NOVT · NASDAQ · STOCK
Novanta (NOVT) Stock Analysis
$141.48
52W $98.27 – $176.38
61/100
$5.03B
88.9
1.72
⚠
Buy rating, but near-term risk/reward is unfavorable
The long-term recommendation is based on the composite investment score. The near-term risk/reward is based on nearby support and resistance levels. These can differ when a strong company trades close to resistance with support further below.
Is NOVT Bullish or Bearish?
Bullish.
Innellis AI committee rates Novanta (NOVT) Buy with a composite score of 61/100
, based on 6 analysts with 50% agreement.
Last updated October 10, 2026.
What Would Change This View
- Upgrade to Strong Buy
- Requires a committee score of 75.0 — +14.38 from today. Applies on the first day at or above the line; upgrades are never dampened.
- Downgrade to Watch
- Requires the score to fall below 55.0 — -5.62 from today. The band boundary is 60.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.
Executive Summary
The committee is genuinely divided. Risk Analyst sees a compelling case — low leverage (debt-to-equity 0.19) -- balance sheet can absorb a shock. Portfolio Manager remains cautious — sector concentration is already high (hhi 2796.97). This disagreement is itself the signal — the setup is not clean in either direction.
Bull & Bear Case
Bull Case
- 5 consecutive earnings beats -- consistent execution — Growth
- Quarter-over-quarter growth rate is ACCELERATING, not just positive — Growth
- MACD histogram positive -- bullish momentum — Technical
- Weekly trend (sideways) confirms the daily trend -- multi-timeframe agreement — Technical
- Low leverage (debt-to-equity 0.19) -- balance sheet can absorb a shock — Risk
Bear Case
- P/E of 86.5 is expensive by classic value standards — Value
- ROE of only 4.9% -- cheap may mean cheap for a reason — Value
- EPS declining -7.8% YoY despite any revenue growth — Growth
Both cases are generated from quantitative data signals, not qualitative or
forward-looking judgement. They summarise what the numbers say today.
Price History (6M)
AI Investment Committee
Committee Consensus
As of October 10, 2026
Overall Committee Score
61/100
Agreement
50%
Analysts
6
Conviction
Contested
Sector Rank
Top 34%
of 287 Technology peers
Value Analyst
neutral
44
/ 100 · High confidence
Fair value -- neither a bargain nor obviously overpriced
− P/E of 86.5 is expensive by classic value standards
Growth Analyst
neutral
56
/ 100 · High confidence
Moderate growth -- present but not remarkable
+ 5 consecutive earnings beats -- consistent execution
− EPS declining -7.8% YoY despite any revenue growth
Technical Analyst
bullish
61
/ 100 · High confidence
Price action is constructive -- trend and momentum agree
+ MACD histogram positive -- bullish momentum
Risk Analyst
bullish
80
/ 100 · Low confidence
Risk profile is manageable -- leverage, volatility, and event exposure all look contained
+ Low leverage (debt-to-equity 0.19) -- balance sheet can absorb a shock
Macro Analyst
bullish
65
/ 100 · Low confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
News Analyst
neutral
58
/ 100 · Low confidence
News flow is mixed or quiet -- no strong signal either way right now
Portfolio Manager
bearish
30
/ 100 · Moderate confidence
The existing book itself argues for caution here, independent of how good this specific stock looks
− Sector concentration is already high (HHI 2796.97)
Investment Thesis Evolution
Committee score strengthened from 56.9 to 60.6.
- Conviction changed from moderate to contested.
- Committee agreement fell notably from 67% to 50%.
- New bearish signals: 1 appeared.
- Bearish pressure eased: 2 signal(s) disappeared.
- Analyst(s) changed stance: Risk Analyst.
Analyst-level changes:
- Risk Analyst: stance neutral->bullish; score 58->80 (+22).
- Value Analyst: +1 bearish signal(s).
Comparing 2026-10-09 to 2026-10-10 (1 day apart).
Technical Analysis
RSI (14)
46.6
Neutral
MACD Histogram
0.159
Bullish Momentum
Trend Direction
Sideways
Weekly: Sideways
Market Structure
Lh Ll
Support
$137.84
Resistance
$142.01
Bollinger %B
0.51
Inside Bands
Price vs Moving Averages
EMA 9
$143.05
Below
EMA 21
$143.34
Below
EMA 50
$145.30
Below
EMA 200
$141.51
Below
Fundamental Analysis
Valuation
56
Growth
75
Profitability
34
Financial Health
100
Cash Flow
70
Valuation
P/E Ratio
88.9×
P/B Ratio
3.58×
PEG Ratio
-13.73
Dividend Yield
0.00%
52W High
$176.38
52W Low
$98.27
Quality & Growth
ROE
409.6%
ROA
297.9%
Gross Margin
4252.2%
Operating Margin
1043.2%
Revenue Growth YoY
—
Debt / Equity
0.17
AI Fundamental Assessment
P/E ratio of 88.9 (rich relative to a 15-40x range); Price-to-book of 3.6x; PEG ratio of -13.7 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 4.1%; Return on assets of 3.0%; Net margin of 6.0%; Gross margin of 42.5%; Current ratio of 4.57 (healthy short-term liquidity); Debt-to-equity of 0.17; Free cash flow per share is positive (2.79); Most recent quarter beat estimates by 5.1%; 5 consecutive earnings beats; EPS growth accelerating (-11.0% -> +9.9% QoQ); Average YoY EPS growth of 17.1%; Analyst estimates falling over recent quarters
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