Upgrade your membership to see all of the expert analysis we have published on SNPS now!
Quietly Slumped Below 50-Day Moving Average Line - Wednesday, April 10, 2024
Synopsys Inc (SNPS -$8.02 or -1.41% to $560.97) has seen volume totals cooling and today it quietly slumped below its 50-day moving average (DMA) line ($568) raising concerns. The prior low ($546.91 on 3/15/24) defines the next important support where a more damaging loss would raise serious concerns and trigger a technical sell signal. Since last noted it failed to produce a strong volume-driven gain and close above the pivot point which was needed to clinch a proper technical buy signal.
SNPS reported Jan '24 quarterly earnings +36% on +21% sales revenues versus the year-ago period, its 3rd strong quarter above the +25% minimum earnings guideline (C criteria). Annual earnings growth (A criteria) has been strong and steady. It has a 99 Earnings Per Share Rating, the highest possible. The number of top-rated funds owning its shares rose from 2,896 in Mar '23 to 3,383 in Mar '24, a reassuring sign concerning the I criteria. Its current Up/Down Volume Ratio of 1.1 is an unbiased indication its shares have been under slight accumulation over the past 50 days. It has a Timeliness Rating of B and Sponsorship Rating of B.
SNPS was last shown in this FSU section in detail on 3/19/24 with an annotated graph under the headline, "Rallying From Support at 50-Day Moving Average Line". It was highlighted in yellow in the 2/22/24 mid-day report (read here) with pivot point cited based on its 2/09/24 high after a cup-with-handle base.
Rallying From Support at 50-Day Moving Average Line - Tuesday, March 19, 2024
Synopsys Inc (SNPS +$24.08 or +4.30% to $584.71) posted a solid gain today with +14% above average volume, finding support above its 50-day moving average (DMA) line ($550). Volume totals had cooled in recent weeks while consolidating. It has been previously noted - "A strong volume-driven gain and close above the pivot point is needed to clinch a proper technical buy signal."
SNPS reported Jan '24 quarterly earnings +36% on +21% sales revenues versus the year-ago period, its 3rd strong quarter above the +25% minimum earnings guideline (C criteria). Annual earnings growth (A criteria) has been strong and steady. It has a 99 Earnings Per Share Rating, the highest possible. The number of top-rated funds owning its shares rose from 2,896 in Mar '23 to 3,368 in Dec '23, a reassuring sign concerning the I criteria. Its current Up/Down Volume Ratio of 1.2 is an unbiased indication its shares have been under slight distributiojnal pressure over the past 50 days. It has a Timeliness Rating of B and Sponsorship Rating of B.
SNPS was last shown in this FSU section in detail on 2/22/24 with an annotated graph under the headline, "Gapped Up for New High But Ended Near Session Low". It was highlighted in yellow in the earlier mid-day report (read here) with pivot point cited based on its 2/09/24 high after a cup-with-handle base.
Gapped Up for New High But Ended Near Session Low - Thursday, February 22, 2024
Synopsys Inc (SNPS +$36.99 or +6.81% top $580.56) posted a volume-driven gain but ended near the session low. It closed below the pivot point cited after highlighted in yellow in the earlier mid-day report (read here) with pivot point cited based on its 2/09/24 high after a cup-with-handle base. Members were cautioned - "A strong close above the pivot point is needed to clinch a proper technical buy signal." It had gapped up hitting a new all-time high, however its afternoon slump and weak close on the session was action indicative of distributional pressure. Confirming volume-driven gains and a close above the pivot point would be a reassuring sign of fresh institutional buying demand that could lead to a sustained and meanful advance in price. SNPS found prompt support recently at its 50-day moving average (DMA) line ($536).
SNPS reported Jan '24 quarterly earnings +36% on +21% sales revenues versus the year ago period, its 3rd strong quarter above the +25% minimum earnings guideline (C criteria). Annual earnings growth (A criteria) has been strong and steady. It has a 99 Earnings Per Share Rating.
The number of top-rated funds owning its shares rose from 2,896 in Mar '23 to 3,315 in Dec '23, a reassuring sign concerning the I criteria. Its current Up/Down Volume Ratio of 0.9 is an unbiased indication its shares have been under slight distributiojnal pressure over the past 50 days. It has a Timeliness Rating of A and Sponsorship Rating of B.
Earnings Report Below +25% Minimum and Encountering Distributional Pressure - Thursday, August 18, 2022
Synopsys Inc (SNPS -$7.68 or -2.02% to $373.32) churned heavy volume for a 2nd consecutive session while retreating from its all-time high, enduring distributional pressure. It was highlighted in yellow in the 8/17/22 mid-day report with pivot point cited based on its 12/28/21 high plus 10 cents (read here). However, it reported Jul '22 quarterly earnings +16% on +18% sales revenues versus the year ago period, below the +25% minimum earnings guideline (C criteria), raising fundamental concerns. Volume and volatility often increase near earnings news.
SNPS has a 95 Earnings Per Share Rating. It may still be worth keeping an eye on. Subsequent gains above the pivot point backed by at least +40% above average volume may help clinch a convincing technical buy signal. Earnings for the Jan and Apr '22 quarters versus the year ago periods were well above the +25% minimum guideline (C criteria). Annual earnings (A criteria) history has been strong and steady.
The number of top-rated funds owning its shares rose from 1,993 in Sep '20 to 2,563 in Jun '22, a reassuring sign concerning the I criteria. Its current Up/Down Volume Ratio of 1.6 is an unbiased indication its shares have been under accumulation over the past 50 days. It has a Timeliness Rating of A and Sponsorship Rating of B.
Latest Earnings Report Missed the +25% Minimum Guideline - Wednesday, August 18, 2021
Synopsys Inc (SNPS-$0.99 or -0.34% to $290.63) was highlighted in yellow with pivot point cited based on its 2/16/21 high plus 10 cents in the earlier mid-day report (read here). It has been challenging its all-time high with recent gains.
SNPS reported Jul '21 quarterly results after today's close. The Jul '21 quarter showed only a +4% earnings increase versus the year ago period, raising some fundamental concerns. Volume and volatility often increase near earnings news. It had last reported earnings +39% on +19% sales revenues for the Apr '21 quarter versus the year ago period, its 4th strong quarterly comparison above the +25% minimum guideline (C criteria). Annual earnings (A criteria) growth has been strong and steady.
Disciplined investors might choose another buy candidate, however, the high-ranked COMPUTER SOFTWARE and SERVICES firm may still be worth keeping an eye on. Technically, subsequent gains above the pivot point backed by at least +40% above average volume may trigger a technical buy signal.
The number of top-rated funds owning its shares rose from 1,993 in Sep '20 to 2,198 in Jun '21, a reassuring sign concerning the I criteria. Its current Up/Down Volume Ratio of 1.5 is an unbiased indication its shares have been under accumulation over the past 50 days. It has a Timeliness Rating of C and Sponsorship Rating of B.