Synopsys (CHIX:SYPD) Moat Score: 8/10 (As of Jun. 29, 2026)


CHIX:SYPD Synopsys Inc CHIX:SYPD
95 GF Score
Price €383.30
GF Value €553.24
! 7 Warning Signs
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What is Synopsys Moat Score?

Synopsys CHIX:SYPD 95 Moat Score is 8 as of Jun. 29, 2026. GuruFocus rates CHIX:SYPD with a GF Score™ of 95/100 and a GF Value™ of €553.24. The stock has 7 warning signs investors should review. Among 2,844 Software companies, Synopsys ranks better than 99.86% on this metric.

Synopsys has the Moat Score of 8, which implies that the company might have Wide Moat - Clear and robust wide moat.

Synopsys has Wide Moat: Synopsys Inc possesses a clear and robust wide moat due to its valuable intellectual property, strong customer switching costs, and consistent innovation in electronic design automation. Its market leadership and deep customer loyalty further solidify its competitive position, justifying a high wide moat score.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Synopsys might have Wide Moat - Clear and robust wide moat.

Synopsys  (CHIX:SYPd) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Synopsys Moat Score Related Terms

CHIX:SYPD vs NET, FTNT, CRWV: Moat Score Comparison

For the Software - Infrastructure subindustry, Synopsys's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Synopsys Moat Score vs Software Industry

For the Software industry and Technology sector, Synopsys's Moat Score distribution charts can be found below:

* The bar in red indicates where Synopsys's Moat Score falls into.


CHIX:SYPD
95GF Score
Synopsys Inc CHIX:SYPD
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 8 mean?
Synopsys (CHIX:SYPD) has a Moat Score of 8 as of Jun. 29, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Synopsys ranks #4 out of 2844 companies in the Software industry, placing it in the top 0.099999999999994%.
Is Synopsys' Moat Score too high?
Synopsys' current Moat Score is 8. Based on the distribution chart, Synopsys ranks #4 out of 2844 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Synopsys has a GF Score™ of 95/100, reflecting its overall financial health beyond just this single metric.
How does Synopsys' Moat Score compare to NET and FTNT?
According to the Software industry distribution chart, Synopsys ranks #4 out of 2844 companies for Moat Score. This places Synopsys in the top 0% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Software company?
A good Moat Score depends on the Software industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Synopsys's current Moat Score is 8. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Synopsys stock overvalued right now?
Synopsys (CHIX:SYPD) has a current Moat Score of 8. The stock's GF Value™ is €553.24, compared to a current price of €383.30 — trading 30.7% below its estimated fair value. The current Moat Score is 8. Synopsys' overall GF Score™ is 95/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Synopsys (CHIX:SYPD), the current Moat Score is 8 as of Jun. 29, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Synopsys (CHIX:SYPD) Overvalued in 2026?

Based on GuruFocus' analysis, Synopsys stock appears to be undervalued. The current stock price of €383.30 is trading 30.7% below its estimated GF Value™ of €553.24.

Key valuation signals for CHIX:SYPD:

  • Moat Score: 8
  • GF Value™: €553.24 vs. price of €383.30 (30.7% below fair value)
  • GF Score™: 95/100 with 7 warning signs

No single metric tells the full story. See the CHIX:SYPD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Synopsys Business Description

Address 675 Almanor Avenue, Sunnyvale, CA, USA, 94085
Synopsys is a provider of electronic design automation software and intellectual property products. EDA software automates and aids in the chip design process, enhancing design accuracy, productivity, and complexity in a full-flow end-to-end solution. Synopsys' comprehensive portfolio is benefiting from a convergence of semiconductor companies moving up the stack of technologies toward systems-like companies, and systems companies moving down-stack toward in-house chip design. The resulting expansion in EDA customers alongside secular digitalization of various end markets benefits EDA vendors like Synopsys.
95GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€383.30
Price
€553.24
GF Value