Street Calls of the Week
SAXONBURG, Pa. - Coherent Corp. (NYSE:COHR), currently trading at $106.57 with impressive revenue growth of 23.42% over the last twelve months, announced on Friday the launch of what it describes as the industry’s first QSFP28 Dual Laser 100G ZR solution, designed to help broadband providers maximize capacity on existing fiber infrastructure. According to InvestingPro analysis, the company maintains strong financial health with a current ratio of 2.19, indicating robust operational efficiency.
The new Coherent 100G ZR QSFP-DCO module integrates two independently tunable lasers for single fiber, bi-directional applications in access and aggregation networks. The company states the technology enables IP-over-DWDM transmission over a single working fiber. With an EBITDA of $1.1 billion, Coherent demonstrates substantial operational scale to support such innovative developments.
According to the company, the module is powered by Coherent’s proprietary Steelerton DSP, which is optimized for 100G deployments. The solution claims to expand capacity tenfold on existing 10Gb/s network infrastructure. InvestingPro data reveals strong momentum in the company’s performance, with analysts setting price targets ranging from $85 to $135.
"This innovation enables us to seamlessly deploy the benefits of coherent optics more pervasively throughout our network and gives us greater flexibility to expand our network to new and underserved communities," said Elad Nafshi, Chief Network Officer at Comcast, in the press release.
Sunny Sun, Executive Vice President of Communications at Coherent, noted that traditionally, coherent optics benefits have been limited to dual fiber networks, but this innovation allows operators to leverage coherent optics across various network architectures.
The company reports that the module is currently sampling to key customers and will be generally available in the fourth quarter of 2025.
Coherent Corp., founded in 1971, provides photonics technology to customers in datacenter, communications, and industrial markets, according to the company’s statement.
In other recent news, Coherent Corp. announced several advancements in their optical technology offerings. The company has upgraded its Multi-Rail technology platform for optical transport networks, introducing a new Dynamic Gain Equalizer that combines C and L bands, effectively doubling transmission bandwidth while reducing the physical footprint by 20%. Coherent has also started sampling high-power 400 mW continuous-wave lasers designed for next-generation co-packaged optics and silicon photonics applications, built on their Buried-Heterostructure Distributed-Feedback laser platform. Additionally, the company unveiled high-density 2D VCSEL and photodiode arrays for AI datacenter networks, aiming to replace copper links with more power-efficient and compact designs. In another development, Coherent introduced a new family of quad-channel integrated circuits to enable faster and more energy-efficient optical transceivers for cloud, AI, and telecom networks. The lineup includes the CHR2075 driver and a chipset for 400G ZR/ZR+ coherent optical links. Furthermore, Coherent has developed a high-precision molded 2D lens array for optical systems, which enhances wafer-level manufacturing and expands optical channels bandwidth. These recent developments reflect Coherent’s ongoing efforts to innovate and enhance their technology offerings in the optical domain.
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