ONTO INNOVATION INC (ONTO) Fundamental Analysis & Valuation
NYSE:ONTO • US6833441057
Current stock price
246.96 USD
+6.47 (+2.69%)
At close:
252.5 USD
+5.54 (+2.24%)
Pre-Market:
This ONTO fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. ONTO Profitability Analysis
1.1 Basic Checks
- In the past year ONTO was profitable.
- In the past year ONTO had a positive cash flow from operations.
- ONTO had positive earnings in each of the past 5 years.
- In the past 5 years ONTO always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of ONTO (5.78%) is better than 72.17% of its industry peers.
- ONTO's Return On Equity of 6.51% is fine compared to the rest of the industry. ONTO outperforms 62.61% of its industry peers.
- ONTO's Return On Invested Capital of 7.97% is fine compared to the rest of the industry. ONTO outperforms 76.52% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ONTO is below the industry average of 10.70%.
- The last Return On Invested Capital (7.97%) for ONTO is above the 3 year average (7.91%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.78% | ||
| ROE | 6.51% | ||
| ROIC | 7.97% |
ROA(3y)7.22%
ROA(5y)8.54%
ROE(3y)7.99%
ROE(5y)9.58%
ROIC(3y)7.91%
ROIC(5y)9.12%
1.3 Margins
- ONTO's Profit Margin of 13.60% is fine compared to the rest of the industry. ONTO outperforms 71.30% of its industry peers.
- ONTO's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 19.42%, ONTO is in the better half of the industry, outperforming 78.26% of the companies in the same industry.
- In the last couple of years the Operating Margin of ONTO has grown nicely.
- With a decent Gross Margin value of 54.19%, ONTO is doing good in the industry, outperforming 70.43% of the companies in the same industry.
- In the last couple of years the Gross Margin of ONTO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.42% | ||
| PM (TTM) | 13.6% | ||
| GM | 54.19% |
OM growth 3Y-4.09%
OM growth 5Y34.06%
PM growth 3Y-15.08%
PM growth 5Y19.55%
GM growth 3Y0.34%
GM growth 5Y1.6%
2. ONTO Health Analysis
2.1 Basic Checks
- ONTO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ONTO has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ONTO has more shares outstanding
- There is no outstanding debt for ONTO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- ONTO has an Altman-Z score of 29.24. This indicates that ONTO is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 29.24, ONTO belongs to the best of the industry, outperforming 88.70% of the companies in the same industry.
- There is no outstanding debt for ONTO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 29.24 |
ROIC/WACC0.69
WACC11.6%
2.3 Liquidity
- ONTO has a Current Ratio of 5.79. This indicates that ONTO is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 5.79, ONTO is in the better half of the industry, outperforming 76.52% of the companies in the same industry.
- ONTO has a Quick Ratio of 4.43. This indicates that ONTO is financially healthy and has no problem in meeting its short term obligations.
- ONTO's Quick ratio of 4.43 is fine compared to the rest of the industry. ONTO outperforms 73.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.79 | ||
| Quick Ratio | 4.43 |
3. ONTO Growth Analysis
3.1 Past
- ONTO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.66%.
- Measured over the past years, ONTO shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.68% on average per year.
- Looking at the last year, ONTO shows a small growth in Revenue. The Revenue has grown by 1.82% in the last year.
- The Revenue has been growing by 12.55% on average over the past years. This is quite good.
EPS 1Y (TTM)-7.66%
EPS 3Y-3.57%
EPS 5Y20.68%
EPS Q2Q%-16.56%
Revenue 1Y (TTM)1.82%
Revenue growth 3Y0%
Revenue growth 5Y12.55%
Sales Q2Q%1.11%
3.2 Future
- ONTO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.64% yearly.
- Based on estimates for the next years, ONTO will show a quite strong growth in Revenue. The Revenue will grow by 19.37% on average per year.
EPS Next Y34.6%
EPS Next 2Y29.98%
EPS Next 3Y25.55%
EPS Next 5Y25.65%
Revenue Next Year24.07%
Revenue Next 2Y20.1%
Revenue Next 3Y16.66%
Revenue Next 5Y19.37%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. ONTO Valuation Analysis
4.1 Price/Earnings Ratio
- ONTO is valuated quite expensively with a Price/Earnings ratio of 49.99.
- Based on the Price/Earnings ratio, ONTO is valued a bit cheaper than the industry average as 66.96% of the companies are valued more expensively.
- The average S&P500 Price/Earnings ratio is at 26.91. ONTO is valued rather expensively when compared to this.
- ONTO is valuated quite expensively with a Price/Forward Earnings ratio of 37.14.
- ONTO's Price/Forward Earnings is on the same level as the industry average.
- ONTO is valuated expensively when we compare the Price/Forward Earnings ratio to 23.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.99 | ||
| Fwd PE | 37.14 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ONTO is valued a bit cheaper than the industry average as 64.35% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, ONTO is valued a bit cheaper than the industry average as 78.26% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.94 | ||
| EV/EBITDA | 43.22 |
4.3 Compensation for Growth
- ONTO's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of ONTO may justify a higher PE ratio.
- A more expensive valuation may be justified as ONTO's earnings are expected to grow with 25.55% in the coming years.
