QM · rank #8 · 2026-07-27
COHR
NYSE · $61.28B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +336.27% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +4.7% |
| Profit margin Net profit margin, trailing 12 months. | +7.1% |
| Market cap (USD) Size filter: > $500M required. | $61.28B |
| Anchor (recent) Close on 2026-06-26 | $380.56 |
| Anchor (far) Close on 2025-06-27 | $87.23 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Coherent (COHR) is a global photonics and materials company serving high-speed datacom, industrial, and instrumentation markets, scaling revenue and margins on secular AI/optical connectivity demand.
Rationale
The momentum_12_1 signal of 3.36 is reinforced by concrete fundamental acceleration — non-GAAP EPS up ~55% YoY, expanding non-GAAP gross margins toward 40%, and Q4 guidance stepping up to $1.91–2.05B revenue — making the quality-momentum pairing credible rather than sentiment-only.
Material risks
- 1Geopolitical/export-control restrictions on advanced photonics sales into China could abruptly remove a meaningful revenue contributor and break the margin-expansion trajectory that underpins the quality signal.
- 2Cyclical reversal in datacom/AI capex spending — the primary growth engine — could rapidly compress both revenue growth and the margin profile that currently justifies the quality screen.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.