Synopsys Approves Stock Repurchase Program with Authorization Up to $1 Billion

Rhea-AI Summary

Synopsys has announced a new stock repurchase program, authorizing the purchase of up to $1 billion of its common stock. This initiative replaces a prior program initiated in 2002 and reflects the company's commitment to enhance long-term shareholder value. CFO Trac Pham stated that the program demonstrates their strategic investment approach, aiming to balance growth and margin expansion while returning capital to shareholders. The buyback program may be modified or suspended at the discretion of the Board or executives, without any obligation to acquire specific amounts of stock.

Positive

• New stock repurchase program of up to $1 billion enhances shareholder value.
• Continued commitment to return capital to shareholders.

Negative

• None.

MOUNTAIN VIEW, Calif., Dec. 10, 2021 /PRNewswire/ -- Synopsys, Inc. (Nasdaq: SNPS) today announced that its Board of Directors has approved a new stock repurchase program with authorization to purchase up to $1 billion of common stock.

"We continue to execute very well, balancing our strategic investments to grow the business, expand margins and return capital to shareholders," said Trac Pham, chief financial officer of Synopsys. "This new stock repurchase program with an increased authorization amount of up to $1 billion reinforces our ongoing commitment to generate sustainable, long-term shareholder value."

The program replaces Synopsys' prior stock repurchase program, which was originally approved by Synopsys' Board of Directors in 2002. The stock repurchase program does not obligate Synopsys to acquire any particular amount of common stock, and the program may be suspended or terminated at any time by Synopsys' co-chief executive officers, chief financial officer or the Board of Directors at their sole discretion.

About Synopsys

Synopsys, Inc. (Nasdaq: SNPS) is the Silicon to Software™ partner for innovative companies developing the electronic products and software applications we rely on every day. As an S&P 500 company, Synopsys has a long history of being a global leader in electronic design automation (EDA) and semiconductor IP and offers the industry's broadest portfolio of application security testing tools and services. Whether you're a system-on-chip (SoC) designer creating advanced semiconductors, or a software developer writing more secure, high-quality code, Synopsys has the solutions needed to deliver innovative products. Learn more at www.synopsys.com.

Safe Harbor for Forward-Looking Statements

This press release contains forward-looking statements, including, but not limited to, statements related to the timing and extent of stock repurchases, if any, and our planned deployment of capital. Forward-looking statements are subject to both known and unknown risks and uncertainties that may cause actual results to differ materially from those expressed or implied in the forward-looking statements. These risks and uncertainties include, among others: fluctuations in the market price of Synopsys common stock and our use of cash for other purposes. Other risks and uncertainties that may apply are set forth in the Risk Factors section of Synopsys' most recently filed Quarterly Report on Form 10-Q. Synopsys assumes no obligation to update any forward-looking statement contained in this press release.

INVESTOR CONTACT:
Lisa L. Ewbank
Synopsys, Inc.
650-584-1901
Synopsys-ir@synopsys.com  

EDITORIAL CONTACT:
Simone Souza
Synopsys, Inc.
650-584-6454
simone@synopsys.com

 

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SOURCE Synopsys, Inc.

FAQ

What is the stock repurchase program authorized by Synopsys?

Synopsys has authorized a stock repurchase program of up to $1 billion to buy back its common stock.

When was the new stock repurchase program approved?

The new stock repurchase program was approved on December 10, 2021.

How does the stock repurchase program impact SNPS stock?

The stock repurchase program is expected to enhance the long-term shareholder value and could positively affect the stock price.

What was the previous stock repurchase program for Synopsys?

The previous stock repurchase program was originally approved in 2002 and has now been replaced by the new $1 billion authorization.

Can Synopsys change or terminate the repurchase program?

Yes, Synopsys can suspend or terminate the stock repurchase program at any time at the discretion of its executive team.