Needham analyst Richard Valera raised his price target on Synopsys to $125 and kept his Buy rating after its Analyst Day, saying the management's presentation highlighted expectations of "stronger-than-historical growth and healthy margin expansion" after 5 years of heavy organic and inorganic investment. The analyst cites the company's forecast of "high 20%s" operating margin in FY21 - up from 26% - as its "most notable incremental news" of the event, but also points to the "strong backdrop for design activity" supporting Synopsys. Valera adds that his new price target reflects his "higher conviction on the long-term margin and earnings growth potential of the company."