Recent News
On December 22, 2025 Onto received a production-support honor from a major foundry; on January 6, 2026 the company announced management would present at the Needham Growth Conference; on February 19, 2026 the company released fourth-quarter and full-year 2025 results and hosted an earnings call; on February 25, 2026 Onto confirmed participation in additional investor events; and on March 8, 2026 a new institutional investor disclosed a $7.79M stake in the company.
Technical Analysis
Directional indicators present a bullish bias: DI+ shows a dip-and-reversal while DI- shows a peak-and-reversal, both consistent with buyers re-emerging; ADX at 18.69 remains below 20, signaling no strong trend currently and suggesting any move requires confirmation.
MACD sits negative at -1.70 but displays a dip-and-reversal pattern; the MACD line remains below its signal line (-1.30), indicating momentum improving yet lacking a confirming bullish crossover—momentum appears constructive but unconfirmed for a sustained rally.
MRO stands at -18.34 with a recent dip-and-reversal; the negative MRO implies the market price trades below the model target, which aligns with upside potential toward the valuation level assigned by WMDST.
RSI reads 54.49 with a dip-and-reversal, signaling mild bullish momentum without overbought conditions and room for further advance before momentum exhaustion.
Price behavior versus averages shows consolidation with positive lean: last close $200.17 trades above the 20-day average $196.30 and well above the 200-day average $143.66, but below the 50-day average $206.37; the 12-day EMA at $199.62 shows a dip-and-reversal, indicating short-term momentum turning higher while medium-term trend remains mixed.
Volatility and breadth support tactical moves: 42‑day and 52‑week volatility register near 4%, 42‑day beta 2.58 and 52‑week beta 2.35 indicate elevated sensitivity to market swings, and recent volume (1,101,455) sits above the 10‑day average (254,143) but near the 200‑day average, signalling episodic interest rather than steady accumulation.
Fundamental Analysis
Revenue and growth: total revenue $266,866,000 with revenue growth reported at 22.31%; the provided year‑over‑year growth figure converts to 379.72% on the reported YoY metric. Quarter‑over‑quarter revenue growth shows a sharp contraction of -259.78% QoQ per the supplied QoQ figure.
Profitability: operating (EBIT) margin equals 7.82%, down -38.57% QoQ and down -51.41% YoY, reflecting compressed operating leverage over the period. That 7.82% margin sits well below the industry peer mean of 35.07% and the industry peer median of 35.31%.
Earnings: reported EPS $1.26 matched the estimate $1.26 with an EPS surprise ratio of -0.23%, indicating results in line with expectations. Reported net income $10,529,000 and non‑GAAP reconciliations accompanied the fourth‑quarter release.
Valuation multiples: trailing P/E reads 145.69 while forward P/E sits at 69.64; price/book stands at 4.34 (below the industry peer mean book multiple of 18.36 and below the industry peer median). PEG ratio at 3.94 signals elevated price-for-growth relative to the industry peer mean PEG of 0.81; forward metrics point to lower multiple compression versus trailing figures.
Cash, leverage, and cash generation: cash and short‑term investments total $639,622,000, free cash flow $89,867,000 and free cash flow yield 0.99% with a YoY expansion in free-cash-flow-yield reported at +79.42%; total debt only $17,475,000 and debt-to-assets 0.74% indicate a conservatively leveraged balance sheet that supports capital flexibility.
Operational efficiency and working capital: cash conversion cycle 258.86 days with days inventory outstanding 236.52 and days sales outstanding 90.46, signaling elongated working capital ties; current ratio 5.79 and quick ratio 4.43 reflect strong near‑term liquidity despite a QoQ decline in current ratio of -38.95%.
