Citi analyst Tyler Radke on Friday morning downgraded Ansys to Neutral from Buy with a price target of $300, up from $255. The analyst sees limited upside to shares over the next 12 months with valuation now at "new peaks." Further, he believes 2020 consensus estimates look high and has concerns that the company's longer-term growth drivers may take longer to play out.

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.