In today’s rapidly evolving industrial landscape, I am excited to compare two notable players: Nordson Corporation (NDSN) and Symbotic Inc. (SYM). Both companies operate within the industrial machinery sector but focus on different aspects of automation and efficiency. While Nordson specializes in precision dispensing systems, Symbotic is reshaping warehouse operations through advanced robotics. This article will help you determine which company presents the most compelling investment opportunity for your portfolio.
Table of contents
Company Overview
Nordson Corporation Overview
Nordson Corporation (NDSN) is a prominent player in the industrial machinery sector, headquartered in Westlake, Ohio. Founded in 1935, the company specializes in engineering, manufacturing, and marketing systems and products for dispensing, applying, and controlling various fluids like adhesives and coatings. With a market capitalization of approximately $13.37B, Nordson operates through two primary segments: Industrial Precision Solutions (IPS) and Advanced Technology Solutions (ATS). The IPS segment focuses on systems for the application of adhesives and coatings, while ATS concentrates on automated dispensing systems and related technologies for semiconductor industries. Nordson’s commitment to innovation and efficiency has positioned it as a leader in its field.
Symbotic Inc. Overview
Symbotic Inc. (SYM), established in 2021 and based in Wilmington, Massachusetts, is an automation technology company that seeks to revolutionize warehouse operations for retailers and wholesalers. With an impressive market cap of $52.72B, Symbotic offers The Symbotic System, a comprehensive warehouse automation solution designed to enhance operational efficiency and reduce costs. The company leverages robotics and advanced technologies to optimize inventory management. With a rapidly growing workforce of approximately 1,650 employees, Symbotic is making significant strides in transforming the logistics landscape.
Key similarities between Nordson and Symbotic include their focus on the industrial machinery sector and the use of technology to enhance efficiency. However, Nordson specializes in fluid dispensing systems, while Symbotic is centered on warehouse automation solutions, highlighting their distinct yet complementary roles within the industry.
Income Statement Comparison
The following table outlines the income statements of Nordson Corporation and Symbotic Inc. for their most recent fiscal years, allowing investors to compare key financial metrics.
| Metric | Nordson Corporation | Symbotic Inc. |
|---|---|---|
| Revenue | 2.69B | 2.25B |
| EBITDA | 810M | -75M |
| EBIT | 674M | -115M |
| Net Income | 467M | -81M |
| EPS | 8.17 | -0.16 |
Interpretation of Income Statement
In the most recent fiscal year, Nordson Corporation demonstrated solid revenue growth, increasing from 2.63B to 2.69B, with a stable net income of 467M, reflecting effective cost management and operational efficiency. Conversely, Symbotic Inc. continues to struggle, showing a significant revenue increase from 1.18B to 2.25B, yet reporting a net loss of 81M. This highlights ongoing challenges in achieving profitability despite revenue growth. Nordson’s margins remain healthy, while Symbotic’s negative EBITDA and EBIT indicate the need for strategic adjustments to improve profitability.
Financial Ratios Comparison
Below is a comparative table showcasing the most recent financial metrics for Nordson Corporation (NDSN) and Symbotic Inc. (SYM).
| Metric | NDSN | SYM |
|---|---|---|
| ROE | 15.94% | -16.67% |
| ROIC | 9.65% | -17.47% |
| P/E | 30.56 | -70.32 |
| P/B | 4.87 | 11.73 |
| Current Ratio | 2.41 | 1.09 |
| Quick Ratio | 1.51 | 0.99 |
| D/E | 0.79 | 0 |
| Debt-to-Assets | 38.67% | 0% |
| Interest Coverage | 7.58 | N/A |
| Asset Turnover | 0.45 | 0.94 |
| Fixed Asset Turnover | 4.21 | 19.10 |
| Payout Ratio | 34.55% | 0% |
| Dividend Yield | 1.13% | 0% |
Interpretation of Financial Ratios
Nordson Corporation displays solid financial health with a strong ROE of 15.94% and a current ratio of 2.41, indicating good liquidity. However, Symbotic Inc. shows concerning metrics, particularly a negative ROE and significant debt issues, as indicated by a lack of debt-to-equity ratio. Caution is advised when considering investments in companies with such high leverage and negative profitability metrics.