Valuation summary: WMDST values the stock as under‑valued. The fundamentals show durable revenue scale, strong cash holdings and low leverage, while margins contracted materially; forward multiples compress relative to trailing P/E but remain elevated versus cash yields, supporting the WMDST under‑valued determination when balancing growth expectations against near‑term margin pressure.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-19 |
| NEXT REPORT DATE: | 2026-05-21 |
| CASH FLOW | Begin Period Cash Flow | $ 603.1 M |
| Operating Cash Flow | $ 95.0 M | |
| Capital Expenditures | $ -5.13 M | |
| Change In Working Capital | $ 20.1 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -256.97 M | |
| End Period Cash Flow | $ 346.1 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 266.9 M | |
| Forward Revenue | $ 644.3 M | |
| COSTS | ||
| Cost Of Revenue | $ 143.1 M | |
| Depreciation | $ 5.9 M | |
| Depreciation and Amortization | $ 19.9 M | |
| Research and Development | $ 36.2 M | |
| Total Operating Expenses | $ 246.0 M | |
| PROFITABILITY | ||
| Gross Profit | $ 123.8 M | |
| EBITDA | $ 40.8 M | |
| EBIT | $ 20.9 M | |
| Operating Income | $ 20.9 M | |
| Interest Income | $ 7.8 M | |
| Interest Expense | — | |
| Net Interest Income | $ 7.8 M | |
| Income Before Tax | $ 19.5 M | |
| Tax Provision | $ 9.0 M | |
| Tax Rate | 40.0 % | |
| Net Income | $ 10.5 M | |
| Net Income From Continuing Operations | $ 10.5 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.26 | |
| EPS Actual | $ 1.26 | |
| EPS Difference | $ 0.00 | |
| EPS Surprise | -0.23 % | |
| Forward EPS | $ 2.05 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 2.4 B | |
| Intangible Assets | $ 942.1 M | |
| Net Tangible Assets | $ 1.2 B | |
| Total Current Assets | $ 1.3 B | |
| Cash and Short-Term Investments | $ 639.6 M | |
| Cash | $ 346.1 M | |
| Net Receivables | $ 268.9 M | |
| Inventory | $ 298.3 M | |
| Long-Term Investments | $ 10.3 M | |
| LIABILITIES | ||
| Accounts Payable | $ 107.7 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 218.9 M | |
| Net Debt | — | |
| Total Debt | $ 17.5 M | |
| Total Liabilities | $ 267.1 M | |
| EQUITY | ||
| Total Equity | $ 2.1 B | |
| Retained Earnings | $ 743.8 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 42.26 | |
| Shares Outstanding | 49.702 M | |
| Revenue Per-Share | $ 5.37 | |
| VALUATION | Market Capitalization | $ 9.1 B |
| Enterprise Value | $ 8.5 B | |
| Enterprise Multiple | 208.423 | |
| Enterprise Multiple QoQ | 67.748 % | |
| Enterprise Multiple YoY | 33.595 % | |
| Enterprise Multiple IPRWA | high: 244.045 ONTO: 208.423 median: 114.544 mean: 106.547 low: -216.655 |
|
| EV/R | 31.857 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.127 | |
| Asset To Liability | 8.865 | |
| Debt To Capital | 0.008 | |
| Debt To Assets | 0.007 | |
| Debt To Assets QoQ | 14.774 % | |
| Debt To Assets YoY | 3.073 % | |
| Debt To Assets IPRWA | high: 0.455 median: 0.194 mean: 0.166 ONTO: 0.007 low: 0.003 |
|
| Debt To Equity | 0.008 | |
| Debt To Equity QoQ | 18.35 % | |
| Debt To Equity YoY | 5.718 % | |
| Debt To Equity IPRWA | high: 0.96 mean: 0.267 median: 0.138 ONTO: 0.008 low: -0.408 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 4.343 | |
| Price To Book QoQ | 42.974 % | |
| Price To Book YoY | -10.611 % | |
| Price To Book IPRWA | high: 22.471 median: 22.16 mean: 18.359 ONTO: 4.343 low: 1.081 |
|
| Price To Earnings (P/E) | 145.689 | |
| Price To Earnings QoQ | 7.847 % | |
| Price To Earnings YoY | 15.755 % | |
| Price To Earnings IPRWA | high: 422.129 ONTO: 145.689 median: 144.216 mean: 139.455 low: -305.594 |
|
| PE/G Ratio | 3.942 | |
| Price To Sales (P/S) | 34.188 | |
| Price To Sales QoQ | 22.653 % | |
| Price To Sales YoY | -3.568 % | |
| Price To Sales IPRWA | high: 71.828 median: 45.349 mean: 41.125 ONTO: 34.188 low: 3.414 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 69.636 | |
| Forward PE/G | 1.884 | |
| Forward P/S | 14.161 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -1.114 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.117 | |
| Asset Turnover Ratio QoQ | 16.202 % | |
| Asset Turnover Ratio YoY | -6.97 % | |
| Asset Turnover Ratio IPRWA | high: 0.471 mean: 0.207 median: 0.203 ONTO: 0.117 low: 0.002 |
|
| Receivables Turnover | 1.009 | |
| Receivables Turnover Ratio QoQ | 26.097 % | |
