Cantor downgrades Onto Innovation on risk to estimates

Cantor Fitzgerald yesterday downgraded Onto Innovation (ONTO) to Neutral from Overweight with a price target of $135, down from $250. While the fundamental backdrop for Onto’s markets are largely unchanged versus three months ago, numbers in the upcoming earnings print may need to be “derisked a touch,” based on increasing competition, the analyst tells investors in a research note. Cantor is not sure if management embedded any tariff impact in its 2025 outlook, but either way it expects modest downside risk to second half of the year numbers from here.