On October 21, 2026, NVE Corporation reported its financial results for the second quarter of fiscal 2027, revealing, among other things, that quarter over quarter revenue decreased 47%, product sales decreased 48%, gross profit decreased 49%, and diluted EPS decreased 51%.

During the Company’s earnings call, Principal Financial Officer Daniel Nelson stated that “[t]he decrease in product sales was due to a short-term inventory adjustment at one of our large medical device customers and a 95% decrease in defense product sales.” Nelson stated that “we expect revenues in the second half of the fiscal year to be consistent with the first half.” The Company’s CEO, Peter Eames, further revealed the “variability was primarily from orders being pulled into quarter 1 from quarter 2.”

On this news, NVE stock fell as much as $31.56, or 30.62%, during intraday trading on October 22, 2026, thereby injuring investors.