Viavi Solutions Inc. (VIAV) AI Stock Analysis

Viavi Solutions Inc. provides network test, monitoring, and assurance solutions across the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company operates through three segments: Network Enablement (NE), Service Enablement (SE), and Optical Security and Performance Products (OSP). Network Enablement supplies instruments, software, and services used for network design, activation, certification, troubleshooting, and optimization. Service Enablement delivers embedded systems and enterprise performance management solutions that provide visibility into network, service, and application data. The OSP segment develops optical products for anti-counterfeiting, consumer electronics, government, automotive, and industrial applications, alongside repair, calibration, and technical support services.

Viavi's annual revenue rose from $1.29B in FY2022 to $1.52B in FY2026, delivering a 5-year revenue CAGR of 4.8%. After contracting 14.4% in FY2023 and 9.6% in FY2024, revenue rebounded by 8.4% in FY2025 and 40.0% in FY2026. Gross margin stood at 57.7% in FY2026 compared to 59.1% in FY2022, while operating margin was 6.9%. Despite higher sales, FY2026 net income finished at -$30.4M with EPS of $0.93. In the latest quarter ended June 30, 2026, quarterly revenue grew 52.5% year-over-year, and quarterly earnings grew 326.5% year-over-year, bringing trailing twelve months revenue to $1.52B with a profit margin of -2.0%.

As of June 30, 2026, Viavi held $649.8M in cash and short-term investments against $698.8M in total debt, resulting in net debt of $49.0M. Shareholders' equity was $1.45B and total assets totaled $2.71B. The company maintained a current ratio of 1.85 and a debt-to-equity ratio of 0.48. In FY2026, operating cash flow was $113.9M, supporting capital expenditures of $31.1M and leaving free cash flow of $82.8M. Viavi allocated $30.0M to share buybacks in FY2026, reducing its share count by 5.3% over five years.

Viavi trades at an enterprise value of $9.61B and a forward P/E of 22.1x, above the 18.8x forward P/E median of its US-listed Technology peers. Its price-to-sales multiple of 5.4x and EV-to-EBITDA of 57.2x both exceed peer medians of 2.8x and 16.6x, respectively. The stock's price-to-book ratio is 6.2x, with a PEG ratio of 1.34. Over the past year, VIAV gained 150.6%, outperforming the S&P 500 (SPY) return of 16.8%. Over five years, the stock rose 115.4% compared to 83.0% for the index.

Wall Street coverage consists of 6 Strong Buy, 1 Buy, and 1 Hold ratings, with no Sell or Strong Sell recommendations. The mean price target is $61.43, representing an 84.0% premium over the last close of $33.38. For the fiscal year ending June 30, 2027, consensus estimates project revenue of $1.89B and EPS of $1.64, representing 64.4% EPS growth. Viavi beat EPS estimates in each of the last 4 quarters. The next earnings date is November 4, 2026.

This page is an AI-written research summary of Viavi Solutions Inc. (VIAV). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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