Nordson Corp (NDSN)
NASDAQ:NDSN
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Nordson
(NASDAQ:NDSN)
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Rating:74Outperform
Price Target:
$322.00
▲(16.97% Upside)
Action:ReiteratedDate:03/05/26
The score is driven mainly by strong financial quality (durable margins and solid free cash flow) and a constructive earnings update with raised FY2026 guidance. These positives are tempered by a premium valuation and only moderate technical momentum, plus balance-sheet leverage that has risen versus prior years.
Positive Factors
High profit margins and operating profitability
Sustained gross margins near the mid-50s and low-to-mid-20s operating margins indicate durable pricing power and efficient manufacturing. High structural margins support reinvestment, return of capital, and resilience to cyclical sales swings over the next several quarters.
Negative Factors
Rising leverage and higher debt levels
Elevated leverage and ~2x net leverage reduce financial flexibility and increase interest and covenant risk if demand softens. Higher debt limits optionality for large acquisitions or aggressive buybacks and raises refinancing exposure over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
High profit margins and operating profitability
Sustained gross margins near the mid-50s and low-to-mid-20s operating margins indicate durable pricing power and efficient manufacturing. High structural margins support reinvestment, return of capital, and resilience to cyclical sales swings over the next several quarters.
Read all positive factors
Nordson (NDSN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$15.36B
Dividend Yield1.64%
Average Volume (3M)335.46K
Price to Earnings (P/E)28.7
Beta (1Y)1.06
Revenue Growth3.78%
EPS Growth4.85%
CountryUS
Employees8,000
SectorIndustrials
Sector Strength72
IndustryIndustrial - Machinery
Share Statistics
EPS (TTM)2.37
Shares Outstanding55,783,600
10 Day Avg. Volume333,626
30 Day Avg. Volume335,456
Financial Highlights & Ratios
PEG Ratio5.68
Price to Book (P/B)4.31
Price to Sales (P/S)4.70
P/FCF Ratio19.86
Enterprise Value/Market Cap1.13
Enterprise Value/Revenue6.11
Enterprise Value/Gross Profit11.07
Enterprise Value/Ebitda19.01
Forecast
1Y Price Target
$326.80Price Target Upside18.72% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering5
EPS Forecast (FY)11.43
Revenue Forecast (FY)$2.95B
Nordson Business Overview & Revenue Model
Company Description
Nordson Corporation engineers, manufactures, and markets products and systems to dispense, apply, and control adhesives, coatings, polymers, sealants, biomaterials, and other fluids worldwide. It operates through two segments, Industrial Precision...
How the Company Makes Money
Nordson generates revenue primarily through the sale of its advanced equipment and systems, which are utilized in a wide range of industrial applications. Key revenue streams include the sale of dispensing equipment, surface treatment solutions, a...
Nordson Key Performance Indicators (KPIs)
Any
Sales by Segment
Breaks down revenue generated by each business segment, indicating which areas are driving growth and which may need strategic adjustments.
Breaks down revenue generated by each business segment, indicating which areas are driving growth and which may need strategic adjustments.
Data provided by:
The Fly
The FlyNordson Earnings Call Summary
Earnings Call Date:Feb 18, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:May 25, 2026
Earnings Call Sentiment Positive
The call conveyed a strong start to fiscal 2026 with record sales, record adjusted EPS and EBITDA, robust ATS momentum, healthy free cash flow and an upward revision to full-year guidance. Offsetting items include margin headwinds from geographic/product mix and FX, a slower start in Medical partly due to weather and a prior divestiture, and inherent lumpiness in ATS system demand. On balance, operational execution, cash generation and raised guidance outweigh the manageable challenges.Positive Updates
Record First Quarter Sales
Q1 sales reached a record $669 million, up 9% year-over-year (prior year $615 million); organic sales up 7% driven by strong demand in Asia.
Negative Updates
Geographic and Product Mix Pressures on Margins
Sales growth concentrated in Asia, where gross margins are generally lower (notably on system sales), resulting in lower incrementals for the quarter and a 2% decline in IPS EBITDA margin to 34% of sales compared with prior year.
Read all updates
Q1-2026 Updates
Positive
Negative
Record First Quarter Sales
Q1 sales reached a record $669 million, up 9% year-over-year (prior year $615 million); organic sales up 7% driven by strong demand in Asia.
