Stock Buyback Program Authorized by Novanta (NASDAQ:NOVT)

Novanta (NASDAQ:NOVT) declared that its board has authorized a share repurchase plan on Thursday, September 18th, RTT News reports. The company plans to repurchase $200.00 million in shares. This repurchase authorization permits the technology company to reacquire up to 4.9% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board of directors believes its stock is undervalued.

Novanta Stock Up 3.8%

Shares of NASDAQ NOVT opened at $117.22 on Friday. The stock has a market capitalization of $4.22 billion, a PE ratio of 68.95 and a beta of 1.50. The company has a quick ratio of 1.62, a current ratio of 2.54 and a debt-to-equity ratio of 0.57. The firm has a fifty day moving average of $119.29 and a 200-day moving average of $123.26. Novanta has a 52-week low of $98.76 and a 52-week high of $184.11.

Novanta (NASDAQ:NOVT) last issued its earnings results on Tuesday, August 5th. The technology company reported $0.76 earnings per share for the quarter, topping the consensus estimate of $0.74 by $0.02. Novanta had a return on equity of 14.70% and a net margin of 6.41%.The business had revenue of $241.05 million for the quarter, compared to analyst estimates of $237.97 million. During the same period last year, the company posted $0.73 EPS. The business’s quarterly revenue was up 2.2% on a year-over-year basis. Novanta has set its FY 2025 guidance at 3.220-3.360 EPS. Q3 2025 guidance at 0.780-0.850 EPS. On average, analysts anticipate that Novanta will post 3.03 EPS for the current year.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on NOVT. Wall Street Zen lowered shares of Novanta from a “buy” rating to a “hold” rating in a research report on Monday, August 11th. Robert W. Baird decreased their price objective on Novanta from $139.00 to $133.00 and set a “neutral” rating on the stock in a report on Monday, August 11th. One investment analyst has rated the stock with a Hold rating, Based on data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $133.00.

Novanta Company Profile

Novanta, Inc engages in the provision of core technology solutions to healthcare and advanced industrial original equipment manufacturers. It operates through the following segments: Photonics, Vision, and Precision Motion. The Photonics segment designs, manufactures, and markets photonics-based solutions, including laser scanning and laser beam delivery, CO2 laser, continuous wave and ultrafast laser, and optical light engine products.