In its upcoming report, Synopsys (SNPS) is predicted by Wall Street analysts to post quarterly earnings of $3.57 per share, reflecting an increase of 17.8% compared to the same period last year. Revenues are forecasted to be $2.39 billion, representing a year-over-year increase of 64.3%.
Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
Bearing this in mind, let's now explore the average estimates of specific Synopsys metrics that are commonly monitored and projected by Wall Street analysts.
Analysts predict that the 'Revenue- Maintenance and service' will reach $660.32 million. The estimate points to a change of +155% from the year-ago quarter.
The consensus estimate for 'Revenue- Total products revenue' stands at $1.73 billion. The estimate indicates a change of +44.9% from the prior-year quarter.
Analysts expect 'Revenue by segment- Design IP' to come in at $420.17 million. The estimate indicates a change of -3.4% from the prior-year quarter.
The consensus among analysts is that 'Revenue by segment- Design Automation' will reach $1.76 billion. The estimate points to a change of +72.3% from the year-ago quarter.
The collective assessment of analysts points to an estimated 'Revenue- Upfront products' of $601.00 million. The estimate points to a change of +63.3% from the year-ago quarter.
The average prediction of analysts places 'Revenue- Time-based products' at $1.10 billion. The estimate points to a change of +33.2% from the year-ago quarter.
View all Key Company Metrics for Synopsys here>>>
Shares of Synopsys have experienced a change of -13.2% in the past month compared to the -0.8% move of the Zacks S&P 500 composite. With a Zacks Rank #4 (Sell), SNPS is expected to underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Synopsys, Inc. (SNPS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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