- The electronic design automation (EDA) industry is set to grow. The semiconductor IP industry is also expecting growth.
- Synopsys is the number one EDA company. It is also branching out into the semiconductor IP industry, and hence it is exposed to the growth of both.
- It is positioned to capitalize on the growth of emerging markets and the automotive IC industry. IC node-shrinkage brings further benefits.
- PE and cash flow based valuations reveal an upside of around 50% in the next couple of years.