Novanta (NASDAQ:NOVT) Shares Gap Down After Earnings Miss

Novanta Inc. (NASDAQ:NOVT)’s share price gapped down before the market opened on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $174.17, but opened at $159.69. Novanta shares last traded at $156.94, with a volume of 32,489 shares trading hands.

The technology company reported $0.85 EPS for the quarter, missing the consensus estimate of $0.86 by ($0.01). Novanta had a return on equity of 15.77% and a net margin of 6.91%. The business had revenue of $244.40 million for the quarter, compared to the consensus estimate of $242.33 million. During the same period in the previous year, the firm earned $0.85 earnings per share. The company’s revenue was up 10.3% on a year-over-year basis.

Wall Street Analysts Forecast Growth

Separately, Robert W. Baird cut their target price on Novanta from $175.00 to $169.00 and set a “neutral” rating on the stock in a research report on Wednesday.

Insider Activity

In related news, CFO Robert Buckley sold 4,379 shares of the business’s stock in a transaction dated Tuesday, September 3rd. The shares were sold at an average price of $176.20, for a total transaction of $771,579.80. Following the transaction, the chief financial officer now directly owns 120,419 shares in the company, valued at approximately $21,217,827.80. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders sold a total of 9,150 shares of company stock worth $1,608,936 over the last quarter. Insiders own 1.20% of the company’s stock.

Institutional Trading of Novanta

Hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. increased its position in shares of Novanta by 1.2% during the 1st quarter. Vanguard Group Inc. now owns 3,861,416 shares of the technology company’s stock valued at $674,860,000 after purchasing an additional 45,937 shares during the last quarter. Susquehanna Fundamental Investments LLC purchased a new stake in Novanta during the first quarter worth about $780,000. SG Americas Securities LLC increased its holdings in Novanta by 750.4% during the first quarter. SG Americas Securities LLC now owns 15,588 shares of the technology company’s stock worth $2,724,000 after buying an additional 13,755 shares during the last quarter. Clearline Capital LP raised its position in Novanta by 71.1% in the second quarter. Clearline Capital LP now owns 11,497 shares of the technology company’s stock worth $1,875,000 after acquiring an additional 4,778 shares during the period. Finally, GAMMA Investing LLC boosted its stake in Novanta by 33.1% in the third quarter. GAMMA Investing LLC now owns 237 shares of the technology company’s stock valued at $42,000 after acquiring an additional 59 shares during the last quarter. 98.35% of the stock is currently owned by institutional investors.

Novanta Stock Up 10.5 %

The stock’s 50-day moving average price is $174.24 and its two-hundred day moving average price is $169.77. The company has a current ratio of 2.77, a quick ratio of 1.73 and a debt-to-equity ratio of 0.68. The stock has a market capitalization of $6.53 billion, a P/E ratio of 105.17 and a beta of 1.29.

About Novanta

Novanta Inc, together with its subsidiaries, provides precision medicine and manufacturing, medical solutions, and robotics and automation solutions in the United States and internationally. The company operates through three segments: Precision Medicine and Manufacturing, Medical Solutions, and Robotics and Automation.