|
|||||
![]() |
|
Manufacturing company Nordson (NASDAQ:NDSN) missed Wall Street’s revenue expectations in Q1 CY2025 as sales rose 5% year on year to $682.9 million. Its non-GAAP EPS of $2.42 per share was 2.6% above analysts’ consensus estimates.
Is now the time to buy NDSN? Find out in our full research report (it’s free).
Nordson’s first quarter results reflected a mix of acquisition-driven growth and ongoing challenges in select legacy segments. CEO Sundaram Nagarajan highlighted that momentum in Advanced Technology Systems, particularly from semiconductor and electronics customers, and the solid performance of the recently acquired Atrion business helped offset organic revenue declines elsewhere. Management also pointed to continued softness in industrial system sales, especially within industrial coatings and polymer processing, citing weaker end-market demand compared to last year. The company’s operational focus and cost discipline supported margin expansion, with Nagarajan noting that the integration of Atrion was exceeding expectations and contributing positively to both sales and profitability.
Looking ahead, Nordson’s guidance for the next quarter is underpinned by sustained demand in electronics and semiconductor markets, an improving outlook for medical fluid components, and incremental benefits from restructuring actions. Nagarajan emphasized, “We are seeing positive order entry momentum in electronics, precision agriculture, and select medical product lines,” suggesting this will drive sequential improvement. Management expects the effects of destocking in medical interventional products to continue fading, while recent divestitures are anticipated to sharpen the company’s focus on higher-margin offerings. However, CFO Daniel Hopgood cautioned that ongoing trade policy uncertainties and automotive market headwinds could still impact customer investment decisions, indicating the outlook remains sensitive to external factors.
Management attributed the quarter’s performance to strong contributions from recent acquisitions and targeted restructuring, even as some core segments continued to face demand headwinds.
Management’s outlook centers on continued demand in electronics and medical components, as well as incremental margin benefits from portfolio optimization and restructuring.
In the coming quarters, the StockStory team will be closely monitoring (1) the trajectory of order entry in Advanced Technology Systems—especially semiconductor and electronics demand, (2) the pace of recovery in medical components as destocking trends unwind, and (3) the impact of portfolio reshaping on segment margins and overall profitability. Execution on restructuring savings and resilience to external market shifts will also be key to tracking Nordson’s progress.
Nordson currently trades at a forward P/E ratio of 20.1×. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free).
The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.
While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
May-30 | |
May-30 | |
May-30 | |
May-29 | |
May-29 | |
May-29 | |
May-29 | |
May-29 | |
May-28 | |
May-28 | |
May-28 | |
May-28 | |
May-28 | |
May-27 | |
May-26 |
Join thousands of traders who make more informed decisions with our premium features. Real-time quotes, advanced visualizations, backtesting, and much more.
Learn more about FINVIZ*Elite