Nova (NASDAQ:NVMI) Announces Earnings Results

Nova (NASDAQ:NVMI) issued its earnings results on Thursday. The semiconductor company reported $2.14 earnings per share for the quarter, topping the consensus estimate of $2.13 by $0.01, FiscalAI reports. Nova had a return on equity of 24.09% and a net margin of 28.73%.The business had revenue of $222.62 million during the quarter, compared to analysts’ expectations of $220.43 million. During the same period in the prior year, the business earned $1.94 EPS. The business’s revenue for the quarter was up 14.3% compared to the same quarter last year. Nova updated its Q1 2026 guidance to 2.130-2.250 EPS.

Here are the key takeaways from Nova’s conference call:

• Nova reported record 2025 results — $880.6M revenue (+31% YoY), Q4 revenue of $222.6M (above guidance), strong operating margins and >$1.6B in cash with $218M free cash flow.
• Product traction accelerated — a leading global logic customer selected Nova’s integrated metrology portfolio for CMP in Gate‑All‑Around, and Elipson/Metrion secured multiple strategic qualifications and repeat orders.
• Management expects continued momentum in 2026 driven by Gate‑All‑Around, DRAM/HBM recovery, and advanced packaging; Q1 guidance is $222–$232M revenue and non‑GAAP EPS $2.13–$2.25, and the company aims to outperform WFE.
• Visibility and lead‑time pressure remain a risk (notably in China, which represented ~33% of 2025 sales down from 39%), even as Nova invests in additional Asia production capacity and a new ERP to mitigate constraints.

Nova Stock Performance

NASDAQ NVMI traded down $37.68 during trading hours on Thursday, reaching $438.16. The stock had a trading volume of 402,459 shares, compared to its average volume of 436,822. The stock has a fifty day moving average of $390.31 and a 200 day moving average of $329.56. The stock has a market cap of $12.88 billion, a P/E ratio of 57.30, a price-to-earnings-growth ratio of 2.78 and a beta of 1.84. Nova has a 52-week low of $153.99 and a 52-week high of $507.27. The company has a debt-to-equity ratio of 0.62, a quick ratio of 4.00 and a current ratio of 4.58.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on the stock. Benchmark upped their price objective on shares of Nova from $280.00 to $345.00 and gave the stock a “buy” rating in a research note on Friday, November 7th. Bank of America upped their price target on shares of Nova from $380.00 to $450.00 and gave the stock a “buy” rating in a research report on Tuesday, January 13th. Morgan Stanley initiated coverage on shares of Nova in a research note on Monday, December 1st. They set an “equal weight” rating and a $335.00 price objective on the stock. Evercore boosted their price objective on shares of Nova from $290.00 to $340.00 and gave the stock an “outperform” rating in a research note on Friday, November 7th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Nova in a report on Monday, December 22nd. Six research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $348.57.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Wasatch Advisors LP lifted its holdings in Nova by 4.9% in the second quarter. Wasatch Advisors LP now owns 2,200,948 shares of the semiconductor company’s stock valued at $605,701,000 after acquiring an additional 102,250 shares during the period. Invesco Ltd. lifted its stake in shares of Nova by 185.4% in the 3rd quarter. Invesco Ltd. now owns 607,344 shares of the semiconductor company’s stock valued at $194,144,000 after purchasing an additional 394,544 shares during the period. Lazard Asset Management LLC boosted its holdings in Nova by 69.2% during the second quarter. Lazard Asset Management LLC now owns 359,221 shares of the semiconductor company’s stock worth $98,857,000 after buying an additional 146,932 shares in the last quarter. Nuveen LLC grew its position in Nova by 1.7% during the fourth quarter. Nuveen LLC now owns 148,549 shares of the semiconductor company’s stock valued at $49,690,000 after buying an additional 2,508 shares during the period. Finally, Legal & General Group Plc raised its position in shares of Nova by 22.3% in the third quarter. Legal & General Group Plc now owns 122,147 shares of the semiconductor company’s stock worth $38,807,000 after acquiring an additional 22,292 shares during the period. 82.99% of the stock is currently owned by hedge funds and other institutional investors.

Nova News Roundup

Here are the key news stories impacting Nova this week:

• Positive Sentiment: Q4 results beat estimates: Nova reported EPS of $2.14 and revenue of $222.6M (up ~14% YoY); profitability remained strong with ~28.7% net margin and 24.1% ROE. Nova Reports Fourth Quarter and Record Full Year 2025 Results
• Positive Sentiment: Raised Q1 2026 guidance: management set EPS guidance of $2.130–2.250 vs. a $2.05 consensus and revenue guidance of $222–$232M (slightly above the ~$221.9M consensus), signaling continued demand. Chip-gear maker Nova beats Q4 views, guides higher
• Neutral Sentiment: Market materials available: company released a press release, slide deck and hosted a conference call — useful for digging into customer trends, geographic mix and backlog details. Listen to Conference Call / View Press Release
• Negative Sentiment: Beat was modest and may disappoint short‑term traders: EPS beat by only $0.01 and revenue beat was small — with a rich valuation (P/E ~57.6) and a recent run toward the 12‑month high, some investors are likely taking profits, producing downward pressure on the stock.

Nova Company Profile

Nova Measuring Instruments Ltd (NASDAQ: NVMI) develops and supplies advanced metrology and process control systems for the semiconductor manufacturing industry. The company’s core product line includes spectroscopic ellipsometry and scatterometry tools designed to measure film thickness, critical dimensions, overlay alignment and other key parameters that drive yield and performance in integrated circuit fabrication.

Founded in 1993 and headquartered in Rehovot, Israel, Nova Measuring Instruments has established itself as a critical partner to leading semiconductor foundries and device manufacturers.