olivLaw · US equity research
Synaptics Incorporated SYNA
Semiconductors & Related Devices · SIC 3674 · Vertical: Semiconductors & Related Devices (SIC 3674)
Synaptics designs AI-native edge solutions, including processors, wireless connectivity and sensors, for connected devices sold by OEMs worldwide. Revenue reached 1,197.2 million USD in fiscal 2026, and the company is being acquired by onsemi in an all-stock deal, so its outlook now depends on completing that transaction.
At the close of 04 Nov 2026, Synaptics Incorporated (SYNA) stock was 117.49 USD (+0.07% on the day), with market capitalisation 4.6 bn USD, beta 2.12, 52-week range 58.52–147.57 USD. Latest reported quarter (Q4 2026): revenue of 308.0 m USD (+8.9% YoY), net income of -447.4 m USD, diluted EPS -11.50 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 61.2
- strong (55–70)
- Bollinger (20, 2)
- 116.22 – 119.59
- in the lower half of the band · %B 0.38 · band width 2.9%
- SMA 50 / 200
- 107.18 / 103.22
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 2.42 / 3.13
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −1.9% | −1.1% | −0.8 pp | — |
| 3 months | +17.3% | −0.5% | +17.8 pp | — |
| 6 months | +9.5% | +4.4% | +5.2 pp | — |
| Year to date | +58.7% | +12.3% | +46.4 pp | — |
| 1 year | +73.2% | +13.5% | +59.6 pp | +37.6% |
| 3 years | +30.1% | +76.4% | −46.3 pp | +125.7% |
| 5 years | −52.9% | +63.7% | −116.5 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q4 2026 · 27 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 | Q4 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 257.7 m | 267.2 m | 266.6 m | 282.8 m | 292.5 m | 302.5 m | 294.2 m | 308.0 m |
| Cost of revenue | 136.8 m | 145.0 m | 150.8 m | 161.3 m | 167.9 m | 170.8 m | 160.9 m | 162.2 m |
| Gross profit | 120.9 m | 122.2 m | 115.8 m | 121.5 m | 124.6 m | 131.7 m | 133.3 m | 145.8 m |
| Research & development | 81.3 m | 83.3 m | 88.6 m | 93.6 m | 94.4 m | 95.1 m | 94.5 m | 97.8 m |
| SG&A | 50.0 m | 49.5 m | 34.7 m | 46.1 m | 46.2 m | 47.8 m | 49.6 m | 54.7 m |
| Operating income | -28.4 m | -15.2 m | -26.3 m | -24.2 m | -23.2 m | -15.1 m | -12.7 m | -16.1 m |
| Depreciation & amortisation | 7.2 m | 7.4 m ≈ | 7.2 m ≈ | — | — | — | — | — |
| Interest expense | 11.7 m | 4.3 m | 1.1 m | 28.5 m | — | — | — | — |
| Pre-tax income | -34.3 m | -26.0 m | -27.4 m | -25.8 m | -22.7 m | -17.5 m | -15.2 m | -24.0 m |
| Income tax | -11.2 m | -27.8 m | -5.6 m | -21.1 m | -2.1 m | -2.7 m | -7.2 m | 423.4 m |
| Net income | -23.1 m | 1.8 m | -21.8 m | -4.7 m | -20.6 m | -14.8 m | -8.0 m | -447.4 m |
| Diluted EPS | -0.58 | 0.05 | -0.56 | -0.12 ≈ | -0.53 | -0.38 | -0.21 | -11.50 ≈ |
