WILMINGTON, Mass. - Onto Innovation Inc. (NYSE: NYSE:ONTO) has introduced a novel infra-red (IR) inspection capability for its Dragonfly® G3 system, aimed at detecting critical sub-surface defects in semiconductor wafers. This advancement promises to reduce the incidence of defective dies and shattered wafers, a significant concern for manufacturers as wafer layers become thinner and more brittle.
The new IR technology and algorithms enable the Dragonfly G3 platform to conduct full wafer inspections at production speeds, a departure from the previous limitations of sampling only selected areas. This development is expected to enhance final yield and reduce costs associated with scrapped materials.
Mayson Brooks, Onto's vice president and general manager of the inspection business, stated that customers require 100% inspection capability without compromising on throughput. The Dragonfly G3 system is designed to meet this demand, offering flexibility with multiple objective lenses for various magnifications tailored to different applications and devices.
The system is building upon its predecessor's success, which was widely adopted by high bandwidth memory (HBM) customers for die position metrology. The market for wafer-level packaging (WLP) inspection products, according to TechInsights, is projected to grow from $400 million in 2024 to over $600 million by 2028, with the advanced node segment expected to outpace the overall market growth.
Onto Innovation, a leader in process control technologies, provides a broad range of solutions across the semiconductor value chain.
The information reported is based on a press release statement from Onto Innovation Inc.
InvestingPro Insights
As Onto Innovation Inc. (NYSE: ONTO) continues to push the boundaries of semiconductor inspection technology with its Dragonfly® G3 system, investors are closely monitoring the company's financial health and market performance. According to InvestingPro data, Onto Innovation boasts a market capitalization of $8.4 billion, highlighting its significant presence in the semiconductor equipment industry.
The company's Price to Earnings (P/E) ratio stands at 68.87, reflecting a high valuation multiple which suggests that investors may expect strong growth prospects. This is further substantiated by the company's impressive one-year price total return of 106.47%, indicating robust investor confidence in Onto's growth trajectory and market strategy. Despite challenges in the semiconductor sector, Onto's liquid assets exceed its short-term obligations, providing the company with a stable financial footing to navigate market fluctuations.
However, it's worth noting that some caution may be warranted. InvestingPro Tips reveal that three analysts have revised their earnings estimates downwards for the upcoming period, and the stock has experienced a significant decline over the last week. These factors could suggest potential headwinds or market reactions to broader industry trends. Moreover, Onto does not pay a dividend to shareholders, which may influence the investment strategy for those seeking regular income in addition to capital gains.
For investors looking for a deeper dive into Onto Innovation's financials and market performance, InvestingPro offers additional tips that could provide valuable insights. There are currently 15 additional InvestingPro Tips available, which can be accessed through the dedicated company page at Investing.com/pro/ONTO. Readers who find these insights useful may also take advantage of an exclusive offer using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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