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Hardware & electrical equipment

Chip designer Synopsys stock climbs on earnings surprise

Synopsys Inc (NASDAQ:SNPS) shares rose slightly in Thursday's early deal it reported third-quarter earnings ahead of expectations, in a statement last night.

The chip design firm posted earnings of $2.88 per share on revenue of $1.49 billion, compared to Street expectations of $2.47 per share and $1.48 billion, respectively.

The company’s stock added 2.6% in extended trading to $439.47.

"We achieved another record quarter as semi design starts and R&D investments continue, unabated, to capitalize on the AI-driven, 'Smart Everything' era," CEO Aart de Geus said in a statement.

Additionally, the company announced that chief operating officer Sassine Ghazi will take over for de Geus as CEO starting January 1, 2024. In turn, de Geus will transition to executive chair of Synopsys' board.

At US$435.5 the semiconductor stock was up US$7.29 or 1.7% in Thursday's early trading.

Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com

Follow him on Twitter @andrew_kessel

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