IPG Photonics (NASDAQ:IPGP) Shares Gap Up on Earnings Beat

IPG Photonics Co. (NASDAQ:IPGP)’s stock price gapped up before the market opened on Tuesday following a stronger than expected earnings report. The stock had previously closed at $79.27, but opened at $81.65. IPG Photonics shares last traded at $85.83, with a volume of 75,028 shares.

The semiconductor company reported $0.29 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.19 by $0.10. IPG Photonics had a net margin of 12.67% and a return on equity of 5.99%. The company had revenue of $233.14 million during the quarter, compared to analysts’ expectations of $227.89 million. During the same quarter in the previous year, the business posted $1.16 earnings per share. IPG Photonics’s quarterly revenue was down 22.6% on a year-over-year basis.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on IPGP shares. Stifel Nicolaus reduced their price target on IPG Photonics from $115.00 to $100.00 and set a “buy” rating on the stock in a research report on Wednesday, July 31st. Needham & Company LLC reissued a “hold” rating on shares of IPG Photonics in a report on Wednesday. Raymond James dropped their price target on IPG Photonics from $127.00 to $100.00 and set a “strong-buy” rating for the company in a research note on Wednesday, July 31st. Finally, Benchmark reaffirmed a “hold” rating on shares of IPG Photonics in a research report on Wednesday. One analyst has rated the stock with a sell rating, three have assigned a hold rating, two have issued a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $93.50.

Hedge Funds Weigh In On IPG Photonics

Several hedge funds and other institutional investors have recently modified their holdings of IPGP. Pacer Advisors Inc. lifted its position in shares of IPG Photonics by 58.7% during the 2nd quarter. Pacer Advisors Inc. now owns 489,181 shares of the semiconductor company’s stock worth $41,282,000 after buying an additional 180,951 shares during the last quarter. M&G Plc acquired a new position in IPG Photonics during the first quarter worth about $15,929,000. Dimensional Fund Advisors LP lifted its holdings in shares of IPG Photonics by 14.5% in the second quarter. Dimensional Fund Advisors LP now owns 996,029 shares of the semiconductor company’s stock worth $84,054,000 after acquiring an additional 125,958 shares during the last quarter. Motley Fool Asset Management LLC boosted its stake in shares of IPG Photonics by 602.2% in the 1st quarter. Motley Fool Asset Management LLC now owns 87,928 shares of the semiconductor company’s stock valued at $7,974,000 after purchasing an additional 75,407 shares in the last quarter. Finally, Bank of New York Mellon Corp grew its holdings in shares of IPG Photonics by 26.4% during the 2nd quarter. Bank of New York Mellon Corp now owns 303,113 shares of the semiconductor company’s stock valued at $25,580,000 after purchasing an additional 63,369 shares during the last quarter. Institutional investors own 93.79% of the company’s stock.

IPG Photonics Trading Down 2.0 %

The firm has a market capitalization of $3.80 billion, a price-to-earnings ratio of 21.47 and a beta of 1.00. The stock’s 50-day moving average is $71.44 and its 200-day moving average is $79.23.

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.