What 10 Analyst Ratings Have To Say About Onto Innovation

Onto Innovation ONTO has been analyzed by 10 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $151.0, a high estimate of $200.00, and a low estimate of $90.00. A 25.98% drop is evident in the current average compared to the previous average price target of $204.00.

Interpreting Analyst Ratings: A Closer Look

A comprehensive examination of how financial experts perceive Onto Innovation is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Onto Innovation. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Onto Innovation compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Onto Innovation's stock. This comparison reveals trends in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Onto Innovation's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Onto Innovation analyst ratings.

Unveiling the Story Behind Onto Innovation

Onto Innovation Inc is engaged in the design, development, manufacture, and support of high-performance control metrology, defect inspection, lithography, and data analysis systems used by microelectronics device manufacturers. The Company and its subsidiaries currently operate in a single operating segment. The company mainly operates in the United States, Southeast Asia, China, Japan, and Europe, with Taiwan and South Korea the sources of total revenue.

Understanding the Numbers: Onto Innovation's Finances

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Onto Innovation displayed positive results in 3M. As of 31 March, 2025, the company achieved a solid revenue growth rate of approximately 16.5%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Onto Innovation's net margin is impressive, surpassing industry averages. With a net margin of 24.04%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 3.33%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Onto Innovation's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 3.03% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: With a below-average debt-to-equity ratio of 0.01, Onto Innovation adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Basics of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.