Class Action Filed Against Synopsys, Inc. Amidst Investor Allegations of Deceit

Class Action Lawsuit Against Synopsys, Inc.

On November 26, 2025, Robbins LLP announced that a class action lawsuit has been filed against Synopsys, Inc. (NASDAQ: SNPS) on behalf of investors who purchased or obtained the company's securities between December 4, 2024, and September 9, 2025. The lawsuit also includes investors exchanging their shares of Ansys, Inc. within that time frame, following the company's acquisition of Ansys.

Background of the Case

Synopsys, Inc. specializes in electronic design automation software, crucial for designing and testing integrated circuits. The class action was prompted by serious allegations that Synopsys misled investors regarding the health and performance of its Intellectual Property (IP) business. On January 16, 2024, the company announced a major acquisition of Ansys, boasting about a $35 billion total consideration for the deal. Synopsys’s President and CEO praised this merger for its potential to deliver a “holistic, powerful, and seamlessly integrated” approach to technological innovations, claiming benefits for technology research and development teams across numerous sectors.

However, the lawsuit alleges that the optimistic narrative provided by Synopsys may have obscured more serious internal issues within the company. Specifically, it claims that the shift toward emphasizing artificial intelligence (AI) clients — who often need highly customized solutions — was undermining the economic viability of its Design IP business. Reports suggest that certain strategic choices and development pathways may not meet the intended goals, substantially impacting the company’s financial health.

Key Allegations

The plaintiff elaborates on three main failure points that were allegedly not disclosed to shareholders:
1. The company's shift in focus towards AI clients, requiring custom solutions, was degrading the profitability of its Design IP business.
2. Key strategic plans and resource allocations were unlikely to yield positive outcomes.
3. These factors contributed to a noticeable decline in the company’s financial performance.

The severity of these allegations came to light when, on September 9, 2025, Synopsys presented its third-quarter financial results. The report indicated that the company's IP business had significantly underperformed, leading to a dramatic drop in stock prices. On the following trading day, shares plummeted by $216.59, a staggering 35.8%, closing at $387.78.

Next Steps for Investors

For investors who believe they may be affected by these claims, there is an opportunity to engage in the class action against Synopsys, Inc. Shareholders interested in leading the lawsuit must submit their documents to the court by December 30, 2025. The role of the lead plaintiff is to represent the class and guide the litigation process, although participation in the case is not a prerequisite to being eligible for any financial recovery. It’s important to note that all legal representation is on a contingency fee basis, meaning investors will not incur costs unless a successful outcome is achieved.

Robbins LLP, a recognized leader in the field of shareholder rights litigation, has committed itself to assist shareholders in recovering losses while also holding corporate executives accountable. They have provided support to shareholders since 2002, striving to improve corporate governance alongside financial recovery.

For those who wish to stay informed about the class action or receive updates related to corporate misconduct, signing up for Robbins LLP's 'Stock Watch' service is highly recommended. The lawsuit emphasizes the importance of transparency in corporate actions and seeks to recover losses for impacted investors while promoting accountability within publicly traded companies.

For more information, please reach out directly to Robbins LLP. Their attorney Aaron Dumas, Jr. can be contacted via email, or you can call them at (800) 350-6003 for any queries regarding the class action or to explore your options as an investor.