Recent News
On October 27, 2025 Coherent announced it will exhibit co‑packaged optics and CPO‑enabling photonics at NVIDIA GTC DC 2025, highlighting lasers, precision optics, detectors and thermal control solutions. On October 22, 2025 the company scheduled its fiscal Q1 earnings release for November 5, 2025 following market close.
Technical Analysis
ADX sits at 24.72, indicating emerging trend strength and supporting a continuation bias rather than a strongly established trend.
DI+ shows a dip & reversal while DI- registers decreasing; that DI+ behavior represents a bullish directional shift and supports near‑term upside pressure on price action.
MACD displays a dip & reversal and currently trades above its signal line (MACD 7.43 vs signal 6.75); the cross above the signal line confirms bullish momentum building on recent price strength.
MRO records a positive value at 26.1 with a peak & reversal; because MRO sits above zero, price sits above the model target and the MRO peak & reversal signals potential downward corrective pressure that could temper short‑term gains.
RSI at 60.9 with a dip & reversal indicates upward momentum without reaching overbought extremes, aligning with continued buying interest but leaving room for pullbacks.
Price trades above major averages (20‑day $147.98; 50‑day $129.46; 200‑day $93.99) and above Ichimoku short‑term lines (Tenkan‑sen $148.62; Kijun‑sen $140.76), reinforcing a constructive technical bias; Bollinger bands place price near the upper 1x band ($159.17) but below the 2x upper band ($170.36), implying the market sits in an extended but not exhausted short‑term range. Elevated short‑term beta (42‑day 2.82) signals larger intraperiod swings and higher volatility risk for momentum trades.
Fundamental Analysis
Revenue for the period ended September 30, 2025 reached $1,581,378,000, with YoY revenue growth of 32.14% and QoQ revenue growth of 61.18%, reflecting strong demand in data center and telecom end markets. EPS came in at $1.16 versus an estimate of $1.04, a $0.12 beat representing an 11.54% EPS surprise.
Gross margin stands at 36.63% (gross profit $579,200,000); operating margin at 10.892% and EBIT margin at 17.43%. EBIT margin sits slightly below the industry peer mean of 17.75% and below the industry peer median of 19.90%, while year‑over‑year EBIT margin rose 1.73% even as the quarter showed a QoQ contraction of 32.86% from the prior period.
Cash and liquidity show $852,778,000 in cash and short‑term investments, a current ratio of 2.33 and a quick ratio of 1.39, supporting near‑term obligations. Operating cash flow for the period registers $45,955,000 while free cash flow totaled negative $57,991,000; free‑cash‑flow yield stands at -0.33% and free cash flow grew 53.40% on the provided metric, signaling mixed cash generation trends during an investment and deleveraging phase.
Leverage metrics highlight total debt of $3,505,852,000 with net debt of $2,455,007,000 and debt-to‑EBITDA near 8.81x; interest coverage ratio at 4.69x provides coverage but reflects elevated leverage relative to comfortable defensive levels. The company reported active debt reduction during the latest quarter per company releases.
Valuation multiples read as follows: P/E ~96.3, P/B ~3.01, P/S ~11.08 and enterprise multiple ~50.70. P/E sits below the industry peer mean P/E of ~101.37 while P/B lies below the industry peer mean of ~7.46; these comparisons show the stock trades at high multiples but not uniformly above peer averages. The current valuation as determined by WMDST: fair‑valued.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-11-05 |
| NEXT REPORT DATE: | 2026-02-04 |
| CASH FLOW | Begin Period Cash Flow | $ 1.6 B |
| Operating Cash Flow | $ 46.0 M | |
| Capital Expenditures | $ -103.95 M | |
| Change In Working Capital | $ -158.60 M | |
| Dividends Paid | $ -11.44 M | |
| Cash Flow Delta | $ -80.01 M | |
| End Period Cash Flow | $ 1.6 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.6 B | |
| Forward Revenue | $ 298.8 M | |
