Onto Innovation (NYSE:ONTO) Stock Price Down 6.7% – Should You Sell?

Onto Innovation Inc. (NYSE:ONTO) shares dropped 6.7% on Thursday. The company traded as low as $220.22 and last traded at $225.1440. Approximately 577,304 shares traded hands during trading, a decline of 45% from the average daily volume of 1,046,059 shares. The stock had previously closed at $241.41.

Analyst Ratings Changes

Several research firms have recently issued reports on ONTO. Wall Street Zen raised shares of Onto Innovation from a “hold” rating to a “buy” rating in a research note on Sunday, August 9th. Morgan Stanley lowered their target price on Onto Innovation from $383.00 to $360.00 and set an “overweight” rating for the company in a research report on Tuesday, September 8th. Royal Bank Of Canada started coverage on Onto Innovation in a report on Friday, October 2nd. They set an “outperform” rating and a $400.00 target price on the stock. Evercore reiterated an “outperform” rating and issued a $390.00 price target on shares of Onto Innovation in a research report on Friday, August 7th. Finally, Cantor Fitzgerald increased their price target on Onto Innovation from $350.00 to $410.00 and gave the company an “overweight” rating in a research note on Monday, June 29th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of “Buy” and an average target price of $380.00.

Onto Innovation Stock Performance

The stock has a market capitalization of $10.80 billion, a P/E ratio of 82.76, a price-to-earnings-growth ratio of 0.76 and a beta of 1.58. The company has a current ratio of 9.73, a quick ratio of 8.33 and a debt-to-equity ratio of 0.77. The company has a 50-day moving average price of $285.01 and a two-hundred day moving average price of $282.90.

Onto Innovation (NYSE:ONTO) last announced its earnings results on Thursday, August 6th. The semiconductor company reported $1.93 EPS for the quarter, beating the consensus estimate of $1.69 by $0.24. Onto Innovation had a return on equity of 13.44% and a net margin of 11.84%. The company had revenue of $343.13 million for the quarter, compared to analyst estimates of $325.29 million. During the same quarter in the prior year, the company earned $1.25 EPS. The firm’s revenue for the quarter was up 35.3% compared to the same quarter last year. Onto Innovation has set its Q3 2026 guidance at 2.180-2.380 EPS. On average, equities analysts forecast that Onto Innovation Inc. will post 8.04 earnings per share for the current year.

Insider Activity at Onto Innovation

In other news, Director David Miller sold 2,000 shares of Onto Innovation stock in a transaction on Tuesday, September 29th. The shares were sold at an average price of $300.00, for a total value of $600,000.00. Following the completion of the sale, the director owned 10,692 shares in the company, valued at $3,207,600. The trade was a 15.76% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Susan Lynch sold 1,000 shares of Onto Innovation stock in a transaction on Friday, August 21st. The shares were sold at an average price of $302.30, for a total transaction of $302,300.00. Following the completion of the sale, the director owned 2,684 shares of the company’s stock, valued at $811,373.20. This represents a 27.14% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.51% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of ONTO. Vontobel Holding Ltd. grew its stake in shares of Onto Innovation by 152.9% in the 3rd quarter. Vontobel Holding Ltd. now owns 5,814 shares of the semiconductor company’s stock worth $1,790,000 after acquiring an additional 3,515 shares in the last quarter. Pension & Wealth Management Advisors Inc. raised its holdings in shares of Onto Innovation by 60.2% in the third quarter. Pension & Wealth Management Advisors Inc. now owns 631 shares of the semiconductor company’s stock valued at $194,000 after purchasing an additional 237 shares during the last quarter. Curated Wealth Partners LLC purchased a new stake in shares of Onto Innovation in the third quarter valued at about $224,000. HBW Advisory Services LLC lifted its position in shares of Onto Innovation by 18.2% during the third quarter. HBW Advisory Services LLC now owns 807 shares of the semiconductor company’s stock valued at $248,000 after purchasing an additional 124 shares in the last quarter. Finally, Fort Washington Investment Advisors Inc. OH lifted its position in shares of Onto Innovation by 6.5% during the third quarter. Fort Washington Investment Advisors Inc. OH now owns 135,605 shares of the semiconductor company’s stock valued at $41,742,000 after purchasing an additional 8,315 shares in the last quarter. 98.35% of the stock is owned by institutional investors.

Onto Innovation Company Profile

Onto Innovation Inc (NYSE: ONTO) develops process control, inspection, metrology and lithography solutions for the semiconductor and advanced packaging industries. Its technologies help chip manufacturers monitor and control production processes, identify defects and improve yields during the fabrication of integrated circuits and other electronic components.

The company’s product portfolio includes optical and materials metrology systems, wafer and macro-defect inspection equipment, lithography systems, software and data-analysis tools, and solutions for semiconductor packaging and related applications.