PEG (NY)1.44
PEG (5Y)2.42
EPS Next 2Y29.98%
EPS Next 3Y25.55%
5. ONTO Dividend Analysis
5.1 Amount
- ONTO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ONTO Fundamentals: All Metrics, Ratios and Statistics
246.96
+6.47 (+2.69%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)02-19 2026-02-19/amc
Earnings (Next)05-06 2026-05-06
Inst Owners98.44%
Inst Owner Change0%
Ins Owners0.64%
Ins Owner Change0.75%
Market Cap12.27B
Revenue(TTM)1.01B
Net Income(TTM)136.76M
Analysts81.43
Price Target258.73 (4.77%)
Short Float %1.9%
Short Ratio1.02
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)1
Avg EPS beat(2)0.11%
Min EPS beat(2)-3.63%
Max EPS beat(2)3.84%
EPS beat(4)2
Avg EPS beat(4)-0.59%
Min EPS beat(4)-3.63%
Max EPS beat(4)3.84%
EPS beat(8)5
Avg EPS beat(8)2.14%
EPS beat(12)6
Avg EPS beat(12)0.98%
EPS beat(16)9
Avg EPS beat(16)2.3%
Revenue beat(2)0
Avg Revenue beat(2)-2.07%
Min Revenue beat(2)-2.12%
Max Revenue beat(2)-2.02%
Revenue beat(4)0
Avg Revenue beat(4)-1.86%
Min Revenue beat(4)-2.12%
Max Revenue beat(4)-1.44%
Revenue beat(8)2
Avg Revenue beat(8)-0.98%
Revenue beat(12)3
Avg Revenue beat(12)-1.83%
Revenue beat(16)5
Avg Revenue beat(16)-1.14%
PT rev (1m)0%
PT rev (3m)55.36%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.87%
EPS NY rev (1m)0%
EPS NY rev (3m)7.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.78%
Revenue NY rev (1m)0%
Revenue NY rev (3m)6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.99 | ||
| Fwd PE | 37.14 | ||
| P/S | 12.21 | ||
| P/FCF | 40.94 | ||
| P/OCF | 37.38 | ||
| P/B | 5.84 | ||
| P/tB | 10.59 | ||
| EV/EBITDA | 43.22 |
EPS(TTM)4.94
EY2%
EPS(NY)6.65
Fwd EY2.69%
FCF(TTM)6.03
FCFY2.44%
OCF(TTM)6.61
OCFY2.67%
SpS20.23
BVpS42.27
TBVpS23.31
PEG (NY)1.44
PEG (5Y)2.42
Graham Number68.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.78% | ||
| ROE | 6.51% | ||
| ROCE | 9.08% | ||
| ROIC | 7.97% | ||
| ROICexc | 14.08% | ||
| ROICexgc | 62.59% | ||
| OM | 19.42% | ||
| PM (TTM) | 13.6% | ||
| GM | 54.19% | ||
| FCFM | 29.82% |
ROA(3y)7.22%
ROA(5y)8.54%
ROE(3y)7.99%
ROE(5y)9.58%
ROIC(3y)7.91%
ROIC(5y)9.12%
ROICexc(3y)23.94%
ROICexc(5y)20.98%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)9.01%
ROCE(5y)10.4%
ROICexgc growth 3Y20.94%
ROICexgc growth 5Y58.45%
ROICexc growth 3Y-7.62%
ROICexc growth 5Y44.36%
OM growth 3Y-4.09%
OM growth 5Y34.06%
PM growth 3Y-15.08%
PM growth 5Y19.55%
GM growth 3Y0.34%
GM growth 5Y1.6%
F-Score6
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 47.18% | ||
| Cap/Sales | 2.84% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 128.43% | ||
| Profit Quality | 219.22% | ||
| Current Ratio | 5.79 | ||
| Quick Ratio | 4.43 | ||
| Altman-Z | 29.24 |
F-Score6
WACC11.6%
ROIC/WACC0.69
Cap/Depr(3y)43.99%
Cap/Depr(5y)35.73%
Cap/Sales(3y)2.94%
Cap/Sales(5y)2.44%
Profit Quality(3y)149.51%
Profit Quality(5y)123.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.66%
EPS 3Y-3.57%
EPS 5Y20.68%
EPS Q2Q%-16.56%
EPS Next Y34.6%
EPS Next 2Y29.98%
EPS Next 3Y25.55%
EPS Next 5Y25.65%
Revenue 1Y (TTM)1.82%
Revenue growth 3Y0%
Revenue growth 5Y12.55%
Sales Q2Q%1.11%
Revenue Next Year24.07%
Revenue Next 2Y20.1%
Revenue Next 3Y16.66%
Revenue Next 5Y19.37%
EBIT growth 1Y-4.2%
EBIT growth 3Y-4.09%
EBIT growth 5Y50.89%
EBIT Next Year57.76%
EBIT Next 3Y29.28%
EBIT Next 5Y30.76%
FCF growth 1Y40.24%
FCF growth 3Y36.34%
FCF growth 5Y24.02%
OCF growth 1Y33.64%
OCF growth 3Y33.92%
OCF growth 5Y25.37%
ONTO INNOVATION INC / ONTO Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for ONTO INNOVATION INC?
ChartMill assigns a fundamental rating of 6 / 10 to ONTO.
Can you provide the valuation status for ONTO INNOVATION INC?
ChartMill assigns a valuation rating of 4 / 10 to ONTO INNOVATION INC (ONTO). This can be considered as Fairly Valued.
How profitable is ONTO INNOVATION INC (ONTO) stock?
ONTO INNOVATION INC (ONTO) has a profitability rating of 7 / 10.
What are the PE and PB ratios of ONTO INNOVATION INC (ONTO) stock?
The Price/Earnings (PE) ratio for ONTO INNOVATION INC (ONTO) is 49.99 and the Price/Book (PB) ratio is 5.84.