Novanta (NASDAQ:NOVT) Updates FY 2025 Earnings Guidance

Key Points

• Novanta has issued its FY 2025 earnings guidance, projecting EPS between $3.220 and $3.360, slightly below the consensus estimate of $3.370.
• The company's stock experienced a decline of 4.3%, closing at $118.66 despite reporting better-than-expected quarterly earnings results recently.
• Analysts have upgraded Novanta from a "hold" rating to a "buy" rating, indicating a positive outlook for the company's future performance.

Novanta (NASDAQ:NOVT - Get Free Report) updated its FY 2025 earnings guidance on Tuesday. The company provided earnings per share guidance of 3.220-3.360 for the period, compared to the consensus earnings per share estimate of 3.370. The company issued revenue guidance of $970.0 million-$985.0 million, compared to the consensus revenue estimate of $983.2 million. Novanta also updated its Q3 2025 guidance to 0.780-0.850 EPS.

Analysts Set New Price Targets

Separately, Wall Street Zen upgraded Novanta from a "hold" rating to a "buy" rating in a report on Sunday, August 3rd.

Novanta Stock Performance

Shares of Novanta stock traded up $1.94 during trading hours on Friday, reaching $115.67. The company had a trading volume of 448,198 shares, compared to its average volume of 315,927. Novanta has a one year low of $98.76 and a one year high of $186.75. The business has a fifty day simple moving average of $125.45 and a 200 day simple moving average of $129.04. The company has a debt-to-equity ratio of 0.57, a current ratio of 2.54 and a quick ratio of 1.70. The firm has a market cap of $4.16 billion, a PE ratio of 68.04 and a beta of 1.48.

Novanta (NASDAQ:NOVT - Get Free Report) last posted its quarterly earnings results on Tuesday, August 5th. The technology company reported $0.76 EPS for the quarter, topping 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 firm had revenue of $241.05 million during the quarter, compared to analyst estimates of $237.97 million. During the same period last year, the company earned $0.73 earnings per share. The business's revenue for the quarter was up 2.2% on a year-over-year basis. On average, analysts anticipate that Novanta will post 3.03 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Novanta

Hedge funds have recently added to or reduced their stakes in the company. AQR Capital Management LLC increased its holdings in shares of Novanta by 78.9% in the first quarter. AQR Capital Management LLC now owns 4,231 shares of the technology company's stock worth $537,000 after buying an additional 1,866 shares during the period. Goldman Sachs Group Inc. increased its holdings in shares of Novanta by 1.6% in the first quarter. Goldman Sachs Group Inc. now owns 419,037 shares of the technology company's stock worth $53,582,000 after buying an additional 6,533 shares during the period. Finally, Jane Street Group LLC increased its holdings in shares of Novanta by 1,762.5% in the first quarter. Jane Street Group LLC now owns 61,631 shares of the technology company's stock worth $7,881,000 after buying an additional 58,322 shares during the period. Institutional investors own 98.35% of the company's stock.

About Novanta

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.