| COSTS | ||
| Cost Of Revenue | $ 1.0 B | |
| Depreciation | $ 53.0 M | |
| Depreciation and Amortization | $ 122.4 M | |
| Research and Development | $ 154.9 M | |
| Total Operating Expenses | $ 1.4 B | |
| PROFITABILITY | ||
| Gross Profit | $ 579.2 M | |
| EBITDA | $ 398.0 M | |
| EBIT | $ 275.6 M | |
| Operating Income | $ 172.2 M | |
| Interest Income | — | |
| Interest Expense | $ 58.7 M | |
| Net Interest Income | $ -58.72 M | |
| Income Before Tax | $ 216.9 M | |
| Tax Provision | $ -8.31 M | |
| Tax Rate | 21.0 % | |
| Net Income | $ 226.3 M | |
| Net Income From Continuing Operations | $ 225.2 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.04 | |
| EPS Actual | $ 1.16 | |
| EPS Difference | $ 0.12 | |
| EPS Surprise | 11.538 % | |
| Forward EPS | $ 1.09 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 14.7 B | |
| Intangible Assets | $ 7.6 B | |
| Net Tangible Assets | $ 727.5 M | |
| Total Current Assets | $ 4.0 B | |
| Cash and Short-Term Investments | $ 852.8 M | |
| Cash | $ 852.8 M | |
| Net Receivables | $ 1.0 B | |
| Inventory | $ 1.6 B | |
| Long-Term Investments | $ 1.1 B | |
| LIABILITIES | ||
| Accounts Payable | $ 953.9 M | |
| Short-Term Debt | $ 48.4 M | |
| Total Current Liabilities | $ 1.7 B | |
| Net Debt | $ 2.5 B | |
| Total Debt | $ 3.5 B | |
| Total Liabilities | $ 6.0 B | |
| EQUITY | ||
| Total Equity | $ 5.8 B | |
| Retained Earnings | $ 777.2 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 37.15 | |
| Shares Outstanding | 156.953 M | |
| Revenue Per-Share | $ 10.08 | |
| VALUATION | Market Capitalization | $ 17.5 B |
| Enterprise Value | $ 20.2 B | |
| Enterprise Multiple | 50.699 | |
| Enterprise Multiple QoQ | -63.075 % | |
| Enterprise Multiple YoY | -9.644 % | |
| Enterprise Multiple IPRWA | high: 230.414 median: 74.716 mean: 59.779 COHR: 50.699 low: -236.709 |
|
| EV/R | 12.761 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.521 | |
| Asset To Liability | 2.445 | |
| Debt To Capital | 0.376 | |
| Debt To Assets | 0.239 | |
| Debt To Assets QoQ | -8.662 % | |
| Debt To Assets YoY | 4910.714 % | |
| Debt To Assets IPRWA | high: 0.788 median: 0.293 COHR: 0.239 mean: 0.23 low: 0.002 |
|
| Debt To Equity | 0.601 | |
| Debt To Equity QoQ | -12.827 % | |
| Debt To Equity YoY | 4631.157 % | |
| Debt To Equity IPRWA | high: 1.475 median: 0.603 COHR: 0.601 mean: 0.469 low: -0.674 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 3.006 | |
| Price To Book QoQ | 18.022 % | |
| Price To Book YoY | 22.491 % | |
| Price To Book IPRWA | high: 14.439 mean: 7.463 median: 6.691 COHR: 3.006 low: -8.049 |
|
| Price To Earnings (P/E) | 96.267 | |
| Price To Earnings QoQ | 3.629 % | |
| Price To Earnings YoY | -18.47 % | |
| Price To Earnings IPRWA | high: 383.521 median: 124.306 mean: 101.368 COHR: 96.267 low: -251.079 |
|
| PE/G Ratio | 6.017 | |
| Price To Sales (P/S) | 11.083 | |
| Price To Sales QoQ | 17.9 % | |
| Price To Sales YoY | 10.672 % | |
| Price To Sales IPRWA | high: 84.038 median: 21.019 mean: 18.049 COHR: 11.083 low: 0.0 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 89.876 | |
| Forward PE/G | 5.617 | |
| Forward P/S | 58.656 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -998.895 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.107 | |
| Asset Turnover Ratio QoQ | 2.505 % | |
| Asset Turnover Ratio YoY | 15.62 % | |
| Asset Turnover Ratio IPRWA | high: 0.503 median: 0.235 mean: 0.208 COHR: 0.107 low: 0.001 |
|
| Receivables Turnover | 1.588 | |
| Receivables Turnover Ratio QoQ | 2.503 % | |
| Receivables Turnover Ratio YoY | -1.727 % | |
| Receivables Turnover Ratio IPRWA | high: 3.347 COHR: 1.588 mean: 1.452 median: 1.405 low: 0.271 |
|
| Inventory Turnover | 0.653 | |
| Inventory Turnover Ratio QoQ | -6.082 % | |
| Inventory Turnover Ratio YoY | -1.762 % | |
| Inventory Turnover Ratio IPRWA | high: 2.365 median: 1.192 mean: 1.064 COHR: 0.653 low: 0.134 |
|
| Days Sales Outstanding (DSO) | 57.451 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 116.351 | |
| Cash Conversion Cycle Days QoQ | 0.693 % | |
