olivLaw · US equity research
VIAVI Solutions, Inc. VIAV
Semiconductors & Related Devices · SIC 3674 · Vertical: Semiconductors & Related Devices (SIC 3674)
VIAVI Solutions is a global leader in test and measurement and optical technologies, enabling and securing critical infrastructure from data centers and communication networks to military and aerospace communications. Revenue grew strongly in fiscal 2026, but the company remains exposed to telecom and data center investment cycles and to tariffs, so the pace of growth in coming quarters will be closely watched.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, VIAVI Solutions, Inc. (VIAV) stock was 29.38 USD (−2.23% on the day), with market capitalisation 7.2 bn USD, beta 1.43, 52-week range 15.92–55.33 USD. Latest reported quarter (Q4 2026): revenue of 443.1 m USD (+52.5% YoY), net income of 32.7 m USD (+308.8% YoY), diluted EPS 0.14 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 37.4
- weak (30–45)
- Bollinger (20, 2)
- 24.99 – 44.74
- in the lower half of the band · %B 0.22 · band width 56.7%
- SMA 50 / 200
- 37.12 / 38.90
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -2.69 / -2.11
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −37.4% | −1.1% | −36.3 pp | — |
| 3 months | −24.5% | −0.5% | −24.0 pp | — |
| 6 months | −44.6% | +4.4% | −49.0 pp | — |
| Year to date | +64.9% | +12.3% | +52.6 pp | — |
| 1 year | +75.3% | +13.5% | +61.8 pp | +37.6% |
| 3 years | +253.5% | +76.4% | +177.1 pp | +125.7% |
| 5 years | +86.1% | +63.7% | +22.4 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q4 2026 · 27 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 | Q4 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 238.2 m | 270.8 m | 284.8 m | 290.5 m | 299.1 m | 369.3 m | 406.8 m | 443.1 m |
| Cost of revenue | 102.1 m | 110.0 m | 124.1 m | 127.0 m | 130.1 m | 158.7 m | 172.7 m | 181.4 m |
| Gross profit | 136.1 m | 160.8 m | 160.7 m | 163.5 m | 169.0 m | 210.6 m | 234.1 m | 261.7 m |
| Research & development | 49.4 m | 52.1 m | 50.0 m | 57.2 m | 56.0 m | 65.9 m | 71.0 m | 69.8 m |
| SG&A | 74.1 m | 84.3 m | 101.3 m | 89.7 m | 104.2 m | 127.1 m | 113.6 m | 124.3 m |
| Operating income | 11.5 m | 22.2 m | 8.5 m | 15.3 m | 7.6 m | 11.4 m | 24.8 m | 61.3 m |
| Interest expense | 7.5 m | 7.5 m | 7.5 m | 7.5 m | 7.4 m | 15.3 m | 14.3 m | 10.4 m |
| Pre-tax income | 7.2 m | 18.6 m | 3.2 m | 9.6 m | -2.3 m | -38.7 m | 13.8 m | 43.5 m |
| Income tax | 9.0 m | 9.5 m | -16.3 m | 2.2 m | 19.0 m | 9.7 m | 7.4 m | 11.4 m |
| Net income | -1.8 m | 9.1 m | 19.5 m | 8.0 m | -21.4 m | -48.1 m | 6.4 m | 32.7 m |
| Diluted EPS | -0.01 | 0.04 | 0.09 | 0.04 ≈ | -0.10 | -0.21 | 0.03 | 0.14 ≈ |
| Operating cash flow | 13.5 m | 44.7 m ≈ | 7.8 m ≈ | 23.8 m | 31.0 m | 42.5 m ≈ | -26.3 m ≈ | 66.7 m |
| Capex | 7.3 m | 8.2 m ≈ | 6.8 m ≈ | 5.5 m | 8.5 m | 5.6 m ≈ | 5.9 m ≈ | 11.1 m |
| Share repurchases | 16.4 m | 0 ≈ | 0 ≈ | 0 | 30.0 m | 0 ≈ | 0 ≈ | 0 |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.1 bn | 1.1 bn | 1.2 bn | 1.3 bn | 1.1 bn | 1.0 bn | 1.1 bn | 1.5 bn |
| Revenue YoY | +29.1% | +0.5% | +5.5% | +7.8% | −14.4% | −9.6% | +8.4% | +40.0% |
| Net income | 5.4 m | 49.0 m | 67.5 m | 15.5 m | 25.5 m | -25.8 m | 34.8 m | -30.4 m |
