IPG Photonics (NASDAQ:IPGP) Shares Gap Up on Better-Than-Expected Earnings

Shares of IPG Photonics Corporation (NASDAQ:IPGP) gapped up prior to trading on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $110.90, but opened at $116.70. IPG Photonics shares last traded at $128.2050, with a volume of 370,708 shares traded.

The semiconductor company reported $0.46 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.25 by $0.21. The business had revenue of $274.47 million during the quarter, compared to the consensus estimate of $249.58 million. IPG Photonics had a return on equity of 2.35% and a net margin of 2.66%.The firm’s quarterly revenue was up 17.2% on a year-over-year basis. During the same period in the previous year, the company posted $0.18 EPS. IPG Photonics has set its Q1 2026 guidance at 0.100-0.400 EPS.

Analyst Upgrades and Downgrades

A number of analysts have issued reports on the stock. Roth Mkm boosted their price objective on shares of IPG Photonics from $105.00 to $110.00 and gave the company a “buy” rating in a report on Tuesday, February 3rd. Benchmark reissued a “hold” rating on shares of IPG Photonics in a research report on Wednesday, December 10th. Citigroup upgraded IPG Photonics from a “sell” rating to a “buy” rating and raised their price objective for the stock from $68.00 to $105.00 in a research note on Wednesday, November 5th. Weiss Ratings reiterated a “sell (d+)” rating on shares of IPG Photonics in a research report on Monday, December 29th. Finally, Zacks Research upgraded IPG Photonics from a “hold” rating to a “strong-buy” rating in a research report on Thursday, January 15th. Two equities research analysts have rated the stock with a Strong Buy rating, four have given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $91.67.

Insiders Place Their Bets

In other IPG Photonics news, Director Eric Meurice sold 750 shares of IPG Photonics stock in a transaction dated Monday, February 2nd. The stock was sold at an average price of $95.00, for a total value of $71,250.00. Following the transaction, the director owned 22,803 shares in the company, valued at $2,166,285. The trade was a 3.18% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, major shareholder Fibre Devices Ltd Ip sold 13,381 shares of the stock in a transaction dated Wednesday, January 21st. The stock was sold at an average price of $81.52, for a total transaction of $1,090,819.12. Following the completion of the transaction, the insider directly owned 6,593,169 shares of the company’s stock, valued at $537,475,136.88. This trade represents a 0.20% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 470,913 shares of company stock worth $36,233,025. 39.50% of the stock is owned by company insiders.

Hedge Funds Weigh In On IPG Photonics

A number of institutional investors have recently added to or reduced their stakes in the stock. Versant Capital Management Inc boosted its position in IPG Photonics by 51.1% in the third quarter. Versant Capital Management Inc now owns 343 shares of the semiconductor company’s stock valued at $27,000 after buying an additional 116 shares in the last quarter. True Wealth Design LLC boosted its holdings in shares of IPG Photonics by 1,621.7% during the 2nd quarter. True Wealth Design LLC now owns 396 shares of the semiconductor company’s stock valued at $27,000 after acquiring an additional 373 shares in the last quarter. Nomura Asset Management Co. Ltd. grew its position in IPG Photonics by 207.1% during the 2nd quarter. Nomura Asset Management Co. Ltd. now owns 430 shares of the semiconductor company’s stock worth $30,000 after acquiring an additional 290 shares during the last quarter. Global Retirement Partners LLC grew its position in IPG Photonics by 428.9% during the 4th quarter. Global Retirement Partners LLC now owns 677 shares of the semiconductor company’s stock worth $48,000 after acquiring an additional 549 shares during the last quarter. Finally, Hantz Financial Services Inc. increased its holdings in IPG Photonics by 332.9% in the 4th quarter. Hantz Financial Services Inc. now owns 684 shares of the semiconductor company’s stock worth $49,000 after purchasing an additional 526 shares in the last quarter. 93.79% of the stock is currently owned by institutional investors and hedge funds.

IPG Photonics Stock Performance

The firm has a market cap of $5.52 billion, a price-to-earnings ratio of 210.17, a PEG ratio of 13.99 and a beta of 1.03. The business has a fifty day simple moving average of $83.61 and a 200-day simple moving average of $82.19.

IPG Photonics Company Profile

IPG Photonics Corporation is a global leader in the design and manufacture of high-performance fiber lasers and amplifiers used in industrial, medical, scientific, and telecommunications applications. The company’s core products include ytterbium and erbium fiber lasers, diode lasers, and fiber amplifiers that deliver high power and efficiency for precision cutting, welding, marking, and engraving. IPG’s systems are engineered to optimize process speed, reliability, and energy consumption, making them a preferred choice for advanced manufacturing environments.

In addition to stand-alone laser sources, IPG offers turnkey laser systems and integrated solutions tailored to sectors such as automotive, electronics, aerospace, additive manufacturing, and life sciences.