IPG Photonics (NASDAQ:IPGP) Shares Gap Up After Strong Earnings

Shares of IPG Photonics Co. (NASDAQ:IPGP) gapped up prior to trading on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $79.27, but opened at $81.65. IPG Photonics shares last traded at $85.83, with a volume of 75,028 shares.

The semiconductor company reported $0.29 EPS for the quarter, beating the consensus estimate of $0.19 by $0.10. IPG Photonics had a return on equity of 5.99% and a net margin of 12.67%. The company had revenue of $233.14 million for the quarter, compared to analysts’ expectations of $227.89 million. During the same period last year, the firm posted $1.16 earnings per share. IPG Photonics’s revenue was down 22.6% compared to the same quarter last year.

Analysts Set New Price Targets

IPGP has been the subject of several research reports. Raymond James decreased their price objective on shares of IPG Photonics from $127.00 to $100.00 and set a “strong-buy” rating for the company in a report on Wednesday, July 31st. Stifel Nicolaus decreased their target price on shares of IPG Photonics from $115.00 to $100.00 and set a “buy” rating for the company in a research note on Wednesday, July 31st. Needham & Company LLC restated a “hold” rating on shares of IPG Photonics in a research note on Wednesday. Finally, Benchmark reiterated a “hold” rating on shares of IPG Photonics in a research report on Wednesday. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating, two have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat, IPG Photonics has a consensus rating of “Hold” and an average target price of $93.50.

Institutional Investors Weigh In On IPG Photonics

Hedge funds have recently modified their holdings of the business. Swedbank AB bought a new position in IPG Photonics in the 1st quarter worth $2,687,000. M&G Plc bought a new position in shares of IPG Photonics in the first quarter worth about $15,929,000. Quadrature Capital Ltd purchased a new position in shares of IPG Photonics during the 1st quarter valued at about $1,201,000. BNP Paribas Financial Markets grew its stake in shares of IPG Photonics by 125.5% during the 1st quarter. BNP Paribas Financial Markets now owns 40,751 shares of the semiconductor company’s stock valued at $3,696,000 after acquiring an additional 22,680 shares during the period. Finally, Disciplined Growth Investors Inc. MN raised its stake in IPG Photonics by 2.2% during the 2nd quarter. Disciplined Growth Investors Inc. MN now owns 490,959 shares of the semiconductor company’s stock worth $41,432,000 after acquiring an additional 10,775 shares during the period. Institutional investors own 93.79% of the company’s stock.

IPG Photonics Stock Down 2.0 %

The firm has a market cap of $3.80 billion, a PE ratio of 21.47 and a beta of 1.00. The firm’s fifty day simple moving average is $71.44 and its two-hundred day simple moving average is $79.23.

IPG Photonics Company Profile

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.