KeyBanc raised its price objective on Nordson Corp. shares to $335 from $295 and reiterated an Overweight rating on Wednesday, citing sales momentum in the company’s ATS segment and what it characterized as clear signs of order and backlog strength revealed in Nordson’s fiscal first-quarter 2026 report.
While the firm acknowledged some early signs of margin pressure within the IPS business, it noted that Nordson’s updated guidance looks relatively conservative. KeyBanc said these factors, together with the company’s near-term outlook, make current stock levels an appealing entry point in anticipation of broader cyclical improvements across Nordson’s portfolio. The firm also adjusted its internal estimates to reflect the raised price target.
Earnings context and analyst moves
Nordson’s fourth-quarter results for 2025 were part of the backdrop for recent analyst activity. The company reported adjusted earnings per share of $3.03, beating the $2.93 forecast, while revenue came in at $752 million, which was slightly below projections. Those results prompted a series of target changes and reiterations among sell-side firms.
KeyBanc previously lifted its target to $295 from $250 after the fourth-quarter performance, citing robust margin execution despite what it described as challenging demand conditions. Separately, DA Davidson moved its target to $290 from $285 and maintained a Buy rating, highlighting improvements in operating margins, particularly in the MFS segment, along with strong free cash flow and a positive outlook conveyed by company executives during a recent roadshow.
DA Davidson’s analysis emphasized adjusted operating profit and EBITDA exceeding forecasts, and noted that organic sales growth contributed positively to those results.
Market takeaway
The recent string of analyst updates reflects continued confidence among some equity analysts in Nordson’s operational execution and cash generation, even as pockets of margin pressure and a modest revenue shortfall were acknowledged. KeyBanc’s newest price target and estimate revisions echo that cautiously optimistic view while flagging areas of margin vulnerability.