| Cash Conversion Cycle Days YoY | -7.898 % | |
| Cash Conversion Cycle Days IPRWA | high: 384.751 COHR: 116.351 mean: 115.383 median: 85.242 low: -90.357 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.686 | |
| CapEx To Revenue | -0.066 | |
| CapEx To Depreciation | -1.962 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 11.6 B | |
| Net Invested Capital | $ 9.1 B | |
| Invested Capital | $ 9.1 B | |
| Net Tangible Assets | $ 727.5 M | |
| Net Working Capital | $ 2.3 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.491 | |
| Current Ratio | 2.328 | |
| Current Ratio QoQ | 6.414 % | |
| Current Ratio YoY | -12.903 % | |
| Current Ratio IPRWA | high: 11.805 mean: 2.665 COHR: 2.328 median: 2.07 low: 0.373 |
|
| Quick Ratio | 1.388 | |
| Quick Ratio QoQ | 0.061 % | |
| Quick Ratio YoY | -16.015 % | |
| Quick Ratio IPRWA | high: 9.468 mean: 2.147 median: 1.518 COHR: 1.388 low: 0.295 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 8.808 | |
| Cost Of Debt | 1.254 % | |
| Interest Coverage Ratio | 4.694 | |
| Interest Coverage Ratio QoQ | -3186.205 % | |
| Interest Coverage Ratio YoY | 263.939 % | |
| Interest Coverage Ratio IPRWA | high: 88.732 median: 21.333 mean: 14.835 COHR: 4.694 low: -113.26 |
|
| Operating Cash Flow Ratio | 0.114 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 83.561 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 19.789 | |
| Dividend Payout Ratio | 0.051 | |
| Dividend Rate | $ 0.07 | |
| Dividend Yield | 0.001 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -1.422 % | |
| Revenue Growth | 3.396 % | |
| Revenue Growth QoQ | 61.177 % | |
| Revenue Growth YoY | 32.14 % | |
| Revenue Growth IPRWA | high: 79.411 % median: 9.63 % mean: 6.815 % COHR: 3.396 % low: -44.732 % |
|
| Earnings Growth | 16.0 % | |
| Earnings Growth QoQ | 61.78 % | |
| Earnings Growth YoY | -24.921 % | |
| Earnings Growth IPRWA | high: 164.706 % COHR: 16.0 % median: 14.815 % mean: 8.446 % low: -200.0 % |
|
| MARGINS | ||
| Gross Margin | 36.626 % | |
| Gross Margin QoQ | 2.568 % | |
| Gross Margin YoY | 7.31 % | |
| Gross Margin IPRWA | high: 97.907 % mean: 41.187 % median: 38.088 % COHR: 36.626 % low: -43.101 % |
|
| EBIT Margin | 17.428 % | |
| EBIT Margin QoQ | -3286.106 % | |
| EBIT Margin YoY | 173.38 % | |
| EBIT Margin IPRWA | high: 44.499 % median: 19.896 % mean: 17.749 % COHR: 17.428 % low: -228.471 % |
|
| Return On Sales (ROS) | 10.892 % | |
| Return On Sales QoQ | 14.907 % | |
| Return On Sales YoY | 70.855 % | |
| Return On Sales IPRWA | high: 44.617 % median: 18.276 % mean: 17.603 % COHR: 10.892 % low: -228.471 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -57.99 M | |
| Free Cash Flow Yield | -0.331 % | |
| Free Cash Flow Yield QoQ | — | |
| Free Cash Flow Yield YoY | -173.23 % | |
| Free Cash Flow Yield IPRWA | high: 2.804 % median: 0.858 % mean: 0.479 % COHR: -0.331 % low: -13.716 % |
|
| Free Cash Growth | 5340.056 % | |
| Free Cash Growth QoQ | -5330.99 % | |
| Free Cash Growth YoY | -234210.302 % | |
| Free Cash Growth IPRWA | COHR: 5340.056 % high: 288.449 % median: 8.386 % mean: -19.366 % low: -351.784 % |
|
| Free Cash To Net Income | -0.256 | |
| Cash Flow Margin | 12.491 % | |
| Cash Flow To Earnings | 0.873 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 1.529 % | |
| Return On Assets QoQ | -334.869 % | |
| Return On Assets YoY | 763.842 % | |
| Return On Assets IPRWA | high: 6.668 % median: 3.285 % mean: 2.636 % COHR: 1.529 % low: -24.617 % |
|
| Return On Capital Employed (ROCE) | 2.126 % | |
| Return On Equity (ROE) | 0.039 | |
| Return On Equity QoQ | -329.162 % | |
| Return On Equity YoY | 724.204 % | |
| Return On Equity IPRWA | high: 0.282 median: 0.068 mean: 0.06 COHR: 0.039 low: -0.264 |
|
| DuPont ROE | 3.945 % | |
| Return On Invested Capital (ROIC) | 2.383 % | |
| Return On Invested Capital QoQ | -3456.338 % | |
| Return On Invested Capital YoY | -133.333 % | |
| Return On Invested Capital IPRWA | high: 9.897 % mean: 3.6 % median: 3.063 % COHR: 2.383 % low: -14.977 % |
|