DA Davidson raised its price target on Nordson Corp. to $375 from $345 while maintaining a buy rating, citing accelerating growth across key segments and strong order momentum.
The upgrade follows Nordson’s fiscal third-quarter results for 2026, which exceeded both Wall Street expectations and DA Davidson’s projections. Adjusted earnings per share reached $3.25, surpassing the consensus estimate of $3.09 and DA Davidson’s internal model by $0.18. Revenue totaled $817.7 million, beating the $779.5 million forecast and DA Davidson’s estimate by $36 million. Quarterly sales hit a record $818 million, up 10% year-over-year.
DA Davidson highlighted a 35% year-over-year increase in Nordson’s backlog, underpinning confidence in sustained growth. The firm noted strong demand in the Advanced Technology Solutions segment, driven by semiconductor dispensing applications and accelerating orders in test and inspection equipment. Industrial Precision Solutions and Fluid and Medical Solutions segments also showed healthy order flow, with the latter benefiting from robust demand in specialized fluid lines and medical products.
Nordson’s stock has gained 39% year-to-date and 48% over the past 12 months, trading near its 52-week high of $338.55. The company’s net leverage stands at 1.7 times, and DA Davidson indicated the balance sheet supports potential share buybacks and mergers and acquisitions.
The new $375 price target aligns with the upper end of the analyst consensus range. However, some market data suggests the stock may be overvalued at current levels. Six analysts have revised their earnings estimates upward for the upcoming period.
