What the Options Market Tells Us About Synopsys

High-rolling investors have positioned themselves bullish on Synopsys (NASDAQ:SNPS), and it's important for retail traders to take note.\This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in SNPS often signals that someone has privileged information.

Today, Benzinga's options scanner spotted 8 options trades for Synopsys. This is not a typical pattern.

The sentiment among these major traders is split, with 50% bullish and 50% bearish. Among all the options we identified, there was one put, amounting to $28,675, and 7 calls, totaling $672,503.

Expected Price Movements

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $135.0 and $550.0 for Synopsys, spanning the last three months.

Analyzing Volume & Open Interest

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Synopsys's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Synopsys's significant trades, within a strike price range of $135.0 to $550.0, over the past month.

Synopsys 30-Day Option Volume & Interest Snapshot

Largest Options Trades Observed:

About Synopsys

Synopsys is a provider of electronic design automation software, intellectual property, and software integrity products. EDA software automates the chip design process, enhancing design accuracy, productivity, and complexity in a full-flow end-to-end solution. The firm's growing SI business allows customers to continuously manage and test the code base for security and quality. Synopsys' comprehensive portfolio is benefiting from a mutual convergence of semiconductor companies moving up-stack toward systems-like companies, and systems companies moving down-stack toward in-house chip design. The resulting expansion in EDA customers alongside secular digitalization of various end markets benefits EDA vendors like Synopsys.

Having examined the options trading patterns of Synopsys, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Present Market Standing of Synopsys

• Currently trading with a volume of 226,328, the SNPS's price is down by -0.48%, now at $517.75.
• RSI readings suggest the stock is currently may be approaching oversold.
• Anticipated earnings release is in 49 days.

What The Experts Say On Synopsys

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $623.0.

• An analyst from Wells Fargo persists with their Overweight rating on Synopsys, maintaining a target price of $620.
• Maintaining their stance, an analyst from Wells Fargo continues to hold a Overweight rating for Synopsys, targeting a price of $630.
• Maintaining their stance, an analyst from Rosenblatt continues to hold a Buy rating for Synopsys, targeting a price of $570.
• Consistent in their evaluation, an analyst from Stifel keeps a Buy rating on Synopsys with a target price of $620.
• Consistent in their evaluation, an analyst from Keybanc keeps a Overweight rating on Synopsys with a target price of $675.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Synopsys options trades with real-time alerts from Benzinga Pro.