Synopsys: Design IP Weakness Doesn't Really Matter Post Transition

2026-03-07 11:14:31 ET

Synopsys (NASDAQ: SNPS ) remains one of the top EDA software providers for chip designers, dominating the EDA market alongside Cadence ( CDNS ). In my last article , I was bullish in Synopsys with the main argument that the market overreacted with a poor design IP revenue in Q3 FY25, which though is still facing negative growth in Q1 FY26, is now no longer the main focus for Synopsys with their Design Automation revenue continuing to gain momentum as well as the acquisition of Ansys playing a major role, essentially being one of the main catalysts and bullish sentiment for Synopsys over the past few months....

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