Recent News
On March 16 the company announced the launch of the Dragonfly G5 inspection system, highlighting a new product aimed at advanced inspection applications. The company also disclosed senior management participation at the Morgan Stanley Technology, Media & Telecom conference on March 3, where leadership outlined corporate strategy and market positioning.
Technical Analysis
Directional indicators: ADX at 26.38 indicates a strong directional move in place; DI+ shows a peak-and-reversal while DI- shows a dip-and-reversal, a combination that reads as bearish directional pressure for the near term and implies momentum has shifted away from the recent advance.
MACD: MACD stands at 12.41 below its signal line at 16.09 with a recorded peak-and-reversal, which signals bearish momentum and suggests downside pressure until MACD begins a sustained recovery or crosses back above the signal line.
MRO: The Momentum/Regression Oscillator sits at 12.95 and registered a peak-and-reversal; the positive MRO indicates price currently trades above the model target and therefore carries increased likelihood of a corrective pullback.
RSI and moving averages: RSI at 59.36 with a peak-and-reversal shows waning upside momentum. Price closed at $277.94, beneath the 20-day average ($291.15) but above the 50-day ($242.07) and 200-day ($172.64) averages; this pattern implies short-term consolidation with longer-term support intact. High short-term volatility and elevated betas (42-day 2.45, 52-week 2.57) increase the range risk during the consolidation phase.
Fundamental Analysis
Profitability and margins: Operating (EBIT) margin equals 13.264%, up 69.681% quarter-over-quarter but down 43.989% year-over-year. The company’s EBIT margin sits below the industry peer mean of 35.788% and below the industry peer median of 36.020%, indicating lower operating profitability versus peers despite recent QoQ improvement.
Revenue and earnings growth: Revenue growth measures 9.40% on the primary growth metric; the reported revenue growth year-over-year value reads 829.67% in the supplied data. Reported earnings growth shows a decline year-over-year of 76.521% and a QoQ decline of 65.641%, pointing to material variability in reported profitability despite positive top-line movement on the primary growth metric.
Liquidity and cash flow: Cash and short-term investments total $654,164,000 with a cash ratio of 3.05 and a current ratio of 6.15, reflecting substantial near-term liquidity. Operating cash flow registers $26,322,000 while free cash flow equals $22,737,000 and free cash flow yield stands at 0.193%.
Capital structure and coverage: Interest coverage approximates 12.23, indicating ample ability to service interest expense; cost of debt sits at 17.811% in the provided figures. Total equity registers $2,132,188,000 and market capitalization equals $11,764,678,918.
Valuation context: Price/earnings at 166.55 sits slightly above the industry peer mean of 162.40 but near the industry peer median of 158.47; price/book at 5.52 remains well below the industry peer mean of 23.30. Forward P/E equals 82.46, below the industry peer mean forward P/E of 108.42. The current valuation, as determined by WMDST, registers as fair-valued.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-03-31 |
| REPORT DATE: | 2026-05-05 |
| NEXT REPORT DATE: | 2026-08-04 |
| CASH FLOW | Begin Period Cash Flow | $ 346.1 M |
| Operating Cash Flow | $ 26.3 M | |
| Capital Expenditures | $ -3.58 M | |
| Change In Working Capital | $ -41.57 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -93.87 M | |
| End Period Cash Flow | $ 252.2 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 291.9 M | |
| Forward Revenue | $ 255.5 M | |
| COSTS | ||
