SYNOPSYS INC Shows Strong Growth with High Ratings

SYNOPSYS INC shines with an 88% rating in fundamental analysis. The stock demonstrates robust characteristics in key growth investing criteria, signifying investor optimism.

Date: 07-03-2025

AI Rating: 7

SYNOPSYS INC (ticker: SNPS) has recently received an 88% rating based on the P/B Growth Investor model, indicating strong fundamentals and growth potential. This score, which is above the typical threshold of 80%, suggests a favorable outlook for the stock among growth investors.

Strong Performance Indicators: The report indicates that SYNOPSYS INC passes several important tests for growth investing:

Book/Market Ratio: PASS
Return on Assets: PASS
Cash Flow from Operations to Assets: PASS
Cash Flow from Operations to Assets vs. Return on Assets: PASS
Return on Assets Variance: PASS
Sales Variance: PASS
Capital Expenditures to Assets: PASS
Research and Development to Assets: PASS

Despite the strong showing in most areas, the report notes a weakness in the criteria regarding advertising expenditures, which received a FAIL rating. This could signal a concern around spending efficiency in marketing activities. However, the overall strength in other areas may outweigh this one negative factor, especially as the stock maintains a high growth potential.

Given these indicators, the favorable rating from the growth model boosts investor confidence in SYNOPSYS INC's ability to sustain its upward trajectory. Positive assessments in major areas like return on assets and cash flow are likely to influence stock prices favorably moving forward.

Stocks: SNPS