IPG Photonics (NASDAQ:IPGP) Releases Q2 Earnings Guidance

IPG Photonics (NASDAQ:IPGP) updated its second quarter earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of $0.30-0.60 for the period, compared to the consensus estimate of $0.68. The company issued revenue guidance of $240-270 million, compared to the consensus revenue estimate of $273.45 million. IPG Photonics also updated its Q2 2024 guidance to 0.300-0.600 EPS.

Analyst Ratings Changes

A number of research firms have recently weighed in on IPGP. Stifel Nicolaus lowered their price target on shares of IPG Photonics from $130.00 to $115.00 and set a buy rating on the stock in a research note on Wednesday, February 14th. Citigroup cut shares of IPG Photonics from a neutral rating to a sell rating and dropped their target price for the company from $111.00 to $74.00 in a report on Thursday, February 15th. Seaport Res Ptn reissued a buy rating on shares of IPG Photonics in a report on Thursday, January 25th. Finally, StockNews.com downgraded IPG Photonics from a buy rating to a hold rating in a research note on Saturday, February 17th. One investment analyst has rated the stock with a sell rating, one has assigned a hold rating, three have issued a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock has an average rating of Moderate Buy and a consensus target price of $117.20.

IPG Photonics Price Performance

Shares of NASDAQ IPGP traded down $1.97 during midday trading on Tuesday, reaching $86.61. 254,859 shares of the company traded hands, compared to its average volume of 290,148. The company has a market cap of $3.99 billion, a price-to-earnings ratio of 18.06, a PEG ratio of 17.53 and a beta of 1.19. The stock has a 50-day moving average price of $87.77 and a 200 day moving average price of $94.21. IPG Photonics has a 52 week low of $80.33 and a 52 week high of $141.85.

IPG Photonics (NASDAQ:IPGP) last posted its quarterly earnings data on Tuesday, February 13th. The semiconductor company reported $0.89 EPS for the quarter, missing analysts’ consensus estimates of $0.95 by ($0.06). IPG Photonics had a net margin of 17.00% and a return on equity of 9.18%. The company had revenue of $298.89 million for the quarter, compared to analyst estimates of $287.03 million. During the same quarter in the prior year, the business earned ($1.91) EPS. IPG Photonics’s revenue was down 10.4% compared to the same quarter last year. As a group, analysts expect that IPG Photonics will post 3.23 EPS for the current year.

IPG Photonics announced that its board has authorized a stock repurchase program on Tuesday, February 13th that authorizes the company to buyback $300.00 million in shares. This buyback authorization authorizes the semiconductor company to repurchase up to 7.3% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In related news, major shareholder Valentin Gapontsev Trust I sold 10,000 shares of the stock in a transaction dated Friday, February 23rd. The stock was sold at an average price of $85.68, for a total value of $856,800.00. Following the completion of the sale, the insider now directly owns 7,219,599 shares of the company’s stock, valued at approximately $618,575,242.32. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. In the last quarter, insiders have sold 29,000 shares of company stock valued at $2,525,140. 33.50% of the stock is owned by corporate insiders.

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.