| Operating cash flow | -11.4 m | 22.8 m ≈ | 73.4 m ≈ | 57.2 m | 30.2 m | 29.8 m ≈ | 21.8 m ≈ | 67.6 m |
| Capex | 9.1 m | 4.7 m ≈ | 5.4 m ≈ | 6.6 m | 12.2 m | 11.6 m ≈ | 11.9 m ≈ | 12.3 m |
| Share repurchases | 0 | 74.5 m ≈ | 37.8 m ≈ | 16.0 m | 7.2 m | 36.4 m ≈ | 39.0 m ≈ | 10.1 m |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.5 bn | 1.3 bn | 1.3 bn | 1.7 bn | 1.4 bn | 959.4 m | 1.1 bn | 1.2 bn |
| Revenue YoY | −9.7% | −9.4% | +0.4% | +29.9% | −22.1% | −29.2% | +12.0% | +11.4% |
| Net income | -22.9 m | 118.8 m | 79.6 m | 257.5 m | 73.6 m | 125.6 m | -47.8 m | -490.8 m |
| Net income YoY | unavailable | unavailable | −33.0% | +223.5% | −71.4% | +70.7% | −138.1% | unavailable |
| Diluted EPS | -0.66 | 3.41 | 2.08 | 6.33 | 1.83 | 3.16 | -1.22 | -12.62 |
| Diluted EPS YoY | unavailable | unavailable | −39.0% | +204.3% | −71.1% | +72.7% | −138.6% | unavailable |
| net % | -1.6% | 8.9% | 5.9% | 14.8% | 5.4% | 13.1% | -4.4% | -41.0% |
| Free cash flow | 130.5 m | 205.5 m | 298.1 m | 431.6 m | 297.3 m | 102.1 m | 116.2 m | 101.4 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2026 · 27 Jun 2026
- Cash
- 442.5 m USD
- Financial debt
- 837.3 m USD
- Net debt
- 394.8 m USD
- Equity
- 929.5 m USD
- Total assets
- 2.1 bn USD
- Debt / equity
- 0.90x
- Current ratio
- 1.12x
- ROE
- -42.2%
- ROA
- -20.9%
- FCF margin
- 8.5%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 1.3 bn | 1.7 bn | 1.4 bn | 959.4 m | 1.1 bn | 1.2 bn | SEC (XBRL)· 10 Aug 2026verified |
| Cost of revenue | 728.4 m | 796.6 m | 639.2 m | 519.6 m | 593.9 m | 661.8 m | SEC (XBRL)· 10 Aug 2026verified |
| Gross profit | 611.2 m | 943.1 m | 715.9 m | 439.8 m | 480.4 m | 535.4 m | SEC (XBRL)· 10 Aug 2026verified |
| Research & development | 313.4 m | 367.3 m | 351.2 m | 336.3 m | 346.8 m | 381.8 m | SEC (XBRL)· 10 Aug 2026verified |
| SG&A | 144.9 m | 168.4 m | 175.0 m | 161.3 m | 180.3 m | 198.3 m | SEC (XBRL)· 10 Aug 2026verified |
| Operating income | 147.0 m | 350.4 m | 154.3 m | -101.6 m | -94.1 m | -67.1 m | SEC (XBRL)· 10 Aug 2026verified |
| Depreciation & amortisation | 21.6 m | 24.0 m | 27.4 m | 27.6 m | — | — | SEC (XBRL)· 23 Aug 2024verified |
| EBITDA | 168.6 m ≈ | 374.4 m ≈ | 181.7 m ≈ | -74.0 m ≈ | — | — | SEC (XBRL)· 23 Aug 2024derived |
| Interest expense | 29.5 m | 30.2 m | 55.5 m | 65.3 m | 39.8 m | 23.4 m | SEC (XBRL)· 10 Aug 2026verified |
| Pre-tax income | 120.1 m | 320.5 m | 126.0 m | -124.6 m | -113.5 m | -79.4 m | SEC (XBRL)· 10 Aug 2026verified |
| Income tax | 31.4 m | 64.6 m | 52.4 m | -250.2 m | -65.7 m | 411.4 m | SEC (XBRL)· 10 Aug 2026verified |
| Net income | 79.6 m | 257.5 m | 73.6 m | 125.6 m | -47.8 m | -490.8 m | SEC (XBRL)· 10 Aug 2026verified |
