Synopsys, Inc. Notice of December 30, 2025 Application Deadline for Class Action Lawsuit- Contact Lewis Kahn, Esq. at Kahn Swick & Foti, LLC, Before Application Deadline

Rhea-AI Summary

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Key Figures

3Q2025 revenue $1.740 billion Quarterly revenue disclosed in 3Q2025 results; missed prior guidance range.

Prior guidance range $1.755–$1.785 billion Company’s earlier 3Q2025 revenue guidance that actual results missed.

3Q2025 net income $242.5 million Reported net income for 3Q2025, cited in the complaint.

3Q2024 net income $425.9 million Prior-year 3Q net income used to show a 43% YoY decline.

Design IP revenue $426.6 million 3Q2025 Design IP segment revenue, a 7.7% YoY decline.

Design IP share of revenue 25% Design IP accounted for about 25% of total 3Q2025 revenue.

Design IP FY2025 outlook ≥5% decline Guidance inferring at least 5% full-year Design IP revenue decline in FY2025.

Share price drop 35.8% SNPS fell $216.59 to $387.78 on Sep 10, 2025 after 3Q2025 news.

Market Reality Check

$481.24 Last Close

Volume Volume 3,400,090 vs 20-day average 2,488,857 (relative volume 1.37), indicating elevated trading interest pre-announcement. normal

Technical Shares at $463.73, trading below the 200-day MA of $488.55 and well under the $651.73 52-week high.

Peers on Argus

Peers showed mixed, mostly modest moves: NET (+0.61%), FTNT (+0.64%), CRWD (+0.27%), PANW (-0.52%), XYZ (+1.15%). No evidence of a broad sector swing matching litigation-focused news on SNPS.

Common Catalyst Same-day peer headlines center on product and strategic cloud/AI initiatives (e.g., NET impact report, PANW-Google Cloud agreement), not securities litigation or earnings-related disputes.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 10	Earnings results	Positive	+0.3%	Record FY2025 revenue, strong backlog, and FY2026 guidance including Ansys.
Dec 01	Strategic partnership	Positive	+4.8%	NVIDIA invests $2.0B in Synopsys and launches multi-year AI partnership.
Nov 19	Partnership news	Positive	+0.7%	JuliaHub deal to integrate SciML platform into Ansys TwinAI digital twins.
Nov 19	Management change	Neutral	+0.7%	Appointment of Mike Ellow as Chief Revenue Officer and leadership team addition.
Nov 18	Product framework	Positive	-1.6%	Launch of GPU-native digital twin framework with NVIDIA, Ansys, and Azure.

Pattern Detected

Recent major partnerships and strong FY2025 results mostly saw modestly positive price alignment, with only one notable divergence on product news.

Recent Company History

This announcement about a securities class action tied to alleged misstatements around 3Q2025 results follows a period of strong strategic and financial updates. On Dec 10, 2025, Synopsys reported record FY2025 revenue of $7.054 billion and guided FY2026 revenue to a midpoint of $9.61 billion, with a small positive price reaction. A major $2.0 billion NVIDIA equity investment and multi-year partnership on Dec 1, 2025 triggered a stronger gain. Additional digital twin and partnership news in November produced modest moves, indicating investors had been focused on growth and integration of Ansys prior to the litigation notice.

Market Pulse Summary

This announcement highlights a securities class action focused on Synopsys’ 3Q2025 revenue miss, a 43% year-over-year net income decline, and expected Design IP softness of at least 5% for FY2025. It follows record FY2025 revenue of $7.054 billion, new AI-focused partnerships, and a restructuring plan tied to the Ansys integration. Investors may monitor litigation developments, execution on FY2026 revenue guidance of $9.61 billion, workforce reduction progress, and Design IP segment trends.

Key Terms

class action regulatory

"notifies investors in Synopsys, Inc. ... of a class action securities lawsuit."

