ONTO INNOVATION INC (ONTO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ONTO - US6833441057 - Common Stock
143.16 USD
+2.69 (+1.91%)
140 USD
-3.16 (-2.21%)
Overall ONTO gets a fundamental rating of 7 out of 10. We evaluated ONTO against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. ONTO scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ONTO is not overvalued while it is showing excellent growth. This is an interesting combination. With these ratings, ONTO could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year ONTO was profitable.
In the past year ONTO had a positive cash flow from operations.
Each year in the past 5 years ONTO has been profitable.
In the past 5 years ONTO always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ONTO (8.01%) is better than 77.68% of its industry peers.
Looking at the Return On Equity, with a value of 8.74%, ONTO is in the better half of the industry, outperforming 72.32% of the companies in the same industry.
With a decent Return On Invested Capital value of 9.62%, ONTO is doing good in the industry, outperforming 78.57% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ONTO is in line with the industry average of 10.76%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.01% | ||
| ROE | 8.74% | ||
| ROIC | 9.62% |
ROA(3y)9.44%
ROA(5y)7.81%
ROE(3y)10.48%
ROE(5y)8.77%
ROIC(3y)9.69%
ROIC(5y)8.09%
1.3 Margins
The Profit Margin of ONTO (17.46%) is better than 81.25% of its industry peers.
ONTO's Profit Margin has improved in the last couple of years.
ONTO has a Operating Margin of 21.25%. This is amongst the best in the industry. ONTO outperforms 81.25% of its industry peers.
ONTO's Operating Margin has been stable in the last couple of years.
ONTO's Gross Margin of 54.83% is fine compared to the rest of the industry. ONTO outperforms 74.11% of its industry peers.
ONTO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.25% | ||
| PM (TTM) | 17.46% | ||
| GM | 54.83% |
OM growth 3Y0.92%
OM growth 5YN/A
PM growth 3Y4.23%
PM growth 5Y101.1%
GM growth 3Y-0.48%
GM growth 5Y3.97%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ONTO is destroying value.
ONTO has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ONTO has less shares outstanding
ONTO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 24.39 indicates that ONTO is not in any danger for bankruptcy at the moment.
ONTO has a better Altman-Z score (24.39) than 91.96% of its industry peers.
ONTO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 24.39 |
ROIC/WACC0.91
WACC10.63%
2.3 Liquidity
A Current Ratio of 9.49 indicates that ONTO has no problem at all paying its short term obligations.
ONTO's Current ratio of 9.49 is amongst the best of the industry. ONTO outperforms 93.75% of its industry peers.
ONTO has a Quick Ratio of 7.89. This indicates that ONTO is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 7.89, ONTO belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.49 | ||
| Quick Ratio | 7.89 |
3. Growth
3.1 Past
ONTO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.92%.
Measured over the past years, ONTO shows a very strong growth in Earnings Per Share. The EPS has been growing by 36.96% on average per year.
Looking at the last year, ONTO shows a small growth in Revenue. The Revenue has grown by 6.38% in the last year.
ONTO shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.41% yearly.
EPS 1Y (TTM)5.92%
EPS 3Y11.5%
EPS 5Y36.96%
EPS Q2Q%-31.34%
Revenue 1Y (TTM)6.38%
Revenue growth 3Y7.77%
Revenue growth 5Y26.41%
Sales Q2Q%-13.49%
3.2 Future
The Earnings Per Share is expected to grow by 15.71% on average over the next years. This is quite good.
ONTO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.58% yearly.
EPS Next Y-6.95%
EPS Next 2Y3.3%
EPS Next 3Y9.83%
EPS Next 5Y15.71%
Revenue Next Year1.2%
Revenue Next 2Y4.96%
Revenue Next 3Y8.04%
Revenue Next 5Y13.58%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
ONTO is valuated quite expensively with a Price/Earnings ratio of 27.58.
Based on the Price/Earnings ratio, ONTO is valued a bit cheaper than 78.57% of the companies in the same industry.
When comparing the Price/Earnings ratio of ONTO to the average of the S&P500 Index (26.31), we can say ONTO is valued inline with the index average.
The Price/Forward Earnings ratio is 25.08, which means the current valuation is very expensive for ONTO.
Based on the Price/Forward Earnings ratio, ONTO is valued a bit cheaper than the industry average as 69.64% of the companies are valued more expensively.
