Nordson (NDSN) AI Stock Analysis

• Market Cap: $12.27B
• Dividend Yield: 1.44%
• Average Volume (3M): 294.26K
• Price to Earnings (P/E): 27.9
• Beta (1Y): 1.16
• Revenue Growth: 1.98%
• EPS Growth: -7.66%
• Country: US
• Employees: 8,000
• Sector: Industrials
• Sector Strength: 78
• Industry: Industrial - Machinery
• EPS (TTM): 2.42
• Shares Outstanding: 56,508,945
• 10 Day Avg. Volume: 332,706
• 30 Day Avg. Volume: 294,263
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 4.81
• Enterprise Value/Gross Profit: 8.78
• Enterprise Value/Ebitda: 16.30
• 1Y Price Target: $254.11
• Price Target Upside: 16.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 75 Outperform
• Price Target: $242.00 ▲(11.41% Upside)

Nordson's overall stock score reflects its strong financial performance and positive earnings call insights, which are the most significant factors. The technical analysis presents mixed signals, and the valuation indicates a premium pricing. The company's strategic initiatives and operational efficiency contribute positively, although challenges in certain segments and a high P/E ratio temper the overall score.

Positive Factors

Financial Performance

There is encouragement from the quarter-over-quarter improvement in the MFS and ATS segments, with expectations for ongoing company-wide improvements.

Growth Opportunities

Management notes investment by ATS customers have become significant and rapid, offering opportunity for NDSN to benefit.

Valuation

Despite recent share price declines, NDSN's valuation is at the low end of its historical range, presenting a positive risk/reward scenario.

Negative Factors

Market Challenges

Questions around the M&A flywheel and cyclical headwinds in medical and semi have caused the stock to lag recently.

Performance Concerns

Industrial Coatings and Polymer Processing within IPS remain laggards, influenced by the automotive sector.

Re-rating Potential

There is no hard catalyst foreseen for a more meaningful re-rate in the near-term.

Nordson Business Overview & Revenue Model

Company Description

Nordson Corporation (NDSN) is a global leader in precision technology, specializing in the development and manufacturing of equipment and systems used in various industrial applications including adhesives, coatings, sealants, and surface treatments. The company operates across multiple sectors such as packaging, electronics, medical, and construction, providing innovative solutions that enhance product performance and manufacturing efficiency. Nordson's core products include dispensing systems, surface treatment equipment, and testing and inspection systems, which are integral to enhancing product quality and production processes in diverse industries.

How the Company Makes Money

Nordson generates revenue primarily through the sale of its specialized equipment and systems across various markets. The company's revenue model is supported by several key streams, including the direct sales of equipment, ongoing maintenance and service contracts, and the sales of consumables associated with its systems. Additionally, Nordson benefits from recurring revenue through its aftermarket services and parts, which provide customers with necessary supplies and support for their operations. Strategic partnerships with major manufacturers and integration of advanced technologies further enhance Nordson's market position and contribute to its earnings by allowing the company to offer comprehensive solutions that meet evolving customer needs.

Nordson Financial Statement Overview

Summary

Nordson demonstrates solid financial health with strong profitability, effective cost management, and robust cash flow generation. Despite moderate revenue growth and a slight increase in leverage, the company's consistent margins and operational efficiency position it well within the industry.

Income Statement

Nordson's income statement reflects strong profitability with a consistent gross profit margin of approximately 55% over recent periods. The net profit margin has been stable, around 16-18%, showcasing effective cost management. Revenue growth has been moderate, with a slight increase year-over-year. The company maintains healthy EBIT and EBITDA margins, indicating efficient operations within the industry.

Balance Sheet

The balance sheet presents a solid financial position with a relatively low debt-to-equity ratio, although it has increased due to higher total debt. Return on equity remains robust at around 15%, reflecting efficient use of equity. The equity ratio shows stability, indicating balanced leverage and asset management. However, the rising debt level is a point of caution.

