LITE Profit Margins Surpass COHR as Revenue Gap Narrows to 1.84x

Lumentum demonstrates superior profit density and operational leverage versus Coherent, while the revenue multiple shrinks from 2.36x to 1.84x in recent forecasts.

Woofun AI notes that analyst qinbafrank compared Coherent (COHR) and Lumentum (LITE), identifying distinct strategic positions in U.S. optical interconnects. Coherent maintains scale advantages in product diversity and manufacturing, whereas Lumentum exhibits stronger growth rates, gross margins, and net liquidity. The revenue gap is contracting rapidly: Coherent's full fiscal 2026 revenue was 2.36 times Lumentum's, falling to 2.03 times in Q4 2026 and projected at 1.84 times for Q1 2027. Despite higher revenue, Coherent's implied Non-GAAP operating profit is only 1.04 times Lumentum's, with Non-GAAP gross profit at 1.62 times, operating profit at 1.21 times, and net profit at 1.08 times.