Westlake, Ohio-based Nordson Corporation (NDSN) manufactures and markets products and systems to dispense, apply, and control adhesives, coatings, polymers, and other fluids worldwide. With a market cap of $11.8 billion, Nordson operates through Industrial Precision Solutions, Medical and Fluid Solutions, and Advanced Technology Solutions segments.

Companies worth $10 billion or more are generally described as "large-cap stocks," Nordson fits right into that category, with its market cap exceeding this threshold, reflecting its notable size and influence in the specialty industrial machinery industry.

Despite its notable strengths, Nordson has tanked 26.1% from its all-time high of $279.38 touched on May 10, 2024. Meanwhile, NDSN stock has dropped 2.2% over the past three months, underperforming the Dow Jones Industrial Average’s ($DOWI) 1.6% dip during the same time frame.

Nordson’s performance looks even grimmer over the longer time frame. NDSN stock has plummeted 21.1% over the past six months and 24.6% over the past 52 weeks, significantly underperforming Dow’s marginal dip over the past six months and 6.4% gains over the past year.

To confirm the sharp downturn, Nordson has traded consistently below its 50-day and 200-day moving averages since December 2024.

NDSN stock experienced a marginal uptick in the trading session after the release of its mixed Q1 results on Feb. 19. While the company observed a solid 21% year-over-year growth in the Medical and Fluid Solutions segment’s sales to $194 million, its Industrial Precision Solutions and Advanced Technology Solutions’ sales experienced a notable drop. Nordson’s overall topline for the quarter dropped 2.8% year-over-year to $615.4 million, missing the Street’s expectation. Meanwhile, due to an increase in COGS as a percentage of sales and a 3.2% increase in SG&A expenses, the company’s margins took a notable hit. Its adjusted net income for the quarter dropped 7.2% year-over-year to $118.5 million.

Nordson has also underperformed its peer Ingersoll Rand Inc.’s (IR) 17.1% drop over the past six months and a 14.7% decline over the past year.

However, analysts remain optimistic about the stock’s prospects. Among the 17 analysts covering the NDSN stock, the consensus rating is a “Moderate Buy.” Its mean price target of $138.24 suggests a 28.8% upside potential from current price levels.