| Cost Of Revenue | $ 145.6 M | |
| Depreciation | $ 5.8 M | |
| Depreciation and Amortization | $ 25.5 M | |
| Research and Development | $ 35.1 M | |
| Total Operating Expenses | $ 253.2 M | |
| PROFITABILITY | ||
| Gross Profit | $ 146.4 M | |
| EBITDA | $ 64.2 M | |
| EBIT | $ 38.7 M | |
| Operating Income | $ 38.7 M | |
| Interest Income | $ 5.1 M | |
| Interest Expense | — | |
| Net Interest Income | $ 5.1 M | |
| Income Before Tax | $ 38.1 M | |
| Tax Provision | $ 4.3 M | |
| Tax Rate | 11.306 % | |
| Net Income | $ 33.8 M | |
| Net Income From Continuing Operations | $ 33.8 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.42 | |
| EPS Actual | $ 1.42 | |
| EPS Difference | $ 0.00 | |
| EPS Surprise | 0.35 % | |
| Forward EPS | $ 2.37 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 2.4 B | |
| Intangible Assets | $ 921.9 M | |
| Net Tangible Assets | $ 1.2 B | |
| Total Current Assets | $ 1.3 B | |
| Cash and Short-Term Investments | $ 654.2 M | |
| Cash | $ 252.2 M | |
| Net Receivables | $ 306.6 M | |
| Inventory | $ 316.0 M | |
| Long-Term Investments | $ 26.5 M | |
| LIABILITIES | ||
| Accounts Payable | $ 105.5 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 214.4 M | |
| Net Debt | — | |
| Total Debt | — | |
| Total Liabilities | $ 264.2 M | |
| EQUITY | ||
| Total Equity | $ 2.1 B | |
| Retained Earnings | $ 777.5 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 42.86 | |
| Shares Outstanding | 49.744 M | |
| Revenue Per-Share | $ 5.87 | |
| VALUATION | Market Capitalization | $ 11.8 B |
| Enterprise Value | — | |
| Enterprise Multiple | — | |
| Enterprise Multiple QoQ | — | |
| Enterprise Multiple YoY | — | |
| Enterprise Multiple IPRWA | — | |
| EV/R | — | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.124 | |
| Asset To Liability | 9.071 | |
| Debt To Capital | — | |
| Debt To Assets | — | |
| Debt To Assets QoQ | — | |
| Debt To Assets YoY | — | |
| Debt To Assets IPRWA | — | |
| Debt To Equity | — | |
| Debt To Equity QoQ | — | |
| Debt To Equity YoY | — | |
| Debt To Equity IPRWA | — | |
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 5.518 | |
| Price To Book QoQ | 27.038 % | |
| Price To Book YoY | 58.716 % | |
| Price To Book IPRWA | high: 35.362 median: 24.79 mean: 23.302 ONTO: 5.518 low: 1.593 |
|
| Price To Earnings (P/E) | 166.554 | |
| Price To Earnings QoQ | 14.321 % | |
| Price To Earnings YoY | 84.046 % | |
| Price To Earnings IPRWA | high: 338.258 ONTO: 166.554 mean: 162.398 median: 158.471 low: 54.445 |
|
| PE/G Ratio | 13.117 | |
| Price To Sales (P/S) | 40.297 | |
| Price To Sales QoQ | 17.867 % | |
| Price To Sales YoY | 60.988 % | |
| Price To Sales IPRWA | high: 101.704 median: 58.9 mean: 50.287 ONTO: 40.297 low: 7.693 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 82.462 | |
| Forward PE/G | 6.494 | |
| Forward P/S | 46.054 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 9.11 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.123 | |
| Asset Turnover Ratio QoQ | 4.582 % | |
| Asset Turnover Ratio YoY | -2.722 % | |
| Asset Turnover Ratio IPRWA | high: 0.298 mean: 0.208 median: 0.19 ONTO: 0.123 low: 0.067 |
|
| Receivables Turnover | 1.015 | |
| Receivables Turnover Ratio QoQ | 0.585 % | |
| Receivables Turnover Ratio YoY | 14.115 % | |
| Receivables Turnover Ratio IPRWA | high: 2.361 mean: 1.822 median: 1.56 ONTO: 1.015 low: 0.934 |
|
| Inventory Turnover | 0.474 | |
| Inventory Turnover Ratio QoQ | -7.647 % | |
| Inventory Turnover Ratio YoY | 11.327 % | |
| Inventory Turnover Ratio IPRWA | high: 3.101 mean: 0.559 ONTO: 0.474 median: 0.395 low: 0.148 |
|
| Days Sales Outstanding (DSO) | 89.937 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 217.839 | |
| Cash Conversion Cycle Days QoQ | -15.846 % | |
