Investing.com -- Mizuho said the release of Moonshot's Kimi K3 model reinforces its agentic AI thesis for electronic design automation software rather than threatening it, recommending investors buy the dip in Synopsys and Cadence Design Systems following last week's selloff. Mizuho's TMT Sector Specialist Jordan Klein noted that both SNPS and CDNS sold off 8-10% last Friday on fears of open-source AI model chip design competition out of China. The firm said K3 "operated as a general-purpose agent using existing open source EDA tools (such as OpenRoad) orchestrating the EDA flow, rather than replacing the underlying EDA tools/software." This development is said to reinforce Mizuho's "agentic AI engineer thesis," where agentic AI for design addresses a structural talent gap across the semiconductor design industry, expanding EDA monetization from tools to engineering labor value, and potentially tripling the core EDA total addressable market. Related articlesBuy the dip in EDA stocks as Kimi K3 boosts agentic AI thesis: MizuhoHSBC sees "some proper warnings signs emerging" in risk assetsChip giant ASML to offer €20,000 bonus to retain staff through 2030