Dividend and Shareholder Returns
Nordson Corporation (NDSN) pays dividends with a payout ratio of 34.5% and a current annual yield of 1.13%. The dividend has seen steady growth, supported by robust free cash flow. However, risks include the potential for unsustainable payouts if profitability declines.
On the other hand, Symbotic Inc. (SYM) does not pay dividends, prioritizing reinvestment for growth during its early stages. It conducts share buybacks, indicating a commitment to shareholder value, although its lack of dividends may be a concern for income-focused investors.
Overall, Nordson’s approach suggests sustainable long-term value creation, while Symbotic’s strategy hinges on future growth potential.
Strategic Positioning
In the competitive landscape of the industrial machinery sector, Nordson Corporation (NDSN) holds a substantial market share with a market cap of $13.37B, focusing on adhesive technologies. Meanwhile, Symbotic Inc. (SYM) is rapidly gaining traction with a market cap of $52.72B, specializing in warehouse automation systems. Both companies face competitive pressure from emerging technologies and automation trends, which could disrupt traditional manufacturing processes. As they innovate, investor vigilance is crucial for assessing their long-term viability and market positioning.
Stock Comparison
In this section, I will analyze the weekly stock price movements of Nordson Corporation (NDSN) and Symbotic Inc. (SYM) over the past year, highlighting notable price dynamics and trading behaviors.
Trend Analysis
Nordson Corporation (NDSN) Over the past year, NDSN has experienced a price change of -4.7%, indicating a bearish trend. The stock reached a high of 278.89 and a low of 176.73, suggesting significant volatility with a standard deviation of 23.83. The recent trend shows a positive change of 6.65% from September 14 to November 30, 2025, with a standard deviation of 4.23, indicating some recovery; however, the longer-term trend remains negative with acceleration noted.
Symbotic Inc. (SYM) In contrast, SYM has shown remarkable growth with a price change of 101.2% over the last year, marking a strong bullish trend. The stock’s highest price was 87.3, with a low of 17.5, and it has a standard deviation of 14.13, reflecting notable volatility. The recent trend analysis indicates an impressive increase of 82.83% from September 14 to November 30, 2025, with a standard deviation of 11.11, further confirming the ongoing acceleration in its price movement.
In summary, while NDSN is in a bearish trend with recent positive momentum, SYM has solidified its bullish stance driven by substantial gains.
Analyst Opinions
Recent analyst recommendations for Nordson Corporation (NDSN) are notably positive, with a rating of B+ reflecting strong metrics in return on equity and assets. Analysts like those from MarketWatch suggest a “buy” stance due to the company’s robust discounted cash flow analysis. In contrast, Symbotic Inc. (SYM) holds a lower rating of C, indicating a “hold” recommendation. Analysts express concerns over its weak performance in equity and asset returns. The consensus for NDSN is a “buy,” while SYM suggests caution with a “hold.”
Stock Grades
In the current market landscape, it’s crucial to stay informed about stock ratings from credible sources. Below, I’ve compiled the most recent grades for two companies: Nordson Corporation and Symbotic Inc.
