Novanta (NASDAQ:NOVT) Issues Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Key Points

• Novanta reported quarterly earnings of $0.76 EPS, beating expectations by $0.02 and showing a 2.2% increase in revenue year-over-year.
• The company updated its FY 2025 guidance, projecting earnings per share between $3.220 and $3.360.
• Analysts have upgraded Novanta from a "hold" to a "buy" rating, indicating positive sentiment on Wall Street.

Novanta (NASDAQ:NOVT - Get Free Report) announced its quarterly earnings data on Tuesday. The technology company reported $0.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.74 by $0.02, Zacks reports. Novanta had a return on equity of 15.06% and a net margin of 7.42%. The firm had revenue of $241.05 million for the quarter, compared to analysts' expectations of $237.97 million. During the same period last year, the business posted $0.73 earnings per share. The firm's revenue for the quarter was up 2.2% on a year-over-year basis. Novanta updated its FY 2025 guidance to 3.220-3.360 EPS and its Q3 2025 guidance to 0.780-0.850 EPS.

Novanta Stock Performance

Shares of NOVT stock traded down $7.30 during trading on Tuesday, reaching $116.71. The company had a trading volume of 702,066 shares, compared to its average volume of 276,817. The company has a debt-to-equity ratio of 0.50, a current ratio of 2.56 and a quick ratio of 1.70. The firm's 50 day simple moving average is $126.07 and its two-hundred day simple moving average is $130.08. The company has a market capitalization of $4.20 billion, a PE ratio of 59.27 and a beta of 1.48. Novanta has a one year low of $98.76 and a one year high of $186.75.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen raised Novanta from a "hold" rating to a "buy" rating in a report on Sunday.

Institutional Inflows and Outflows

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

Novanta Company 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.

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