| Net income YoY | unavailable | +807.4% | +37.8% | −77.0% | +64.5% | −201.2% | unavailable | −187.4% |
| Diluted EPS | 0.02 | 0.21 | 0.29 | 0.07 | 0.11 | -0.12 | 0.15 | -0.13 |
| Diluted EPS YoY | unavailable | +950.0% | +38.1% | −75.9% | +57.1% | −209.1% | unavailable | −186.7% |
| net % | 0.5% | 4.3% | 5.6% | 1.2% | 2.3% | -2.6% | 3.2% | -2.0% |
| Free cash flow | 93.8 m | 103.7 m | 191.2 m | 105.6 m | 63.0 m | 96.9 m | 62.0 m | 82.8 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2026 · 27 Jun 2026
- Cash
- 647.8 m USD
- Financial debt
- 244.8 m USD
- Net debt
- -403.0 m USD
- Equity
- 1.4 bn USD
- Total assets
- 2.7 bn USD
- Debt / equity
- 0.17x
- Current ratio
- 1.85x
- ROE
- -2.7%
- ROA
- -1.3%
- FCF margin
- 5.5%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 1.2 bn | 1.3 bn | 1.1 bn | 1.0 bn | 1.1 bn | 1.5 bn | SEC (XBRL)· 13 Aug 2026verified |
| Cost of revenue | 484.5 m | 518.9 m | 467.3 m | 424.5 m | 463.2 m | 642.9 m | SEC (XBRL)· 13 Aug 2026verified |
| Gross profit | 714.4 m | 773.5 m | 638.8 m | 575.9 m | 621.1 m | 875.4 m | SEC (XBRL)· 13 Aug 2026verified |
| Research & development | 203.0 m | 213.2 m | 206.9 m | 201.9 m | 208.7 m | 262.7 m | SEC (XBRL)· 13 Aug 2026verified |
| SG&A | 337.5 m | 365.7 m | 328.7 m | 333.3 m | 349.4 m | 469.2 m | SEC (XBRL)· 13 Aug 2026verified |
| Operating income | 142.2 m | 185.0 m | 82.4 m | 20.8 m | 57.5 m | 105.1 m | SEC (XBRL)· 13 Aug 2026verified |
| Interest expense | 14.7 m | 23.3 m | 27.1 m | 30.9 m | 30.0 m | 47.4 m | SEC (XBRL)· 13 Aug 2026verified |
| Pre-tax income | 130.8 m | 65.1 m | 60.7 m | 11.6 m | 38.6 m | 16.3 m | SEC (XBRL)· 13 Aug 2026verified |
| Income tax | 63.3 m | 49.6 m | 35.2 m | 37.4 m | 4.4 m | 47.5 m | SEC (XBRL)· 13 Aug 2026verified |
| Net income | 67.5 m | 15.5 m | 25.5 m | -25.8 m | 34.8 m | -30.4 m | SEC (XBRL)· 13 Aug 2026verified |
| Diluted EPS | 0.29 | 0.07 | 0.11 | -0.12 | 0.15 | -0.13 | SEC (XBRL)· 13 Aug 2026verified |
| Weighted average diluted shares | 236.3 m | 238.2 m | 226.6 m | 222.6 m | 225.7 m | 229.5 m | SEC (XBRL)· 13 Aug 2026verified |
Balance sheet · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 697.8 m | 559.9 m | 506.5 m | 471.3 m | 423.6 m | 647.8 m | SEC (XBRL)· 13 Aug 2026verified |
| Receivables | 256.5 m | 260.9 m | 231.2 m | 213.1 m | 261.0 m | 351.3 m | SEC (XBRL)· 13 Aug 2026verified |
| Inventories | 94.9 m | 110.1 m | 116.1 m | 96.5 m | 117.9 m | 155.3 m | SEC (XBRL)· 13 Aug 2026verified |
| Current assets | 1.1 bn | 1.0 bn | 945.0 m | 876.5 m | 885.2 m | 1.3 bn | SEC (XBRL)· 13 Aug 2026verified |
| Property, plant & equipment, net | 196.0 m | 228.9 m | 243.0 m | 228.2 m | 231.9 m | 224.5 m | SEC (XBRL)· 13 Aug 2026verified |
| Goodwill | 396.5 m | 387.6 m | 455.2 m | 452.9 m | 595.7 m | 700.7 m | SEC (XBRL)· 13 Aug 2026verified |
| Intangibles (excl. goodwill) | 88.0 m | 54.2 m | 58.6 m | 38.2 m | 131.6 m | 377.6 m | SEC (XBRL)· 13 Aug 2026verified |
| Total assets | 2.0 bn | 1.8 bn | 1.9 bn | 1.7 bn | 2.0 bn | 2.7 bn | SEC (XBRL)· 13 Aug 2026verified |
| Accounts payable | 63.2 m | 58.3 m | 47.2 m | 50.4 m | 68.8 m | 92.2 m | SEC (XBRL)· 13 Aug 2026verified |
| Short-term debt | 456.6 m | 68.4 m | 96.2 m | 0 | 246.2 m | 244.8 m | SEC (XBRL)· 13 Aug 2026verified |
