Semiconductor process control firm Onto Innovation beats Q3 adjusted EPS estimates

Onto Innovation

06/11/2025 22:06

Overview

Onto Innovation Q3 revenue slightly missed analyst expectations, declining 13.5% yr/yr

Adjusted EPS for Q3 beats analyst expectations

Company generated record $83.4 mln cash from operations in Q3

Outlook

Company expects Q4 revenue between $250 mln and $265 mln

Onto Innovation forecasts Q4 gross margin of 53.5% to 55%

Company anticipates Q4 GAAP EPS of $0.85 to $1.00

Result Drivers

DRAGONFLY 3Di TECHNOLOGY - Fully qualified by major HBM customers, supporting AI packaging

ATLAS G6 SHIPMENTS - Initial shipments to leading logic and memory customers, with more scheduled

RECORD CASH FROM OPERATIONS - Generated $83.4 mln, representing 185% conversion of non-GAAP net income

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Slight Miss*
$218.19 mln
$218.54 mln (7 Analysts)
Q3 Adjusted EPS
Beat
$0.92
$0.87 (7 Analysts)
Q3 EPS
$0.57
Q3 Net Income
$28.22 mln
Q3 Gross Margin
50.70%
Q3 Operating Income
$23.69 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the semiconductor equipment & testing peer group is "buy"

Wall Street's median 12-month price target for Onto Innovation Inc is $150.00, about 9.5% above its November 5 closing price of $135.76

The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release: ID:nBwb1sVTZa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)