What is DA Davidson's Prediction for Nordson's Second Quarter Earnings?

Highlight

• Analysts anticipate Nordson's Q2 2025 earnings at $2.35 per share, despite a recent earnings miss.
• Nordson's stock performance remains stable, with a moderate buy consensus and a target price average of $267.33.
• Strong institutional backing, with major investors holding significant shares of Nordson’s stock.

Nordson Corporation (NASDAQ:NDSN), a renowned player in the industrial products sector, recently had its Q2 2025 earnings estimates reviewed by DA Davidson. The analysts forecast the organization's earnings to be around $2.35 per share for the quarter. Despite DA Davidson's optimistic projections, Nordson's previous quarterly earnings of $2.06 per share narrowly missed the consensus estimate of $2.08. The firm generated revenue of $615.42 million, falling short of an anticipated $639.40 million. However, the company showcased a robust net margin of 16.93% and a return on equity standing at 19.28%.

Market Position and Stock Performance

With a current debt-to-equity ratio of 0.72, Nordson's stock opened at $215.44 on Monday. The organization boasts both a quick ratio of 1.51 and a current ratio of 2.53. The company's market capitalization is placed at $12.30 billion, with a PE ratio of 27.41 and a PEG ratio of 1.65. The stock's performance over the past year reflects a fifty-two-week low of $196.83 and a peak at $279.38. Analysts in the industry have varied positions on the stock, with ratings ranging from neutral to strong-buy, with an overall moderate buy consensus.

Institutional Investments and Strategic Movements

Institutional investors have demonstrated significant interest in Nordson's stock. Vanguard Group Inc. increased its stake by 1.5% in the recent quarter, now overseeing 6,226,757 shares valued at $1,302,887,000. Meanwhile, State Street Corp expanded its holdings by 7.2% during the previous year's third quarter, totaling 2,638,375 shares, which are valued at $692,916,000. Additional notable investments came from Lazard Asset Management LLC and Geode Capital Management LLC, underscoring a strong institutional confidence in Nordson’s future prospects.

Insider Activities and Future Prospects

Recent insider activity reveals that EVP Stephen Lovass divested 1,299 shares at a price of $206.79, resulting in a transaction totaling $268,620.21. Following this sale, he retains 7,347 shares in the company, indicating a 15.02% decrease in his position. Current insider ownership in the company is marked at 0.80%.

Dividend Insights

Nordson declared a quarterly dividend of $0.78 per share, distributed on January 16th. As a result, the annualized dividend sums to $3.12, offering a yield of 1.45%, with a dividend payout ratio settled at 39.69%.

Nordson Corporation operates across three primary sectors: Industrial Precision Solutions, Medical and Fluid Solutions, and Advanced Technology Solutions. The company specializes in engineering, manufacturing, and selling products aimed at the effective dispensing, application, and control of adhesives, coatings, polymers, sealants, and various biomaterials on a global scale.