Medicine and manufacturing technology provider Novanta (NASDAQ: NOVT) will be reporting results this Monday afternoon. Here’s what to expect.
Novanta beat analysts’ revenue expectations last quarter, reporting revenues of $265.8 million, up 10.3% year on year. It was an exceptional quarter for the company, with EBITDA guidance for next quarter exceeding analysts’ expectations and revenue guidance for next quarter exceeding analysts’ expectations.
Is Novanta a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Novanta’s revenue to grow 21.5% year on year, improving from the 1.4% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Novanta has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Novanta’s peers in the electronic components segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Allient delivered year-on-year revenue growth of 18.5%, beating analysts’ expectations by 5.9%, and nLIGHT reported revenues up 10.5%, topping estimates by 8.2%. Allient traded down 5.1% following the results while nLIGHT was up 29.6%.
Read our full analysis of Allient’s results here and nLIGHT’s results here.
Investors in the electronic components segment have had fairly steady hands going into earnings, with share prices down 1.7% on average over the last month. Novanta is down 4.4% during the same time and is heading into earnings with an average analyst price target of $194.50 (compared to the current share price of $135.05).
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