| Diluted EPS | 2.08 | 6.33 | 1.83 | 3.16 | -1.22 | -12.62 | SEC (XBRL)· 10 Aug 2026verified |
| Weighted average diluted shares | 38.3 m | 41 | 40.2 m | 39.7 m | 39.3 m | 38.9 m | SEC (XBRL)· 10 Aug 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 836.3 m | 824.0 m | 924.7 m | 876.9 m | 391.5 m | 442.5 m | SEC (XBRL)· 10 Aug 2026verified |
| Receivables | 228.3 m | 322.1 m | 163.9 m | 142.4 m | 130.3 m | 164.0 m | SEC (XBRL)· 10 Aug 2026verified |
| Inventories | 82.0 m | 169.7 m | 137.2 m | 114.0 m | 139.5 m | 156.4 m | SEC (XBRL)· 10 Aug 2026verified |
| Current assets | 1.2 bn | 1.4 bn | 1.3 bn | 1.2 bn | 751.9 m | 787.0 m | SEC (XBRL)· 10 Aug 2026verified |
| Property, plant & equipment, net | 91.2 m | 62.9 m | 66.4 m | 75.5 m | 72.1 m | 86.9 m | SEC (XBRL)· 10 Aug 2026verified |
| Goodwill | 570.0 m | 806.6 m | 816.4 m | 816.4 m | 872.3 m | 872.3 m | SEC (XBRL)· 10 Aug 2026verified |
| Intangibles (excl. goodwill) | 301.5 m | 390.0 m | 298.5 m | 288.4 m | 262.2 m | 187.8 m | SEC (XBRL)· 10 Aug 2026verified |
| Total assets | 2.2 bn | 2.9 bn | 2.6 bn | 2.8 bn | 2.6 bn | 2.1 bn | SEC (XBRL)· 10 Aug 2026verified |
| Accounts payable | 97.6 m | 141.8 m | 45.8 m | 87.5 m | 98.5 m | 82.6 m | SEC (XBRL)· 10 Aug 2026verified |
| Short-term debt | — | 6.0 m | 6.0 m | 6.0 m | 0 | 439.6 m | SEC (XBRL)· 10 Aug 2026verified |
| Long-term debt | 394.4 m | 975.7 m | 972.0 m | 966.9 m | 834.8 m | 397.7 m | SEC (XBRL)· 10 Aug 2026verified |
| Current liabilities | 786.7 m | 463.4 m | 260.1 m | 277.2 m | 270.9 m | 701.3 m | SEC (XBRL)· 10 Aug 2026verified |
| Total liabilities | 1.3 bn | 1.6 bn | 1.4 bn | 1.4 bn | 1.2 bn | 1.2 bn | SEC (XBRL)· 10 Aug 2026verified |
| Equity | 967.2 m † | 1.3 bn † | 1.2 bn † | 1.5 bn † | 1.4 bn † | 929.5 m † | SEC (XBRL)· 10 Aug 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 319.2 m | 462.7 m | 331.5 m | 135.9 m | 142.0 m | 149.4 m | SEC (XBRL)· 10 Aug 2026verified |
| Capex | 21.1 m | 31.1 m | 34.2 m | 33.8 m | 25.8 m | 48.0 m | SEC (XBRL)· 10 Aug 2026verified |
| Free cash flow | 298.1 m ≈ | 431.6 m ≈ | 297.3 m ≈ | 102.1 m ≈ | 116.2 m ≈ | 101.4 m ≈ | SEC (XBRL)· 10 Aug 2026derived |
| Investing cash flow | -522.6 m | -482.7 m | -6.0 m | -157.7 m | -297.9 m | 13.0 m | SEC (XBRL)· 10 Aug 2026verified |
| Financing cash flow | 274.1 m | 14.3 m | -221.3 m | -25.1 m | -331.4 m | -111.5 m | SEC (XBRL)· 10 Aug 2026verified |
| Share repurchases | 0 | 0 | 183.5 m | 0 | 128.3 m | 92.7 m | SEC (XBRL)· 10 Aug 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
4 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 37 / 100
A scoring methodology on indicators and valuation, not investment advice.
