Onto Innovation Inc. shares plummeted 5.36% during intraday trading on Thursday, as the semiconductor equipment sector faced widespread pressure ahead of the company's quarterly earnings report.
The company is scheduled to release its second-quarter earnings after the market close today. Market consensus expects quarterly revenue of $325 million, up 28.93% year-over-year, and adjusted earnings per share of $1.69, up 33.08% year-over-year. Despite positive expectations, pre-earnings profit-taking and repositioning intensified, with the stock giving back its prior session gain of 5.41% as capital flows shifted.
The broader semiconductor equipment sector also saw declines, with Applied Materials, Lam Research, and KLA Corporation all trading lower, reflecting cautious sentiment ahead of the earnings release.