# Novanta Inc. (NOVT) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Technology / Electronic Equipment, Instruments & Components. Price $148.36, market value $5.6 billion.

## Valuation
- **P/E (trailing): 94.5×** (5-yr avg 88.3×, 3-yr avg 83.5×). Novanta Inc. trades at 94.5× trailing earnings, close to its own five-year average of 88.3×. The Technology median in the September 2026 study was 32.1×. Forward P/E is 34.0×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 5.4×**. Each dollar of revenue is priced at 5.4×.
- **Price / book: 3.5×**. The shares trade at 3.5× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 35.6×**. Enterprise value is 35.6× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 2.0%** (5-yr avg 1.6%). Free cash flow equals 2.0% of the market value, above its five-year average of 1.6%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 1.1%**. The inverse of the P/E: 1.1% of the price is earned each year.

## Profitability
- **Gross margin: 44.5%**. Novanta Inc. keeps 44.5% of revenue after the direct cost of what it sells.
- **Operating margin: 9.0%**. 9.0% of revenue is left after running the business.
- **Net margin: 5.5%**. 5.5% of each dollar of sales reaches the bottom line.
- **Return on equity: 4.1%**. 4.1% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 6.2%**. Return on all capital, debt included, is 6.2%.
- **Return on assets: 3.4%**. Each dollar of assets produces 3.4% of profit.

## Growth
- **Revenue growth (1 yr): 3.3%** (3-yr 4.4%/yr, 5-yr 10.7%/yr). Revenue grew 3.3% over the last year, against 10.7% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -16.9%** (3-yr -10.6%/yr, 5-yr 3.3%/yr). Earnings per share fell 16.9%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -12.0%/yr**. Free cash flow has compounded at -12.0% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.19**. Debt is 0.19 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. Novanta Inc. holds more cash than debt.
- **Altman Z-score: 8.56**. A Z-score of 8.56 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 4/9**. 4 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. Novanta Inc. does not currently pay a dividend.

## Analyst view
- **Analyst consensus: strong_buy** (2 analysts). 2 analysts cover Novanta Inc.; the consensus is strong_buy, with an average price target of $194.50 (+31% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 28.6%** (YTD 24.7%, 3-mo -5.1%). The shares are up 28.6% over twelve months including dividends.
- **From 52-week high: -15.9%** (51.0% above the low). Trading 16% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 49**. An RSI of 49 is neutral.
- **Beta (1 yr): 2.05** (volatility 51%). Beta of 2.05 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=NOVT · Page: https://foliofundamentals.com/stocks/novt

Not investment advice.