Needham analyst Richard Valera raised his price target on Ansys to $220 and kept his Buy rating after its "bullish" Investor Day meeting where the management had forecast the company's total addressable market to triple over the next 7-10 years. The analyst cites the growth of new markets for Ansys which include "autonomy, electrification and digital twin", adding that he has incremental bullishness for the company's ability to beat estimates in the near term as well as its long term growth prospects. Valera notes that he would use any near-term weakness as opportunity to get more aggressive on Ansys stock.

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.