05:48 AM EDT, 09/10/2025 (MT Newswires) -- (Updates with the latest stock price movement in the headline and the first paragraph.)

Synopsys ( SNPS ) shares were down nearly 22% in recent premarket activity Wednesday after the company overnight posted fiscal Q3 results that missed Wall Street's estimates and cut its full-year earnings outlook.

The company reported fiscal Q3 non-GAAP net income late Tuesday of $3.39 per diluted share, down from $3.43 a year earlier. Analysts polled by FactSet expected $3.80.

Revenue for the quarter ended July 31 was $1.74 billion, up from $1.53 billion a year earlier. Analysts polled by FactSet expected $1.77 billion.

For fiscal Q4, the company expects non-GAAP EPS of $2.76 to $2.80, compared with analyst expectations of $4.50. The company projects fiscal Q4 revenue between $2.23 billion and $2.26 billion, compared with analyst estimates of $2.01 billion.

For fiscal 2025, Synopsys ( SNPS ) slashed its non-GAAP EPS guidance to a range of $12.76 to $12.80 from $15.11 to $15.19. Analysts surveyed by FactSet expect $15.13.

Revenue projection for the year was raised to between $7.03 billion and $7.06 billion from a prior range of $6.75 billion to $6.81 billion. Analysts polled by FactSet expect $6.74 billion.