Nova (NASDAQ:NVMI) Announces Quarterly Earnings Results

Nova (NASDAQ:NVMI) announced its quarterly earnings data on Thursday. The semiconductor company reported $2.51 EPS for the quarter, beating the consensus estimate of $2.41 by $0.10, FiscalAI reports. Nova had a net margin of 28.84% and a return on equity of 22.13%. The business had revenue of $254.96 million during the quarter, compared to analysts’ expectations of $250.33 million. During the same period in the previous year, the business posted $2.20 EPS. The business’s quarterly revenue was up 15.9% compared to the same quarter last year. Nova updated its Q3 2026 guidance to 2.700-2.850 EPS.

Here are the key takeaways from Nova’s conference call:

• Record results: Second-quarter revenue reached $255 million, up 8% sequentially and 16% year over year, while non-GAAP EPS of $2.51 exceeded the high end of guidance. Non-GAAP operating margin was 33%, at the upper end of the company’s target range.
• Management expects continued momentum, guiding third-quarter revenue to $277 million–$287 million and non-GAAP EPS to $2.70–$2.85. Executives cited strong customer visibility, capacity investments, market-share gains, and a path to reaching long-term organic growth objectives sooner than planned.
• Advanced logic revenue more than doubled sequentially, while advanced packaging generated record sales equal to nearly 25% of product revenue. Demand was supported by gate-all-around logic, high-bandwidth memory, hybrid bonding, chiplets, and panel-level packaging.
• Nova reported strong adoption of its portfolio, including the VeraFlex XPS, WMC, ancosys, Metrion, and ELIPSON platforms, with multiple products achieving record sales or expanding into high-volume manufacturing. The company also highlighted a tool-of-record win with a leading foundry for advanced-packaging measurements.
• Memory demand is growing but remains uneven, with DRAM stronger and 3D NAND relatively muted as investment is focused mainly on upgrades rather than capacity expansion. Supply-chain capacity is stretched, with product lead times ranging from roughly four to 12 months, although management said it is working to maintain customer lead times and expects full-year gross margin near 59%.

Nova Price Performance

NVMI stock traded up $11.70 during midday trading on Friday, hitting $393.02. 461,150 shares of the stock traded hands, compared to its average volume of 589,066. The firm has a market cap of $12.49 billion, a P/E ratio of 48.64, a PEG ratio of 2.84 and a beta of 1.78. The stock’s fifty day simple moving average is $480.56 and its 200-day simple moving average is $475.70. Nova has a 1-year low of $232.73 and a 1-year high of $615.99.

Analysts Set New Price Targets

Several equities research analysts have commented on the stock. Evercore set a $475.00 price target on shares of Nova in a report on Friday. Citigroup upped their target price on Nova from $520.00 to $595.00 and gave the stock a “buy” rating in a research note on Friday, May 15th. Zacks Research lowered Nova from a “strong-buy” rating to a “hold” rating in a report on Tuesday, April 14th. Cantor Fitzgerald reduced their price target on Nova from $600.00 to $500.00 and set an “overweight” rating for the company in a research report on Friday. Finally, Needham & Company LLC reduced their price target on Nova from $640.00 to $570.00 and set a “buy” rating for the company in a research report on Friday. Eight investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $519.44.

Key Nova News

Here are the key news stories impacting Nova this week:

• Positive Sentiment: Nova reported record second-quarter revenue of approximately $255.0 million, up 8% sequentially and 16% year over year. Earnings were $2.51 per share, exceeding the $2.41 consensus estimate and rising from $2.20 a year earlier. Nova Reports Record Second Quarter 2026 Financial Results
• Positive Sentiment: Third-quarter guidance also surpassed expectations: Nova forecast EPS of $2.70–$2.85 versus the $2.64 analyst consensus, and revenue of $277 million–$287 million versus expectations of $276.7 million. This suggests continued demand for the company’s semiconductor measurement products. Nova Ltd. Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Needham lowered its price target to $570 from $640 but maintained a “Buy” rating, implying substantial upside from the current trading level. Benzinga
• Positive Sentiment: Cantor Fitzgerald reduced its target to $500 from $600 while retaining an “Overweight” rating, indicating analysts remain constructive despite more conservative valuations. Benzinga
• Neutral Sentiment: The target reductions may reflect valuation or broader semiconductor-sector caution. Nova trades at a relatively elevated earnings multiple, so further gains may depend on continued execution and delivery of its strong guidance.

Insider Activity

In other Nova news, Director Sarit Sagiv sold 454 shares of the company’s stock in a transaction dated Tuesday, June 23rd. The shares were sold at an average price of $536.52, for a total value of $243,580.08. Following the completion of the transaction, the director owned 1,951 shares in the company, valued at approximately $1,046,750.52. This represents a 18.88% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Gabriel Waisman sold 2,966 shares of the stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $501.30, for a total transaction of $1,486,855.80. Following the sale, the chief executive officer directly owned 28,714 shares in the company, valued at approximately $14,394,328.20. The trade was a 9.36% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 7,798 shares of company stock worth $4,125,266. 1.00% of the stock is currently owned by insiders.

Institutional Trading of Nova

Several institutional investors have recently bought and sold shares of NVMI. Invesco Ltd. lifted its holdings in Nova by 185.4% in the 3rd quarter. Invesco Ltd. now owns 607,344 shares of the semiconductor company’s stock valued at $194,144,000 after purchasing an additional 394,544 shares in the last quarter. Lazard Asset Management LLC grew its holdings in shares of Nova by 69.2% during the second quarter. Lazard Asset Management LLC now owns 359,221 shares of the semiconductor company’s stock worth $98,857,000 after buying an additional 146,932 shares in the last quarter. Wasatch Advisors LP grew its holdings in shares of Nova by 4.9% during the second quarter. Wasatch Advisors LP now owns 2,200,948 shares of the semiconductor company’s stock worth $605,701,000 after buying an additional 102,250 shares in the last quarter. Barclays PLC grew its holdings in shares of Nova by 54.4% during the fourth quarter. Barclays PLC now owns 271,485 shares of the semiconductor company’s stock worth $89,153,000 after buying an additional 95,642 shares in the last quarter. Finally, Bamco Inc. NY raised its position in shares of Nova by 40.9% in the fourth quarter. Bamco Inc. NY now owns 154,511 shares of the semiconductor company’s stock valued at $50,740,000 after buying an additional 44,819 shares during the last quarter. 82.99% of the stock is owned by institutional investors and hedge funds.

Nova Company Profile

Nova Measuring Instruments Ltd (NASDAQ: NVMI) develops and supplies advanced metrology and process control systems for the semiconductor manufacturing industry. The company’s core product line includes spectroscopic ellipsometry and scatterometry tools designed to measure film thickness, critical dimensions, overlay alignment and other key parameters that drive yield and performance in integrated circuit fabrication.

Founded in 1993 and headquartered in Rehovot, Israel, Nova Measuring Instruments has established itself as a critical partner to leading semiconductor foundries and device manufacturers.