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Onto Innovation (ONTO) Declines More Than Market: Some Information for Investors

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Onto Innovation (ONTO - Free Report) closed the latest trading day at $199.91, indicating a -1.56% change from the previous session's end. The stock fell short of the S&P 500, which registered a loss of 0.19% for the day. Elsewhere, the Dow saw an upswing of 0.09%, while the tech-heavy Nasdaq depreciated by 0.36%.

Coming into today, shares of the maker of semiconductor manufacturing equipment had lost 2.4% in the past month. In that same time, the Computer and Technology sector lost 0.09%, while the S&P 500 gained 2.06%.

Analysts and investors alike will be keeping a close eye on the performance of Onto Innovation in its upcoming earnings disclosure. On that day, Onto Innovation is projected to report earnings of $1.31 per share, which would represent year-over-year growth of 36.46%. At the same time, our most recent consensus estimate is projecting a revenue of $250.23 million, reflecting a 20.77% rise from the equivalent quarter last year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $5.18 per share and revenue of $976.63 million, which would represent changes of +38.87% and +19.7%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Onto Innovation. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.37% increase. Currently, Onto Innovation is carrying a Zacks Rank of #3 (Hold).

Investors should also note Onto Innovation's current valuation metrics, including its Forward P/E ratio of 39.21. This represents no noticeable deviation compared to its industry's average Forward P/E of 39.21.

The Nanotechnology industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 93, putting it in the top 37% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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