Nordson Lowers Full-Year Guidance as New Order Pace Slows Down in Fiscal Q1; Lowering FVE

We are lowering our fair value estimate for narrow-moat-rated Nordson to $235 from $239 after the company reported its fiscal first-quarter earnings. Nordson’s adjusted EPS of $1.95 decreased by roughly 6% from $2.07 in the prior-year period, as the company grappled with foreign currency headwinds as well as a surge in COVID-19 cases in China. Our fair value reduction reflects our slightly more muted near-term revenue growth and operating margin projections, partially offset by time value of money.