| Long-term debt | 224.1 m | 616.5 m | 629.5 m | 636.0 m | 396.3 m | — | SEC (XBRL)· 30 Oct 2025verified |
| Current liabilities | 747.4 m | 369.3 m | 343.5 m | 247.1 m | 589.7 m | 680.5 m | SEC (XBRL)· 13 Aug 2026verified |
| Total liabilities | — | — | — | 1.1 bn | 1.2 bn | 1.3 bn | SEC (XBRL)· 13 Aug 2026verified |
| Equity | 763.9 m † | 671.7 m † | 690.8 m † | 681.6 m † | 780.2 m † | 1.4 bn † | SEC (XBRL)· 13 Aug 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 243.3 m | 178.1 m | 114.1 m | 116.4 m | 89.8 m | 113.9 m | SEC (XBRL)· 13 Aug 2026verified |
| Capex | 52.1 m | 72.5 m | 51.1 m | 19.5 m | 27.8 m | 31.1 m | SEC (XBRL)· 13 Aug 2026verified |
| Free cash flow | 191.2 m ≈ | 105.6 m ≈ | 63.0 m ≈ | 96.9 m ≈ | 62.0 m ≈ | 82.8 m ≈ | SEC (XBRL)· 13 Aug 2026derived |
| Investing cash flow | -48.7 m | -71.0 m | -127.1 m | -21.6 m | -128.4 m | -426.8 m | SEC (XBRL)· 13 Aug 2026verified |
| Financing cash flow | -58.8 m | -210.4 m | -50.0 m | -125.7 m | -23.6 m | 541.0 m | SEC (XBRL)· 13 Aug 2026verified |
| Share repurchases | 42.2 m | 235.9 m | 83.9 m | 20.0 m | 16.4 m | 30.0 m | SEC (XBRL)· 13 Aug 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
4 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 49 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 7.2 bn USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet62
- Valuation51
- Quality38
- Growth55
- Returns40
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 9.31 – 92.03 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)9.31 – 13.42 (Mid 10.90)WACC 9.2% · starting FCFF 122.6 m USD · terminal value share of EV 74%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: no growth between −30% and +40% justifies the price
- Peers: EV/Sales28.70 – 92.03 (Mid 53.74)24 companies used · median multiple 8.5x · quartiles 4.4x – 14.7xAAOI, ADI, AMAT, AMD, AVGO, AXTI, FSLR, FTCI, INTC, MCHP, MRAM, MRVL, MTSI, MU, MXL, NVDA, NXPI, ON, Q, SMTC, TE, TSEM, TXN, UCTT
- Peers: EV/EBITDAunavailable · input data missing
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 49/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| Gross margin · Quality | 57.7% | 44 (on a fixed band) | 11% |
| EBIT margin · Quality | 6.9% | 47 (vs peers) | 9% |
| FCF margin · Quality | 5.5% | 22 (on a fixed band) | 9% |
| Revenue CAGR 3Y · Growth | 11.1% | 45 (on a fixed band) | 18% |
| Revenue growth (YoY) · Growth | 40.0% | 77 (vs peers) | 9% |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.8x | 62 (on a fixed band) | 7% |
| EV/Sales · Valuation | 4.5x | 72 (vs peers) | 18% |
| FCF yield · Valuation | 1.1% | 23 (on a fixed band) | 14% |
| Shareholder yield (distributions) · Returns | 0.4% | 40 (on a fixed band) | 5% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial62/100 · 1/2 factors with a value
- Growth55/100 · 2/2 factors with a value
- Quality38/100 · 3/3 factors with a value
- Returns40/100 · 1/1 factors with a value
- Valuation51/100 · 2/2 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Viavi Solutions Inc. (VIAV). Latest full fiscal year: 2026; data up to 2026-06-27.
Figures computed from the financial statements: revenue 1.5 bn USD in 2026; YoY growth 40.0%; net margin -2.0%; ROE -2.7%.
