Will Nova Ltd. (NVMI) Benefit from Increasing Use of AI?

2 hours ago 1

Soumya Eswaran

Mon, December 15, 2025 astatine 8:16 AM CST 3 min read

Wasatch Global Investors, an plus absorption company, released its third-quarter 2025 “Wasatch Small Cap Growth Strategy” capitalist letter. A transcript of the missive tin beryllium downloaded here. US small-cap equities rallied powerfully successful the 3rd quarter. The Fed Reserve’s involvement complaint chopped supported the rally. However, the fund-Investor Class struggled to support up with the rally and ended the play down -3.17% vs. 12.19% summation for the Russell 2000 Growth Index. In addition, delight cheque the fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its third-quarter 2025 capitalist letter, Wasatch Small Cap Growth Strategy highlighted stocks specified arsenic Nova Ltd. (NASDAQ:NVMI). Nova Ltd. (NASDAQ:NVMI) designs and develops process power systems utilized to manufacture semiconductors. The one-month instrumentality of Nova Ltd. (NASDAQ:NVMI) was 10.13%, and its shares gained 65.87% of their worth implicit the past 52 weeks. On December 12, 2025, Nova Ltd. (NASDAQ:NVMI) banal closed astatine $315.84 per share, with a marketplace capitalization of $9.365 billion.

Wasatch Small Cap Growth Strategy stated the pursuing regarding Nova Ltd. (NASDAQ:NVMI) successful its 3rd 4th 2025 capitalist letter:

"Nova Ltd. (NASDAQ:NVMI) besides contributed. Nova sells metrology and process power systems utilized successful semiconductor manufacturing. Like Fabrinet, the steadfast benefits from the expanding usage of AI, and its ties to the AI taxable apt helped assistance the banal during the quarter. But present too, we aren’t investing successful Nova arsenic portion of a thematic view, and we don’t presumption it arsenic a speculative business. The institution has a beardown way grounds of net growth, successful our view, and we judge its products volition proceed to beryllium successful precocious request arsenic semiconductor manufacturing becomes much complex. (Current and aboriginal holdings are taxable to alteration and risk.)"

Is Nova Ltd. (NVMI) the Best Semiconductor Equipment Stock to Buy According to Analysts?

Nova Ltd. (NASDAQ:NVMI) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. As per our database, 18 hedge money portfolios held Nova Ltd. (NASDAQ:NVMI) astatine the extremity of the 3rd quarter, which was 22 successful the erstwhile quarter. Nova Ltd.’s (NASDAQ:NVMI) total revenues successful Q3 2025 deed a grounds $224.6 million, marking a beardown 25% year-over-year growth. While we admit the imaginable of Nova Ltd. (NASDAQ:NVMI) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.