IPG Photonics (NASDAQ:IPGP) Announces Quarterly Earnings Results, Beats Expectations By $0.04 EPS

IPG Photonics (NASDAQ:IPGP) announced its quarterly earnings data on Tuesday. The semiconductor company reported $0.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.48 by $0.04, Briefing.com reports. IPG Photonics had a net margin of 17.00% and a return on equity of 9.18%. The company had revenue of $252.00 million during the quarter, compared to analysts’ expectations of $255.53 million. During the same quarter in the prior year, the company earned $1.26 EPS. IPG Photonics’s revenue was down 27.4% compared to the same quarter last year. IPG Photonics updated its Q2 guidance to $0.30-0.60 EPS and its Q2 2024 guidance to 0.300-0.600 EPS.

IPG Photonics Price Performance

Shares of NASDAQ:IPGP traded down $1.11 during mid-day trading on Wednesday, reaching $82.87. 120,842 shares of the company were exchanged, compared to its average volume of 292,323. IPG Photonics has a 1 year low of $80.33 and a 1 year high of $141.85. The firm has a market cap of $3.82 billion, a price-to-earnings ratio of 18.12, a P/E/G ratio of 17.53 and a beta of 1.19. The firm’s 50-day simple moving average is $87.72 and its 200 day simple moving average is $94.15.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on IPGP shares. StockNews.com lowered shares of IPG Photonics from a “buy” rating to a “hold” rating in a report on Saturday, February 17th. Seaport Res Ptn reiterated a “buy” rating on shares of IPG Photonics in a report on Thursday, January 25th. Benchmark decreased their target price on shares of IPG Photonics from $116.00 to $106.00 and set a “buy” rating on the stock in a report on Wednesday. Stifel Nicolaus decreased their target price on shares of IPG Photonics from $130.00 to $115.00 and set a “buy” rating on the stock in a report on Wednesday, February 14th. Finally, Citigroup lowered shares of IPG Photonics from a “neutral” rating to a “sell” rating and decreased their target price for the company from $111.00 to $74.00 in a report on Thursday, February 15th. One analyst has rated the stock with a sell rating, two have given a hold rating, three have issued a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $111.60.

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

Insider Buying and Selling at IPG Photonics

In other IPG Photonics news, major shareholder Valentin Gapontsev Trust I sold 10,000 shares of the firm’s stock in a transaction that occurred on Friday, February 23rd. The shares were 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 of the company’s stock, valued at approximately $618,575,242.32. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders sold 29,000 shares of company stock valued at $2,525,140 in the last 90 days. Company insiders own 33.50% of the company’s stock.

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.