IPG Photonics (NASDAQ:IPGP) Updates Q2 2024 Earnings Guidance

IPG Photonics (NASDAQ:IPGP) issued an update on its second quarter 2024 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 0.300-0.600 for the period, compared to the consensus earnings per share estimate of 0.680. The company issued revenue guidance of $240.0 million-$270.0 million, compared to the consensus revenue estimate of $273.1 million. IPG Photonics also updated its Q2 guidance to $0.30-0.60 EPS.

IPG Photonics Stock Up 3.3 %

Shares of IPGP traded up $2.78 during mid-day trading on Thursday, hitting $86.33. 202,236 shares of the company traded hands, compared to its average volume of 293,503. The business has a 50 day moving average of $87.66 and a 200 day moving average of $94.08. The company has a market capitalization of $3.93 billion, a PE ratio of 21.53, a price-to-earnings-growth ratio of 16.66 and a beta of 1.17. IPG Photonics has a 1-year low of $80.33 and a 1-year high of $141.85.

IPG Photonics (NASDAQ:IPGP) last released its quarterly earnings data on Tuesday, April 30th. The semiconductor company reported $0.52 EPS for the quarter, topping the consensus estimate of $0.48 by $0.04. IPG Photonics had a return on equity of 7.67% and a net margin of 15.34%. The business had revenue of $252.00 million for the quarter, compared to analyst estimates of $255.53 million. During the same quarter in the prior year, the firm posted $1.26 EPS. The business’s quarterly revenue was down 27.4% compared to the same quarter last year. As a group, research analysts expect that IPG Photonics will post 3.23 EPS for the current fiscal year.

IPG Photonics declared that its Board of Directors has authorized a stock buyback program on Tuesday, February 13th that allows the company to buyback $300.00 million in shares. This buyback authorization allows the semiconductor company to repurchase up to 7.3% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s board of directors believes its stock is undervalued.

Wall Street Analyst Weigh In

Several research analysts recently commented on IPGP shares. Seaport Res Ptn reissued a buy rating on shares of IPG Photonics in a research note on Thursday, January 25th. Stifel Nicolaus reduced their price objective on IPG Photonics from $130.00 to $115.00 and set a buy rating for the company in a research note on Wednesday, February 14th. StockNews.com downgraded IPG Photonics from a buy rating to a hold rating in a research note on Saturday, February 17th. Citigroup downgraded IPG Photonics from a neutral rating to a sell rating and reduced their price objective for the company from $111.00 to $74.00 in a research note on Thursday, February 15th. Finally, Needham & Company LLC reissued a hold rating on shares of IPG Photonics in a research note on Wednesday. One analyst has rated the stock with a sell rating, two have issued a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of Moderate Buy and an average target price of $111.60.

Insider Activity at IPG Photonics

In related news, major shareholder Valentin Gapontsev Trust I sold 10,000 shares of the firm’s stock in a transaction dated Friday, February 23rd. The stock was sold at an average price of $85.68, for a total transaction of $856,800.00. Following the completion of the transaction, the insider now directly owns 7,219,599 shares in the company, valued at approximately $618,575,242.32. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. In other news, major shareholder Valentin Gapontsev Trust I sold 10,000 shares of IPG Photonics stock in a transaction dated Friday, February 23rd. The stock was sold at an average price of $85.68, for a total value of $856,800.00. Following the completion of the transaction, the insider now owns 7,219,599 shares in the company, valued at approximately $618,575,242.32. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Eric Meurice sold 788 shares of IPG Photonics stock in a transaction dated Monday, April 29th. The shares were sold at an average price of $89.30, for a total value of $70,368.40. Following the completion of the transaction, the director now owns 16,491 shares of the company’s stock, valued at approximately $1,472,646.30. The disclosure for this sale can be found here. Insiders sold 29,788 shares of company stock worth $2,595,508 in the last three months. 37.10% of the stock is owned by company insiders.

About IPG Photonics

IPG Photonics Corporation develops, manufactures, and sells various high-performance fiber lasers, fiber amplifiers, and diode lasers used in various applications primarily in materials processing worldwide. Its laser products include hybrid fiber-solid state lasers with green and ultraviolet wavelengths; fiber pigtailed packaged diodes and fiber coupled direct diode laser systems; high-energy pulsed lasers, multi-wavelength and tunable lasers, and single-polarization and single-frequency lasers; and high-power optical fiber delivery cables, fiber couplers, beam switches, chillers, scanners, and other accessories.