Nordson Corporation Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Oppenheimer | maintain | Outperform | 2025-08-25 |
| Baird | maintain | Neutral | 2025-08-22 |
| Keybanc | maintain | Overweight | 2025-07-15 |
| Oppenheimer | upgrade | Outperform | 2025-05-30 |
| Baird | maintain | Neutral | 2025-05-30 |
| Keybanc | maintain | Overweight | 2025-04-08 |
| Keybanc | upgrade | Overweight | 2025-03-04 |
| Baird | maintain | Neutral | 2025-02-21 |
| Loop Capital | upgrade | Buy | 2025-01-22 |
| Seaport Global | upgrade | Buy | 2024-12-17 |
Symbotic Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Baird | maintain | Neutral | 2025-11-26 |
| Barclays | maintain | Underweight | 2025-11-26 |
| Craig-Hallum | upgrade | Buy | 2025-11-25 |
| Citigroup | maintain | Buy | 2025-11-25 |
| Cantor Fitzgerald | maintain | Overweight | 2025-11-25 |
| DA Davidson | maintain | Neutral | 2025-11-25 |
| Northland Capital Markets | maintain | Outperform | 2025-11-25 |
| UBS | downgrade | Sell | 2025-09-23 |
| DA Davidson | downgrade | Neutral | 2025-08-25 |
| Needham | maintain | Buy | 2025-08-07 |
Overall, Nordson Corporation shows a stable outlook with consistent grades around “Outperform” and “Overweight” from credible firms, indicating confidence in its performance. Conversely, Symbotic Inc. displays a mixed sentiment, with some upgrades but also notable downgrades, particularly from UBS. This suggests a level of caution that investors should consider when evaluating their positions in these stocks.
Target Prices
The consensus target prices for the following companies indicate positive expectations from analysts.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Nordson Corporation | 285 | 240 | 263 |
| Symbotic Inc. | 83 | 41 | 67.38 |
For Nordson Corporation (NDSN), the current stock price of $238 is below the consensus target of $263, suggesting potential upside. Similarly, Symbotic Inc. (SYM) is trading at $87.3, which is above the consensus target of $67.38, reflecting strong market confidence.
Strengths and Weaknesses
The following table outlines the strengths and weaknesses of Nordson Corporation (NDSN) and Symbotic Inc. (SYM) based on the most recent data.
| Criterion | Nordson Corporation (NDSN) | Symbotic Inc. (SYM) |
|---|---|---|
| Diversification | Strong presence across multiple industrial segments | Focused on warehouse automation |
| Profitability | Net profit margin: 17.37% | Negative net profit margin: -3.59% |
| Innovation | High R&D investment in automation technologies | Emerging player in robotics with potential |
| Global presence | Operates worldwide | Primarily US-focused |
| Market Share | Established player in industrial machinery | Growing market presence in automation |
| Debt level | Debt-to-equity ratio: 0.79 | No debt reported |
Key takeaways include Nordson’s strong profitability and established global presence, while Symbotic is an emerging player with potential but currently faces profitability challenges.
Risk Analysis
The table below outlines the key risks associated with Nordson Corporation (NDSN) and Symbotic Inc. (SYM) as of the most recent fiscal year.
| Metric | Nordson Corporation (NDSN) | Symbotic Inc. (SYM) |
|---|---|---|
| Market Risk | Moderate | High |
| Regulatory Risk | Low | Moderate |
| Operational Risk | Moderate | High |
| Environmental Risk | Low | Moderate |
| Geopolitical Risk | Moderate | High |
In synthesizing these risks, I observe that Symbotic Inc. faces significant operational and market risks, primarily due to its reliance on technological advancements and market volatility, while Nordson Corporation exhibits steady performance with manageable risks.
Which one to choose?
In comparing Nordson Corporation (NDSN) and Symbotic Inc. (SYM), the fundamentals strongly favor NDSN. With a market cap of approximately $14.3B, NDSN boasts a solid net profit margin of 17.37% and a robust gross profit margin of 55.25%. Its B+ rating reflects high return on equity (4) and assets (5), showcasing effective profitability. Conversely, SYM, valued at around $31.5B, struggles with negative margins, indicating ongoing operational challenges and inefficiencies.
Analysts have noted NDSN’s bearish trend recently, while SYM has shown a bullish price increase of over 100%. For growth-oriented investors, SYM may appear compelling, but the significant risks entailed in its current operational state warrant caution.
Recommendation: Investors prioritizing stability and proven performance may favor Nordson Corporation (NDSN).
Specific risks for SYM include competition and operational inefficiencies, which may hinder its recovery and growth trajectory.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of Nordson Corporation and Symbotic Inc. to enhance your investment decisions:
