Onto Innovation (NYSE:ONTO) Trading 7.5% Higher - Time to Buy?

Key Points

• Onto Innovation shares rose 7.5% to about $313.29, though trading volume was significantly below average.
• Analyst sentiment remains positive: the stock has a consensus “Buy” rating and an average price target of $378.11, with several firms recently raising their targets.
• The company exceeded quarterly expectations, reporting $1.93 in EPS and $343.13 million in revenue, with revenue up 35.3% year over year; however, its valuation is elevated at a P/E ratio above 116.

Onto Innovation Inc. (NYSE:ONTO - Get Free Report) shares traded up 7.5% on Tuesday . The company traded as high as $311.11 and last traded at $313.2860. Approximately 85,643 shares were traded during trading, a decline of 92% from the average session volume of 1,083,103 shares. The stock had previously closed at $291.35.

Analyst Ratings Changes

ONTO has been the subject of several recent research reports. Wall Street Zen raised shares of Onto Innovation from a "hold" rating to a "buy" rating in a research report on Sunday. B. Riley Financial reissued a "buy" rating on shares of Onto Innovation in a report on Friday. Freedom Capital raised shares of Onto Innovation to a "strong-buy" rating in a research report on Wednesday, June 17th. Oppenheimer upped their price target on shares of Onto Innovation from $370.00 to $450.00 and gave the company an "outperform" rating in a report on Monday, June 22nd. Finally, Jefferies Financial Group lifted their price objective on Onto Innovation from $350.00 to $400.00 and gave the stock a "buy" rating in a research note on Friday. Two investment analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Buy" and a consensus target price of $378.11.

Onto Innovation Stock Performance

The stock has a fifty day moving average price of $297.77 and a 200-day moving average price of $256.83. The firm has a market capitalization of $15.17 billion, a price-to-earnings ratio of 116.07, a PEG ratio of 1.26 and a beta of 1.59. 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 issued its earnings results on Thursday, August 6th. The semiconductor company reported $1.93 EPS for the quarter, beating the consensus estimate of $1.69 by $0.24. The company had revenue of $343.13 million for the quarter, compared to the consensus estimate of $325.29 million. Onto Innovation had a net margin of 11.84% and a return on equity of 13.44%. The firm's revenue for the quarter was up 35.3% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.25 EPS. Onto Innovation has set its Q3 2026 guidance at 2.180-2.380 EPS. As a group, analysts anticipate that Onto Innovation Inc. will post 7.13 earnings per share for the current fiscal year.

Institutional Trading of Onto Innovation

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Value Holdings Management CO. LLC acquired a new stake in shares of Onto Innovation in the second quarter valued at approximately $38,660,000. Vise Technologies Inc. bought a new stake in shares of Onto Innovation during the second quarter worth $1,190,000. Lisanti Capital Growth LLC bought a new position in Onto Innovation in the second quarter valued at about $1,926,000. NewEdge Wealth LLC bought a new stake in Onto Innovation during the 2nd quarter worth about $560,000. Finally, Diversify Advisory Services LLC bought a new position in shares of Onto Innovation in the 2nd quarter valued at about $329,000. 98.35% of the stock is currently owned by institutional investors and hedge funds.

About Onto Innovation

Onto Innovation NYSE: ONTO is a global supplier of advanced process control and inspection systems for semiconductor and electronics manufacturers. The company's solutions span metrology, inspection, defect review and lithography mask repair, helping customers optimize yield, reduce costs and improve device performance. By integrating high-resolution optical and e-beam tools with sophisticated software analytics, Onto Innovation enables wafer, mask and advanced packaging producers to maintain tight process control across leading-edge nodes and specialty applications.

Key products include high-throughput wafer metrology systems, optical and e-beam defect inspection platforms, mask inspection and repair tools, and data-driven software for yield management and process optimization.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source