score < 40
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 4.6 bn USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet19
- Valuation67
- Quality25
- Growth13
- Returns67
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 26.13 – 439.65 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)26.13 – 47.33 (Mid 34.16)WACC 8.6% · starting FCFF 121.1 m USD · terminal value share of EV 74%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: no growth between −30% and +40% justifies the price
- Peers: EV/Sales124.58 – 439.65 (Mid 249.17)24 companies used · median multiple 8.5x · quartiles 4.4x – 14.7xAAOI, ADI, AMAT, AMD, AVGO, AXTI, FSLR, FTCI, INTC, MCHP, MRAM, MRVL, MTSI, MU, MXL, NVDA, NXPI, ON, Q, SMTC, TE, TSEM, TXN, UCTT
- Peers: EV/EBITDAunavailable · input data missing
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Unattractive profile · Score 37/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| Gross margin · Quality | 44.7% | 12 (on a fixed band) | 11% |
| EBIT margin · Quality | -5.6% | 34 (vs peers) | 9% |
| FCF margin · Quality | 8.5% | 34 (on a fixed band) | 9% |
| Revenue CAGR 3Y · Growth | -4.0% | 0 (on a fixed band) | 18% |
| Revenue growth (YoY) · Growth | 11.4% | 38 (vs peers) | 9% |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.1x | 19 (on a fixed band) | 7% |
| EV/Sales · Valuation | 4.2x | 84 (vs peers) | 18% |
| FCF yield · Valuation | 2.2% | 44 (on a fixed band) | 14% |
| Shareholder yield (distributions) · Returns | 2.0% | 67 (on a fixed band) | 5% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial19/100 · 1/2 factors with a value
- Growth13/100 · 2/2 factors with a value
- Quality25/100 · 3/3 factors with a value
- Returns67/100 · 1/1 factors with a value
- Valuation67/100 · 2/2 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
SYNAPTICS Inc (SYNA). Latest full fiscal year: 2026; data up to 2026-06-27.
Figures computed from the financial statements: revenue 1.2 bn USD in 2026; YoY growth 11.4%; net margin -41.0%; ROE -42.2%.
The estimated value range is 75.36–243.49 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 141.67 USD, the price of 117.49 USD leaves a potential of 20.6% (value / price − 1) and a margin of safety of 17.1% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 37/100, methodological classification: unattractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: balance. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- EV/Sales: 4.2x
What contradicts it
- Gross margin: 44.7%
- Revenue CAGR 3Y: -4.0%
- Current ratio: 1.1x
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): Net debt / EBITDA.
