Semiconductor quality control company Nova (NASDAQ:NVMI) will be reporting earnings this Thursday before the bell. Here’s what to look for.
Nova beat analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $213.4 million, up 50.5% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates and a solid beat of analysts’ EPS estimates.
Is Nova a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Nova’s revenue to grow 37% year on year to $214.9 million, improving from the 27.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.06 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Nova has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 3% on average.
Looking at Nova’s peers in the semiconductor manufacturing segment, some have already reported their Q2 results, giving us a hint as to what we can expect. IPG Photonics’s revenues decreased 2.7% year on year, beating analysts’ expectations by 9.4%, and Amkor reported revenues up 3.4%, topping estimates by 6.3%. Amkor traded up 18.1% following the results.
Read our full analysis of IPG Photonics’s results here and Amkor’s results here.
Investors in the semiconductor manufacturing segment have had steady hands going into earnings, with share prices flat over the last month. Nova is down 8% during the same time and is heading into earnings with an average analyst price target of $274 (compared to the current share price of $263.49).
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