SYNOPSYS INC (SYP.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:SYP - US8716071076 - Common Stock
450 EUR
+10.05 (+2.28%)
Overall SYP gets a fundamental rating of 4 out of 10. We evaluated SYP against 114 industry peers in the Software industry. SYP scores excellent on profitability, but there are concerns on its financial health. SYP has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year SYP was profitable.
SYP had a positive operating cash flow in the past year.
SYP had positive earnings in each of the past 5 years.
SYP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of SYP (4.14%) is comparable to the rest of the industry.
With a Return On Equity value of 7.23%, SYP perfoms like the industry average, outperforming 50.88% of the companies in the same industry.
SYP has a Return On Invested Capital (1.74%) which is in line with its industry peers.
SYP had an Average Return On Invested Capital over the past 3 years of 11.39%. This is in line with the industry average of 12.49%.
The 3 year average ROIC (11.39%) for SYP is well above the current ROIC(1.74%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.23% | ||
| ROIC | 1.74% |
ROA(3y)13.22%
ROA(5y)11.32%
ROE(3y)21.01%
ROE(5y)18.18%
ROIC(3y)11.39%
ROIC(5y)10.05%
1.3 Margins
SYP has a better Profit Margin (31.04%) than 91.23% of its industry peers.
In the last couple of years the Profit Margin of SYP has grown nicely.
With a decent Operating Margin value of 17.16%, SYP is doing good in the industry, outperforming 70.18% of the companies in the same industry.
SYP's Operating Margin has improved in the last couple of years.
SYP's Gross Margin of 79.12% is fine compared to the rest of the industry. SYP outperforms 64.91% of its industry peers.
In the last couple of years the Gross Margin of SYP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.16% | ||
| PM (TTM) | 31.04% | ||
| GM | 79.12% |
OM growth 3Y6.59%
OM growth 5Y6.25%
PM growth 3Y27.03%
PM growth 5Y18.45%
GM growth 3Y0.07%
GM growth 5Y0.53%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SYP is still creating some value.
SYP has more shares outstanding than it did 1 year ago.
The number of shares outstanding for SYP has been increased compared to 5 years ago.
The debt/assets ratio for SYP is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.40 indicates that SYP is not in any danger for bankruptcy at the moment.
With a Altman-Z score value of 3.40, SYP perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
SYP has a Debt/Equity ratio of 0.52. This is a neutral value indicating SYP is somewhat dependend on debt financing.
SYP has a Debt to Equity ratio of 0.52. This is in the lower half of the industry: SYP underperforms 64.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.4 |
ROIC/WACC0.16
WACC10.96%
2.3 Liquidity
A Current Ratio of 1.62 indicates that SYP should not have too much problems paying its short term obligations.
SYP's Current ratio of 1.62 is fine compared to the rest of the industry. SYP outperforms 60.53% of its industry peers.
SYP has a Quick Ratio of 1.51. This is a normal value and indicates that SYP is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.51, SYP perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
SYP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.67%.
The Earnings Per Share has been growing by 18.54% on average over the past years. This is quite good.
EPS 1Y (TTM)-1.67%
EPS 3Y13.39%
EPS 5Y18.54%
EPS Q2Q%-14.71%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%37.83%
3.2 Future
SYP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.84% yearly.
The Revenue is expected to grow by 15.94% on average over the next years. This is quite good.
EPS Next Y12.9%
EPS Next 2Y15.44%
EPS Next 3Y16.32%
EPS Next 5Y15.84%
Revenue Next Year36.7%
Revenue Next 2Y23.08%
Revenue Next 3Y19.01%
Revenue Next 5Y15.94%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 40.43 indicates a quite expensive valuation of SYP.
The rest of the industry has a similar Price/Earnings ratio as SYP.
When comparing the Price/Earnings ratio of SYP to the average of the S&P500 Index (27.19), we can say SYP is valued slightly more expensively.
SYP is valuated quite expensively with a Price/Forward Earnings ratio of 35.82.
The rest of the industry has a similar Price/Forward Earnings ratio as SYP.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.88, SYP is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.43 | ||
| Fwd PE | 35.82 |
4.2 Price Multiples
64.91% of the companies in the same industry are cheaper than SYP, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 76.59 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SYP does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of SYP may justify a higher PE ratio.
A more expensive valuation may be justified as SYP's earnings are expected to grow with 16.32% in the coming years.