Versus the vertical median
Semiconductors & Related Devices (SIC 3674) · same industry (4-digit SIC) · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| TSMTaiwan Semiconductor Manufacturing Company Limited | 10,262.8 bn | 291.0 | 29.3% | 40.0% | +25.0% | +36% / +307% |
| NVDANvidia Corp | 4,823.1 bn | 25.3 | 117.2% | 63.7% | +65.5% | +13% / +328% |
| AVGOBroadcom Inc. | 1,553.7 bn | 41.6 | 44.2% | 42.9% | +23.9% | −19% / +252% |
| MUMicron Technology, Inc. | 899.7 bn | 10.7 | 88.3% | 63.8% | +256.3% | +236% / +945% |
| AMDAdvanced Micro Devices, Inc | 801.6 bn | 106.3 | 11.8% | 16.8% | +34.3% | +125% / +303% |
| INTCIntel Corporation | 309.7 bn | — | -10.9% | -20.1% | −0.5% | +44% / +30% |
| AMATApplied Materials Inc | 293.2 bn | 31.9 | 41.1% | 30.1% | +4.4% | +46% / +147% |
| TXNTexas Instruments Inc | 284.6 bn | 40.4 | 39.7% | 34.3% | +13.0% | +85% / +104% |
| ADIAnalog Devices Inc | 196.8 bn | 48.2 | 12.2% | 29.8% | +16.9% | +53% / +122% |
| MRVLMarvell Technology, Inc | 140.1 bn | 52.8 | 16.5% | 27.9% | +42.1% | +79% / +187% |
| NXPINXP Semiconductors N.V. | 66.8 bn | 20.8 | 29.2% | 23.4% | −2.7% | +36% / +30% |
| MPWRMonolithic Power Systems, Inc. | 61.5 bn | 69.5 | 25.1% | 23.9% | +26.4% | +36% / +130% |
| MCHPMicrochip Technology Incorporated | 40.9 bn | 104.2 | 7.2% | 9.3% | +7.1% | +41% / −10% |
| ALABAstera Labs, Inc. | 39.0 bn | 89.0 | 28.2% | 29.6% | +115.1% | +42% / unavailable |
| ONOn Semiconductor Corp | 27.7 bn | 41.4 | 8.9% | 10.8% | −15.3% | +42% / −0% |
| CRDOCredo Technology Group Holding Ltd | 25.7 bn | 48.7 | 30.7% | 33.8% | +205.7% | −23% / +662% |
| QQnity Electronics, Inc. | 24.8 bn | 42.0 | 7.6% | 11.5% | +9.7% | +46% / unavailable |
| FSLRFirst Solar, Inc. | 20.9 bn | 11.3 | 18.7% | 37.1% | +24.1% | −29% / +23% |
| MTSIMACOM Technology Solutions Holdings, Inc. | 17.8 bn | 74.6 | 17.2% | 20.7% | +32.6% | +33% / +178% |
| TSEMTower Semiconductor Ltd. | 16.7 bn | 76.7 | 7.9% | 14.1% | +9.1% | +38% / +443% |
| SMTCSemtech Corporation | 10.3 bn | — | -5.8% | -3.0% | +15.5% | +50% / +578% |
| RMBSRambus Inc | 8.9 bn | 34.1 | 19.6% | 33.4% | +27.1% | −13% / +23% |
| MXLMaxLinear, Inc. | 5.2 bn | — | -5.9% | -4.4% | +29.7% | +265% / +204% |
| AAOIApplied Optoelectronics, Inc. | 5.0 bn | — | -5.4% | -9.6% | +82.8% | +121% / +347% |
| SYNASYNAPTICS Inc | 4.6 bn | — | -42.2% | -41.0% | +11.4% | +73% / +30% |
1- and 3-year price returns: for SYNA from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Synaptics designs AI-native edge solutions, including processors, wireless connectivity and sensors, for connected devices sold by OEMs worldwide. Revenue reached 1,197.2 million USD in fiscal 2026, and the company is being acquired by onsemi in an all-stock deal, so its outlook now depends on completing that transaction.
SWOT
Strengths
- A broad portfolio of human interface, connectivity and edge AI processing technologies, supported by a large patent position in touch.
- Fabless model that separates research and design from heavy manufacturing costs, reducing capital expenditure needs.
- Long-standing relationships with OEMs in consumer electronics, automotive and industrial markets.
Weaknesses
- GAAP net result was a loss in fiscal 2026, driven by a tax charge from establishing a valuation allowance against U.S. deferred tax assets.
- Reliance on external foundries and packaging partners, mostly in Asia, exposes the company to disruptions.
- The mobile segment is declining, and lower average selling prices have reduced revenue in that market.
Opportunities
- Demand for Physical AI and robotics could open new customers for touch controllers and Astra processors.
- Integration with the onsemi portfolio could widen distribution and scale, if the merger closes.
- The Astra SR-Series microcontrollers, with sampling expected this fall, could extend edge AI applications.
Threats
- The onsemi merger could be delayed or terminated, with possible negative effects on the share price.
