Nova (NASDAQ:NVMI) Trading Down 9.4% – Should You Sell?

Nova Ltd. (NASDAQ:NVMI) fell 9.4% during trading on Tuesday . The stock traded as low as $530.22 and last traded at $528.1450. 110,491 shares traded hands during mid-day trading, a decline of 73% from the average daily volume of 401,896 shares. The stock had previously closed at $583.10.

Analysts Set New Price Targets

Several equities research analysts have commented on NVMI shares. Citigroup lifted their price target on Nova from $520.00 to $595.00 and gave the company a “buy” rating in a report on Friday, May 15th. Jefferies Financial Group boosted their price objective on Nova from $520.00 to $640.00 and gave the stock a “buy” rating in a research report on Thursday, May 14th. Needham & Company LLC increased their price objective on Nova from $500.00 to $640.00 and gave the stock a “buy” rating in a report on Thursday, May 14th. Morgan Stanley set a $494.00 target price on Nova in a research report on Thursday, May 14th. Finally, Zacks Research downgraded Nova from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, April 14th. Nine investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $518.22.

Nova Trading Down 8.7%

The stock has a market cap of $16.91 billion, a P/E ratio of 66.00, a price-to-earnings-growth ratio of 4.17 and a beta of 1.75. The stock’s 50-day moving average is $521.48 and its 200-day moving average is $452.24.

Nova (NASDAQ:NVMI) last released its quarterly earnings results on Thursday, May 14th. The semiconductor company reported $2.33 EPS for the quarter, topping analysts’ consensus estimates of $2.20 by $0.13. The company had revenue of $235.31 million for the quarter, compared to the consensus estimate of $227.02 million. Nova had a net margin of 29.21% and a return on equity of 21.77%. Nova’s revenue was up 10.3% on a year-over-year basis. During the same period in the previous year, the firm earned $2.18 EPS. Nova has set its Q2 2026 guidance at 2.340-2.480 EPS. On average, equities analysts forecast that Nova Ltd. will post 9.44 EPS for the current year.

Insiders Place Their Bets

In other Nova news, Director Yaniv Garty sold 426 shares of the company’s stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $514.49, for a total value of $219,172.74. Following the completion of the sale, the director directly owned 2,038 shares in the company, valued at $1,048,530.62. This represents a 17.29% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Eitan Oppenhaim sold 1,504 shares of the stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $519.48, for a total value of $781,297.92. Following the transaction, the director directly owned 6,668 shares of the company’s stock, valued at approximately $3,463,892.64. The trade was a 18.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 2,411 shares of company stock worth $1,243,018 over the last ninety days. Company insiders own 1.00% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Royal Bank of Canada lifted its holdings in Nova by 660.4% in the 1st quarter. Royal Bank of Canada now owns 10,668 shares of the semiconductor company’s stock valued at $1,966,000 after acquiring an additional 9,265 shares during the last quarter. Advisors Asset Management Inc. boosted its stake in shares of Nova by 51.6% during the 1st quarter. Advisors Asset Management Inc. now owns 376 shares of the semiconductor company’s stock worth $69,000 after acquiring an additional 128 shares in the last quarter. Arrowstreet Capital Limited Partnership acquired a new position in shares of Nova in the 2nd quarter worth $5,445,000. EverSource Wealth Advisors LLC grew its holdings in shares of Nova by 62.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 260 shares of the semiconductor company’s stock worth $72,000 after acquiring an additional 100 shares during the last quarter. Finally, Marshall Wace LLP acquired a new stake in shares of Nova during the second quarter worth $1,886,000. Institutional investors own 82.99% of the company’s 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.