William Blair Has Pessimistic Outlook of Novanta Q3 Earnings

Key Points

• William Blair has reduced its Q3 2025 earnings per share estimate for Novanta to $0.81, down from $0.96, while maintaining a full-year earnings estimate of $3.03 per share.
• Despite the earnings pessimism, Wall Street Zen upgraded Novanta from a "hold" to a "buy" rating, indicating some analyst optimism.
• Novanta's stock has recently experienced a 1.7% decline, with a market cap of approximately $4.09 billion and a 52-week trading range between $98.76 and $186.75.

Novanta Inc. (NASDAQ:NOVT - Free Report) - Investment analysts at William Blair dropped their Q3 2025 earnings per share (EPS) estimates for Novanta in a research note issued to investors on Tuesday, August 5th. William Blair analyst B. Drab now forecasts that the technology company will post earnings per share of $0.81 for the quarter, down from their prior estimate of $0.96. The consensus estimate for Novanta's current full-year earnings is $3.03 per share. William Blair also issued estimates for Novanta's Q4 2025 earnings at $0.97 EPS and FY2025 earnings at $3.29 EPS.

Novanta (NASDAQ:NOVT - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The technology company reported $0.76 earnings per share for the quarter, topping the consensus estimate of $0.74 by $0.02. The business had revenue of $241.05 million for the quarter, compared to analysts' expectations of $237.97 million. Novanta had a return on equity of 14.70% and a net margin of 6.41%. The business's revenue was up 2.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.73 earnings per share.

Other analysts have also recently issued research reports about the company. Robert W. Baird dropped their target price on Novanta from $139.00 to $133.00 and set a "neutral" rating on the stock in a research report on Monday. Wall Street Zen lowered shares of Novanta from a "buy" rating to a "hold" rating in a research note on Monday.

Novanta Trading Down 1.8%

NASDAQ NOVT traded down $2.06 on Thursday, hitting $113.62. The company's stock had a trading volume of 154,746 shares, compared to its average volume of 282,178. Novanta has a 52-week low of $98.76 and a 52-week high of $186.75. The firm has a market cap of $4.09 billion, a P/E ratio of 66.98 and a beta of 1.48. The company's 50-day simple moving average is $125.45 and its 200 day simple moving average is $128.90. The company has a current ratio of 2.54, a quick ratio of 1.62 and a debt-to-equity ratio of 0.57.

Institutional Trading of Novanta

Several large investors have recently modified their holdings of NOVT. Parallel Advisors LLC boosted its stake in shares of Novanta by 1,426.7% in the 1st quarter. Parallel Advisors LLC now owns 229 shares of the technology company's stock valued at $29,000 after purchasing an additional 214 shares during the last quarter. SVB Wealth LLC bought a new position in shares of Novanta during the 1st quarter worth approximately $48,000. Johnson Financial Group Inc. grew its stake in shares of Novanta by 482.1% in the fourth quarter. Johnson Financial Group Inc. now owns 326 shares of the technology company's stock valued at $49,000 after buying an additional 270 shares in the last quarter. GAMMA Investing LLC raised its stake in Novanta by 146.0% in the first quarter. GAMMA Investing LLC now owns 401 shares of the technology company's stock valued at $51,000 after purchasing an additional 238 shares in the last quarter. Finally, CWM LLC lifted its stake in Novanta by 329.8% in the first quarter. CWM LLC now owns 404 shares of the technology company's stock valued at $52,000 after buying an additional 310 shares during the period. 98.35% of the stock is owned by institutional investors.

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.