Novanta (NASDAQ:NOVT) Issues FY 2025 Earnings Guidance

Novanta (NASDAQ:NOVT) updated its FY 2025 earnings guidance on Monday. The company provided earnings per share guidance of 3.240-3.300 for the period, compared to the consensus earnings per share estimate of 3.270. The company issued revenue guidance of $975.0 million-$979.0 million, compared to the consensus revenue estimate of $975.8 million. Novanta also updated its Q4 2025 guidance to 0.870-0.930 EPS.

Analyst Upgrades and Downgrades

Several brokerages have commented on NOVT. Weiss Ratings cut shares of Novanta from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Saturday, October 25th. Robert W. Baird cut their target price on shares of Novanta from $139.00 to $133.00 and set a “neutral” rating for the company in a research note on Monday, August 11th. Zacks Research raised shares of Novanta from a “strong sell” rating to a “hold” rating in a research note on Monday, October 6th. Finally, Wall Street Zen lowered shares of Novanta from a “buy” rating to a “hold” rating in a research note on Monday, August 11th. Two research analysts have rated the stock with a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Novanta currently has an average rating of “Reduce” and a consensus price target of $133.00.

Novanta Stock Up 7.0%

NASDAQ:NOVT traded up $8.85 on Monday, hitting $135.86. 909,123 shares of the company’s stock traded hands, compared to its average volume of 319,087. The company has a current ratio of 2.54, a quick ratio of 1.62 and a debt-to-equity ratio of 0.57. Novanta has a 1 year low of $98.76 and a 1 year high of $184.11. The firm has a 50-day moving average price of $112.37 and a 200-day moving average price of $119.56. The company has a market cap of $4.89 billion, a PE ratio of 79.92 and a beta of 1.49.

Novanta (NASDAQ:NOVT) last released its quarterly earnings data on Monday, November 3rd. The technology company reported $0.87 earnings per share for the quarter, beating the consensus estimate of $0.81 by $0.06. Novanta had a net margin of 6.41% and a return on equity of 14.70%. Novanta has set its FY 2025 guidance at 3.240-3.300 EPS. Q4 2025 guidance at 0.870-0.930 EPS. Equities analysts anticipate that Novanta will post 3.03 EPS for the current fiscal year.

Novanta declared that its board has authorized a stock buyback plan on Thursday, September 18th that authorizes the company to repurchase $200.00 million in outstanding shares. This repurchase authorization authorizes the technology company to buy up to 4.9% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board believes its shares are undervalued.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the stock. Osaic Holdings Inc. boosted its holdings in shares of Novanta by 471.7% during the 2nd quarter. Osaic Holdings Inc. now owns 2,893 shares of the technology company’s stock worth $371,000 after buying an additional 2,387 shares during the period. Captrust Financial Advisors boosted its holdings in shares of Novanta by 30.7% during the 2nd quarter. Captrust Financial Advisors now owns 3,191 shares of the technology company’s stock worth $411,000 after buying an additional 750 shares during the period. Lazard Asset Management LLC bought a new stake in shares of Novanta during the 2nd quarter worth $443,000. First Trust Advisors LP bought a new stake in shares of Novanta during the 2nd quarter worth $528,000. Finally, AQR Capital Management LLC boosted its holdings in shares of Novanta by 78.9% during the 1st quarter. AQR Capital Management LLC now owns 4,231 shares of the technology company’s stock worth $537,000 after buying an additional 1,866 shares during the period. Institutional investors and hedge funds own 98.35% of the company’s stock.

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.