ScoreWhy is Synopsys, Inc. ?
1
High Management Efficiency with a high ROE of 17.14%
2
The company is Net-Debt Free
3
Healthy long term growth as Operating profit has grown by an annual rate 11.20%
4
With a growth in Net Profit of 3090.88%, the company declared Very Positive results in Jul 26
- OPERATING CASH FLOW(Y) Highest at USD 2,938.34 MM
- INTEREST COVERAGE RATIO(Q) Highest at 659.26
- OPERATING PROFIT MARGIN(Q) Highest at 35.17 %
5
High Institutional Holdings at 100%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Synopsys, Inc. should be less than 10%
- Overall Portfolio exposure to Software Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Synopsys, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Synopsys, Inc.
-15.76%
-0.66
43.92%
S&P 500
15.76%
1.22
13.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
15.94%
EBIT Growth (5y)
11.20%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.41
Sales to Capital Employed (avg)
0.54
Tax Ratio
5.15%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
24.76%
ROE (avg)
17.14%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
53
Industry P/E
Price to Book Value
2.44
EV to EBIT
68.78
EV to EBITDA
35.58
EV to Capital Employed
2.14
EV to Sales
10.30
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
3.11%
ROE (Latest)
4.57%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend24What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 2,938.34 MM
INTEREST COVERAGE RATIO(Q)
Highest at 659.26
OPERATING PROFIT MARGIN(Q)
Highest at 35.17 %
INVENTORY TURNOVER RATIO(HY)
Highest at 8.11 times
NET SALES(Q)
Highest at USD 2,472.66 MM
OPERATING PROFIT(Q)
Highest at USD 869.59 MM
PRE-TAX PROFIT(Q)
Highest at USD 719.37 MM
NET PROFIT(Q)
Highest at USD 574.08 MM
EPS(Q)
Highest at USD 2.84
-6What is not working for the Company
INTEREST(9M)
At USD 425.32 MM has Grown at 70.6%
ROCE(HY)
Lowest at 3.66%
RAW MATERIAL COST(Y)
Grown by 13.79% (YoY
Here's what is working for Synopsys, Inc.
Interest Coverage Ratio
Highest at 659.26 and Grown
In each period in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Operating Cash Flow
Highest at USD 2,938.34 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Operating Profit Margin
Highest at 35.17 % and Grown
In each period in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
At USD 719.37 MM has Grown at 130.89%
over average net sales of the previous four periods of USD 311.56 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 574.08 MM has Grown at 96.68%
over average net sales of the previous four periods of USD 291.89 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
Net Sales
Highest at USD 2,472.66 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 869.59 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 719.37 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 574.08 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 2.84
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Inventory Turnover Ratio
Highest at 8.11 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Here's what is not working for Synopsys, Inc.
Interest
At USD 425.32 MM has Grown at 70.6%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Raw Material Cost
Grown by 13.79% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
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