Brokerages Set IPG Photonics Co. (NASDAQ:IPGP) Target Price at $89.75

Recently, various brokerages have established a target price for IPG Photonics Co. (NASDAQ:IPGP) at $89.75, adding to the ongoing analysis of the company's stock performance.

IPG Photonics, a notable player in the semiconductor industry, has received a consensus rating of "Hold" from six analysts who are currently following the stock, as reported by MarketBeat. Within this cohort, one analyst issued a sell rating, three maintained a hold rating, one suggested a buy rating, and another awarded a strong buy rating. The overall average target price set by these analysts over the past year stands at $87.75.

Analyst Insights on IPG Shares

Several analysts have recently shared their insights regarding IPG Photonics' stock performance. For instance, Citigroup revised their price target down from $62.00 to $60.00, assigning a “sell” rating to the company in a report published last Tuesday. In a different report from Stifel Nicolaus, they also reduced their price target from $100.00 to $85.00 while issuing a “buy” rating for the firm on February 12. Similarly, Northcoast Research downgraded their rating from “buy” to “neutral” in a report released on December 4. Further emphasizing the consensus hold rating, Needham & Company LLC reaffirmed their stance on February 12, and Benchmark echoed this view by reiterating a “hold” rating in an earlier report on October 30.

Institutional Investment Trends

Institutional investors have been actively adjusting their holdings in IPG Photonics. For example, Versant Capital Management Inc. increased its stake in the company by 56.7% in the last quarter. They now possess 954 shares valued at approximately $69,000, following their acquisition of an additional 345 shares during this timeframe. Venturi Wealth Management LLC also saw a significant increase, growing their stake by 355.7%, bringing their total to 1,048 shares worth around $76,000 after a purchase of 818 shares. Additionally, SRS Capital Advisors Inc. augmented its position by a striking 463.5%, now owning 1,065 shares valued at $77,000. KBC Group NV also raised its holdings by 50.6%, owning 1,086 shares currently worth $81,000 after acquiring 365 extra shares. Lastly, Headlands Technologies LLC introduced a new position in IPG Photonics during the fourth quarter worth approximately $87,000. Currently, a notable 93.79% of the stock is owned by institutional investors and hedge funds.

Current Stock Performance

As of Tuesday, IPG Photonics stock opened at $64.60. The company’s market capitalization is calculated at $2.79 billion, with a price-to-earnings ratio of -15.45 and a beta of 0.95. The stock has recorded a 12-month low of $60.72 and a high of $92.21. The average price over the last 50 days stands at $72.05, while the 200-day average is slightly higher at $72.86.

In its most recent quarterly earnings report, which was disclosed on February 11, IPG Photonics announced earnings of $0.18 per share, falling short of the consensus estimate of $0.23 by $0.05. The company reported a return on equity of 2.98% coupled with a negative net margin of 18.58%. Analysts predict that for the current fiscal year, IPG Photonics is expected to post an earnings per share (EPS) of 1.54.

About IPG Photonics

IPG Photonics Corporation specializes in the development, manufacturing, and sale of high-performance fiber lasers, fiber amplifiers, and diode lasers utilized in a variety of applications across global materials processing industries. Their extensive product range includes hybrid fiber-solid state lasers across green and ultraviolet wavelengths, fiber pigtailed packaged diodes, direct diode laser systems, high-energy pulsed lasers, multi-wavelength and tunable lasers, and high-power optical fiber delivery cables, along with other associated accessories.

Brokerage, Target, Analysis