Zacks Research Forecasts Reduced Earnings for IPG Photonics

Key Points

• Zacks Research has reduced its Q3 2025 earnings per share estimate for IPG Photonics from $0.22 to $0.14, indicating a downward trend in anticipated earnings for the company.
• IPG Photonics reported Q2 earnings of $0.30 per share, exceeding analysts' expectations, but experienced a 2.7% decline in quarterly revenue compared to the previous year.
• Notably, several brokerages have changed their ratings on IPG Photonics, with some moving from "sell" to "hold," as the average rating currently reflects a "Moderate Buy" with a price target around $75.00.

IPG Photonics Corporation (NASDAQ:IPGP - Free Report) - Research analysts at Zacks Research dropped their Q3 2025 earnings per share (EPS) estimates for shares of IPG Photonics in a report issued on Tuesday, August 26th. Zacks Research analyst Team now expects that the semiconductor company will earn $0.14 per share for the quarter, down from their previous forecast of $0.22. The consensus estimate for IPG Photonics' current full-year earnings is $1.54 per share. Zacks Research also issued estimates for IPG Photonics' Q4 2025 earnings at $0.27 EPS, FY2025 earnings at $1.02 EPS, Q2 2026 earnings at $0.22 EPS, Q4 2026 earnings at $0.38 EPS and Q2 2027 earnings at $0.47 EPS.

Several other research firms have also commented on IPGP. Raymond James Financial reduced their price objective on IPG Photonics from $80.00 to $70.00 and set a "strong-buy" rating for the company in a research note on Wednesday, May 7th. Wall Street Zen upgraded IPG Photonics from a "sell" rating to a "hold" rating in a research note on Saturday, August 9th. Finally, Sanford C. Bernstein upgraded IPG Photonics from a "market perform" rating to an "outperform" rating and set a $97.00 price objective for the company in a research note on Thursday, August 7th. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $75.00.

IPG Photonics Price Performance

Shares of NASDAQ:IPGP traded down $0.15 during midday trading on Friday, hitting $80.02. The company had a trading volume of 27,983 shares, compared to its average volume of 295,196. The company has a market cap of $3.38 billion, a price-to-earnings ratio of -16.33, a PEG ratio of 23.15 and a beta of 0.95. IPG Photonics has a 12-month low of $48.59 and a 12-month high of $88.50. The company has a fifty day moving average of $76.10 and a two-hundred day moving average of $66.93.

IPG Photonics (NASDAQ:IPGP - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The semiconductor company reported $0.30 EPS for the quarter, topping the consensus estimate of $0.10 by $0.20. The firm had revenue of $250.72 million during the quarter, compared to analyst estimates of $228.20 million. IPG Photonics had a positive return on equity of 2.25% and a negative net margin of 22.77%.IPG Photonics's revenue was down 2.7% on a year-over-year basis. During the same period in the prior year, the business posted $0.45 EPS. IPG Photonics has set its Q3 2025 guidance at 0.050-0.350 EPS.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Lazard Asset Management LLC boosted its holdings in shares of IPG Photonics by 81.3% during the 2nd quarter. Lazard Asset Management LLC now owns 1,899,461 shares of the semiconductor company's stock valued at $130,397,000 after purchasing an additional 851,869 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. boosted its holdings in shares of IPG Photonics by 85.8% during the 2nd quarter. Sumitomo Mitsui Trust Group Inc. now owns 1,774,660 shares of the semiconductor company's stock valued at $121,830,000 after purchasing an additional 819,575 shares during the last quarter. Alliancebernstein L.P. boosted its holdings in shares of IPG Photonics by 1,918.3% during the 1st quarter. Alliancebernstein L.P. now owns 1,429,241 shares of the semiconductor company's stock valued at $90,242,000 after purchasing an additional 1,358,428 shares during the last quarter. AQR Capital Management LLC boosted its holdings in shares of IPG Photonics by 53.7% during the 2nd quarter. AQR Capital Management LLC now owns 978,577 shares of the semiconductor company's stock valued at $67,101,000 after purchasing an additional 341,773 shares during the last quarter. Finally, M&G PLC boosted its holdings in shares of IPG Photonics by 263.9% during the 2nd quarter. M&G PLC now owns 600,020 shares of the semiconductor company's stock valued at $41,401,000 after purchasing an additional 435,122 shares during the last quarter. Institutional investors own 93.79% of the company's stock.

Insider Buying and Selling at IPG Photonics

In related news, Director Jeanmarie F. Desmond sold 1,360 shares of the company's stock in a transaction on Friday, August 8th. The shares were sold at an average price of $76.24, for a total value of $103,686.40. Following the completion of the transaction, the director owned 9,740 shares of the company's stock, valued at approximately $742,577.60. This represents a 12.25% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, SVP Trevor Ness sold 1,678 shares of the company's stock in a transaction on Wednesday, August 27th. The stock was sold at an average price of $82.94, for a total transaction of $139,173.32. Following the completion of the transaction, the senior vice president directly owned 42,243 shares of the company's stock, valued at $3,503,634.42. This represents a 3.82% decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 39.50% of the company's stock.

About IPG Photonics

IPG Photonics Corporation develops, manufactures, and sells various high-performance fiber lasers, fiber amplifiers, and diode lasers used in various applications primarily in materials processing worldwide. Its laser products include hybrid fiber-solid state lasers with green and ultraviolet wavelengths; fiber pigtailed packaged diodes and fiber coupled direct diode laser systems; high-energy pulsed lasers, multi-wavelength and tunable lasers, and single-polarization and single-frequency lasers; and high-power optical fiber delivery cables, fiber couplers, beam switches, chillers, scanners, and other accessories.