Update shared on24 Sep 2025
Fair value Increased 7.00%Analyst sentiment on Onto Innovation has turned more positive due to expectations of revenue acceleration, market share recovery, and strengthening end markets, resulting in a higher consensus price target of $133.75.
Analyst Commentary
- Bullish analysts expect growth to reaccelerate in the second half of 2026 despite near-term hurdles.
- Renewed confidence in Onto Innovation's ability to regain lost chip-on-wafer-on-substrate market share.
- Company revenue projected to bottom in Q1, followed by renewed growth in the back half of the year.
- Accelerator builds anticipated to continue rising, supporting stronger results.
- Tightening memory market is viewed as an incremental opportunity for revenue improvement.
What's in the News
- Onto Innovation removed from PHLX Semiconductor Sector Index.
- Atlas G6 optical critical dimension (OCD) metrology system introduced, targeting advanced semiconductor nodes for AI applications, already receiving multiple production orders from leading manufacturers.
- Company to exhibit next-generation metrology and inspection solutions at SEMICON West, focusing on advanced node logic, high-performance memory, and specialty device applications.
- Q3 earnings outlook: revenue projected at $210M–$225M, GAAP diluted EPS of $0.52–$0.72, operating income expected between $22.6M–$33.9M.
- Company completed 1.32% share buyback for $101.02M; no shares repurchased in the most recent period.
Valuation Changes
Summary of Valuation Changes for Onto Innovation
- The Consensus Analyst Price Target has risen from $125.00 to $133.75.
- The Future P/E for Onto Innovation has risen from 25.11x to 26.51x.
- The Net Profit Margin for Onto Innovation remained effectively unchanged, moving only marginally from 21.94% to 22.23%.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.