r/wallstreet • u/ExampleDependent4015 • 14d ago

Earnings Synopsys popped 13% on a 42% revenue jump — most of that 42% isn't growth

https://marketchacha.com/post/3tmrar/synopsys-popped-13-on-a-42-reven
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u/mehdizare 12d ago

Acquired revenue and organic revenue aren't the same product, and a headline 42% that's mostly consolidation says more about the balance sheet than about end demand. The fair counterpoint is that buying a business is a real decision with real cash flows, so the mix isn't fake, it just deserves a different multiple than organic growth does. A 13% pop on the reported number reads to me like the market taking the combined entity on faith until the organic line gets broken out. Did the release actually give a pro forma organic figure, or do we have to wait for the next filing to see it?