Coherent Corp is expected to report fiscal third-quarter revenue of $1.78 billion and non-GAAP EPS of $1.39, with the stock currently trading at $328.10, roughly 9% above the average analyst price target of $301.67.
Investors are primarily focused on the revenue growth of high-speed 800G and 1.6T optical transceivers, which are critical components for the ongoing global expansion of AI data centers.
The company has demonstrated significant momentum with record bookings in its Networking segment and a strategic co-development partnership with NVIDIA for next-generation optics. Management’s progress in scaling Indium Phosphide production capacity and the early qualification of co-packaged optics will be the main factors determining whether the stock can maintain its significant year-to-date rally.