Synopsys price target raised to $515 from $500 at KeyBanc

KeyBanc analyst Jason Celino raised the firm’s price target on Synopsys to $515 from $500 and keeps an Overweight rating on the shares. The firm notes Synopsys posted a slight Q3 beat and raised FY23 guidance modestly. More importantly, the company provided multiple AI proof points, including seeing a 20%-plus value increase in recent renewals; AI tape-outs total 270; and AI chips as core value stream accounting for +$0.5B in revenue, all of which KeyBanc views positively. Lastly, Synopsys announced that CEO Aart de Geus will be stepping down in January 2024, succeeded by COO Sassine Ghazi.