Onto Innovation (NYSE:ONTO) Stock Gets Price Target Reduction from Royal Bank Of Canada

Onto Innovation (NYSE:ONTO) had its price target lowered by Royal Bank Of Canada from $400.00 to $350.00 in a research note released on Tuesday morning,Benzinga reports. The brokerage currently has an outperform rating on the semiconductor company’s stock.

ONTO has been the topic of several other research reports. Needham & Company LLC dropped their target price on Onto Innovation from $360.00 to $285.00 and set a “buy” rating on the stock in a report on Tuesday. The Goldman Sachs Group initiated coverage on Onto Innovation in a research note on Monday, August 17th. They set a “buy” rating and a $400.00 price target for the company. Wall Street Zen upgraded Onto Innovation from a “hold” rating to a “buy” rating in a research report on Sunday, August 9th. B. Riley Financial lowered their price target on Onto Innovation from $340.00 to $285.00 and set a “buy” rating on the stock in a research report on Monday. Finally, Cantor Fitzgerald reissued an “overweight” rating on shares of Onto Innovation in a research note on Tuesday, October 20th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Buy” and an average target price of $352.08.

Onto Innovation Stock Performance

Shares of ONTO opened at $209.85 on Tuesday. The firm has a market capitalization of $10.30 billion, a PE ratio of 69.03, a P/E/G ratio of 0.63 and a beta of 1.66. The company has a quick ratio of 8.33, a current ratio of 6.78 and a debt-to-equity ratio of 0.74. The firm has a 50-day moving average price of $249.02 and a 200 day moving average price of $259.15. Onto Innovation has a 52-week low of $121.57 and a 52-week high of $386.46.

Onto Innovation (NYSE:ONTO) last released its quarterly earnings results on Monday, November 9th. The semiconductor company reported $2.44 EPS for the quarter, topping analysts’ consensus estimates of $2.30 by $0.14. Onto Innovation had a net margin of 11.53% and a return on equity of 17.18%. The company had revenue of $409.75 million for the quarter, compared to the consensus estimate of $392.06 million. During the same period in the previous year, the firm earned $0.92 EPS. Onto Innovation’s revenue was up 87.8% on a year-over-year basis. On average, sell-side analysts anticipate that Onto Innovation will post 8.25 earnings per share for the current fiscal year.

Insider Activity at Onto Innovation

In related news, Director David Miller sold 2,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 29th. The shares were sold at an average price of $300.00, for a total transaction of $600,000.00. Following the completion of the sale, the director directly owned 10,692 shares in the company, valued at approximately $3,207,600. This trade represents a 15.76% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Susan D. Lynch sold 1,000 shares of the firm’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $302.30, for a total transaction of $302,300.00. Following the sale, the director owned 2,684 shares of the company’s stock, valued at $811,373.20. The trade was a 27.14% 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. Insiders own 0.51% of the company’s stock.

Institutional Investors Weigh In On Onto Innovation

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Fiduciary Financial Advisors acquired a new stake in shares of Onto Innovation during the second quarter worth $25,000. Highland Investment Advisors LLC purchased a new stake in Onto Innovation during the second quarter valued at about $25,000. Provenance Wealth Advisors LLC purchased a new stake in Onto Innovation during the third quarter valued at about $26,000. CoreCap Advisors LLC acquired a new position in shares of Onto Innovation in the second quarter worth about $38,000. Finally, Rakuten Securities Inc. acquired a new position in shares of Onto Innovation in the second quarter worth about $40,000. Institutional investors and hedge funds own 98.35% of the company’s stock.

More Onto Innovation News

These are some of the ONTO news items that stood out recently:

• Positive Sentiment: AI-related advanced-packaging demand is supporting record growth. Onto raised its fourth-quarter outlook, cited a backlog exceeding $1.3 billion, and pointed to growing adoption of its Dragonfly G5 system—factors that suggest momentum could continue into 2027. Article: ONTO Raises Q4 Outlook as AI Packaging Demand Drives Record Growth
• Positive Sentiment: Profitability indicators also strengthened: Q3 gross margin was reported at 57.6%, while operating cash flow reached $79 million, supported by demand and improving margins. Article: Onto Innovation’s 57.6% Gross Margin
• Neutral Sentiment: Some analysts remain positive but have reduced their price targets: RBC lowered its target to $350 from $400 while keeping an Outperform rating, and Freedom Broker cut its target to $325 while retaining Buy. Evercore initiated coverage with a Strong Buy rating. Article: RBC Cuts Price Target

Onto Innovation Company Profile

Onto Innovation develops process-control and inspection solutions used in semiconductor manufacturing. Its products include metrology and inspection systems, lithography equipment, and software that help manufacturers monitor production processes and identify defects. The company serves producers of semiconductor devices, advanced packaging, and specialty components. Its technologies support applications ranging from traditional wafer fabrication to newer packaging methods used in complex chips.