Nova (NASDAQ:NVMI) Issues Earnings Results, Beats Expectations By $0.13 EPS

Nova (NASDAQ:NVMI) released its quarterly earnings results on Thursday. The semiconductor company reported $2.33 earnings per share for the quarter, beating the consensus estimate of $2.20 by $0.13, FiscalAI reports. The business had revenue of $235.31 million for the quarter, compared to analysts’ expectations of $227.02 million. Nova had a net margin of 29.44% and a return on equity of 22.90%. The firm’s revenue for the quarter was up 10.3% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.18 earnings per share. Nova updated its Q2 2026 guidance to 2.340-2.480 EPS.

Here are the key takeaways from Nova’s conference call:

• Nova delivered a record first quarter with revenue of $235.3 million, exceeding guidance and supported by record profitability, strong demand in memory, logic, and advanced packaging, plus record service revenue.
• Management highlighted meaningful market share gains, citing a Gartner report showing an additional 400 basis points share gain in Film SIMS and critical dimension metrology, making Nova the second-largest vendor in that market.
• The company said AI-driven demand is increasing process control and metrology intensity across logic, memory, and advanced packaging, which should support continued growth in areas like advanced DRAM, HBM, and hybrid bonding.
• Nova provided Q2 guidance for revenue of $245 million to $255 million and non-GAAP EPS of $2.34 to $2.48, while keeping gross margin expectations around 59% non-GAAP and continuing to invest in R&D and go-to-market capabilities.
• Management said it has improved visibility into next year, with some orders already being planned for 2027 deliveries, and reiterated that the new Asia facility should expand capacity and become operational toward the end of 2026.

Nova Stock Up 10.4%

Nova stock traded up $52.46 on Thursday, hitting $556.11. 599,057 shares of the stock traded hands, compared to its average volume of 327,304. Nova has a 1 year low of $179.00 and a 1 year high of $565.00. The firm has a market cap of $17.67 billion, a P/E ratio of 69.43, a price-to-earnings-growth ratio of 3.68 and a beta of 1.78. The company has a current ratio of 6.28, a quick ratio of 5.47 and a debt-to-equity ratio of 0.56. The business’s fifty day simple moving average is $479.99 and its 200 day simple moving average is $412.10.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. Smartleaf Asset Management LLC purchased a new position in Nova during the 4th quarter valued at about $29,000. Measured Wealth Private Client Group LLC purchased a new stake in Nova in the third quarter worth about $40,000. CIBC Private Wealth Group LLC increased its stake in shares of Nova by 75.7% during the third quarter. CIBC Private Wealth Group LLC now owns 130 shares of the semiconductor company’s stock valued at $42,000 after purchasing an additional 56 shares in the last quarter. Caitong International Asset Management Co. Ltd increased its stake in shares of Nova by 2,042.9% during the third quarter. Caitong International Asset Management Co. Ltd now owns 150 shares of the semiconductor company’s stock valued at $48,000 after purchasing an additional 143 shares in the last quarter. Finally, EverSource Wealth Advisors LLC lifted its holdings in shares of Nova by 62.5% during the second quarter. EverSource Wealth Advisors LLC now owns 260 shares of the semiconductor company’s stock valued at $72,000 after purchasing an additional 100 shares during the last quarter. 82.99% of the stock is currently owned by institutional investors.

Key Nova News

Here are the key news stories impacting Nova this week:

• Positive Sentiment: Nova reported record first-quarter 2026 revenue of $235.3 million, topping its own guidance and rising 10.3% from a year ago, while EPS of $2.33 beat estimates by $0.13. Nova Reports Record First Quarter 2026 Financial Results
• Positive Sentiment: The company also issued Q2 2026 guidance above Wall Street expectations, reinforcing confidence that demand remains strong.
• Positive Sentiment: Needham raised its price target on Nova to $640 from $500 and reiterated a Buy rating, signaling higher analyst expectations after the earnings beat.
• Positive Sentiment: Market commentary highlighted improving investor sentiment around Nova’s metrology growth and a strong outlook, which likely added to buying interest. Nova Shares Rise After Record Quarter and Strong Outlook
• Neutral Sentiment: Nova announced its annual general meeting for June 18, where shareholders will vote on the board slate, CEO compensation, and auditor reappointment; this is a routine governance update with limited near-term impact. Nova Sets June 18, 2026 Annual Meeting to Vote on Board Slate, CEO Pay and Auditor Reappointment
• Neutral Sentiment: Several articles focused on the earnings transcript and valuation debate, but these were largely commentary rather than new fundamental news. Nova Ltd. (NVMI) Q1 2026 Earnings Call Transcript

Analysts Set New Price Targets

Several research firms have recently commented on NVMI. Barclays started coverage on shares of Nova in a research report on Wednesday, March 11th. They issued an “overweight” rating and a $465.00 target price for the company. Wall Street Zen cut shares of Nova from a “hold” rating to a “sell” rating in a research report on Saturday, May 2nd. Jefferies Financial Group restated a “buy” rating and issued a $640.00 price objective on shares of Nova in a report on Thursday. Citigroup lifted their price objective on Nova from $370.00 to $520.00 and gave the company a “buy” rating in a research report on Friday, February 13th. Finally, Evercore reiterated an “outperform” rating and set a $485.00 target price on shares of Nova in a report on Friday, February 13th. Nine investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, Nova currently has an average rating of “Moderate Buy” and a consensus target price of $482.11.

About Nova

Nova Measuring Instruments Ltd (NASDAQ: NVMI) develops and supplies advanced metrology and process control systems for the semiconductor manufacturing industry. The company’s core product line includes spectroscopic ellipsometry and scatterometry tools designed to measure film thickness, critical dimensions, overlay alignment and other key parameters that drive yield and performance in integrated circuit fabrication.

Founded in 1993 and headquartered in Rehovot, Israel, Nova Measuring Instruments has established itself as a critical partner to leading semiconductor foundries and device manufacturers.