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ONTO

ONTO

Technology · Semiconductor Equipment & Materials

$324.89-3.30%
Mkt Cap: $16.16B

Performance

ONTO (ONTO) Stock Analysis 2026

Rule-based · Updated daily · Not financial advice

ONTO (ONTO) operates in the Semiconductor Equipment & Materials space within the Technology sector. With a market cap of $16.2B, it qualifies as a mid-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.

Bull Case4
  • Forward P/E (33.0×) is lower than trailing P/E (151.1×) — analysts expect earnings to improve
  • Revenue growth of 10% YoY shows solid business momentum
  • Healthy profit margin of 10.3%
  • Current ratio of 6.2× — ample short-term liquidity
Bear Case5
  • High P/E of 151.1× implies high expectations already priced in — leaves little room for disappointment
  • Earnings fell 49% YoY — profitability is under pressure
  • No dividend history — total return depends entirely on price appreciation
  • Price is near its 52-week high — limited near-term upside, higher pullback risk
  • High beta of 1.63 — this stock is significantly more volatile than the broader market

Verdict

Caution

More risks than strengths. Consider waiting for fundamentals to improve before adding.

AI Insight

Powered by Claude

AI-generated analysis for informational purposes only. Not financial advice.

Related Articles

Revenue & Results

Dividends

This stock does not pay dividends.

If You Had Invested…

Hypothetical return based on historical prices

$

* Dividend reinvestment calculated at ex-date price. For informational purposes only.

Earnings

EPS (TTM)

$2.15

P/E (TTM)

151.1

Fwd P/E

33.0

Earnings History

SEC EDGAR · official filings

SEC filings

SEC Filings

Official EDGAR documents

All filings

Key Statistics

Valuation

Market Cap$16.16B
P/E Ratio151.11
Forward P/E33.03
P/B Ratio
PEG Ratio1.51
EPS (TTM)$2.15

Trading

Open
Day High
Day Low
52W High$348.76
52W Low$89.40
Volume
Avg Volume (3M)1,045,334
Beta1.63

Dividends

Dividend Yield
Annual Rate
Ex-Div Date
Payout Ratio0.00%

Profitability

Profit Margin10.32%
Operating Margin16.75%
ROE5.25%
ROA5.37%
Revenue Growth9.50%
Earnings Growth-48.50%

Balance Sheet

Total Revenue$1.03B
Total Debt$0
Debt / Equity
Current Ratio6.15
Free Cash Flow$197.24M

Fair Value Estimates

Current price: $324.89

Graham Number

√(22.5 × EPS × Book Value)

$45.22

-86.1% downside

Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.

Bazin Ceiling Price

Avg. Annual DPS (5Y) ÷ 6%

N/A

Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.

These are simplified estimates. Not financial advice.

Buy & Hold Checklist

Quality criteria for long-term holding

4/10

57% score

Pays dividends

No dividend history found

Dividend consistency (5Y+)

Uninterrupted dividend payments for at least 5 years

ROE above 10%

5.3%

Return on equity — measures how efficiently capital is used

Positive profit margin

10.3%

Net profit margin must be positive — company earns more than it spends

Revenue growth (annual)

+9.5%

Annual revenue must be growing compared to the prior year

Earnings growth (annual)

-48.5%

Annual earnings must be growing compared to the prior year

Debt/Equity below 2×

Low financial leverage reduces risk of distress

Current ratio above 1

6.15×

Short-term assets must cover short-term liabilities

Daily liquidity above $5M

$340M/day

High trading volume ensures easy entry and exit

Dividend yield above 0%

Stock must distribute income to shareholders

Related Assets

Technology

About ONTO

Onto Innovation Inc. engages in the design, development, manufacture, and support of process control tools that perform macro-defect inspection and metrology in the United States, Taiwan, South Korea, Japan, China, Southeast Asia, Asia, and Europe. The company offers lithography systems and process control analytical software; and automated and integrated metrology systems, silicon wafer all-surface inspection, macro defect inspection, automated defect classification and pattern analysis, yield analysis, opaque film metrology, 4D business, advanced packaging lithography, process control software, and yield management software products. It also provides process and yield management solutions, and device packaging and test facilities through standalone systems for optical metrology, macro-defect inspection, packaging lithography, and transparent and opaque thin film measurements. In addition, the company offers process control software portfolio that includes solutions for standalone tools, groups of tools, and factory-wide suites. Further, it engages in systems and software, spare parts, and other services, as well as offers software licensing services; and provides advanced product lines, such as FAaST, CnCV, and MBIR. The company's products are used in semiconductor and advanced packaging device manufacturers; silicon wafers; semiconductor integrated circuit fabricators; light emitting diodes; vertical-cavity surface-emitting lasers; micro-electromechanical systems; CMOS image sensors; silicon and compound semiconductor power devices; analog devices; RF filters; data storage; and various industrial and scientific applications. Onto Innovation Inc. was founded in 1940 and is headquartered in Wilmington, Massachusetts.

Sector

Technology

Industry

Semiconductor Equipment & Materials

Location

Wilmington, United States

Employees

1,615