📊 AI Stock Rating — Summary

Coherent achieved revenues of $1.58 billion in the most recent quarter, with net income reaching $226.35 million. Despite a net income, the EPS registered at zero due to rounding or accounting considerations. The company's free cash flow shows a negative figure, indicating challenges in capital management. There is evident financial deleveraging with substantial debt repayments exceeding $385 million, yet capital expenditures remain high at $103.95 million. Coherent's balance came in with total assets of $14.7 billion against liabilities of $6 billion, resulting in healthy shareholder equity of $8.6 billion. The stock's valuation perspective highlights analyst targets from $85 to $190, with a consensus median of $150, suggesting potential room for market performance improvement.

AI Score Breakdown

Revenue Growth — Score: 7/10

Revenue growth appears solid with $1.58 billion reported this quarter. The stability of these figures underscores ongoing demand, supported by recurring revenue streams from key segments.

Profitability — Score: 6/10

Strong net income of $226.35 million indicates solid profitability, although the exact EPS of zero suggests there may be underlying accounting factors impacting per-share distribution.

Cash Flow Quality — Score: 5/10

Free cash flow is negative despite positive operating cash flow, impacted by high capital expenditures. This suggests refinancing needs and challenges in converting earnings to cash.

Leverage & Balance Sheet — Score: 7/10

Coherent shows a strong equity base with a total equity of $8.69 billion. Debt repayments are significant, reducing overall net debt. The balance sheet is robust and indicates decent financial health.

Shareholder Returns — Score: 5/10

With minimal dividends and slight share repurchases, shareholder returns primarily hinge on stock performance. However, there is no price change data available for evaluation at this time.

Analyst Sentiment & Valuation — Score: 6/10

Analyst price targets range widely from $85 to $190, highlighting a consensus of $144. This suggests potential upside, although precise valuation metrics weren't provided for a more comprehensive view.

⚠ AI-generated — informational only, not financial advice.