Synopsys (SNPS) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

For the quarter ended April 2026, Synopsys (SNPS) reported revenue of $2.28 billion, up 41.9% over the same period last year. EPS came in at $3.35, compared to $3.67 in the year-ago quarter.The reported revenue represents a surprise of +1.13% over the Zacks Consensus Estimate of $2.25 billion. With the consensus EPS estimate being $3.17, the EPS surprise was +5.76%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.Here is how Synopsys performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:Revenue- Maintenance and service: $784.11 million compared to the $708.37 million average estimate based on five analysts. The reported number represents a change of +195.6% year over year.Revenue- Total products revenue: $1.49 billion versus the five-analyst average estimate of $1.54 billion. The reported number represents a year-over-year change of +11.4%.Revenue by segment- Design IP: $454.2 million versus the four-analyst average estimate of $439.18 million. The reported number represents a year-over-year change of -5.8%.Revenue by segment- Design Automation: $1.82 billion versus $1.67 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +62.3% change.Revenue- Upfront products: $546.25 million compared to the $455.68 million average estimate based on four analysts. The reported number represents a change of +7% year over year.Revenue- Time-based products: $945.62 million versus $1.08 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +14.2% change.View all Key Company Metrics for Synopsys here>>>Shares of Synopsys have returned +10.5% over the past month versus the Zacks S&P 500 composite's +5.1% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.See Stocks Now >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks