NOVANTA INC (NOVT) Stock Fundamental Analysis
NASDAQ:NOVT • CA67000B1040
140.73 USD
+6.3 (+4.69%)
At close: Mar 2, 2026
142.61 USD
+1.88 (+1.34%)
After Hours: 3/2/2026, 8:00:02 PM
We assign a fundamental rating of 5 out of 10 to NOVT. NOVT was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. NOVT is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. While showing a medium growth rate, NOVT is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year NOVT was profitable.
- In the past year NOVT had a positive cash flow from operations.
- Each year in the past 5 years NOVT has been profitable.
- Each year in the past 5 years NOVT had a positive operating cash flow.
1.2 Ratios
- NOVT's Return On Assets of 2.98% is fine compared to the rest of the industry. NOVT outperforms 64.52% of its industry peers.
- Looking at the Return On Equity, with a value of 4.10%, NOVT is in line with its industry, outperforming 58.06% of the companies in the same industry.
- NOVT has a Return On Invested Capital of 5.79%. This is comparable to the rest of the industry: NOVT outperforms 59.68% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for NOVT is in line with the industry average of 8.91%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.98% | ||
| ROE | 4.1% | ||
| ROIC | 5.79% |
ROA(3y)4.51%
ROA(5y)4.72%
ROE(3y)7.84%
ROE(5y)9.2%
ROIC(3y)7.61%
ROIC(5y)7.39%
1.3 Margins
- NOVT's Profit Margin of 5.49% is fine compared to the rest of the industry. NOVT outperforms 70.97% of its industry peers.
- In the last couple of years the Profit Margin of NOVT has declined.
- The Operating Margin of NOVT (11.90%) is better than 79.03% of its industry peers.
- In the last couple of years the Operating Margin of NOVT has grown nicely.
- With a decent Gross Margin value of 44.39%, NOVT is doing good in the industry, outperforming 77.42% of the companies in the same industry.
- NOVT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.9% | ||
| PM (TTM) | 5.49% | ||
| GM | 44.39% |
OM growth 3Y-1.6%
OM growth 5Y3.31%
PM growth 3Y-13.92%
PM growth 5Y-6.14%
GM growth 3Y0.32%
GM growth 5Y1.4%
2. Health
2.1 Basic Checks
- NOVT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- NOVT has less shares outstanding than it did 1 year ago.
- NOVT has more shares outstanding than it did 5 years ago.
- NOVT has a better debt/assets ratio than last year.
2.2 Solvency
- NOVT has an Altman-Z score of 7.50. This indicates that NOVT is financially healthy and has little risk of bankruptcy at the moment.
- NOVT has a better Altman-Z score (7.50) than 83.06% of its industry peers.
- NOVT has a debt to FCF ratio of 5.24. This is a neutral value as NOVT would need 5.24 years to pay back of all of its debts.
- NOVT has a Debt to FCF ratio of 5.24. This is in the better half of the industry: NOVT outperforms 61.29% of its industry peers.
- NOVT has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of NOVT (0.16) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 5.24 | ||
| Altman-Z | 7.5 |
ROIC/WACC0.64
WACC9.05%
2.3 Liquidity
- A Current Ratio of 3.69 indicates that NOVT has no problem at all paying its short term obligations.
- With a decent Current ratio value of 3.69, NOVT is doing good in the industry, outperforming 71.77% of the companies in the same industry.
- NOVT has a Quick Ratio of 2.80. This indicates that NOVT is financially healthy and has no problem in meeting its short term obligations.
- NOVT has a Quick ratio of 2.80. This is in the better half of the industry: NOVT outperforms 69.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.69 | ||
| Quick Ratio | 2.8 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 6.49% over the past year.
- Measured over the past years, NOVT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.07% on average per year.
- NOVT shows a small growth in Revenue. In the last year, the Revenue has grown by 3.30%.
- NOVT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.67% yearly.
EPS 1Y (TTM)6.49%
EPS 3Y2.23%
EPS 5Y11.07%
EPS Q2Q%19.74%
Revenue 1Y (TTM)3.3%
Revenue growth 3Y4.44%
Revenue growth 5Y10.67%
Sales Q2Q%8.5%
3.2 Future
- The Earnings Per Share is expected to grow by 12.50% on average over the next years. This is quite good.
- NOVT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.67% yearly.
EPS Next Y10.81%
EPS Next 2Y12.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.88%
Revenue Next 2Y6.67%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 42.91 indicates a quite expensive valuation of NOVT.
- NOVT's Price/Earnings is on the same level as the industry average.
- When comparing the Price/Earnings ratio of NOVT to the average of the S&P500 Index (27.13), we can say NOVT is valued expensively.
- The Price/Forward Earnings ratio is 38.72, which means the current valuation is very expensive for NOVT.
- NOVT's Price/Forward Earnings ratio is in line with the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 28.11. NOVT is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.91 | ||
| Fwd PE | 38.72 |
4.2 Price Multiples
- NOVT's Enterprise Value to EBITDA is on the same level as the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of NOVT is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 103.68 | ||
| EV/EBITDA | 27.4 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NOVT does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of NOVT may justify a higher PE ratio.
- A more expensive valuation may be justified as NOVT's earnings are expected to grow with 12.50% in the coming years.
