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Here's Why It is Worth Investing in Nordson Stock Right Now

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Key Takeaways

  • NDSN is seeing recovery in Medical and Fluid Solutions, with organic sales in the unit up 7.4%.
  • Acquisitions like Atrion lifted NDSN's fiscal 2025 revenues, expanding its medical portfolio.
  • Nordson boosted shareholder returns via higher dividends, aggressive buybacks and rising earnings estimates.

Nordson Corporation (NDSN - Free Report) stands to benefit from strength across its businesses, focus on operational excellence and acquired assets. The company remains focused on investing in growth opportunities and strengthening its long-term market position.

NDSN, which has a market capitalization of $13.4 billion, currently carries a Zacks Rank #2 (Buy). Let’s delve into the factors that have been aiding the firm for a while now.

End-Market Strength: Nordson is poised to gain from its diversified business structure, which helps mitigate the adverse impact of weakness in one end market with strength across the others. The company is witnessing a strong recovery in the Medical and Fluid Solutions segment, organic sales from which increased 7.4% year over year in the fourth quarter of fiscal 2025 (ended October 2025).

Strength across the medical interventional product lines, owing to growing demand and a healthy pipeline of customer projects, is boosting the segment’s performance. Increased demand for medical fluid components and fluid solutions product lines is aiding the segment. Healthy demand for electronic processing and optical sensors, and electronics dispensing product lines within the semiconductor and electronics end markets holds positive for the Advanced Technology Solutions segment.

Acquisition Benefits: The company intends to strengthen and expand its businesses through acquisitions. In August 2024, Nordson completed the acquisition of Atrion Corp. The inclusion of Atrion’s three major businesses — Halkey Roberts, Atrion Medical and Quest Medical — enabled the company to expand its medical offerings in the infusion and cardiovascular therapies market. The buyout was combined with Nordson's medical business. In fiscal 2025, acquired assets boosted the company’s total revenues by 6%.

Price Performance of NDSN Stock

Zacks Investment Research
Image Source: Zacks Investment Research

In the past year, the company’s shares have gained 14.8% compared with the industry’s 7.3% growth.

Shareholder-Friendly Policies: Nordson remains committed to increasing shareholders’ value through dividend payments and share repurchases. In fiscal 2025, Nordson paid out dividends of $179.1 million, up 11% year over year. In the same period, it bought back treasury shares worth $306.4 million compared with $33.3 million in the year-ago period. In August 2025, the company hiked its dividend by 5% to 82 cents per share.

Upward Estimate Revisions: In the past 30 days, the Zacks Consensus Estimate for Nordson’s fiscal 2026 (ending October 2026) earnings has trended up from $10.94 per share to $11.19 on four upward estimate revisions against none downward. The consensus estimate for fiscal 2027 (ending October 2027) earnings increased from $12.00 per share to $12.11 on one upward estimate revision against none downward.

Other Key Picks

Some other top-ranked companies from the same space are discussed below.

Helios Technologies, Inc. (HLIO - Free Report) presently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

HLIO delivered a trailing four-quarter average earnings surprise of 16.8%. In the past 60 days, the consensus estimate for Helios’ 2025 earnings has increased 1.7%.

Parker-Hannifin Corporation (PH - Free Report) presently carries a Zacks Rank of 2. PH delivered a trailing four-quarter average earnings surprise of 6.2%.

In the past 60 days, the consensus estimate for Parker-Hannifin’s fiscal 2026 earnings has increased 3.8%.

Trimble Inc. (TRMB - Free Report) currently carries a Zacks Rank of 2.  TRMB delivered a trailing four-quarter average earnings surprise of 7.4%. In the past 60 days, the Zacks Consensus Estimate for Trimble’s 2025 earnings has increased 3.3%.

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