Quantinno Capital Management LP Scales Back Investment Despite Nordson Co.’s Surpassing Earnings Expectations
August 12, 2023
🌥️Trending News
Nordson Corporation ($NASDAQ:NDSN) is a leading global manufacturer of advanced technologies and products, supplying a broad range of products and solutions in the adhesive dispensing, fluid management, test and inspection, and UV curing markets. The company’s stock has been performing better than expected as of late, with its earnings for the latest quarter surpassing all expectations. This news was met with excitement from many investors, including Quantinno Capital Management LP. Despite this, the investment firm chose to scale back its investments in Nordson Co. due to some unknown factors.
This decision by Quantinno Capital Management LP to reduce its exposure to Nordson Co. came as a surprise to many, as the company’s strong financial performance had been the main reason for the firm’s initial investment. While the exact reasons behind this decision remain a mystery, it is clear that Quantinno Capital Management LP wishes to be more conservative in its investments going forward.
Earnings
In its earning report of FY2023 Q2 ending April 30 2021, NORDSON CORPORATION reported surpassing earnings expectations with total revenue of 589.54M USD and net income of 124.14M USD. Compared to the previous year, there was a 7.2% decrease in total revenue but a 13.2% increase in net income. Over the last 3 years, NORDSON CORPORATION has experienced an increase in total revenues, with it growing from 589.54M USD in FY2023 Q2 to 650.16M USD in the current quarter. Despite the company’s success, Quantinno Capital Management LP has decided to scale back its investment in the company.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Nordson Corporation. More…
| Total Revenues | Net Income | Net Margin |
| 2.61k | 514.88 | 19.8% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Nordson Corporation. More…
| Operations | Investing | Financing |
| 586.53 | -419.54 | -158.25 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Nordson Corporation. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 4.19k | 1.7k | 42.73 |
Key Ratios Snapshot
Some of the financial key ratios for Nordson Corporation are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 6.3% | 13.1% | 26.2% |
| FCF Margin | ROE | ROA |
| 20.9% | 17.4% | 10.2% |
Share Price
On Monday, NORDSON CORPORATION stock opened at $247.1 and closed at $248.2, up by 0.7% from the previous day’s closing price of 246.4. This minor rise in stock price comes despite the company’s positive outlook for the upcoming quarter. Despite this seeming optimism, Quantinno Capital Management LP has taken a cautious stance with NORDSON CORPORATION and decided to scale back their investment. Live Quote…
Analysis
At GoodWhale, we have analyzed the financials of NORDSON CORPORATION and produced a Star Chart to help investors understand the company’s performance. The chart shows that NORDSON CORPORATION is strong in dividend and profitability, and has a medium score for asset and growth. Based on this, we classify NORDSON CORPORATION as ‘rhino’, a type of company that has achieved moderate revenue or earnings growth. For investors interested in such companies, NORDSON CORPORATION has a high health score of 8/10 considering its cashflows and debt, which shows that the company is capable to sustain future operations in times of crisis. With careful analysis and understanding of its financials, NORDSON CORPORATION may be a good investment option. More…
Peers
Nordson serves a wide variety of markets, including packaging, adhesive and sealant, medical, electronics, transportation, construction, and general assembly and finishing. The company has over 4,000 employees in 30 countries. Nordson’s products are sold through a direct sales force and a network of authorized distributors. Nordson is a publicly traded company on the NASDAQ Global Market under the symbol “NDSN”.
– Graco Inc ($NYSE:GGG)
Graco Inc is a leading manufacturer of equipment for the construction, industrial and maintenance industries. It has a market cap of 11.71B as of 2022 and a ROE of 19.47%. The company’s products are used in a wide range of applications, including painting, staining, sealing, and cleaning.
– Airtac International Group ($TWSE:1590)
Airtac International Group is a leading manufacturer of pneumatic and fluid control products. The company has a market cap of 174 billion as of 2022 and a return on equity of 13.9%. Airtac International Group’s products are used in a wide range of industries, including automotive, aerospace, food and beverage, and healthcare. The company has a strong presence in China and Taiwan, and its products are sold in over 100 countries.
– Taihai Manoir Nuclear Equipment Co Ltd ($SZSE:002366)
As of 2022, Taiwan Manoir Nuclear Equipment Co Ltd has a market cap of 4.83B and a ROE of 451.52%. The company is a leading manufacturer of nuclear equipment and services.
Summary
Nordson Corporation‘s earnings recently surpassed expectations, leading Quantinno Capital Management LP to scale back their investments in the company. Analysis of the company’s financials show strong performance in the areas of sales, profits, and investments. The company has reported consistent revenue growth and a solid return on equity.
Nordson has also made strategic investments that have increased its competitive edge in the market and enabled it to gain greater market share. The company’s balance sheet is strong, indicating that it is well-positioned to weather any economic downturns and continue to be a leader in the industry.
Related Posts
Recent Posts
