Why Coherent Stock Is Skyrocketing Today

Coherent (NYSE: COHR) stock is posting huge gains Thursday despite bearish momentum for the broader market trading. The company's share price was up 18.2% as of 2:15 p.m. ET. Meanwhile, the S&P 500 had fallen 1.2%, and the Nasdaq Composite was down 1.5%.

Tech stocks are seeing big pullbacks in today's trading, but Coherent is defying gravity thanks to a strong quarterly report. Performance beats in its fiscal first quarter connected to artificial intelligence (AI) and strong forward guidance are helping the stock surge higher.

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Coherent stock surges on strong Q1 print

Coherent issued earnings for the first quarter of its current fiscal year after the market closed yesterday and posted sales and earnings that came in better than the average Wall Street forecasts. The first quarter of the company's 2026 fiscal year closed Sept. 30.

The business recorded non-GAAP (adjusted) earnings per share of $1.16 on revenue of $1.58 billion in the period. Meanwhile, the average Wall Street analyst estimate had called for per-share earnings of $1.04 on revenue of $1.58 billion. Sales were up 17% year over year, and the business also notched better-than-expected margins.

What's next for Coherent?

For fiscal Q2 2026, Coherent is guiding for sales to be between $1.56 billion and $1.7 billion. The guidance came in well above the average Wall Street analyst forecast, which had called for revenue of $1.55 billion. Meanwhile, the company expects earnings per share for the period to be between $1.10 and $1.30. Again, the guidance came in far ahead of the average Wall Street target -- which had called for per-share earnings of $1.12 in the period. So while valuations for AI stocks are broadly pulling back today, Coherent's forward guidance is helping to support big gains for the stock.

Keith Noonan has no position in any of the stocks mentioned. The Motley Fool recommends Coherent. The Motley Fool has a disclosure policy.