Read all positive updates
Company Guidance
Nordson raised its fiscal‑2026 outlook off a strong start — record Q1 sales of $669 million (up 9% YoY, 7% organic), backlog +~4% YoY and $123 million of free cash flow — and now guides Q2 sales of $710–$740 million with Q2 adjusted EPS of $2.70–$2.90; full‑year sales are pegged at $2.86–$2.98 billion (midpoint +4.5%) and full‑year adjusted EPS at $11.00–$11.60 (midpoint +10%), with management still projecting a full‑year effective tax rate at the lower end of the prior 18.5%–19.5% range; the high end of the range assumes continued electronics/ATS momentum plus modest industrial/auto improvement, while the low end reflects potential broader end‑market pullbacks.Nordson Financial Statement Overview
Summary
Income Statement
84
Very Positive
Balance Sheet
70
Positive
Cash Flow
78
Positive
| Breakdown | TTM | Oct 2025 | Oct 2024 | Oct 2023 | Oct 2022 | Oct 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.85B | 2.79B | 2.69B | 2.63B | 2.59B | 2.36B |
| Gross Profit | 1.57B | 1.54B | 1.49B | 1.43B | 1.43B | 1.32B |
| EBITDA | 913.91M | 874.79M | 810.58M | 786.74M | 771.62M | 703.55M |
| Net Income | 523.20M | 484.47M | 467.28M | 487.49M | 513.10M | 454.37M |
Balance Sheet | ||||||
| Total Assets | 5.96B | 5.92B | 6.00B | 5.25B | 3.82B | 3.79B |
| Cash, Cash Equivalents and Short-Term Investments | 120.39M | 108.44M | 115.95M | 115.68M | 163.46M | 299.97M |
| Total Debt | 2.14B | 2.16B | 2.40B | 1.96B | 951.22M | 1.05B |
| Total Liabilities | 2.85B | 2.87B | 3.07B | 2.65B | 1.53B | 1.63B |
| Stockholders Equity | 3.11B | 3.04B | 2.93B | 2.60B | 2.29B | 2.16B |
Cash Flow | ||||||
| Free Cash Flow | 646.31M | 661.12M | 491.78M | 606.70M | 461.70M | 507.62M |
| Operating Cash Flow | 700.48M | 719.17M | 556.19M | 641.28M | 513.13M | 545.93M |
| Investing Cash Flow | -30.09M | -26.69M | -844.40M | -1.44B | -222.76M | -33.17M |
| Financing Cash Flow | -691.09M | -706.43M | 294.50M | 750.51M | -416.01M | -422.91M |
Nordson Technical Analysis
Positive
275.28
Price Trends
278.05
Negative
261.67
Positive
242.03
Positive
Market Momentum
-1.11
Negative
55.45
Neutral
86.02
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NDSN, the sentiment is Positive. The current price of 275.28 is above the 20-day moving average (MA) of 267.13, below the 50-day MA of 278.05, and above the 200-day MA of 242.03, indicating a neutral trend. The MACD of -1.11 indicates Negative momentum. The RSI at 55.45 is Neutral, neither overbought nor oversold. The STOCH value of 86.02 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NDSN.
Nordson Risk Analysis
Nordson disclosed 25 risk factors in its most recent earnings report. Nordson reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Nordson Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
82 Outperform | $14.52B | 26.59 | 20.38% | 1.32% | 2.85% | 3.09% | |
78 Outperform | $18.66B | 28.23 | 16.15% | 0.79% | 8.01% | 2.67% | |
77 Outperform | $14.92B | 25.94 | 12.11% | 1.56% | 7.09% | -2.29% | |
74 Outperform | $15.36B | 28.71 | 17.30% | 1.64% | 3.78% | 4.85% | |
65 Neutral | $10.88B | 28.93 | 19.12% | 0.49% | -0.37% | 21.77% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
60 Neutral | $12.15B | 50.02 | 6.19% | ― | 5.52% | 9.03% |
* Industrials Sector Average
NDSN
Nordson
275.28
93.37
51.33%
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207.03
93.60
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87.61
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20.23%
ITT
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216.90
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CR
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Nordson Corporate Events
Executive/Board ChangesShareholder Meetings
Nordson Shareholders Approve Directors, Auditor and Executive Pay
Positive
Mar 4, 2026
At its 2026 annual meeting held on March 2, 2026, Nordson shareholders representing 91.66% of outstanding shares voted, ensuring a quorum for the session. Shareholders elected Christopher Mapes, Michael Merriman Jr. and Sundaram Nagarajan to the b...
Business Operations and StrategyFinancial Disclosures
Nordson Posts Record Q1 Results, Raises 2026 Guidance
Positive
Feb 18, 2026
Nordson Corporation reported record first-quarter fiscal 2026 results on February 18, 2026, with sales rising 9% year over year to $669 million, driven by 7% organic growth and favorable currency, and net income climbing to $133 million, or $2.38 ...
Business Operations and StrategyPrivate Placements and Financing
Nordson Expands Multicurrency Revolving Credit Facility to 2031
Positive
Feb 2, 2026
On January 30, 2026, Nordson Corporation entered into an amended and restated senior unsecured multicurrency revolving credit agreement, replacing its June 6, 2023 facility and establishing a $1.2 billion revolving credit line maturing on January ...
Business Operations and StrategyFinancial Disclosures
Nordson Reports Record Q4 and Fiscal 2025 Results
Positive
Dec 10, 2025
Nordson Corporation reported record results for the fourth quarter and fiscal year 2025, with sales reaching $752 million in the fourth quarter and $2.8 billion for the full year, marking a 1% and 4% increase respectively over the prior year. The ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.