Is COHR Stock a Buy as AI Growth Meets Premium Valuation and Risk?
Coherent Corp. is projected to deliver strong fiscal 2027 revenue growth of 50.1% and earnings growth of 67.2%, driven by AI-optics demand. However, the stock trades at a premium 26.5X forward earnings with rising capital expenditures and weakening operating cash flow, creating execution risks. While earnings estimates are rising favorably, valuation and cash-flow pressures present concerns for investors.