Synopsys Investors Face Class Action Over Design IP Disclosures as Lead Plaintiff Deadline Nears

Overview

• The lawsuit, captioned Kim v. Synopsys, Inc., is pending in the Northern District of California under Exchange Act Sections 10(b) and 20(a).
• Investors who bought shares between December 4, 2024 and September 9, 2025 face a December 30, 2025 deadline to seek appointment as lead plaintiff.
• Plaintiffs allege Synopsys misstated the economics of its Design IP business as customers tied to AI projects required more customization that increased costs and timelines.
• On September 9, 2025 the company reported its IP unit underperformed, with Design IP revenue at $425.9 million (down 7.7% year over year) and net income of $242.5 million (down 43%).
• Shares fell nearly 36% the next day, dropping from $604.37 to $387.78 after the disclosure, and multiple investor-rights firms are soliciting affected shareholders on a contingency basis.