Here’s Why Synopsys Inc’s (SNPS) Partnership With Nvidia Is Important

Synopsys, Inc. (NASDAQ:SNPS) is one of the 10 Companies That Partnered With Nvidia in 2026. According to a report released on April 8, KeyBanc analyst Jason Celino reiterated his Buy rating on Synopsys, Inc. (NASDAQ:SNPS) with a price target of $600. The firm’s price target suggests an additional  53% upside from the current levels.

NVIDIA announced on March 16 that it is strengthening its partnership with Synopsys, Inc. (NASDAQ:SNPS) to bring AI-powered and GPU-accelerated solutions to industrial design, engineering, and semiconductor deployment. SNPS is integrating NVIDIA technologies, including Omniverse, CUDA-X, and AI models into its software to improve the chip and system design process. The collaboration focuses on using agentic AI and GPU acceleration to speed up complex simulations and reduce design time, replacing slower CPU-based processes. Synopsys, Inc. (NASDAQ:SNPS) is also deploying its tools on NVIDIA-powered cloud platforms, including Microsoft Azure and AWS. This enables more scalable and faster performance.

Companies like TSMC, Honda, and Samsung are already using SNPS solutions powered by NVIDIA to accelerate chip design, simulations, and manufacturing. This partnership supports NVIDIA’s growth in AI-driven computing while helping SNPS deliver faster, more efficient design tools.

Founded in 1986, Synopsys, Inc. (NASDAQ: SNPS) is a provider of design intellectual property (IP) solutions. The company operates through the Design IP and Design Automation. It provides Digital and Custom IC Design solutions,  Verification solutions, FPGA design products, and AI-driven EDA solutions.

While we acknowledge the potential of SNPS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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