Logo image of NVMI

NOVA LTD (NVMI) Stock Fundamental Analysis

NASDAQ:NVMI - Nasdaq - IL0010845571 - Common Stock - Currency: USD

285.91  +3.97 (+1.41%)

After market: 285.91 0 (0%)

Fundamental Rating

6

NVMI gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 110 industry peers in the Semiconductors & Semiconductor Equipment industry. While NVMI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. NVMI is not overvalued while it is showing excellent growth. This is an interesting combination. This makes NVMI very considerable for growth investing!


Dividend Valuation Growth Profitability Health

Quickly go to:

9

1. Profitability

1.1 Basic Checks

In the past year NVMI was profitable.
NVMI had a positive operating cash flow in the past year.
Each year in the past 5 years NVMI has been profitable.
Each year in the past 5 years NVMI had a positive operating cash flow.
NVMI Yearly Net Income VS EBIT VS OCF VS FCFNVMI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M 100M 150M 200M

1.2 Ratios

NVMI's Return On Assets of 14.46% is amongst the best of the industry. NVMI outperforms 86.36% of its industry peers.
Looking at the Return On Equity, with a value of 21.56%, NVMI belongs to the top of the industry, outperforming 87.27% of the companies in the same industry.
NVMI has a Return On Invested Capital of 17.40%. This is amongst the best in the industry. NVMI outperforms 91.82% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NVMI is above the industry average of 10.58%.
The 3 year average ROIC (15.19%) for NVMI is below the current ROIC(17.40%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 14.46%
ROE 21.56%
ROIC 17.4%
ROA(3y)13.16%
ROA(5y)11.67%
ROE(3y)20.62%
ROE(5y)18.88%
ROIC(3y)15.19%
ROIC(5y)14.49%
NVMI Yearly ROA, ROE, ROICNVMI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20

1.3 Margins

Looking at the Profit Margin, with a value of 28.46%, NVMI belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
NVMI's Profit Margin has improved in the last couple of years.
The Operating Margin of NVMI (28.71%) is better than 88.18% of its industry peers.
NVMI's Operating Margin has improved in the last couple of years.
NVMI has a Gross Margin of 57.28%. This is in the better half of the industry: NVMI outperforms 79.09% of its industry peers.
In the last couple of years the Gross Margin of NVMI has remained more or less at the same level.
Industry RankSector Rank
OM 28.71%
PM (TTM) 28.46%
GM 57.28%
OM growth 3Y1.07%
OM growth 5Y11.5%
PM growth 3Y6.9%
PM growth 5Y11.79%
GM growth 3Y0.58%
GM growth 5Y1.23%
NVMI Yearly Profit, Operating, Gross MarginsNVMI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40 50

More info and screens

5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NVMI is creating some value.
Compared to 1 year ago, NVMI has more shares outstanding
Compared to 5 years ago, NVMI has more shares outstanding
NVMI has a better debt/assets ratio than last year.
NVMI Yearly Shares OutstandingNVMI Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M 20M 25M
NVMI Yearly Total Debt VS Total AssetsNVMI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

2.2 Solvency

There is no outstanding debt for NVMI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0.82
Altman-Z N/A
ROIC/WACC1.41
WACC12.35%
NVMI Yearly LT Debt VS Equity VS FCFNVMI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M 800M

2.3 Liquidity

A Current Ratio of 2.18 indicates that NVMI has no problem at all paying its short term obligations.
The Current ratio of NVMI (2.18) is worse than 70.00% of its industry peers.
A Quick Ratio of 1.74 indicates that NVMI should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.74, NVMI is not doing good in the industry: 66.36% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 2.18
Quick Ratio 1.74
NVMI Yearly Current Assets VS Current LiabilitesNVMI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

More info and screens

8

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 48.21% over the past year.
The Earnings Per Share has been growing by 33.09% on average over the past years. This is a very strong growth
Looking at the last year, NVMI shows a very strong growth in Revenue. The Revenue has grown by 41.03%.
Measured over the past years, NVMI shows a very strong growth in Revenue. The Revenue has been growing by 24.49% on average per year.
EPS 1Y (TTM)48.21%
EPS 3Y20.27%
EPS 5Y33.09%
EPS Q2Q%56.83%
Revenue 1Y (TTM)41.03%
Revenue growth 3Y17.35%
Revenue growth 5Y24.49%
Sales Q2Q%50.46%

3.2 Future

Based on estimates for the next years, NVMI will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.41% on average per year.
Based on estimates for the next years, NVMI will show a quite strong growth in Revenue. The Revenue will grow by 16.26% on average per year.
EPS Next Y29.1%
EPS Next 2Y18.06%
EPS Next 3Y14.08%
EPS Next 5Y16.41%
Revenue Next Year29.96%
Revenue Next 2Y17.92%
Revenue Next 3Y14.68%
Revenue Next 5Y16.26%

3.3 Evolution

Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
NVMI Yearly Revenue VS EstimatesNVMI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2029 500M 1B
NVMI Yearly EPS VS EstimatesNVMI Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2029 5 10

More info and screens

4

4. Valuation

4.1 Price/Earnings Ratio

NVMI is valuated quite expensively with a Price/Earnings ratio of 38.27.
Compared to the rest of the industry, the Price/Earnings ratio of NVMI indicates a somewhat cheap valuation: NVMI is cheaper than 60.91% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of NVMI to the average of the S&P500 Index (27.19), we can say NVMI is valued slightly more expensively.
The Price/Forward Earnings ratio is 30.71, which means the current valuation is very expensive for NVMI.
NVMI's Price/Forward Earnings is on the same level as the industry average.
NVMI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 35.33, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 38.27
Fwd PE 30.71
NVMI Price Earnings VS Forward Price EarningsNVMI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