- Customers and partners could delay or change terms because of uncertainty about the merger.
- Trade tensions and regional conflicts could raise logistics costs and disrupt supply chains.
Risks
- Completion of the onsemi mergerhigh
The deal depends on stockholder approval and on antitrust and foreign investment clearances. If it is not completed, the company could owe a termination fee, and costs already incurred would not be recovered.
- Value of stock considerationmedium
Stockholders receive a fixed number of onsemi shares, so the value received will depend on onsemi's share price until closing.
- Merger agreement restrictionsmedium
Limits on acquisitions, investments and equity issuance could reduce strategic flexibility until the transaction closes.
- Dependence on external suppliersmedium
Overseas fabrication and packaging expose the company to disruptions, reliance on a few suppliers and trade risks.
- Tax and deferred tax asset reservelow
Establishing a valuation allowance against U.S. deferred tax assets produced a major tax charge in the fourth quarter that weighs on reported net income.
Investment thesis
What would need to be true (bull case)
- Rapid growth in Core IoT and expansion into edge AI suggest the portfolio is moving in a favorable direction.
- The onsemi merger could bring manufacturing scale and a wider distribution network that might accelerate growth of existing products.
- Non-GAAP operating margin in the fourth quarter reached its highest level in thirteen quarters, pointing to better cost discipline.
What would break the thesis
- The mobile segment is declining, and lower average selling prices show part of that market is eroding.
- Merger uncertainty could affect customer and employee relationships, even if the deal closes later than expected.
- The GAAP net loss and large tax reserve raise questions about future profitability if these effects recur.
What to watch
- Stockholder and regulatory approvals for the onsemi merger2027
- Closing of the onsemi transaction and the share exchangemid-2027
- Sampling of Astra SR-Series microcontrollers for edge AI applicationsfall 2026
- Development of Core IoT and mobile revenue in the next annual reportnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Synaptics, incorporated in California in 1986 and reincorporated in Delaware in 2002, designs and delivers semiconductor solutions for edge AI, wireless connectivity and human interface technologies. Its customers are mainly OEMs, contract manufacturers and component suppliers, including most of the largest mobile and PC OEMs by unit shipments 1. The company runs a fabless model: third parties handle wafer fabrication, packaging and test, while Synaptics focuses on R&D, product design and engineering. In January 2025 it acquired certain assets and non-exclusive licenses from Broadcom related to Wi-Fi technology to accelerate its edge AI strategy 1.
Products are grouped into three target markets. Beyond wireless connectivity (Wi-Fi, Bluetooth, Zigbee, Matter, GNSS), the company offers the Synaptics Astra family of edge AI processors, which combine with connectivity and human interface products into complete solutions for intelligent devices 1. The Enterprise and Automotive market includes Natural ID fingerprint sensors, DisplayLink and DisplayPort video interfaces, and automotive touch and display solutions 1. The company is also expanding into robotics and Physical AI, where touch controllers and low-latency video processing could become relevant.
Important context: on June 25, 2026 Synaptics entered into a merger agreement with ON Semiconductor Corporation (onsemi). Each Synaptics share would convert into 1.350 onsemi shares, and closing is expected in mid-2027, subject to stockholder and regulatory approvals 1. Until then the company operates under contractual restrictions on acquisitions, capital expenditures and equity issuance 1.
Segments
Core IoT
The fastest-growing market for the company. Core IoT revenue reached 389.7 million USD in fiscal 2026, up 43.1%, partly reflecting the contribution from the Broadcom transaction 1. In the fourth quarter, Core IoT product sales grew 24% year over year 2.
Enterprise and Automotive
The largest segment by revenue, at 641.1 million USD in fiscal 2026, with moderate growth. The increase came from higher unit sales, a better product mix and higher license revenue from certain IP 1.
Mobile
The only declining segment. Mobile revenue fell to 166.4 million USD, down 13.2%, due to lower average selling prices and reduced IP license revenue 1.
