As previously reported, JPMorgan analyst Sterling Auty downgraded ANSYS to Underweight from Neutral, saying there are a number of moving parts that are company specific that can provide hurdles to near-term consistent performance. The analyst thinks it will take several quarters for the CEO transition, hiring of a new head of sales and any subsequent go-to-market changes, infrastructure refresh, perpetual to lease shift, and refocusing on stronger verticals to normalize. Auty also lowered his price target on the shares to $90 from $92.

Ansys (ANSS) announced a collaboration with TSMC (TSM) on multiphysics software for TSMC's Compact Universal Photonic Engines. COUPE is a cutting-edge Silicon Photonics integration system and Co-Packaged Optics platform that mitigates coupling loss while significantly accelerating chip-to-chip and machine-to-machine communication. TSMC COUPE, along with Ansys multiphysics solutions that are integrated with Synopsys' 3DIC Compiler unified exploration-to-signoff platform, enables the next generation of silicon photonics and co-packaged optics designs for applications in AI, datacenter, cloud, and HPC communications. The work spans multiple areas, including fiber-to-chip coupling, integrated electronic-photonic chip design, power integrity verification, high-frequency electromagnetic analysis, and critical thermal management.