Synopsys (NASDAQ:SNPS) declared that its Board of Directors has approved a share buyback plan, which authorizes the company to repurchase $500.00 million in outstanding shares on Friday, June 16th, EventVestor reports. This repurchase authorization authorizes the semiconductor company to reacquire up to 4.5% of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board believes its shares are undervalued.

Shares of Synopsys (NASDAQ:SNPS) traded up 0.51% during trading on Friday, reaching $75.27. 554,760 shares of the company traded hands. The stock has a market capitalization of $11.31 billion, a PE ratio of 42.05 and a beta of 1.01. The firm’s 50-day moving average is $74.23 and its 200-day moving average is $69.19. Synopsys has a 12-month low of $53.53 and a 12-month high of $76.57.

Synopsys (NASDAQ:SNPS) last issued its quarterly earnings results on Wednesday, May 17th. The semiconductor company reported $0.88 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.86 by $0.02. Synopsys had a return on equity of 11.16% and a net margin of 10.74%. The business had revenue of $680.07 million for the quarter, compared to analyst estimates of $672.40 million. During the same quarter in the previous year, the firm earned $0.81 earnings per share. The company’s revenue was up 12.4% on a year-over-year basis. On average, equities analysts predict that Synopsys will post $3.28 earnings per share for the current fiscal year.

A number of brokerages recently commented on SNPS. Needham & Company LLC reiterated a “buy” rating and issued a $77.00 price target (up previously from $76.00) on shares of Synopsys in a research note on Thursday, May 18th. BidaskClub lowered shares of Synopsys from a “strong-buy” rating to a “buy” rating in a research report on Wednesday, July 5th. Pacific Crest restated an “overweight” rating and set a $86.00 target price (up previously from $78.00) on shares of Synopsys in a research report on Friday, May 19th. Zacks Investment Research lowered shares of Synopsys from a “buy” rating to a “hold” rating in a research report on Tuesday, May 16th. Finally, Bank of America Corporation restated a “buy” rating and set a $87.00 target price (up previously from $80.00) on shares of Synopsys in a research report on Friday, May 19th. Three equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. Synopsys presently has a consensus rating of “Buy” and an average price target of $75.78.

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In related news, CEO Chi-Foon Chan sold 3,750 shares of Synopsys stock in a transaction dated Friday, May 19th. The stock was sold at an average price of $70.96, for a total transaction of $266,100.00. Following the completion of the sale, the chief executive officer now owns 204,179 shares of the company’s stock, valued at $14,488,541.84. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Chairman Geus Aart De sold 264,000 shares of the business’s stock in a transaction that occurred on Friday, May 19th. The shares were sold at an average price of $71.01, for a total value of $18,746,640.00. Following the completion of the transaction, the chairman now directly owns 220,133 shares of the company’s stock, valued at $15,631,644.33. The disclosure for this sale can be found here. Insiders have sold 304,246 shares of company stock worth $21,608,505 in the last 90 days. Insiders own 1.82% of the company’s stock.

About Synopsys

Synopsys, Inc provides software, intellectual property (IP) and services. The Company supplies the electronic design automation (EDA) software that engineers use to design and test integrated circuits, also known as chips. It also offers IP products, which are pre-designed circuits that engineers use as components of larger chip designs rather than designing those circuits themselves.

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