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Market Overview

Synopsys Earnings Preview


Synopsys (NASDAQ:SNPS) unveils its next round of earnings this Wednesday, February 17. Get prepared with Benzinga's ultimate preview for Synopsys's Q1 earnings.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Synopsys EPS is expected to be around $1.47, according to sell-side analysts. Sales will likely be near $958.44 million. In the same quarter last year, Synopsys reported EPS of $1.01 on revenue of $834.38 million.

Why Analyst Estimates And Earnings Surprises Are Important

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

The Wall Street estimate would represent a 45.54% increase in the company's earnings. Revenue would be have grown 14.87% from the same quarter last year. Here is how the company's EPS has stacked up against analyst estimates in the past:

Quarter Q4 2020 Q3 2020 Q2 2020 Q1 2020
EPS Estimate 1.57 1.34 0.98 0.92
EPS Actual 1.58 1.74 1.22 1.01
Revenue Estimate 1.03 B 894.12 M 837.28 M 821.61 M
Revenue Actual 1.02 B 964.13 M 861.33 M 834.38 M

Stock Performance

Over the last 52-week period, shares of Synopsys are up 81.52%.

Do not be surprised to see the stock move on comments made during its conference call. Synopsys is scheduled to hold the call at 17:00:00 ET and can be accessed here.


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Posted-In: BZI-EPEarnings