Last Updated: 13 Nov 2024
Executive Summary
Onto Innovation Inc. (ONTO) is a leading provider of process control tools for the semiconductor industry. The company's products are used in the manufacturing of semiconductors, which are essential components in electronic devices. ONTO has a strong financial position with a market capitalization of $8.6 billion and an EBITDA of $240 million. The company's earnings per share (EPS) is $3.7, and its price-to-earnings (PE) ratio is 47.2. ONTO has a strong growth outlook, with analysts expecting the company's revenue to grow by 21.7% in the next year. The company's stock price is currently trading at $174.75, which is below its 52-week high of $238.93.
Company Overview
Onto Innovation Inc. is a global provider of process control tools for the semiconductor industry. The company's products are used in the manufacturing of semiconductors, which are essential components in electronic devices. ONTO's products include macrodefect inspection and metrology systems, lithography systems, and process control analytical software. The company's customers include semiconductor manufacturers, foundries, and integrated device manufacturers.
Fundamental Analysis
ONTO has a strong financial position with a market capitalization of $8.6 billion and an EBITDA of $240 million. The company's EPS is $3.7, and its PE ratio is 47.2. ONTO has a strong growth outlook, with analysts expecting the company's revenue to grow by 21.7% in the next year. The company's return on assets (ROA) is 5.5%, and its return on equity (ROE) is 10.2%.
Technical Analysis
ONTO's stock price is currently trading at $174.75, which is below its 52-week high of $238.93. The company's stock price has been in a downtrend since early 2023. The stock's 50-day moving average is $199.06, and its 200-day moving average is $197.64. The stock's relative strength index (RSI) is 42.5, which indicates that the stock is oversold.
Short Term Outlook
ONTO's stock price is expected to remain in a downtrend in the short term. The company's stock price is below its 50-day and 200-day moving averages, and its RSI is oversold. Investors should consider waiting for the stock price to stabilize before buying.
Long Term Outlook
ONTO has a strong long-term outlook. The company's products are essential in the manufacturing of semiconductors, which are expected to continue to grow in demand in the coming years. ONTO is also well-positioned to benefit from the growing trend towards automation in the semiconductor industry. Investors should consider buying ONTO's stock for the long term.
Analyst Recommendations
Analysts have a positive outlook on ONTO's stock. The average analyst rating for the stock is "buy," and the average analyst target price is $255.12. Two analysts have a "strong buy" rating for the stock, four analysts have a "buy" rating, and one analyst has a "hold" rating. No analysts have a "sell" or "strong sell" rating for the stock.
