IPG Photonics (NASDAQ:IPGP) Releases Earnings Results, Beats Estimates By $0.21 EPS

IPG Photonics (NASDAQ:IPGP) issued its quarterly earnings data on Thursday. The semiconductor company reported $0.46 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.25 by $0.21, FiscalAI reports. The firm 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 2.89% and a net margin of 3.10%.The company’s quarterly revenue was up 17.2% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.18 EPS. IPG Photonics updated its Q1 2026 guidance to 0.100-0.400 EPS.

Here are the key takeaways from IPG Photonics’ conference call:

• Q4 revenue topped expectations, rising 17% year-over-year and 9% sequentially, and full-year revenue grew 3% (the first annual increase since 2021); management cites book-to-bill above one as evidence of improving demand and momentum into 2026.
• The company is successfully diversifying beyond materials processing — medical sales grew 21% to a record level (new FDA-cleared products shipping) and IPG launched the Crossbow directed-energy system and opened an IPG Defense facility in Huntsville, expanding addressable markets.
• Margins were pressured by planned inventory moves and a persistent tariff headwind (~150–200 bps), producing adjusted gross margin near the midpoint of guidance and under-absorption of fixed costs that management expects to continue partially into 2026.
• Strong liquidity and shareholder returns — the company finished Q4 with $839 million cash, no debt, repurchased $53M of stock in 2025 and authorized a new $100M buyback while guiding higher CapEx (~$90–$100M) due to timing shifts into 2026.

IPG Photonics Price Performance

NASDAQ IPGP opened at $153.91 on Friday. IPG Photonics has a 12 month low of $48.59 and a 12 month high of $155.82. The company has a 50-day moving average of $86.40 and a 200-day moving average of $83.18. The company has a market cap of $6.48 billion, a P/E ratio of 207.99, a P/E/G ratio of 18.99 and a beta of 1.03.

IPG Photonics News Roundup

Here are the key news stories impacting IPG Photonics this week:

• Positive Sentiment: Q4 results beat expectations — EPS $0.46 vs. $0.25 consensus and revenue $274.47M (up 17% Y/Y), driven by industrial demand and growth-product strength; this is the primary catalyst for the rally. IPG Photonics Q4 Earnings Beat Estimates, Revenues Rise Y/Y, Shares Up
• Positive Sentiment: Analysts have revised models upward after the quarter — several shop reports note raised forecasts and price-target lifts, supporting continued investor interest. These Analysts Boost Their Forecasts On IPG Photonics Following Upbeat Q4 Results
• Positive Sentiment: Shares jumped sharply and hit a 52-week high on the strong quarter and bullish commentary; momentum flows and reported elevated short interest amplified the move. Highly Short Stock IPG Photonics Hits 52-Week High After Strong Quarter
• Positive Sentiment: Industry coverage: some outlets explain the >30% intraday jump was driven by the earnings beat, upbeat guidance commentary and follow-on analyst actions — reinforcing investor confidence. Why IPG Photonics Jumped 35% Today, Even as the Markets Were Down
• Neutral Sentiment: Company provided Q1 FY2026 guidance (EPS $0.10–$0.40; revenue $235–265M). The range is wide but includes consensus; investors are parsing guidance vs. beat momentum. View Press Release
• Neutral Sentiment: Earnings call/transcript and slides are available for detail on product demand, backlog and margins; read management commentary for clues on sustainability of the beat. IPG Photonics Corporation (NASDAQ:IPGP) Q4 2025 earnings call transcript
• Negative Sentiment: Short-interest reporting is inconsistent across feeds (some articles cite elevated short interest while regulatory feeds in this dataset show zero/NaN), creating uncertainty about potential squeeze dynamics or overhangs — a risk for volatile price moves. Highly Short Stock IPG Photonics Hits 52-Week High After Strong Quarter

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on IPGP. Stifel Nicolaus boosted their price target on IPG Photonics from $92.00 to $165.00 and gave the stock a “buy” rating in a report on Friday. Zacks Research raised shares of IPG Photonics from a “hold” rating to a “strong-buy” rating in a research note on Thursday, January 15th. Weiss Ratings restated a “sell (d+)” rating on shares of IPG Photonics in a report on Monday, December 29th. Citigroup upgraded shares of IPG Photonics from a “sell” rating to a “buy” rating and lifted their price target for the stock from $68.00 to $105.00 in a report on Wednesday, November 5th. Finally, Raymond James Financial downgraded shares of IPG Photonics from a “strong-buy” rating to an “outperform” rating and upped their price objective for the company from $97.00 to $180.00 in a research note on Friday. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $122.17.

Insider Activity at IPG Photonics

In related news, major shareholder Valentin Gapontsev Trust I sold 7,952 shares of the business’s stock in a transaction that occurred on Thursday, January 15th. The shares were sold at an average price of $80.10, for a total value of $636,955.20. Following the completion of the sale, the insider directly owned 6,793,099 shares in the company, valued at approximately $544,127,229.90. The trade was a 0.12% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder Fibre Devices Ltd Ip sold 13,381 shares of the stock in a transaction that occurred on 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 transaction, the insider directly owned 6,593,169 shares in the company, valued at approximately $537,475,136.88. This represents a 0.20% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 470,913 shares of company stock valued at $36,233,025 over the last three months. Insiders own 39.50% of the company’s stock.

Institutional Investors Weigh In On IPG Photonics

A number of institutional investors have recently added to or reduced their stakes in IPGP. Deutsche Bank AG lifted its stake in shares of IPG Photonics by 6.1% in the 4th quarter. Deutsche Bank AG now owns 2,214 shares of the semiconductor company’s stock valued at $159,000 after purchasing an additional 128 shares in the last quarter. Orion Porfolio Solutions LLC raised its holdings in IPG Photonics by 2.8% in the second quarter. Orion Porfolio Solutions LLC now owns 7,922 shares of the semiconductor company’s stock valued at $544,000 after buying an additional 215 shares during the period. California State Teachers Retirement System raised its holdings in IPG Photonics by 1.0% in the second quarter. California State Teachers Retirement System now owns 26,357 shares of the semiconductor company’s stock valued at $1,809,000 after buying an additional 261 shares during the period. Invesco Ltd. lifted its position in IPG Photonics by 0.3% during the second quarter. Invesco Ltd. now owns 105,525 shares of the semiconductor company’s stock valued at $7,244,000 after buying an additional 272 shares in the last quarter. Finally, Swiss National Bank grew its stake in IPG Photonics by 1.0% during the fourth quarter. Swiss National Bank now owns 50,000 shares of the semiconductor company’s stock worth $3,580,000 after buying an additional 500 shares during the period. Hedge funds and other institutional investors own 93.79% of the company’s stock.

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.