Novanta (NOVT) and The Competition Head-To-Head Comparison

Novanta (NASDAQ:NOVT) is one of 377 public companies in the “Electronic Equipment, Instruments & Components” industry, but how does it weigh in compared to its rivals? We will compare Novanta to similar businesses based on the strength of its institutional ownership, earnings, profitability, risk, dividends, valuation and analyst recommendations.

Valuation & Earnings

This table compares Novanta and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Novanta	$980.60 million	$53.83 million	78.86
Novanta Competitors	$4.00 billion	$172.92 million	4.06

Novanta’s rivals have higher revenue and earnings than Novanta. Novanta is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

98.3% of Novanta shares are held by institutional investors. Comparatively, 43.5% of shares of all “Electronic Equipment, Instruments & Components” companies are held by institutional investors. 1.2% of Novanta shares are held by insiders. Comparatively, 16.1% of shares of all “Electronic Equipment, Instruments & Components” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Novanta and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Novanta	6.00%	10.83%	7.53%
Novanta Competitors	-160.23%	-30.21%	-6.88%

Analyst Recommendations

This is a summary of current recommendations for Novanta and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Novanta	0	2	1	0	2.33
Novanta Competitors	2049	7622	10455	667	2.47

Novanta presently has a consensus target price of $194.00, suggesting a potential upside of 57.70%. As a group, “Electronic Equipment, Instruments & Components” companies have a potential upside of 36.21%. Given Novanta’s higher probable upside, equities analysts plainly believe Novanta is more favorable than its rivals.

Risk & Volatility

Novanta has a beta of 1.71, indicating that its stock price is 71% more volatile than the S&P 500. Comparatively, Novanta’s rivals have a beta of -0.29, indicating that their average stock price is 129% less volatile than the S&P 500.

Summary

Novanta beats its rivals on 7 of the 13 factors compared.

Novanta Company Profile

Novanta develops and manufactures precision technologies used in medical and advanced industrial applications. Its products include photonics and laser components, precision motion-control systems, machine-vision technologies, and related equipment and software. The company’s technologies are used in areas such as medical and surgical systems, life sciences, robotics, and industrial automation. Novanta serves customers internationally, with operations and customers across North America, Europe, and Asia.