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NOVT · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Novanta Inc. Common Stock (NOVT) stock moving?
NOVT fell 15.3% on Nov 10 to a $123.71 close, its lowest close in the 30-day window, on volume of about 1.56M shares versus a roughly 400K daily average, after the Nov 9 Q3 report. The quarter beat on revenue (+23% to $305M, organic +9.9%), adjusted EPS ($1.05 vs $0.97 estimate) and Adjusted EBITDA (+38%, 26% margin), and bookings rose 29% to a $543M backlog. The selloff is driven by guidance: Q4 adjusted EPS of $0.91-$0.96 trails the $1.02 estimate, and the FY2026 adjusted EPS midpoint was trimmed, while FY sales guidance was nudged up. GAAP net income fell to $2.0M from $10.7M, which keeps earnings quality in question. The stock has round-tripped to late-October levels, and the Riverpoint acquisition is described as performing in line, so integration and synergy delivery are the next thing to watch. Management presents at the Jefferies conference on Nov 18.
News behind the analysis
- Novanta Inc. to Present at the Jefferies Global Healthcare ConferenceChair & CEO Matthijs Glastra and the COO of Medical Solutions will present at the Jefferies Global Healthcare Conference on November 18, 2026.
- Novanta Inc. Reports Third Quarter 2026 Financial ResultsQ3 GAAP revenue rose 23% to $305M and Adjusted EBITDA rose 38% to $80.3M, with Adjusted Diluted EPS of $1.05 ahead of analyst expectations. GAAP net income fell to $2.0M from $10.7M a year earlier.
- Novanta Lowers FY2026 Adj EPS Guidance from $3.68-$3.74 to $3.66-$3.71 vs $3.69 Est; Raises FY2026 Sales Guidance from $1.130B-$1.140B to $1.135B-$1.140B vs $1.134B EstFull-year adjusted EPS guidance was cut at the midpoint, while the sales guidance floor was raised. Both sit close to consensus.
- Novanta Q3 Adj. EPS $1.05 Beats $0.97 Estimate, Sales $305.008M Beat $301.010M EstimateThird-quarter adjusted EPS and sales both beat analyst estimates.
- Novanta Sees Q4 Adj EPS $0.91-$0.96 vs $1.02 Est; Sees Sales $306.000M-$312.000M vs $308.823M EstQ4 adjusted EPS guidance sits well below the $1.02 estimate, while Q4 sales guidance midpoint is slightly above consensus.
- Novanta Inc. Tangible Equity Unit (01/11/2028) Ex-Dividend Date AnnouncedAn ex-dividend date of October 30, 2026 was set for the Tangible Equity Units maturing in 2028, with a payment of $0.8125 per share.
About Novanta Inc. Common Stock
Novanta is a Boston-based supplier of key components to companies that build medical devices and advanced industrial machines. Examples include lasers, precision motion and robotics parts, medical imaging and visualization systems, and surgical products. It grows partly by buying other companies, including Riverpoint Medical in July 2026, and it expects 2026 revenue of roughly $1.13–1.14 billion.
How it makes money
Novanta sells parts and subsystems directly to equipment makers, which build them into their own products. These sales fall into two main groups. One is medical solutions: surgical visualization, minimally invasive surgery and robotic surgery components, precision fluidics, and, since the Riverpoint deal, surgical products such as sutures. The other is automation enabling technologies: photonics and lasers, beam steering, precision motion control, and robotics parts. Medical customers bring in more than half of revenue. Once a part is designed into a customer's long-lived product, it tends to produce repeat sales for years, and some revenue also comes from consumables.
What usually moves NOVT
- Medical device and surgical robot demand
- Industrial automation and semiconductor equipment spending
- Acquisitions and how well they are integrated
- New orders and backlog trends
- Valuation sensitivity as a growth stock