| Receivables Turnover Ratio YoY | 7.363 % | |
| Receivables Turnover Ratio IPRWA | high: 2.317 mean: 1.794 median: 1.515 ONTO: 1.009 low: 0.498 |
|
| Inventory Turnover | 0.513 | |
| Inventory Turnover Ratio QoQ | 26.317 % | |
| Inventory Turnover Ratio YoY | 16.121 % | |
| Inventory Turnover Ratio IPRWA | high: 2.239 mean: 0.518 ONTO: 0.513 median: 0.401 low: 0.174 |
|
| Days Sales Outstanding (DSO) | 90.463 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 258.858 | |
| Cash Conversion Cycle Days QoQ | -2.812 % | |
| Cash Conversion Cycle Days YoY | -10.904 % | |
| Cash Conversion Cycle Days IPRWA | high: 596.302 median: 270.338 ONTO: 258.858 mean: 251.482 low: -64.288 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.254 | |
| CapEx To Revenue | -0.019 | |
| CapEx To Depreciation | -0.876 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 2.1 B | |
| Net Invested Capital | $ 2.1 B | |
| Invested Capital | $ 2.1 B | |
| Net Tangible Assets | $ 1.2 B | |
| Net Working Capital | $ 1.0 B | |
| LIQUIDITY | ||
| Cash Ratio | 2.921 | |
| Current Ratio | 5.792 | |
| Current Ratio QoQ | -38.945 % | |
| Current Ratio YoY | -33.329 % | |
| Current Ratio IPRWA | high: 10.619 ONTO: 5.792 median: 2.256 mean: 2.13 low: 1.126 |
|
| Quick Ratio | 4.429 | |
| Quick Ratio QoQ | -43.885 % | |
| Quick Ratio YoY | -36.72 % | |
| Quick Ratio IPRWA | high: 7.834 ONTO: 4.429 median: 1.606 mean: 1.49 low: 0.791 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 0.428 | |
| Cost Of Debt | 12.049 % | |
| Interest Coverage Ratio | 6.587 | |
| Interest Coverage Ratio QoQ | -24.858 % | |
| Interest Coverage Ratio YoY | -50.87 % | |
| Interest Coverage Ratio IPRWA | high: 99.429 mean: 34.751 median: 32.93 ONTO: 6.587 low: -143.241 |
|
| Operating Cash Flow Ratio | 0.172 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 68.122 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 8.284 % | |
| Revenue Growth | 22.307 % | |
| Revenue Growth QoQ | -259.781 % | |
| Revenue Growth YoY | 379.72 % | |
| Revenue Growth IPRWA | high: 40.838 % ONTO: 22.307 % mean: 12.699 % median: 2.725 % low: -9.892 % |
|
| Earnings Growth | 36.957 % | |
| Earnings Growth QoQ | -239.989 % | |
| Earnings Growth YoY | 191.298 % | |
| Earnings Growth IPRWA | high: 266.667 % ONTO: 36.957 % mean: 17.211 % median: 0.794 % low: -85.714 % |
|
| MARGINS | ||
| Gross Margin | 46.387 % | |
| Gross Margin QoQ | -8.507 % | |
| Gross Margin YoY | -7.533 % | |
| Gross Margin IPRWA | high: 90.758 % mean: 52.504 % median: 52.156 % ONTO: 46.387 % low: 9.383 % |
|
| EBIT Margin | 7.817 % | |
| EBIT Margin QoQ | -38.565 % | |
| EBIT Margin YoY | -51.408 % | |
| EBIT Margin IPRWA | high: 42.46 % median: 35.306 % mean: 35.066 % ONTO: 7.817 % low: -49.18 % |
|
| Return On Sales (ROS) | 7.817 % | |
| Return On Sales QoQ | -38.565 % | |
| Return On Sales YoY | -51.408 % | |
| Return On Sales IPRWA | high: 69.122 % median: 35.306 % mean: 34.42 % ONTO: 7.817 % low: -49.18 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 89.9 M | |
| Free Cash Flow Yield | 0.985 % | |
| Free Cash Flow Yield QoQ | -26.983 % | |
| Free Cash Flow Yield YoY | 79.417 % | |
| Free Cash Flow Yield IPRWA | high: 2.925 % mean: 1.468 % median: 1.229 % ONTO: 0.985 % low: -3.047 % |
|
| Free Cash Growth | 9.571 % | |
| Free Cash Growth QoQ | -88.829 % | |
| Free Cash Growth YoY | -172.409 % | |
| Free Cash Growth IPRWA | high: 500.136 % ONTO: 9.571 % median: -0.341 % mean: -9.135 % low: -360.935 % |
|
| Free Cash To Net Income | 8.535 | |
| Cash Flow Margin | 14.085 % | |
| Cash Flow To Earnings | 3.57 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 0.462 % | |
| Return On Assets QoQ | -64.598 % | |
| Return On Assets YoY | -80.172 % | |
| Return On Assets IPRWA | high: 7.364 % mean: 6.085 % median: 5.937 % ONTO: 0.462 % low: -7.635 % |
|
| Return On Capital Employed (ROCE) | 0.971 % | |
| Return On Equity (ROE) | 0.005 | |
| Return On Equity QoQ | -64.468 % | |
| Return On Equity YoY | -80.237 % | |
| Return On Equity IPRWA | high: 0.21 median: 0.145 mean: 0.142 ONTO: 0.005 low: -0.029 |
|
| DuPont ROE | 0.513 % | |
| Return On Invested Capital (ROIC) | 0.596 % | |
| Return On Invested Capital QoQ | -51.148 % | |
| Return On Invested Capital YoY | -112.342 % | |
| Return On Invested Capital IPRWA | high: 11.139 % median: 10.618 % mean: 9.118 % ONTO: 0.596 % low: -2.702 % |
|