Nova (NASDAQ:NVMI) Sets New 52-Week High - Still a Buy?

Key Points

• Nova stock reached a new 52-week high, trading as high as $509.12 (last $507.03) and was up about 2.2% on the move with ~194,305 shares changing hands.
• Analyst consensus is "Buy" (1 Strong Buy, 8 Buy, 1 Hold) with a MarketBeat consensus target of $442.25, though recent analyst targets range from $453 to $520, reflecting mixed views versus the current price.
• Fundamentals show solid results but rich valuation: Nova beat EPS and revenue estimates for the quarter, reports strong margins (net margin 29.4%, ROE 22.9%) and liquidity, yet trades at a high P/E of 63.3 on a $16.1B market cap.

Nova Ltd. (NASDAQ:NVMI - Get Free Report)'s stock price reached a new 52-week high on Monday . The stock traded as high as $509.12 and last traded at $507.03, with a volume of 194305 shares trading hands. The stock had previously closed at $496.06.

Analyst Ratings Changes

NVMI has been the topic of several research analyst reports. Barclays initiated coverage on Nova in a research note on Wednesday, March 11th. They issued an "overweight" rating and a $465.00 price objective on the stock. Jefferies Financial Group reaffirmed a "buy" rating and issued a $520.00 price objective on shares of Nova in a research note on Thursday, February 12th. Morgan Stanley reaffirmed an "outperform" rating and issued a $453.00 price objective on shares of Nova in a research note on Friday, February 13th. Zacks Research raised Nova from a "hold" rating to a "strong-buy" rating in a research note on Friday, February 20th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of Nova in a research note on Monday, December 22nd. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, Nova presently has a consensus rating of "Buy" and a consensus target price of $442.25.

Nova Stock Up 2.2%

The company has a debt-to-equity ratio of 0.56, a current ratio of 6.28 and a quick ratio of 5.47. The stock has a market capitalization of $16.11 billion, a P/E ratio of 63.30, a P/E/G ratio of 3.63 and a beta of 1.80. The firm has a 50-day simple moving average of $448.07 and a 200 day simple moving average of $381.94.

Nova (NASDAQ:NVMI - Get Free Report) last posted its earnings results on Friday, February 13th. The semiconductor company reported $2.14 EPS for the quarter, beating the consensus estimate of $2.13 by $0.01. Nova had a return on equity of 22.90% and a net margin of 29.44%.The firm had revenue of $222.62 million during the quarter, compared to the consensus estimate of $220.43 million. During the same period last year, the company earned $1.94 earnings per share. The business's quarterly revenue was up 14.3% on a year-over-year basis. On average, equities research analysts forecast that Nova Ltd. will post 7.52 EPS for the current year.

Hedge Funds Weigh In On Nova

Hedge funds have recently made changes to their positions in the stock. Mirae Asset Global Investments Co. Ltd. bought a new position in shares of Nova during the third quarter worth about $10,153,000. Congress Asset Management Co. raised its position in shares of Nova by 2.7% during the third quarter. Congress Asset Management Co. now owns 286,076 shares of the semiconductor company's stock worth $91,447,000 after acquiring an additional 7,438 shares during the last quarter. Teacher Retirement System of Texas bought a new position in shares of Nova during the third quarter worth about $1,375,000. Harel Insurance Investments & Financial Services Ltd. raised its position in shares of Nova by 6.4% during the third quarter. Harel Insurance Investments & Financial Services Ltd. now owns 1,428,607 shares of the semiconductor company's stock worth $456,669,000 after acquiring an additional 86,438 shares during the last quarter. Finally, Munro Partners raised its position in shares of Nova by 65.2% during the third quarter. Munro Partners now owns 23,930 shares of the semiconductor company's stock worth $7,649,000 after acquiring an additional 9,445 shares during the last quarter. 82.99% of the stock is currently owned by institutional investors.

Nova Company Profile

Nova Measuring Instruments Ltd NASDAQ: NVMI develops and supplies advanced metrology and process control systems for the semiconductor manufacturing industry. The company's core product line includes spectroscopic ellipsometry and scatterometry tools designed to measure film thickness, critical dimensions, overlay alignment and other key parameters that drive yield and performance in integrated circuit fabrication.

Founded in 1993 and headquartered in Rehovot, Israel, Nova Measuring Instruments has established itself as a critical partner to leading semiconductor foundries and device manufacturers.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.