Market context
The company operates in markets tied to connected devices, where demand depends on OEM product cycles and component availability. Fourth-quarter revenue was 308.0 million USD 2. Management noted that constrained availability and higher prices of certain memory components have at times affected order timing, particularly for smaller customers, without a material impact in fiscal 2026 1.
Growth in edge AI and Physical AI could widen the company's addressable market, but the reported figures also show dependence on a few volume segments. Management did not provide a financial outlook because of the pending onsemi transaction 2.
Trends
- Edge AI migrationtailwind
Moving AI from data centers to devices is the company's main strategic driver, supported by Astra processors and integration with wireless connectivity 1. If demand materializes, it could support Core IoT growth.
- Geopolitical tensions and costsheadwind
The Middle East conflict and trade policies could disrupt supply chains and raise transport costs and inflation, affecting revenue and gross margin 1.
- Memory availability and pricingheadwind
Limited availability of memory components could change the ordering timing of smaller customers and reduce near-term visibility 1.
- Consolidation through mergermixed
A combination with onsemi, if completed, could bring manufacturing scale and distribution reach, but integration and customer uncertainty could affect results in the meantime 1.
Competitive position
The annual report does not describe competitors in a separate section, and the supplied sources include no full competitor list. The company nevertheless operates in markets where connectivity chip makers, edge AI processor vendors and touch controller suppliers compete directly, and its market share is not specified in the available documents 1.
The company differentiates itself through intellectual property, OEM partnerships and the integration of processing, connectivity and sensing 1. If a competitor offers lower-cost complete solutions, its positions could come under pressure, especially in mobile.
- Wireless connectivity chip makers
Competitors in Wi-Fi and Bluetooth for IoT devices, relevant to the company's wireless product line, not individually named in the supplied sources.
- Edge AI processor vendors
Competitors in MPU and MCU processors for edge AI systems, where Synaptics Astra is the main product.
- Touch controller and biometrics suppliers
Competitors in touch sensing and fingerprint identification, active in consumer, automotive and industrial electronics.
- onsemi as merger partner
Not a competitor but the merger partner; it would offer manufacturing scale and distribution if the transaction closes.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Synaptics Appears To Use Legal Threats To Block Open-Source DisplayLink DriverPhoronix · 04 Nov 2026 · EN
- Stocks making the biggest moves premarket: Nike, ON Semiconductor, Synaptics, Vylor & moreCNBC — Top News · 02 Oct 2026 · EN
- Synaptics' CEO Sold Stock After a 120,000-Share Vest. Here's What to Know.Yahoo Finance — News · 23 Aug 2026 · EN
- Synaptics' CFO Disposed of Stock as an 88%-12% OnSemi Ownership Split Takes Shape. Here's What to KnowYahoo Finance — News · 23 Aug 2026 · EN
- A Synaptics Insider Filing Lands as a $7.8 Billion Combined Company Takes ShapeYahoo Finance — News · 23 Aug 2026 · EN
- ON Semi tanks 20% following Synaptics deal as CEO defends core businessCNBC World · 26 Jun 2026 · EN
SEC filings
- Current report29 Oct 2026Departure or appointment of officers · Shareholder vote · Financial statements and exhibits
- Current report15 Oct 2026Departure or appointment of officers
- Current report01 Oct 2026Material agreement · Regulation FD disclosure · Financial statements and exhibits
- Proxy statement15 Sept 2026
- Current report21 Aug 2026Departure or appointment of officers · Financial statements and exhibits
- Annual report10 Aug 2026
- Current report06 Aug 2026Results of operations · Financial statements and exhibits
- Current report25 Jun 2026Material agreement · Regulation FD disclosure · Financial statements and exhibits
- Quarterly report07 May 2026
- Current report07 May 2026Results of operations · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2026-06-27 · SEC / Synaptics Incorporated · 10 Aug 2026
- [2] Form 8-K, results release (exhibit 99.1) · SEC / Synaptics Incorporated · 06 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.