Robert W. Baird Upgrades Novanta (NASDAQ:NOVT) to "Outperform"

Key Points

• Robert W. Baird upgraded Novanta from "neutral" to "Outperform" and set a $144 price objective, implying about a 27.26% upside from the current share price.
• Novanta reported $0.91 EPS (vs. $0.88 consensus) and slightly missed revenue, and provided FY2026 guidance of 3.500–3.650 EPS and Q1 2026 guidance of 0.750–0.800 EPS while analysts average 3.03 EPS for the year.
• Insiders sold 34,303 shares (~$4.55M) in the past three months including CEO and CFO transactions, even as institutional ownership is very high (~98.35%) with major new stakes added by firms like Allspring and GW&K.

Novanta (NASDAQ:NOVT - Get Free Report) was upgraded by equities research analysts at Robert W. Baird from a "neutral" rating to an "outperform" rating in a note issued to investors on Monday, MarketBeat.com reports. The firm currently has a $144.00 price objective on the technology company's stock. Robert W. Baird's price objective points to a potential upside of 27.26% from the stock's current price.

Other equities research analysts have also recently issued research reports about the stock. Zacks Research raised shares of Novanta from a "strong sell" rating to a "hold" rating in a report on Friday, January 16th. Weiss Ratings raised Novanta from a "sell (d+)" rating to a "hold (c-)" rating in a report on Tuesday, January 20th. One equities research analyst has rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $144.00.

Novanta Stock Performance

NASDAQ NOVT opened at $113.15 on Monday. The company has a market capitalization of $4.04 billion, a PE ratio of 77.50 and a beta of 1.61. The company has a debt-to-equity ratio of 0.16, a quick ratio of 2.80 and a current ratio of 3.69. Novanta has a 52-week low of $98.27 and a 52-week high of $149.95. The company has a 50-day simple moving average of $133.23 and a 200 day simple moving average of $121.36.

Novanta (NASDAQ:NOVT - Get Free Report) last released its earnings results on Monday, February 23rd. The technology company reported $0.91 earnings per share for the quarter, beating analysts' consensus estimates of $0.88 by $0.03. Novanta had a net margin of 5.49% and a return on equity of 13.12%. The firm had revenue of $258.35 million for the quarter, compared to analysts' expectations of $260.72 million. During the same period in the previous year, the company earned $0.76 earnings per share. Novanta has set its FY 2026 guidance at 3.500-3.650 EPS and its Q1 2026 guidance at 0.750-0.800 EPS. On average, research analysts predict that Novanta will post 3.03 EPS for the current year.

Insider Activity at Novanta

In related news, CEO Matthijs Glastra sold 7,500 shares of Novanta stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $145.04, for a total value of $1,087,800.00. Following the completion of the transaction, the chief executive officer directly owned 57,367 shares in the company, valued at approximately $8,320,509.68. The trade was a 11.56% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Robert Buckley sold 9,957 shares of the stock in a transaction on Monday, March 16th. The stock was sold at an average price of $116.77, for a total value of $1,162,678.89. Following the sale, the chief financial officer owned 96,616 shares in the company, valued at approximately $11,281,850.32. This represents a 9.34% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 34,303 shares of company stock worth $4,545,416. Insiders own 1.20% of the company's stock.

Institutional Trading of Novanta

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Allspring Global Investments Holdings LLC lifted its holdings in Novanta by 75.9% during the 4th quarter. Allspring Global Investments Holdings LLC now owns 1,399,462 shares of the technology company's stock worth $155,536,000 after purchasing an additional 604,055 shares in the last quarter. Congress Asset Management Co. purchased a new position in Novanta during the 3rd quarter valued at about $59,153,000. GW&K Investment Management LLC increased its position in shares of Novanta by 187.3% during the fourth quarter. GW&K Investment Management LLC now owns 736,954 shares of the technology company's stock valued at $87,691,000 after buying an additional 480,413 shares during the period. Sculptor Capital LP purchased a new stake in shares of Novanta in the fourth quarter worth about $51,265,000. Finally, Norges Bank purchased a new stake in shares of Novanta in the fourth quarter worth about $50,719,000. 98.35% of the stock is currently owned by institutional investors.

Novanta Company Profile

Novanta, Inc NASDAQ: NOVT is a global technology company that designs and manufactures precision components, subsystems and software used in advanced photonics and motion control applications. The company serves customers in the medical device and advanced industrial markets, supplying critical technologies for diagnostics and therapeutic systems, semiconductor and electronics manufacturing, and scientific instrumentation. Novanta's product portfolio includes laser control modules, optics, beam delivery systems, high-precision motors, actuators, stages, and fluidics solutions designed to meet stringent accuracy and reliability requirements.

Novanta's Photonics segment delivers laser and energy delivery components that enable minimally invasive surgical procedures and diagnostic imaging.

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