PEG (NY)3.13
PEG (5Y)2.18
EPS Next 2Y15.44%
EPS Next 3Y16.32%
5. Dividend
5.1 Amount
SYP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FRA:SYP (1/9/2026, 7:00:00 PM)
450
+10.05 (+2.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners93.54%
Inst Owner ChangeN/A
Ins Owners0.41%
Ins Owner ChangeN/A
Market Cap85.76B
Revenue(TTM)N/A
Net Income(TTM)2.00B
Analysts81.29
Price Target486.13 (8.03%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.32%
Min EPS beat(2)-10.9%
Max EPS beat(2)6.25%
EPS beat(4)3
Avg EPS beat(4)0.22%
Min EPS beat(4)-10.9%
Max EPS beat(4)6.25%
EPS beat(8)5
Avg EPS beat(8)0.24%
EPS beat(12)9
Avg EPS beat(12)0.86%
EPS beat(16)12
Avg EPS beat(16)1.03%
Revenue beat(2)0
Avg Revenue beat(2)-2.57%
Min Revenue beat(2)-3.51%
Max Revenue beat(2)-1.64%
Revenue beat(4)0
Avg Revenue beat(4)-2.36%
Min Revenue beat(4)-3.51%
Max Revenue beat(4)-1.62%
Revenue beat(8)0
Avg Revenue beat(8)-2.19%
Revenue beat(12)0
Avg Revenue beat(12)-5.73%
Revenue beat(16)0
Avg Revenue beat(16)-4.55%
PT rev (1m)-1.85%
PT rev (3m)-0.14%
EPS NQ rev (1m)0.01%
EPS NQ rev (3m)0.04%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)-3.82%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.43 | ||
| Fwd PE | 35.82 | ||
| P/S | 15.56 | ||
| P/FCF | N/A | ||
| P/OCF | 69.45 | ||
| P/B | 3.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 76.59 |
EPS(TTM)11.13
EY2.47%
EPS(NY)12.56
Fwd EY2.79%
FCF(TTM)-69.12
FCFYN/A
OCF(TTM)6.48
OCFY1.44%
SpS28.92
BVpS124.12
TBVpS-55.78
PEG (NY)3.13
PEG (5Y)2.18
Graham Number176.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.23% | ||
| ROCE | 2.47% | ||
| ROIC | 1.74% | ||
| ROICexc | 1.84% | ||
| ROICexgc | 35.88% | ||
| OM | 17.16% | ||
| PM (TTM) | 31.04% | ||
| GM | 79.12% | ||
| FCFM | N/A |
ROA(3y)13.22%
ROA(5y)11.32%
ROE(3y)21.01%
ROE(5y)18.18%
ROIC(3y)11.39%
ROIC(5y)10.05%
ROICexc(3y)15.76%
ROICexc(5y)13.64%
ROICexgc(3y)67.42%
ROICexgc(5y)61.02%
ROCE(3y)16.17%
ROCE(5y)14.27%
ROICexgc growth 3Y-16.41%
ROICexgc growth 5Y-15.59%
ROICexc growth 3Y9.63%
ROICexc growth 5Y8.74%
OM growth 3Y6.59%
OM growth 5Y6.25%
PM growth 3Y27.03%
PM growth 5Y18.45%
GM growth 3Y0.07%
GM growth 5Y0.53%
F-Score2
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 10.01 | ||
| Cap/Depr | 5156.15% | ||
| Cap/Sales | 261.38% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 100.78% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 3.4 |
F-Score2
WACC10.96%
ROIC/WACC0.16
Cap/Depr(3y)179.61%
Cap/Depr(5y)180.51%
Cap/Sales(3y)8.65%
Cap/Sales(5y)9%
Profit Quality(3y)89.35%
Profit Quality(5y)101.69%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.67%
EPS 3Y13.39%
EPS 5Y18.54%
EPS Q2Q%-14.71%
EPS Next Y12.9%
EPS Next 2Y15.44%
EPS Next 3Y16.32%
EPS Next 5Y15.84%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%37.83%
Revenue Next Year36.7%
Revenue Next 2Y23.08%
Revenue Next 3Y19.01%
Revenue Next 5Y15.94%
EBIT growth 1Y-24.76%
EBIT growth 3Y20.85%
EBIT growth 5Y19.81%
EBIT Next Year23.73%
EBIT Next 3Y31.33%
EBIT Next 5Y24.99%
FCF growth 1Y-1098.34%
FCF growth 3Y0.78%
FCF growth 5Y14.95%
OCF growth 1Y-18.58%
OCF growth 3Y-1.95%
OCF growth 5Y11.94%
SYNOPSYS INC / SYP.DE FAQ
What is the ChartMill fundamental rating of SYNOPSYS INC (SYP.DE) stock?
ChartMill assigns a fundamental rating of 4 / 10 to SYP.DE.
What is the valuation status for SYP stock?
ChartMill assigns a valuation rating of 1 / 10 to SYNOPSYS INC (SYP.DE). This can be considered as Overvalued.
How profitable is SYNOPSYS INC (SYP.DE) stock?
SYNOPSYS INC (SYP.DE) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for SYP stock?
The Price/Earnings (PE) ratio for SYNOPSYS INC (SYP.DE) is 40.43 and the Price/Book (PB) ratio is 3.63.
How financially healthy is SYNOPSYS INC?
The financial health rating of SYNOPSYS INC (SYP.DE) is 4 / 10.