BUZZ - Synopsys shares rise as its fiscal 2027 outlook exceeds market expectations

October 1 - ** Chip design software company Synopsys (SNPS.O) released its fiscal 2027 performance outlook, surpassing Wall Street expectations, with its share price rising 2.4% in pre-market trading to $445.52

** The company expects revenue to be between $11.10 billion and $11.20 billion, with adjusted earnings per share of $19.04 to $19.12, while analysts previously predicted revenue and earnings per share of $10.81 billion and $17.81, respectively — data compiled by LSEG

** The company also plans to repurchase approximately $1 billion in stock over the coming months

** On Wednesday, Synopsys announced it has reached an agreement with OpenAI to share revenue in the process of developing AI models for its chip business (link)

** Amazon.com AMZN.O's cloud services division AWS also signed a multi-year licensing agreement worth over $1 billion (link) involving Synopsys’ chip design intellectual property

** Out of 24 brokerages, 22 rate the stock as "Buy" or higher, while 2 rate it as "Hold"; the median price target is $580 — data compiled by LSEG

** As of the close of the previous trading day, the stock has fallen 7.4% so far this year

(To facilitate non-native English speakers, Reuters provides automated translations of its reports into several other languages. Due to possible errors in automated translation, or missing contextual information, Reuters does not guarantee the accuracy of translated texts, which are offered solely for reader convenience. Reuters accepts no responsibility for any harm or loss arising from the use of automated translation features.)