Onto Innovation Inc. (NYSE:ONTO) Stock Now Rated “Buy” by Wall Street Brokerages

Onto Innovation Inc. (NYSE:ONTO) has received an average recommendation of “Buy” from the fifteen brokerages that are presently covering the stock, MarketBeat reports. Two equities research analysts have rated the stock with a hold rating, eleven have given a buy rating and two have assigned a strong buy rating to the company. The average 1-year price objective among brokerages that have covered the stock in the last year is $352.08.

ONTO has been the subject of a number of recent research reports. Cantor Fitzgerald reiterated an “overweight” rating on shares of Onto Innovation in a research note on Tuesday, October 20th. Evercore began coverage on Onto Innovation in a report on Tuesday, November 10th. They set a “strong-buy” rating for the company. Needham & Company LLC lowered their target price on Onto Innovation from $360.00 to $285.00 and set a “buy” rating for the company in a research note on Tuesday, November 10th. Morgan Stanley decreased their price objective on Onto Innovation from $360.00 to $325.00 and set an “overweight” rating for the company in a report on Tuesday, November 10th. Finally, The Goldman Sachs Group began coverage on Onto Innovation in a research report on Monday, August 17th. They set a “buy” rating and a $400.00 price objective for the company.

Insider Activity

In other news, Director David Miller sold 2,000 shares of the company’s stock in a transaction dated 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 owned 10,692 shares of the company’s stock, valued at $3,207,600. This represents a 15.76% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Susan D. Lynch sold 1,000 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $302.30, for a total transaction of $302,300.00. Following the sale, the director directly owned 2,684 shares of the company’s stock, valued at approximately $811,373.20. This represents a 27.14% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.51% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Onto Innovation

Hedge funds have recently made changes to their positions in the business. Andar Capital Management HK Ltd bought a new stake in Onto Innovation in the 2nd quarter valued at $69,000,000. BlackRock Inc. bought a new position in shares of Onto Innovation during the 2nd quarter valued at about $2,083,436,000. Paradigm Capital Management Inc. NY purchased a new position in shares of Onto Innovation during the second quarter valued at about $416,839,000. Dimensional Fund Advisors LP grew its position in shares of Onto Innovation by 4.3% during the first quarter. Dimensional Fund Advisors LP now owns 677,502 shares of the semiconductor company’s stock valued at $138,898,000 after purchasing an additional 28,137 shares in the last quarter. Finally, William Blair Investment Management LLC purchased a new position in shares of Onto Innovation during the second quarter valued at about $251,812,000. Institutional investors own 98.35% of the company’s stock.

Onto Innovation Trading Down 2.9%

Shares of ONTO stock traded down $6.13 during trading hours on Tuesday, hitting $203.54. 806,947 shares of the company were exchanged, compared to its average volume of 1,211,282. Onto Innovation has a fifty-two week low of $121.57 and a fifty-two week high of $386.46. The company has a debt-to-equity ratio of 0.74, a quick ratio of 8.33 and a current ratio of 6.78. The firm has a market cap of $9.99 billion, a P/E ratio of 66.95, a P/E/G ratio of 0.61 and a beta of 1.66. The company has a 50 day simple moving average of $248.06 and a two-hundred day simple moving average of $259.13.

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

Trending Headlines about Onto Innovation

Here are a few of the latest headlines about ONTO:

• Positive Sentiment: Onto raised its Q4 outlook, citing AI-driven packaging demand, record growth, increased adoption of its Dragonfly G5 system and a backlog exceeding $1.3 billion. Management also highlighted growth potential heading into 2027. Article: ONTO Raises Q4 Outlook as AI Packaging Demand Drives Record Growth
• Positive Sentiment: Q3 operating cash flow reached $79 million, while reported gross-margin expansion and operational efficiencies support the profitability outlook. Article: Onto Innovation’s Q3 Cash Flow Hits $79M
• Negative Sentiment: Several reports flag ONTO’s premium valuation, customer-concentration exposure and weaker capital-return profile as risks that could limit upside even as earnings and demand grow. A separate report describes a pessimistic Morgan Stanley outlook, while analyst target cuts—including from Jefferies—add to pressure on sentiment. Article: ONTO Falls as Growth Strength Collides With Valuation

About Onto Innovation

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.