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Synaptics (SYNA) Is Up 5.5% After Revenue Grows But Losses Widen On Cautious Outlook

Simply Wall St·02/13/2026 12:28:07
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  • In February 2026, Synaptics reported second-quarter 2026 results showing sales rising to US$302.5 million from US$267.2 million a year earlier, while moving from net income of US$1.8 million to a net loss of US$14.8 million and reporting basic and diluted loss per share of US$0.38 from continuing operations.
  • For the first half of fiscal 2026, sales increased to US$595.0 million from US$524.9 million, but the net loss widened to US$35.4 million with loss per share of US$0.91, and management’s third-quarter guidance pointing to revenue of about US$290 million and another quarterly loss adds context for how earnings quality and loss trends may influence investor expectations.
  • We’ll now examine how Synaptics’ widening losses, despite growing revenue and cautious third-quarter guidance, shape the company’s existing investment narrative.

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Synaptics Investment Narrative Recap

To own Synaptics today, you need to believe that its push into Core IoT and Edge AI can turn growing sales into sustainable profitability, despite current losses. The latest results and guidance confirm revenue momentum but also continued GAAP losses, so the key short term catalyst remains clear evidence that new IoT and AI designs are translating into cleaner earnings, while the largest risk is that ongoing R&D and portfolio efforts keep weighing on margins longer than shareholders might like.

The most relevant recent announcement here is Synaptics’ new third quarter 2026 guidance, calling for revenue of about US$290 million and another quarterly loss per share. Coming right after a wider first half loss, this outlook underscores how execution risk around the Core IoT and Edge AI transition intersects with investors’ expectations for when the business can return to consistent profitability and support the earlier optimism around its product pipeline.

Yet behind the revenue growth, the widening net loss and continued loss guidance are signals investors should be aware of as they consider whether...

Read the full narrative on Synaptics (it's free!)

Synaptics’ narrative projects $1.4 billion revenue and $199.2 million earnings by 2028.

Uncover how Synaptics' forecasts yield a $91.82 fair value, in line with its current price.

Exploring Other Perspectives

SYNA 1-Year Stock Price Chart
SYNA 1-Year Stock Price Chart

Before this earnings news, the most pessimistic analysts were already assuming roughly 10 percent annual revenue growth without profitability in three years, which contrasts sharply with consensus hopes tied to Core IoT and Edge AI traction, reminding you that views on Synaptics’ earnings power can differ widely and may shift again as these new loss figures are absorbed.

Explore 4 other fair value estimates on Synaptics - why the stock might be worth as much as 11% more than the current price!

Build Your Own Synaptics Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

  • A great starting point for your Synaptics research is our analysis highlighting 2 key rewards that could impact your investment decision.
  • Our free Synaptics research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Synaptics' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.