Shares of Onto Innovation Inc. (ONTO) plummeted by a staggering 11.91% on November 1, 2024, despite the company reporting better-than-expected earnings and revenue for the third quarter of 2024. The stock's sharp decline came as several analysts lowered their price targets on the semiconductor equipment maker, raising concerns about its future growth prospects.

According to the earnings report, Onto Innovation posted adjusted earnings per share (EPS) of $1.34 for the quarter ended September 30, surpassing analysts' expectations of $1.32 per share. The company also reported revenue of $252.21 million, up 21.7% year-over-year and slightly above Wall Street's estimate of $250.82 million.

However, the positive earnings results were overshadowed by analysts' actions. Needham lowered its price target on Onto Innovation to $230 from $245, while Jefferies cut its target to $245 from $265, both firms maintaining their "Buy" ratings on the stock. The downward revisions in the price targets may have contributed to the stock's decline, as they could have raised concerns among investors about the company's future growth potential.