Onto Innovation Q2 Revenue Surges 35%, Outlook Raised on Strong Demand

Onto Innovation posted a 35% year-over-year revenue increase to $343 million for the second quarter, surpassing analyst expectations and prompting an upward revision to its full-year growth forecast. The surge was fueled by strong demand for advanced semiconductor technologies, particularly in advanced nodes and packaging solutions.

### Money Play Watch Onto Innovation ($ONTO+WL) as strong demand for its advanced semiconductor process control systems drives revenue growth and a raised outlook, indicating potential for sustained performance in the high-demand chip sector.

## Catalyst Analysis: Semiconductor Demand Strength Onto Innovation reported second-quarter revenue of $343 million, a 35% increase from the same period last year and an 18% sequential rise. Gross margin reached 57% and operating margin 30%. Advanced-node revenue saw a 50% sequential increase, with advanced packaging and specialty-device demand contributing to an 80% full-year growth outlook. Management raised its second-half revenue growth expectation to at least 25%, up from a prior forecast of 15%, citing strong customer visibility and a backlog exceeding $1.1 billion extending into 2027.

## $ONTO+WL Technical Analysis & Key Risk Watch

The company's outlook for third-quarter revenue is between $380 million and $400 million, with an expected operating margin of at least 33% by year-end. Onto Innovation anticipates exiting 2026 with an operating margin of at least 32%.