Cash Flow

Cash flow analysis reveals strong operational cash generation, consistently exceeding net income, which highlights the company's ability to convert earnings into cash. Free cash flow has been positive and growing, supporting reinvestment and financial flexibility. Despite a slight decline in free cash flow growth recently, operational efficiency remains a strength.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.69B	2.63B	2.59B	2.36B	2.12B
Gross Profit	1.49B	1.43B	1.43B	1.32B	1.13B
EBITDA	810.58M	786.74M	771.62M	703.55M	446.95M
Net Income	467.28M	487.49M	513.10M	454.37M	249.54M
Balance Sheet
Total Assets	6.00B	5.25B	3.82B	3.79B	3.67B
Cash, Cash Equivalents and Short-Term Investments	115.95M	115.68M	163.46M	299.97M	208.29M
Total Debt	2.32B	1.86B	737.86M	815.90M	1.11B
Total Liabilities	3.07B	2.65B	1.53B	1.63B	1.92B
Stockholders Equity	2.93B	2.60B	2.29B	2.16B	1.76B
Cash Flow
Free Cash Flow	491.78M	606.70M	461.70M	507.62M	451.89M
Operating Cash Flow	556.19M	641.28M	513.13M	545.93M	502.42M
Investing Cash Flow	-844.40M	-1.44B	-222.76M	-33.17M	-194.11M
Financing Cash Flow	294.50M	750.51M	-416.01M	-422.91M	-251.53M

Nordson Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 217.22
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 217.22 is above the 20-day moving average (MA) of 215.72, above the 50-day MA of 216.35, and above the 200-day MA of 214.83, indicating a bullish trend. The MACD of -0.07 indicates Negative momentum. The RSI at 52.67 is Neutral, neither overbought nor oversold. The STOCH value of 79.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NDSN.

Nordson Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ITT	79 Outperform	$13.06B	26.33	20.17%	0.80%	6.69%	21.44%
GGG	77 Outperform	$14.13B	30.24	19.62%	1.28%	0.75%	-2.74%
PNR	76 Outperform	$17.48B	29.12	17.15%	0.92%	-0.25%	-7.32%
NDSN	75 Outperform	$12.27B	27.94	15.54%	1.44%	1.98%	-7.66%
RRX	67 Neutral	$9.84B	39.41	3.84%	0.94%	-7.88%	―
IEX	62 Neutral	$12.59B	26.99	12.25%	1.67%	4.73%	-19.15%
Sector *	61 Neutral	C$7.19B	-4.76	-4.20%	2.32%	13.56%	-31.48%

Nordson Corporate Events

Nordson Appoints New Chief Accounting Officer

On July 14, 2025, Nordson Corporation appointed Joseph M. Rutledge as Vice President and Chief Accounting Officer, succeeding Stephen Shamrock who left the company on July 10, 2025. Rutledge, with extensive experience from Eaton Corporation, will oversee Nordson’s accounting operations and financial reporting, potentially strengthening the company’s financial management and operational efficiency.

The most recent analyst rating on (NDSN) stock is a Buy with a $260.00 price target. To see the full list of analyst forecasts on Nordson stock, see the NDSN Stock Forecast page.

Nordson Reports Strong Q2 2025 Financial Results

Nordson Corporation reported its fiscal second quarter 2025 results, highlighting a 5% year-over-year sales increase to $683 million, driven by strong performance in electronics systems and steady growth in nonwovens systems, precision agriculture, and medical fluid components. Despite a decrease in industrial systems sales, the company achieved an EBITDA of 32% of sales, reflecting operational excellence. The Atrion acquisition exceeded expectations, contributing to the growth. Looking ahead, Nordson anticipates third-quarter sales between $710 to $750 million, supported by strong order entry and backlog, aligning with their full-year guidance.

The most recent analyst rating on (NDSN) stock is a Buy with a $260.00 price target. To see the full list of analyst forecasts on Nordson stock, see the NDSN Stock Forecast page.