Ansys fell about 5 percent today, its sharpest one-day drop in months, and now sits roughly 8 percent below its recent high. We think this is mostly about new caution from officials regarding the high level of spending on artificial intelligence across the tech industry.
Our view
The stock is currently tied to its pending merger, so its price mostly reflects whether people think that deal will close. If you already own it, there is nothing to do but sit tight and wait for the acquisition to move forward.
Federal Reserve officials are monitoring the pace of AI spending
Federal Reserve officials are beginning to look at whether the massive amount of money being spent on artificial intelligence is creating risks. Ansys makes the software that engineers use to design and test the very chips and data centers that power this AI boom.
If the central bank decides that this spending is getting out of hand, it could lead to tighter rules or a slowdown in the easy money that has funded the AI buildout. For Ansys, a cooling of the AI sector would be a concern because its growth is currently tied to companies racing to design new, complex hardware as fast as possible.
Analysts have recently turned more cautious, highlighted by a downgrade from Baird in mid-July. Most experts are now neutral, with 10 buys against 18 holds or sells, and the average target of $363 sits slightly below today's price.
Average target$363.20-3%vs $374.30 today
Avg price
Low $315High $425
Hold28 analysts
3Bearish
15Neutral
10Bullish
FirmRatingPrice TargetDate
Robert W. Baird
Neutral
$396
7/14/2025
Credit Suisse
Outperform
$320
6/21/2022
RBC Capital
Sector Perform
$315
5/8/2022
Rosenblatt Securities
Neutral
$360
4/14/2022
Robert W. Baird
Neutral
$378
2/24/2022
Citigroup
Neutral
$380→$425
11/5/2021
Ansys earnings
The company has a solid track record of beating expectations, typically clearing the bar set by analysts by a healthy margin.
Earnings history
EstimateBeatMiss
Ansys past earnings results
Expected
Actual
Surprise
EPS
$1.72
$1.64
-4.7%
Revenue
$525M
$505M
-3.9%
Stay on top of Ansys
Follow Ansys to get the latest and most important updates.