP Growth 1Y

2025

$7.1B

$2.5B

$1.3B

4.7%

15.1%

-41.1%

2024

$6.1B

$1.8B

$2.3B

$1.3B

25.2%

15.2%

84.0%

2023

$5.3B

$1.6B

$1.2B

$1.5B

20.0%

15.2%

24.9%

2022

$4.6B

$1.3B

$985M

$1.6B

17.9%

2021

Metric

2021

2022

2023

2024

2025

Total Revenue

4,615.71

5,318.01

6,127.44

7,054.18

Operating Revenue

4,615.71

5,318.01

6,127.44

7,054.18

Cost Of Revenue

898.01

1,030.84

1,245.29

1,623.55

Gross Profit

3,717.70

4,287.17

4,882.15

5,430.63

Operating Expense

2,557.77

2,960.84

3,526.44

4,515.70

Research And Development

1,589.85

1,849.94

2,082.36

2,479.34

Selling General And Administration

956.28

1,101.61

1,427.84

1,843.84

Total Expenses

3,455.78

3,991.68

4,771.73

6,139.25

Operating Income

1,159.94

1,326.33

1,355.71

914.93

Total Operating Income As Reported

1,148.71

1,273.24

1,355.71

914.93

EBITDA

1,333.56

1,555.29

1,845.75

2,500.30

Normalized EBITDA

1,340.08

1,609.91

1,782.48

1,901.80

EBIT

1,105.15

1,308.17

1,550.69

1,839.87

Interest Income

-58.97

36.67

67.02

277.68

Interest Expense

1.70

2.70

36.83

446.73

Net Interest Income

-60.67

33.97

30.19

-169.04

Other Non Operating Income Expenses

10.71

-0.21

64.68

48.76

Other Income Expense

4.19

-54.83

127.96

647.26

Interest Income Non Operating

-58.97

36.67

67.02

277.68

Interest Expense Non Operating

1.70

2.70

36.83

446.73

Net Non Operating Interest Income Expense

-60.67

33.97

30.19

-169.04

Pretax Income

1,103.45

1,305.47

1,513.86

1,393.14

Tax Provision

139.38

90.19

99.72

55.99

Tax Rate For Calcs

Tax Effect Of Unusual Items

-0.82

-3.77

4.18

23.94

Net Income Continuous Operations

964.07

1,215.28

1,414.14

1,337.15

Net Income From Continuing And Discontinued Operation

984.59

1,229.89

2,263.38

1,332.22

Net Income From Continuing Operation Net Minority Interest

970.22

1,227.04

1,441.71

1,336.12

Net Income

984.59

1,229.89

2,263.38

1,332.22

Net Income Common Stockholders

984.59

1,229.89

2,263.38

1,332.22

Net Income Including Noncontrolling Interests

978.44

1,218.12

2,235.81

1,333.25

Normalized Income

975.93

1,277.89

1,382.61

761.56

Diluted NI Availto Com Stockholders

984.59

1,229.89

2,263.38

1,332.22

Basic Average Shares

153

152.15

153.14

163.95

Diluted Average Shares

156.49

155.20

155.94

165.66

Reconciled Depreciation

228.40

247.12

295.06

660.43

Reconciled Cost Of Revenue

681.24

793.02

966.46

1,155.64

Total Unusual Items

-6.53

-54.62

63.28

598.50

Total Unusual Items Excluding Goodwill

-6.53

-54.62

63.28

598.50

Minority Interests

6.16

11.76

27.57

-1.03

Net Income Discontinuous Operations

14.37

2.84

821.67

-3.90

Special Income Charges

-11.22

-53.09

56.98

596.66

Gain On Sale Of Business

55.08

545.27

Restructuring And Mergern Acquisition

11.22

53.09

Gain On Sale Of Security

4.69

-1.53

6.29

1.84

Depreciation Amortization Depletion Income Statement

11.64

9.30

16.24

192.52

Depreciation And Amortization In Income Statement

11.64

9.30

16.24

192.52

General And Administrative Expense

313.55

376.68

568.50

769.65

Other Gand A

313.55

376.68

568.50

769.65

Gain On Sale Of Ppe

1.91

51.38

Selling And Marketing Expense

642.73

724.93

859.34

1,074.19

Amortization

11.64

9.30

16.24

192.52

Amortization Of Intangibles Income Statement

11.64

9.30

16.24

192.52

Company

Ticker

Market Cap

P/E

P/B

ROE

EV/EBITDA

Synopsys, Inc.this co.

SNPS

$94.7B

71.07↑ premium

3.34

4.7%

42.40

Fortinet, Inc.

FTNT

$109.7B

59.16

88.61

149.8%

44.07

Adobe Inc.

ADBE

$104.5B

14.65

8.99

61.3%

10.65

Automatic Data Processing, Inc.

ADP

$92.5B

22.66

14.94

65.9%

14.76

Datadog, Inc.

DDOG

$86.7B

804.83

Synopsys, Inc.

Valuation

Profitability

Returns

Solvency

Historical Performance Charts

Revenue vs Net Profit (5Y)

Free Cash Flow vs Operating Cash Flow (5Y)

Operating Margin % (5Y)

Growth Summary

Historical Growth

Financial Statements

Peer Comparison

Synopsys, Inc.

Valuation

Profitability

Returns

Solvency

Historical Performance Charts

Revenue vs Net Profit (5Y)

Free Cash Flow vs Operating Cash Flow (5Y)

Operating Margin % (5Y)

Growth Summary

Historical Growth

Financial Statements

Peer Comparison

Key concepts to brush up on