Summary
Options data compiled by Bloomberg indicate investors expect Synopsys Inc. (NASDAQ:SNPS) to experience a 7.8% price move when the company reports earnings after the market close on May 27. That figure represents the magnitude priced into short-term options positions ahead of the release.
What the options imply
The implied move of 7.8% comes from options activity and reflects market expectations for volatility around the earnings announcement. Such an implied move is a forward-looking estimate derived from the prices of options contracts expiring immediately after the report.
How reality has compared
Looking back over the last eight earnings announcements, Synopsys's actual stock reactions have sometimes been larger and sometimes smaller than the options-implied moves. In four of those eight quarters, the price change following the report exceeded what options had implied.
Recent post-earnings outcomes
- On February 25, 2026, the implied move was 7.7%, while the actual price change was 1.0%.
- On December 10, 2025, the implied move was 8.5%, with an actual price change of 6.2%.
- On September 9, 2025, the implied move was 5.8%, but the stock fell 35.7%.
- On May 28, 2025, the implied move was 7.8%, with the stock dropping 11.8%.
- On February 26, 2025, the implied move was 3.0%, while the stock declined 13.4%.
- On December 4, 2024, the implied move was 5.7%, with the stock falling 7.0%.
- On August 21, 2024, the implied move was 7.2%, while the actual price change was 3.7%.
- On May 22, 2024, the implied move was 5.3%, with an actual price change of 4.8%.
Interpretation
The data show a mixed record: implied option moves have at times underestimated and at times overestimated the magnitude of post-earnings price changes. Several quarters demonstrate substantial downside moves that exceeded what options had priced in, while other quarters show the stock moving less than implied.
Bottom line
Investors watching Synopsys into the May 27 report will be comparing the options-implied 7.8% move to whatever actual change follows the announcement. Historical results over the last eight reports indicate that actual outcomes can differ materially from the options market's expectation.
Key points
- Options-implied move for the May 27 report is 7.8%.
- In four of the past eight earnings, actual post-announcement price moves exceeded the options-implied move.
- These dynamics affect equity and options market participants monitoring short-term volatility around earnings.
Risks and uncertainties
- Options-implied moves are estimates and have sometimes failed to predict the magnitude of the actual post-earnings reaction, introducing execution and exposure risk for traders in equity and options markets.
- Several past earnings releases produced significantly larger downside moves than implied, indicating material downside risk exists around future announcements.
- The mixed historical pattern means outcomes remain uncertain when comparing implied volatility to realized price action, which may impact positions held through earnings.