Synopsys upgraded to Neutral at BofA ahead of FY26 guidance

As previously reported, BofA upgraded Synopsys (SNPS) to Neutral from Underperform with a price target of $500, down from $525. The FY26 outlook on its upcoming EPS call on December 10 could be “the clearing event” to help address prior concerns around unexplained weakness in its China and the Intel (INTC) IP business as well as high near-term Ansys (ANSS) integration costs, the analyst tells investors. The firm’s new FY26 sales and pro-forma EPS estimates are “modestly in line” with consensus, the analyst noted.