Question 1

What is Synopsys's P/FCF ratio?

Accepted Answer

Synopsys (SNPS) P/FCF ratio is 27.0× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month free cash flow, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for Synopsys?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For Synopsys specifically, the relevant sector benchmark is the current sector median of 21.8×.

Question 5

Is Synopsys's P/FCF ratio high or low?

Accepted Answer

Synopsys's P/FCF ratio of 27.0× is below its own 5-year average of 48.6× and above the sector median of 21.8×. That places the current reading at the 0th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Synopsys's historical P/FCF ratio range?

Accepted Answer

In the available daily series, Synopsys (SNPS) P/FCF ratio has ranged from a low of 6.9× in 2005 to a high of 109.1× in 2002. The 5-year average is 48.6× and the 5-year median is 40.6×.

Question 7

What was Synopsys's P/FCF ratio in 2025?

Accepted Answer

Synopsys (SNPS) P/FCF ratio at the end of 2025 was 53.9×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 8

Why does Synopsys's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$72.7B	$1.35B	53.9×	-7.7×	Oct 31, 2025
2024	$79.1B	$1.28B	61.6×	+14.4×	Oct 31, 2024
2023	$71.3B	$1.51B	47.2×	+19.3×	Oct 31, 2023
2022	$44.7B	$1.6B	27.9×	-8.2×	Oct 31, 2022
2021	$50.4B	$1.4B	36.1×	-3.0×	Oct 31, 2021
2020	$32.6B	$833M	39.1×	+5.0×	Oct 31, 2020
2019	$20.4B	$598M	34.1×	-7.3×	Oct 31, 2019
2018	$13.4B	$322M	41.4×	+18.3×	Oct 31, 2018
2017	$13B	$561M	23.1×	+5.6×	Oct 31, 2017
2016	$9B	$516M	17.4×	-1.7×	Oct 31, 2016
2015	$7.76B	$405M	19.2×	+4.8×	Oct 31, 2015
2014	$6.41B	$444M	14.4×	+1.3×	Oct 31, 2014
2013	$5.62B	$428M	13.1×	+2.0×	Oct 31, 2013
2012	$4.76B	$429M	11.1×	+1.0×	Oct 31, 2012
2011	$3.86B	$380M	10.1×	-2.5×	Oct 31, 2011
2010	$3.77B	$299M	12.6×	-3.5×	Oct 31, 2010
2009	$3.17B	$197M	16.1×	—	Oct 31, 2009
2008	$2.61B	-$67.3M	—	—	Oct 31, 2008
2007	$4.06B	$386M	10.5×	-10.2×	Oct 31, 2007
2006	$3.21B	$154M	20.8×	+8.7×	Oct 31, 2006
2005	$2.73B	$226M	12.1×	+0.4×	Oct 31, 2005
2004	$2.56B	$219M	11.7×	-2.6×	Oct 31, 2004
2003	$4.86B	$341M	14.2×	—	Oct 31, 2003
2002	$2.69B	-$230M	—	—	Oct 31, 2002


Zebra Technologies (ZBRA)	12.2×
Skyworks Solutions (SWKS)	11.9×
Cognizant (CTSH)	11.8×
NetApp (NTAP)	11.5×
Duolingo (DUOL)	11.1×
Block (XYZ)	11.0×
QUALCOMM (QCOM)	10.8×
Leidos Holdings (LDOS)	10.8×
Workday (WDAY)	10.5×
Salesforce (CRM)	10.5×
Qorvo (QRVO)	10.4×
Adobe (ADBE)	9.8×
Accenture (ACN)	9.6×
Strategy (MSTR)	9.2×
Gartner (IT)	8.8×
Fidelity National Information Services (FIS)	8.7×
DocuSign (DOCU)	8.0×
Gen Digital (GEN)	7.5×
Fiserv (FISV)	7.2×
Science Applications International (SAIC)	7.0×
Hewlett Packard Enterprise (HPE)	6.8×
GoDaddy (GDDY)	6.7×
HP (HPQ)	5.1×
Lyft (LYFT)	4.5×
IBM (IBM)	0.0×

P/FCF Ratio for Synopsys (SNPS) 2003-2026

P/FCF Ratio daily chart for Synopsys (SNPS)

Historical P/FCF Ratio for Synopsys (SNPS) from 2002 to 2025

About P/FCF Ratio at Synopsys (SNPS)

Synopsys P/FCF Ratio by Year

Synopsys P/FCF Ratio 2025: 53.9×

Synopsys P/FCF Ratio 2024: 61.6×

Synopsys P/FCF Ratio 2023: 47.2×

Synopsys P/FCF Ratio 2022: 27.9×

Synopsys P/FCF Ratio 2021: 36.1×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

Synopsys (SNPS) Key Financials