NVMI's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, NVMI is valued a bit cheaper than the industry average as 68.18% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 38.02
EV/EBITDA 32.52
NVMI Per share dataNVMI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of NVMI may justify a higher PE ratio.
A more expensive valuation may be justified as NVMI's earnings are expected to grow with 14.08% in the coming years.
PEG (NY)1.32
PEG (5Y)1.16
EPS Next 2Y18.06%
EPS Next 3Y14.08%

More info and screens

0

5. Dividend

5.1 Amount

No dividends for NVMI!.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

NOVA LTD

NASDAQ:NVMI (7/15/2025, 8:08:50 PM)

After market: 285.91 0 (0%)

285.91

+3.97 (+1.41%)

Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)05-08 2025-05-08/bmo
Earnings (Next)08-07 2025-08-07/bmo
Inst Owners76.6%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap8.41B
Analysts84.29
Price Target258.58 (-9.56%)
Short Float %5.6%
Short Ratio6.13
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.87%
Min EPS beat(2)3.26%
Max EPS beat(2)4.47%
EPS beat(4)4
Avg EPS beat(4)6.45%
Min EPS beat(4)1.68%
Max EPS beat(4)16.4%
EPS beat(8)8
Avg EPS beat(8)6.86%
EPS beat(12)12
Avg EPS beat(12)6.37%
EPS beat(16)16
Avg EPS beat(16)9.07%
Revenue beat(2)1
Avg Revenue beat(2)0.97%
Min Revenue beat(2)-0.44%
Max Revenue beat(2)2.39%
Revenue beat(4)3
Avg Revenue beat(4)1.97%
Min Revenue beat(4)-0.44%
Max Revenue beat(4)3.82%
Revenue beat(8)6
Avg Revenue beat(8)1.72%
Revenue beat(12)8
Avg Revenue beat(12)1.23%
Revenue beat(16)12
Avg Revenue beat(16)2.18%
PT rev (1m)-2.47%
PT rev (3m)-10.43%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.74%
EPS NY rev (1m)0.67%
EPS NY rev (3m)2.59%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.55%
Valuation
Industry RankSector Rank
PE 38.27
Fwd PE 30.71
P/S 11.3
P/FCF 38.02
P/OCF 34.4
P/B 8.56
P/tB 9.91
EV/EBITDA 32.52
EPS(TTM)7.47
EY2.61%
EPS(NY)9.31
Fwd EY3.26%
FCF(TTM)7.52
FCFY2.63%
OCF(TTM)8.31
OCFY2.91%
SpS25.3
BVpS33.41
TBVpS28.85
PEG (NY)1.32
PEG (5Y)1.16
Profitability
Industry RankSector Rank
ROA 14.46%
ROE 21.56%
ROCE 20.11%
ROIC 17.4%
ROICexc 35.53%
ROICexgc 47.84%
OM 28.71%
PM (TTM) 28.46%
GM 57.28%
FCFM 29.72%
ROA(3y)13.16%
ROA(5y)11.67%
ROE(3y)20.62%
ROE(5y)18.88%
ROIC(3y)15.19%
ROIC(5y)14.49%
ROICexc(3y)32.48%
ROICexc(5y)43.28%
ROICexgc(3y)41.09%
ROICexgc(5y)54.3%
ROCE(3y)17.55%
ROCE(5y)16.75%
ROICexcg growth 3Y-25.15%
ROICexcg growth 5Y16.57%
ROICexc growth 3Y-24.52%
ROICexc growth 5Y15.8%
OM growth 3Y1.07%
OM growth 5Y11.5%
PM growth 3Y6.9%
PM growth 5Y11.79%
GM growth 3Y0.58%
GM growth 5Y1.23%
F-Score8
Asset Turnover0.51
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0.82
Debt/EBITDA 0
Cap/Depr 130.12%
Cap/Sales 3.13%
Interest Coverage 250
Cash Conversion 105.58%
Profit Quality 104.42%
Current Ratio 2.18
Quick Ratio 1.74
Altman-Z N/A
F-Score8
WACC12.35%
ROIC/WACC1.41
Cap/Depr(3y)117.01%
Cap/Depr(5y)96.11%
Cap/Sales(3y)3.2%
Cap/Sales(5y)2.63%
Profit Quality(3y)88.91%
Profit Quality(5y)103.24%
High Growth Momentum
Growth
EPS 1Y (TTM)48.21%
EPS 3Y20.27%
EPS 5Y33.09%
EPS Q2Q%56.83%
EPS Next Y29.1%
EPS Next 2Y18.06%
EPS Next 3Y14.08%
EPS Next 5Y16.41%
Revenue 1Y (TTM)41.03%
Revenue growth 3Y17.35%
Revenue growth 5Y24.49%
Sales Q2Q%50.46%
Revenue Next Year29.96%
Revenue Next 2Y17.92%
Revenue Next 3Y14.68%
Revenue Next 5Y16.26%
EBIT growth 1Y59.75%
EBIT growth 3Y18.61%
EBIT growth 5Y38.8%
EBIT Next Year36.85%
EBIT Next 3Y16.21%
EBIT Next 5YN/A
FCF growth 1Y102.26%
FCF growth 3Y19.59%
FCF growth 5Y62.24%
OCF growth 1Y88.42%
OCF growth 3Y21.15%
OCF growth 5Y42.03%