Synopsys Stock Soars on Amazon Deal and AI Partnership

Synopsys (SNPS) stock has been on a tear, surging nearly 18.2% over the last two days and reaching $490.54 on October 1.

The company's recent announcements have contributed to this rally, including a $1+ billion agreement with Amazon.com (AMZN) and a partnership with OpenAI.

Synopsys' Investor Day in September reset the fiscal 2027 growth framework, with revenue expected between $11.1 billion and $11.2 billion, non-GAAP operating margin target at approximately 44%, and non-GAAP diluted EPS between $19.04 and $19.12.

The Amazon deal adds a commercial foundation to Synopsys' business model, with the company set to collaborate on Trainium, Graviton, AWS infrastructure, and AI-powered engineering workflows.