Synopsys, Inc. (SNPS) Return on Invested Capital (ROIC): 1.97%
Is Synopsys, Inc.’s return on invested capital (ROIC) high or low?
Synopsys, Inc.'s return on invested capital (ROIC) of 1.97% is 82% below its 5-year average of 10.99%, near the low end of its 5-year range (1.97%–15.96%).
The return on invested capital (ROIC) for Synopsys, Inc. (SNPS) is 1.97% as of Wednesday, June 10, 2026. It is below its 12-month average by 71.88% (7.00%).
SNPS Return on Invested Capital (ROIC) Chart
SNPS Average Return on Invested Capital (ROIC) Chart
SNPS Current vs Average Return on Invested Capital (ROIC) Chart
SNPS Return on Invested Capital (ROIC) Metrics
RETURN ON INVESTED CAPITAL (ROIC)
1.97%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
7.00%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
11.24%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
10.99%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
9.18%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
8.60%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
7.51%
CURRENT VS TTM AVG
-71.88%
CURRENT VS 3Y AVG
-82.47%
CURRENT VS 5Y AVG
-82.07%
CURRENT VS 10Y AVG
-78.54%
CURRENT VS 15Y AVG
-77.10%
CURRENT VS 20Y AVG
-73.76%
SNPS Competitors' Return on Invested Capital (ROIC)
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Synopsys, Inc. (SNPS) | — | 1.97% | 7.00% | 11.24% | 10.99% |
| Snowflake Inc. (SNOW) | $83.15B | -30.15% | -27.70% | -22.31% | -18.89% |
| Datadog, Inc. (DDOG) | $81.03B | -0.74% | 0.17% | -0.79% | -0.84% |
| Adobe Inc. (ADBE) | $94.61B | 36.69% | 31.05% | 27.82% | 27.06% |
| Intuit Inc. (INTU) | $77.74B | 14.78% | 13.40% | 11.41% | 13.64% |
| Cloudflare, Inc. (NET) | $77.62B | -4.10% | -5.08% | -6.88% | -6.94% |
| Fortinet, Inc. (FTNT) | $101.91B | 28.75% | 27.98% | 29.21% | 26.02% |
| Monolithic Power Systems, Inc. (MPWR) | $72.71B | 15.30% | 15.76% | 18.62% | 17.70% |
| NXP Semiconductors N.V. (NXPI) | $72.02B | 11.03% | 11.97% | 13.63% | 0.71% |
| Accenture plc (ACN) | $104.93B | 16.99% | 17.99% | 19.80% | 19.97% |
Capital Efficiency
ROIC
2.0%
ROE
2.5%
Synopsys, Inc. Return on Invested Capital (ROIC) Formula & Definition
ROIC = NOPAT / Invested Capital
Return on invested capital measures the after-tax return a company earns on all capital (debt and equity) invested in the business.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Synopsys, Inc. Return on Invested Capital (ROIC) FAQ
- What is the return on invested capital (ROIC) for Synopsys, Inc. (SNPS)?
- The return on invested capital (ROIC) for SNPS stock is 1.97%.
- Is Synopsys, Inc.'s return on invested capital (ROIC) high or low?
- Synopsys, Inc.'s return on invested capital (ROIC) of 1.97% is 82% below its 5-year average of 10.99%, near the low end of its 5-year range (1.97%–15.96%).
- What is the TTM average return on invested capital (ROIC) for Synopsys, Inc. (SNPS)?
- The TTM average return on invested capital (ROIC) for SNPS stock is 7.00%.
- What is the 3Y average return on invested capital (ROIC) for Synopsys, Inc. (SNPS)?
- The 3Y average return on invested capital (ROIC) for SNPS stock is 11.24%.
- What is the 5Y average return on invested capital (ROIC) for Synopsys, Inc. (SNPS)?
- The 5Y average return on invested capital (ROIC) for SNPS stock is 10.99%.
- What is the 10Y average return on invested capital (ROIC) for Synopsys, Inc. (SNPS)?