A class action is a lawsuit where a group of people with similar complaints sue a company together instead of each person filing separately; think of it as a neighborhood banding together to take one case to court rather than everyone hiring separate lawyers. Investors care because class actions can lead to large settlements or judgments, damage a company’s reputation, drain cash reserves, and distract management — all of which can reduce a company’s stock value and affect future earnings.

securities fraud regulatory

"investors of Synopsys who were adversely affected by alleged securities fraud"

Securities fraud is the illegal act of lying to or misleading investors about the true value or prospects of stocks, bonds or other traded financial instruments — for example by making false statements, hiding key facts, trading on secret information, or artificially moving prices. It matters to investors because it can cause sudden losses, distort fair market prices and undermine trust in markets; think of it as someone rigging a scoreboard so others place bets on the wrong team.

lead plaintiff regulatory

"you have until December 30, 2025 to request that the Court appoint you as lead plaintiff"

The lead plaintiff is the representative investor chosen to speak and act on behalf of a group of shareholders in a securities lawsuit. Think of them as the elected spokesperson for a neighborhood when everyone sues a landlord: they coordinate the legal case, make strategic decisions, and negotiate settlements, so their choices can shape outcomes and any recovery that reaches all affected investors. Investors care because the lead plaintiff’s resources and approach can influence the size and speed of any payout and the costs deducted from it.

securities litigation regulatory

"one of the nation's premier boutique securities litigation law firms."

Securities litigation is a legal dispute brought by investors, regulators, or other parties alleging false statements, misleading information, insider trading, or other wrongdoing tied to the buying, selling, or holding of stocks, bonds or other financial instruments. It matters to investors because lawsuits can produce fines, payouts, damaged reputations and sharp stock moves—like a costly product recall or lawsuit that forces a company to pay and rebuild trust, potentially reducing shareholder value and altering future prospects.

AI-generated analysis. Not financial advice.

NEW YORK and NEW ORLEANS, Dec. 19, 2025 /PRNewswire/ -- Kahn Swick & Foti, LLC ("KSF") and KSF partner, former Attorney General of Louisiana, Charles C. Foti, Jr., notifies investors in Synopsys, Inc. ("Synopsys" or the "Company") (NasdaqGS: SNPS) of a class action securities lawsuit.

CLASS DEFINITION: The lawsuit seeks to recover losses on behalf of investors of Synopsys who were adversely affected by alleged securities fraud between December 4, 2024 and September 9, 2025 and/or purchased or otherwise acquired Synopsys common stock in exchange for their shares of Ansys, Inc. ("Ansys") common stock in the acquisition of Ansys. Follow the link below to get more information and be contacted by a member of our team:

https://www.ksfcounsel.com/cases/nasdaqgs-snps/

Synopsys investors should contact KSF Managing Partner Lewis Kahn toll-free at 1-877-515-1850 or via email (lewis.kahn@ksfcounsel.com), or visit https://www.ksfcounsel.com/cases/nasdaqgs-snps/ to learn more.

CASE DETAILS: According to the Complaint, on September 9, 2025, post-market, the Company announced its 3Q2025 financial results, disclosing quarterly revenue of $1.740 billion, missing its prior guidance of between $1.755 billion and $1.785 billion, and reported net income of $242.5 million, a 43% year-over-year decline from $425.9 million reported for 3Q 024. Further, the Company reported that its Design IP segment accounted for approximately 25% of revenue and came in at $426.6 million, a 7.7% decline year-over-year, and also provided guidance inferring that Design IP revenues will decline by at least 5% on a full-year basis in fiscal 2025. On this news, the price of Synopsys' shares fell $216.59, or 35.8%, to close at $387.78 per share on September 10, 2025, on unusually heavy trading volume.

The first-filed case is Kim v. Synopsis, Inc., et al., No. 25-cv-09410. A subsequent case, New England Teamsters Pension Fund v. Synopsis, Inc., et al., No. 25-cv- 10201, expanded the class period.

WHAT TO DO? If you invested in Synopsys and suffered a loss during the relevant time frame, you have until December 30, 2025 to request that the Court appoint you as lead plaintiff; however, your ability to share in any recovery does not require that you serve as a lead plaintiff.

About Kahn Swick & Foti, LLC

KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation's premier boutique securities litigation law firms. This past year, KSF was ranked by SCAS among the top 10 firms nationally based upon total settlement value. KSF serves a variety of clients, including public and private institutional investors, and retail investors - in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, Delaware, California, Louisiana, Chicago, and a representative office in Luxembourg.

TOP 10 Plaintiff Law Firms - According to ISS Securities Class Action Services

To learn more about KSF, you may visit www.ksfcounsel.com.

Contact:
Kahn Swick & Foti, LLC
Lewis Kahn, Managing Partner
lewis.kahn@ksfcounsel.com
1-877-515-1850
1100 Poydras St., Suite 960
New Orleans, LA 70163

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SOURCE Kahn Swick & Foti, LLC