ONTO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 36.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.58 | ||
| Fwd PE | 25.08 |
4.2 Price Multiples
70.54% of the companies in the same industry are more expensive than ONTO, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ONTO indicates a rather cheap valuation: ONTO is cheaper than 81.25% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.85 | ||
| EV/EBITDA | 20.77 |
4.3 Compensation for Growth
The decent profitability rating of ONTO may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.75
EPS Next 2Y3.3%
EPS Next 3Y9.83%
5. Dividend
5.1 Amount
ONTO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
143.16
+2.69 (+1.91%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners102.21%
Inst Owner Change-3.24%
Ins Owners0.69%
Ins Owner Change5.83%
Market Cap7.01B
Revenue(TTM)1.00B
Net Income(TTM)175.05M
Analysts80
Price Target157.81 (10.23%)
Short Float %3.28%
Short Ratio1.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)1
Avg EPS beat(2)0.14%
Min EPS beat(2)-3.56%
Max EPS beat(2)3.84%
EPS beat(4)3
Avg EPS beat(4)1.63%
Min EPS beat(4)-3.56%
Max EPS beat(4)5.24%
EPS beat(8)6
Avg EPS beat(8)2.99%
EPS beat(12)7
Avg EPS beat(12)2.53%
EPS beat(16)10
Avg EPS beat(16)3.06%
Revenue beat(2)0
Avg Revenue beat(2)-1.78%
Min Revenue beat(2)-2.12%
Max Revenue beat(2)-1.44%
Revenue beat(4)0
Avg Revenue beat(4)-1.52%
Min Revenue beat(4)-2.12%
Max Revenue beat(4)-0.67%
Revenue beat(8)3
Avg Revenue beat(8)-0.39%
Revenue beat(12)3
Avg Revenue beat(12)-1.81%
Revenue beat(16)6
Avg Revenue beat(16)-0.84%
PT rev (1m)3.92%
PT rev (3m)9.05%
EPS NQ rev (1m)0.46%
EPS NQ rev (3m)-2.32%
EPS NY rev (1m)-0.12%
EPS NY rev (3m)-0.92%
Revenue NQ rev (1m)0.24%
Revenue NQ rev (3m)-1.06%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.58 | ||
| Fwd PE | 25.08 | ||
| P/S | 7 | ||
| P/FCF | 26.85 | ||
| P/OCF | 24.25 | ||
| P/B | 3.5 | ||
| P/tB | 4.47 | ||
| EV/EBITDA | 20.77 |
EPS(TTM)5.19
EY3.63%
EPS(NY)5.71
Fwd EY3.99%
FCF(TTM)5.33
FCFY3.73%
OCF(TTM)5.9
OCFY4.12%
SpS20.46
BVpS40.86
TBVpS32.04
PEG (NY)N/A
PEG (5Y)0.75
Graham Number69.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.01% | ||
| ROE | 8.74% | ||
| ROCE | 10.53% | ||
| ROIC | 9.62% | ||
| ROICexc | 18.73% | ||
| ROICexgc | 32.05% | ||
| OM | 21.25% | ||
| PM (TTM) | 17.46% | ||
| GM | 54.83% | ||
| FCFM | 26.07% |
ROA(3y)9.44%
ROA(5y)7.81%
ROE(3y)10.48%
ROE(5y)8.77%
ROIC(3y)9.69%
ROIC(5y)8.09%
ROICexc(3y)26.36%
ROICexc(5y)19.22%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)10.6%
ROCE(5y)8.85%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y40.61%
ROICexc growth 5YN/A
OM growth 3Y0.92%
OM growth 5YN/A
PM growth 3Y4.23%
PM growth 5Y101.1%
GM growth 3Y-0.48%
GM growth 5Y3.97%
F-Score7
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 53.19% | ||
| Cap/Sales | 2.79% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 108.89% | ||
| Profit Quality | 149.28% | ||
| Current Ratio | 9.49 | ||
| Quick Ratio | 7.89 | ||
| Altman-Z | 24.39 |
F-Score7
WACC10.63%
ROIC/WACC0.91
Cap/Depr(3y)37.74%
Cap/Depr(5y)27.42%
Cap/Sales(3y)2.61%
Cap/Sales(5y)2.01%
Profit Quality(3y)94.1%
Profit Quality(5y)145.35%
High Growth Momentum
Growth
EPS 1Y (TTM)5.92%
EPS 3Y11.5%
EPS 5Y36.96%
EPS Q2Q%-31.34%
EPS Next Y-6.95%
EPS Next 2Y3.3%
EPS Next 3Y9.83%
EPS Next 5Y15.71%
Revenue 1Y (TTM)6.38%
Revenue growth 3Y7.77%
Revenue growth 5Y26.41%
Sales Q2Q%-13.49%
Revenue Next Year1.2%
Revenue Next 2Y4.96%
Revenue Next 3Y8.04%
Revenue Next 5Y13.58%
EBIT growth 1Y18.22%
EBIT growth 3Y8.75%
EBIT growth 5YN/A
EBIT Next Year10.59%
EBIT Next 3Y19.11%
EBIT Next 5Y20.15%
FCF growth 1Y99.17%
FCF growth 3Y9.39%
FCF growth 5Y80.04%
OCF growth 1Y80.94%
OCF growth 3Y11.91%
OCF growth 5Y68.48%
ONTO INNOVATION INC / ONTO FAQ
Can you provide the ChartMill fundamental rating for ONTO INNOVATION INC?
ChartMill assigns a fundamental rating of 7 / 10 to ONTO.
What is the valuation status of ONTO INNOVATION INC (ONTO) stock?
ChartMill assigns a valuation rating of 5 / 10 to ONTO INNOVATION INC (ONTO). This can be considered as Fairly Valued.
What is the profitability of ONTO stock?
ONTO INNOVATION INC (ONTO) has a profitability rating of 7 / 10.
What is the financial health of ONTO INNOVATION INC (ONTO) stock?
The financial health rating of ONTO INNOVATION INC (ONTO) is 9 / 10.