- The 10Y average return on invested capital (ROIC) for SNPS stock is 9.18%.
- What is the 15Y average return on invested capital (ROIC) for Synopsys, Inc. (SNPS)?
- The 15Y average return on invested capital (ROIC) for SNPS stock is 8.60%.
- What is the 20Y average return on invested capital (ROIC) for Synopsys, Inc. (SNPS)?
- The 20Y average return on invested capital (ROIC) for SNPS stock is 7.51%.
Synopsys, Inc. Return on Invested Capital (ROIC) History
| DATE | RETURN ON INVESTED CAPITAL (ROIC) |
|---|---|
| 2025-10-31 | 1.97% |
| 2024-10-31 | 12.04% |
| 2023-10-31 | 15.96% |
| 2022-10-31 | 14.98% |
| 2021-10-31 | 10.63% |
| 2020-10-31 | 10.35% |
| 2019-10-31 | 10.87% |
| 2018-10-31 | 8.21% |
| 2017-10-31 | 3.27% |
| 2016-10-31 | 6.89% |
| 2015-10-31 | 5.82% |
| 2014-10-31 | 6.93% |
| 2013-10-31 | 7.00% |
| 2012-10-31 | 5.89% |
| 2011-10-31 | 9.02% |
| 2010-10-31 | 7.79% |
| 2009-10-31 | 7.05% |
| 2008-10-31 | 10.37% |
| 2007-10-31 | 5.86% |
| 2006-10-31 | 1.29% |
| 2005-10-31 | -4.52% |
| 2004-10-31 | 5.37% |
| 2003-10-31 | 8.87% |
| 2002-10-31 | -4.62% |
| 2001-10-31 | -0.03% |
| 2000-10-31 | 10.16% |
| 1999-09-30 | 16.90% |
| 1998-09-30 | 13.72% |
| 1997-09-30 | 17.88% |
| 1996-09-30 | 14.96% |
Related Metrics
About Synopsys, Inc.
Synopsys, Inc. is a leading provider of electronic design automation (EDA) software, instrumental in the creation and validation of integrated circuits. The company offers a robust portfolio of platforms, including the Fusion Design Platform for digital implementation, and the comprehensive Verification Continuum Platform. The latter provides a suite of solutions such as virtual prototyping, static and formal verification, simulation, emulation, and FPGA-based prototyping with integrated debugging tools. Synopsys also develops FPGA design products, which enable programming for specific functions. A significant part of its business involves intellectual property (IP) solutions. This encompasses IP for widely adopted communication standards like USB, PCI Express, DDR, Ethernet, SATA, MIPI, HDMI, and Bluetooth Low Energy. They also furnish analog IP, including data converters and audio codecs, alongside system-on-chip (SoC) infrastructure IP, specialized datapath and building block IP, and verification IP products. Furthermore, their offerings include mathematical and floating-point components, as well as Arm AMBA interconnect fabric and peripherals. Beyond core IP, Synopsys supplies logic libraries, embedded memories, and configurable processor cores, complemented by application-specific instruction-set processor tools for embedded applications. They also develop IP subsystems for audio, sensor, and data fusion functionalities, in addition to specialized security IP solutions. For advanced system design and analysis, Synopsys provides Platform Architect solutions for SoC architecture optimization, along with general virtual prototyping tools and HAPS FPGA-based prototyping systems. Their expertise extends to tools designed for optical systems and photonic devices. In addition to software and IP, the company delivers a range of services, including security testing, managed services, professional programs, and training. These services are designed to help customers identify and resolve security vulnerabilities and defects across the software development lifecycle. Manufacturing solutions are also part of their extensive offerings. Synopsys serves a diverse global client base, with applications across electronics, financial services, automotive, medicine, energy, and various industrial sectors. The company was founded in 1986 and is headquartered in Mountain View, California.
- Sector
- Technology
- Industry
- Software - Infrastructure
- CEO
- Sassine Ghazi