PEG (NY)3.97
PEG (5Y)3.87
EPS Next 2Y12.5%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- NOVT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
140.73
+6.3 (+4.69%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)02-23 2026-02-23/amc
Earnings (Next)05-04 2026-05-04
Inst Owners102.56%
Inst Owner Change12.75%
Ins Owners1.01%
Ins Owner Change3.19%
Market Cap5.02B
Revenue(TTM)980.60M
Net Income(TTM)53.83M
Analysts80
Price Target158.61 (12.71%)
Short Float %9.86%
Short Ratio7.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.91%
Min EPS beat(2)1.38%
Max EPS beat(2)4.44%
EPS beat(4)4
Avg EPS beat(4)3.79%
Min EPS beat(4)1.38%
Max EPS beat(4)7.75%
EPS beat(8)7
Avg EPS beat(8)5.79%
EPS beat(12)10
Avg EPS beat(12)6.43%
EPS beat(16)14
Avg EPS beat(16)6.63%
Revenue beat(2)0
Avg Revenue beat(2)-1.06%
Min Revenue beat(2)-1.21%
Max Revenue beat(2)-0.91%
Revenue beat(4)0
Avg Revenue beat(4)-1.2%
Min Revenue beat(4)-1.95%
Max Revenue beat(4)-0.72%
Revenue beat(8)0
Avg Revenue beat(8)-1.3%
Revenue beat(12)1
Avg Revenue beat(12)-1.1%
Revenue beat(16)4
Avg Revenue beat(16)-0.6%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.12%
EPS NY rev (1m)-0.31%
EPS NY rev (3m)-0.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.91 | ||
| Fwd PE | 38.72 | ||
| P/S | 5.12 | ||
| P/FCF | 103.68 | ||
| P/OCF | 78.39 | ||
| P/B | 3.82 | ||
| P/tB | 10.33 | ||
| EV/EBITDA | 27.4 |
EPS(TTM)3.28
EY2.33%
EPS(NY)3.63
Fwd EY2.58%
FCF(TTM)1.36
FCFY0.96%
OCF(TTM)1.8
OCFY1.28%
SpS27.48
BVpS36.84
TBVpS13.63
PEG (NY)3.97
PEG (5Y)3.87
Graham Number52.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.98% | ||
| ROE | 4.1% | ||
| ROCE | 7.32% | ||
| ROIC | 5.79% | ||
| ROICexc | 7.61% | ||
| ROICexgc | 23.95% | ||
| OM | 11.9% | ||
| PM (TTM) | 5.49% | ||
| GM | 44.39% | ||
| FCFM | 4.94% |
ROA(3y)4.51%
ROA(5y)4.72%
ROE(3y)7.84%
ROE(5y)9.2%
ROIC(3y)7.61%
ROIC(5y)7.39%
ROICexc(3y)8.81%
ROICexc(5y)8.44%
ROICexgc(3y)26.96%
ROICexgc(5y)27.21%
ROCE(3y)9.61%
ROCE(5y)9.34%
ROICexgc growth 3Y-3.25%
ROICexgc growth 5Y-0.61%
ROICexc growth 3Y-4.42%
ROICexc growth 5Y0.15%
OM growth 3Y-1.6%
OM growth 5Y3.31%
PM growth 3Y-13.92%
PM growth 5Y-6.14%
GM growth 3Y0.32%
GM growth 5Y1.4%
F-Score5
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 5.24 | ||
| Debt/EBITDA | 1.2 | ||
| Cap/Depr | 25.23% | ||
| Cap/Sales | 1.59% | ||
| Interest Coverage | 5.17 | ||
| Cash Conversion | 35.87% | ||
| Profit Quality | 89.97% | ||
| Current Ratio | 3.69 | ||
| Quick Ratio | 2.8 | ||
| Altman-Z | 7.5 |
F-Score5
WACC9.05%
ROIC/WACC0.64
Cap/Depr(3y)32.98%
Cap/Depr(5y)36.37%
Cap/Sales(3y)1.89%
Cap/Sales(5y)2.15%
Profit Quality(3y)149.3%
Profit Quality(5y)138.46%
High Growth Momentum
Growth
EPS 1Y (TTM)6.49%
EPS 3Y2.23%
EPS 5Y11.07%
EPS Q2Q%19.74%
EPS Next Y10.81%
EPS Next 2Y12.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.3%
Revenue growth 3Y4.44%
Revenue growth 5Y10.67%
Sales Q2Q%8.5%
Revenue Next Year6.88%
Revenue Next 2Y6.67%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-6.14%
EBIT growth 3Y2.76%
EBIT growth 5Y14.34%
EBIT Next Year44.31%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-65.74%
FCF growth 3Y-12.06%
FCF growth 5Y-17.88%
OCF growth 1Y-59.59%
OCF growth 3Y-10.98%
OCF growth 5Y-14.5%
NOVANTA INC / NOVT FAQ
What is the fundamental rating for NOVT stock?
ChartMill assigns a fundamental rating of 5 / 10 to NOVT.
What is the valuation status of NOVANTA INC (NOVT) stock?
ChartMill assigns a valuation rating of 2 / 10 to NOVANTA INC (NOVT). This can be considered as Overvalued.
Can you provide the profitability details for NOVANTA INC?
NOVANTA INC (NOVT) has a profitability rating of 6 / 10.
What are the PE and PB ratios of NOVANTA INC (NOVT) stock?
The Price/Earnings (PE) ratio for NOVANTA INC (NOVT) is 42.91 and the Price/Book (PB) ratio is 3.82.
What is the earnings growth outlook for NOVANTA INC?
The Earnings per Share (EPS) of NOVANTA INC (NOVT) is expected to grow by 10.81% in the next year.