Onto Innovation Inc. (NYSE:ONTO) Given Average Rating of "Buy" by Brokerages

Key Points

• Analysts maintain a bullish outlook: Onto Innovation has a consensus “Buy” rating from 13 analysts, with 10 buys, two strong buys and one hold. The average 12-month price target is $378.
• Quarterly results exceeded expectations: The company reported adjusted earnings of $1.93 per share versus the $1.69 estimate, while revenue rose 35.3% year over year to $343.13 million. Management issued third-quarter 2026 EPS guidance of $2.18 to $2.38.
• Shares show elevated valuation and institutional support: ONTO recently opened at $264.74 and trades at roughly 99.5 times earnings, while institutional investors own 98.35% of the stock. A company director also sold 1,000 shares under a pre-arranged trading plan.

Onto Innovation Inc. (NYSE:ONTO - Get Free Report) has been assigned a consensus recommendation of "Buy" from the thirteen analysts that are currently covering the firm, MarketBeat reports. One equities research analyst has rated the stock with a hold recommendation, ten have assigned a buy recommendation and two have given a strong buy recommendation to the company. The average 12-month price target among brokerages that have updated their coverage on the stock in the last year is $378.00.

A number of research firms have commented on ONTO. Jefferies Financial Group raised their price target on Onto Innovation from $350.00 to $400.00 and gave the company a "buy" rating in a report on Friday, August 7th. Oppenheimer upped their price objective on Onto Innovation from $370.00 to $450.00 and gave the stock an "outperform" rating in a research note on Monday, June 22nd. Needham & Company LLC increased their target price on Onto Innovation from $330.00 to $360.00 and gave the stock a "buy" rating in a research report on Friday, August 7th. Freedom Capital raised Onto Innovation to a "strong-buy" rating in a research note on Wednesday, June 17th. Finally, Weiss Ratings raised Onto Innovation from a "hold (c-)" rating to a "hold (c)" rating in a report on Friday, August 21st.

Onto Innovation Price Performance

NYSE ONTO opened at $264.74 on Monday. Onto Innovation has a 12 month low of $118.97 and a 12 month high of $386.46. The stock has a market cap of $12.99 billion, a price-to-earnings ratio of 99.53, a PEG ratio of 0.86 and a beta of 1.59. The company's 50 day moving average is $282.08 and its two-hundred day moving average is $271.45. The company has a current ratio of 9.73, a quick ratio of 8.33 and a debt-to-equity ratio of 0.77.

Onto Innovation (NYSE:ONTO - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The semiconductor company reported $1.93 earnings per share for the quarter, topping analysts' consensus estimates of $1.69 by $0.24. Onto Innovation had a net margin of 11.84% and a return on equity of 13.44%. The business had revenue of $343.13 million during the quarter, compared to analyst estimates of $325.29 million. During the same period in the prior year, the business posted $1.25 earnings per share. The company's revenue was up 35.3% on a year-over-year basis. Onto Innovation has set its Q3 2026 guidance at 2.180-2.380 EPS. As a group, research analysts anticipate that Onto Innovation will post 8.04 earnings per share for the current year.

Insider Activity

In other news, Director Susan Lynch sold 1,000 shares of the business's stock in a transaction on Friday, August 21st. The shares were sold at an average price of $302.30, for a total value of $302,300.00. Following the transaction, the director owned 2,684 shares of the company's stock, valued at approximately $811,373.20. The trade was a 27.14% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.51% of the stock is currently owned by insiders.

Institutional Trading of Onto Innovation

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Highland Investment Advisors LLC bought a new position in shares of Onto Innovation during the 2nd quarter valued at about $25,000. Fiduciary Financial Advisors bought a new stake in shares of Onto Innovation in the second quarter worth about $25,000. CoreCap Advisors LLC purchased a new stake in shares of Onto Innovation in the second quarter worth about $38,000. Rakuten Securities Inc. purchased a new stake in shares of Onto Innovation in the second quarter worth about $40,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Onto Innovation during the second quarter valued at approximately $42,000. 98.35% of the stock is currently owned by institutional investors.

About Onto Innovation

Onto Innovation Inc NYSE: ONTO develops process control, inspection, metrology and lithography systems used in the semiconductor and advanced packaging industries. Its technologies help chip manufacturers monitor and improve processes throughout wafer fabrication, packaging and other stages of production.

The company's products include optical metrology systems, wafer and macro-defect inspection tools, three-dimensional metrology solutions, lithography systems and process-control software.

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