Analysts on Wall Street project that Synopsys (SNPS) will announce quarterly earnings of $3.67 per share in its forthcoming report, representing an increase of 8.3% year over year. Revenues are projected to reach $2.44 billion, increasing 40.3% from the same quarter last year.

The consensus EPS estimate for the quarter has undergone an upward revision of 0.6% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.

Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.

With that in mind, let's delve into the average projections of some Synopsys metrics that are commonly tracked and projected by analysts on Wall Street.

The average prediction of analysts places 'Revenue- Maintenance and service' at $564.01 million. The estimate indicates a change of +70.4% from the prior-year quarter.

The collective assessment of analysts points to an estimated 'Revenue- Total products revenue' of $1.88 billion. The estimate suggests a change of +33.6% year over year.

Analysts expect 'Revenue by segment- Design IP' to come in at $487.38 million. The estimate points to a change of +14% from the year-ago quarter.

Analysts predict that the 'Revenue by segment- Design Automation' will reach $1.97 billion. The estimate points to a change of +50% from the year-ago quarter.

Based on the collective assessment of analysts, 'Revenue- Upfront products' should arrive at $598.23 million. The estimate points to a change of +15.9% from the year-ago quarter.

The consensus estimate for 'Revenue- Time-based products' stands at $1.34 billion. The estimate points to a change of +50.5% from the year-ago quarter.

View all Key Company Metrics for Synopsys here>>>

Shares of Synopsys have experienced a change of +6.5% in the past month compared to the +2.8% move of the Zacks S&P 500 composite. With a Zacks Rank #2 (Buy), SNPS is expected to outperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

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This article originally published on Zacks Investment Research (zacks.com).

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