| Cash Conversion Cycle Days YoY | -17.789 % | |
| Cash Conversion Cycle Days IPRWA | high: 584.091 median: 265.721 ONTO: 217.839 mean: 216.082 low: 48.011 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.264 | |
| CapEx To Revenue | -0.012 | |
| CapEx To Depreciation | -0.62 | |
| 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 | $ 1.1 B | |
| LIQUIDITY | ||
| Cash Ratio | 3.05 | |
| Current Ratio | 6.154 | |
| Current Ratio QoQ | 6.259 % | |
| Current Ratio YoY | -26.922 % | |
| Current Ratio IPRWA | high: 10.97 ONTO: 6.154 median: 2.536 mean: 2.232 low: 1.36 |
|
| Quick Ratio | 4.68 | |
| Quick Ratio QoQ | 5.669 % | |
| Quick Ratio YoY | -30.598 % | |
| Quick Ratio IPRWA | high: 6.997 ONTO: 4.68 median: 1.773 mean: 1.519 low: 0.782 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | — | |
| Cost Of Debt | 17.811 % | |
| Interest Coverage Ratio | 12.227 | |
| Interest Coverage Ratio QoQ | 85.624 % | |
| Interest Coverage Ratio YoY | -38.665 % | |
| Interest Coverage Ratio IPRWA | high: 148.787 mean: 41.931 median: 34.739 ONTO: 12.227 low: -422.9 |
|
| Operating Cash Flow Ratio | 0.008 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 67.99 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 1.209 % | |
| Revenue Growth | 9.399 % | |
| Revenue Growth QoQ | -57.865 % | |
| Revenue Growth YoY | 829.674 % | |
| Revenue Growth IPRWA | high: 18.384 % ONTO: 9.399 % median: 3.118 % mean: -0.195 % low: -17.762 % |
|
| Earnings Growth | 12.698 % | |
| Earnings Growth QoQ | -65.641 % | |
| Earnings Growth YoY | -76.521 % | |
| Earnings Growth IPRWA | high: 42.222 % ONTO: 12.698 % median: 6.215 % mean: 6.135 % low: -106.667 % |
|
| MARGINS | ||
| Gross Margin | 50.142 % | |
| Gross Margin QoQ | 8.095 % | |
| Gross Margin YoY | -6.667 % | |
| Gross Margin IPRWA | high: 74.6 % median: 52.983 % mean: 52.624 % ONTO: 50.142 % low: 14.188 % |
|
| EBIT Margin | 13.264 % | |
| EBIT Margin QoQ | 69.681 % | |
| EBIT Margin YoY | -43.989 % | |
| EBIT Margin IPRWA | high: 43.548 % median: 36.02 % mean: 35.788 % ONTO: 13.264 % low: -41.006 % |
|
| Return On Sales (ROS) | 13.264 % | |
| Return On Sales QoQ | 69.681 % | |
| Return On Sales YoY | -43.989 % | |
| Return On Sales IPRWA | high: 41.215 % median: 36.02 % mean: 34.683 % ONTO: 13.264 % low: -41.006 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 22.7 M | |
| Free Cash Flow Yield | 0.193 % | |
| Free Cash Flow Yield QoQ | -80.406 % | |
| Free Cash Flow Yield YoY | -84.622 % | |
| Free Cash Flow Yield IPRWA | high: 2.571 % median: 0.284 % ONTO: 0.193 % mean: 0.02 % low: -0.614 % |
|
| Free Cash Growth | -74.699 % | |
| Free Cash Growth QoQ | -880.472 % | |
| Free Cash Growth YoY | -218.536 % | |
| Free Cash Growth IPRWA | high: 145.87 % median: -50.693 % mean: -73.049 % ONTO: -74.699 % low: -137.438 % |
|
| Free Cash To Net Income | 0.674 | |
| Cash Flow Margin | 0.574 % | |
| Cash Flow To Earnings | 0.05 | |
| VALUE & RETURNS | ||
| Economic Value Added | — | |
| Return On Assets (ROA) | 1.417 % | |
| Return On Assets QoQ | 206.71 % | |
| Return On Assets YoY | -53.219 % | |
| Return On Assets IPRWA | high: 9.258 % mean: 6.426 % median: 5.59 % ONTO: 1.417 % low: -2.095 % |
|
| Return On Capital Employed (ROCE) | 1.775 % | |
| Return On Equity (ROE) | 0.016 | |
| Return On Equity QoQ | 215.968 % | |
| Return On Equity YoY | -52.591 % | |
| Return On Equity IPRWA | high: 0.206 mean: 0.141 median: 0.132 ONTO: 0.016 low: -0.023 |
|
| DuPont ROE | 1.595 % | |
| Return On Invested Capital (ROIC) | 1.611 % | |
| Return On Invested Capital QoQ | 170.302 % | |
| Return On Invested Capital YoY | -44.961 % | |
| Return On Invested Capital IPRWA | high: 12.991 % median: 10.759 % mean: 10.157 % ONTO: 1.611 % low: -2.441 % |
|
