WILMINGTON, MA – Mark Slicer, the Chief Financial Officer of Onto Innovation Inc. (NYSE:ONTO), has sold a total of 1,038 shares of the company's common stock in two separate transactions, according to recent filings with the Securities and Exchange Commission. The sales, which took place on June 6 and June 7, 2024, amounted to over $227,519 in total value.
The first transaction on June 6 involved the sale of 519 shares at a price of $221.21 per share. The following day, Slicer sold another 519 shares, this time at a slightly lower price of $217.17 per share. The reported transactions were carried out under a prearranged 10b5-1 trading plan, which allows company insiders to sell shares at predetermined times to avoid any accusations of insider trading.
After the completion of these sales, Slicer still owns a total of 12,033 shares of Onto Innovation Inc. The company, incorporated in Delaware and headquartered in Wilmington, Massachusetts, operates in the field of measuring and controlling devices, providing critical tools and services for the semiconductor and advanced manufacturing industries.
Investors and market watchers often pay close attention to insider sales as they can provide insights into executives' perspectives on the company's future performance. However, it's important to note that there can be many reasons for an insider to sell shares, and such transactions do not necessarily indicate a lack of confidence in the company.
Onto Innovation Inc. has not issued any public statement regarding the CFO's recent stock transactions at the time of this report.
In other recent news, Onto Innovation Inc. has been experiencing positive developments. The firm reported robust financial results for the first quarter, with revenues marking a 15% year-over-year increase. The company also projected an increase in gross margins and revenue growth, driven by strong demand in various sectors, including AI compute devices and enterprise solid-state drives.
Onto Innovation's shares target was recently raised by Benchmark due to a strong sales outlook. The firm's analyst cited Onto's reported results for the June quarter, which exceeded expectations, and the company's guidance indicating higher sales for the second half of 2024.
Key growth drivers identified include the expansion of Advanced Node and Power Semiconductor sales through artificial intelligence and high-bandwidth memory (HBM) opportunities, as well as high stack devices propelling Atlas (NYSE:ATCO) sales. The construction of new fabrication facilities, supported by investments from the United States, Europe, and Japan to bolster domestic chip production, is also projected to enhance Onto Innovation's prospects.
Benchmark maintains its Buy rating for Onto Innovation Inc., reflecting the firm's confidence in the company's growth trajectory and favorable market conditions anticipated for the upcoming year.
InvestingPro Insights
As Onto Innovation Inc. (NYSE:ONTO) makes headlines with insider stock transactions, investors are keenly observing the company's financial health and market performance. According to InvestingPro, Onto Innovation holds more cash than debt on its balance sheet, which is a positive sign of the company's financial stability. Furthermore, three analysts have revised their earnings upwards for the upcoming period, suggesting a potentially optimistic outlook for the company's profitability.
InvestingPro Data shows that Onto Innovation has a market capitalization of $10.75 billion, with a high Price/Earnings (P/E) ratio of 77.74, which increases slightly to 79.09 when adjusted for the last twelve months as of Q1 2024. This high earnings multiple could indicate that investors expect higher earnings growth in the future compared to the broader market. Additionally, the company's Price/Book (P/B) ratio stands at 6.04, which could suggest that the market values the company's assets favorably. Onto Innovation has also demonstrated a strong return over the last year, with a one-year price total return of 97.28%.
For investors looking for a deeper dive into Onto Innovation's financial metrics and future performance, InvestingPro offers additional insights. There are currently 15 more InvestingPro Tips available for Onto Innovation, which can be accessed with a subscription. To enhance your investment research, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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