Clearline Capital LP Takes Position in Novanta Inc. $NOVT

Key Points

• Clearline Capital LP acquired a new stake in Novanta Inc., purchasing 133,866 shares valued at approximately $17.1 million, making it the 20th largest holding in their portfolio.
• Analysts have recently downgraded Novanta's stock rating from "buy" to "hold", with a revised price target of $133.00 per share.
• Novanta reported a net margin of 6.41% and a quarterly revenue increase of 2.2% compared to the same quarter last year, with earnings per share exceeding estimates.

Clearline Capital LP acquired a new position in shares of Novanta Inc. (NASDAQ:NOVT - Free Report) during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm acquired 133,866 shares of the technology company's stock, valued at approximately $17,117,000. Novanta comprises approximately 1.0% of Clearline Capital LP's investment portfolio, making the stock its 20th biggest holding. Clearline Capital LP owned approximately 0.37% of Novanta as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds also recently made changes to their positions in the company. Parallel Advisors LLC grew its holdings in shares of Novanta by 1,426.7% during the first quarter. Parallel Advisors LLC now owns 229 shares of the technology company's stock worth $29,000 after purchasing an additional 214 shares during the last quarter. SVB Wealth LLC purchased a new position in shares of Novanta during the first quarter worth about $48,000. GAMMA Investing LLC grew its holdings in shares of Novanta by 146.0% during the first quarter. GAMMA Investing LLC now owns 401 shares of the technology company's stock worth $51,000 after buying an additional 238 shares during the last quarter. CWM LLC grew its holdings in shares of Novanta by 329.8% during the first quarter. CWM LLC now owns 404 shares of the technology company's stock worth $52,000 after buying an additional 310 shares during the last quarter. Finally, Signaturefd LLC grew its holdings in shares of Novanta by 80.0% during the first quarter. Signaturefd LLC now owns 414 shares of the technology company's stock worth $53,000 after buying an additional 184 shares during the last quarter. Hedge funds and other institutional investors own 98.35% of the company's stock.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on the company. Robert W. Baird lowered their price target on Novanta from $139.00 to $133.00 and set a "neutral" rating on the stock in a report on Monday, August 11th. Wall Street Zen lowered Novanta from a "buy" rating to a "hold" rating in a report on Monday, August 11th. One research analyst has rated the stock with a Hold rating, According to MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $133.00.

Novanta Stock Performance

NOVT traded down $3.44 during trading on Friday, reaching $114.53. The company's stock had a trading volume of 199,544 shares, compared to its average volume of 335,749. Novanta Inc. has a 52-week low of $98.76 and a 52-week high of $184.11. The company's fifty day moving average price is $120.66 and its 200-day moving average price is $124.12. The company has a market capitalization of $4.12 billion, a price-to-earnings ratio of 67.37 and a beta of 1.50. The company has a debt-to-equity ratio of 0.57, a quick ratio of 1.62 and a current ratio of 2.54.

Novanta (NASDAQ:NOVT - Get Free Report) last announced its quarterly earnings data on Tuesday, August 5th. The technology company reported $0.76 earnings per share for the quarter, beating analysts' consensus estimates of $0.74 by $0.02. Novanta had a return on equity of 14.70% and a net margin of 6.41%.The company had revenue of $241.05 million for the quarter, compared to analyst estimates of $237.97 million. During the same quarter in the previous year, the company earned $0.73 EPS. The firm's revenue for the quarter was up 2.2% compared to the same quarter last year. Novanta has set its FY 2025 guidance at 3.220-3.360 EPS. Q3 2025 guidance at 0.780-0.850 EPS. On average, equities analysts forecast that Novanta Inc. will post 3.03 earnings per share for the current fiscal year.

Novanta Profile

Novanta, Inc engages in the provision of core technology solutions to healthcare and advanced industrial original equipment manufacturers. It operates through the following segments: Photonics, Vision, and Precision Motion. The Photonics segment designs, manufactures, and markets photonics-based solutions, including laser scanning and laser beam delivery, CO2 laser, continuous wave and ultrafast laser, and optical light engine products.