The estimated value range is 19.00–52.73 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 32.32 USD, the price of 29.38 USD leaves a potential of 10.0% (value / price − 1) and a margin of safety of 9.1% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 49/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: balance. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Revenue growth (YoY): 40.0%
- EV/Sales: 4.5x
What contradicts it
- FCF margin: 5.5%
- FCF yield: 1.1%
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): Net debt / EBITDA.
Versus the vertical median
Semiconductors & Related Devices (SIC 3674) · same industry (4-digit SIC) · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| TSMTaiwan Semiconductor Manufacturing Company Limited | 10,262.8 bn | 291.0 | 29.3% | 40.0% | +25.0% | +36% / +307% |
| NVDANvidia Corp | 4,823.1 bn | 25.3 | 117.2% | 63.7% | +65.5% | +13% / +328% |
| AVGOBroadcom Inc. | 1,553.7 bn | 41.6 | 44.2% | 42.9% | +23.9% | −19% / +252% |
| MUMicron Technology, Inc. | 899.7 bn | 10.7 | 88.3% | 63.8% | +256.3% | +236% / +945% |
| AMDAdvanced Micro Devices, Inc | 801.6 bn | 106.3 | 11.8% | 16.8% | +34.3% | +125% / +303% |
| INTCIntel Corporation | 309.7 bn | — | -10.9% | -20.1% | −0.5% | +44% / +30% |
| AMATApplied Materials Inc | 293.2 bn | 31.9 | 41.1% | 30.1% | +4.4% | +46% / +147% |
| TXNTexas Instruments Inc | 284.6 bn | 40.4 | 39.7% | 34.3% | +13.0% | +85% / +104% |
| ADIAnalog Devices Inc | 196.8 bn | 48.2 | 12.2% | 29.8% | +16.9% | +53% / +122% |
| MRVLMarvell Technology, Inc | 140.1 bn | 52.8 | 16.5% | 27.9% | +42.1% | +79% / +187% |
| NXPINXP Semiconductors N.V. | 66.8 bn | 20.8 | 29.2% | 23.4% | −2.7% | +36% / +30% |
| MPWRMonolithic Power Systems, Inc. | 61.5 bn | 69.5 | 25.1% | 23.9% | +26.4% | +36% / +130% |
| MCHPMicrochip Technology Incorporated | 40.9 bn | 104.2 | 7.2% | 9.3% | +7.1% | +41% / −10% |
| ALABAstera Labs, Inc. | 39.0 bn | 89.0 | 28.2% | 29.6% | +115.1% | +42% / unavailable |
| ONOn Semiconductor Corp | 27.7 bn | 41.4 | 8.9% | 10.8% | −15.3% | +42% / −0% |
| CRDOCredo Technology Group Holding Ltd | 25.7 bn | 48.7 | 30.7% | 33.8% | +205.7% | −23% / +662% |
| QQnity Electronics, Inc. | 24.8 bn | 42.0 | 7.6% | 11.5% | +9.7% | +46% / unavailable |
| FSLRFirst Solar, Inc. | 20.9 bn | 11.3 | 18.7% | 37.1% | +24.1% | −29% / +23% |
| MTSIMACOM Technology Solutions Holdings, Inc. | 17.8 bn | 74.6 | 17.2% | 20.7% | +32.6% | +33% / +178% |
| TSEMTower Semiconductor Ltd. | 16.7 bn | 76.7 | 7.9% | 14.1% | +9.1% | +38% / +443% |
| SMTCSemtech Corporation | 10.3 bn | — | -5.8% | -3.0% | +15.5% | +50% / +578% |
| RMBSRambus Inc | 8.9 bn | 34.1 | 19.6% | 33.4% | +27.1% | −13% / +23% |
| VIAVViavi Solutions Inc. | 7.2 bn | — | -2.7% | -2.0% | +40.0% | +75% / +254% |
| MXLMaxLinear, Inc. | 5.2 bn | — | -5.9% | -4.4% | +29.7% | +265% / +204% |
| AAOIApplied Optoelectronics, Inc. | 5.0 bn | — | -5.4% | -9.6% | +82.8% | +121% / +347% |
1- and 3-year price returns: for VIAV from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 13 Aug 2026; since then the company filed 8-K (04 Nov 2026 · results).
In brief
VIAVI Solutions is a global leader in test and measurement and optical technologies, enabling and securing critical infrastructure from data centers and communication networks to military and aerospace communications. Revenue grew strongly in fiscal 2026, but the company remains exposed to telecom and data center investment cycles and to tariffs, so the pace of growth in coming quarters will be closely watched.
SWOT
Strengths
- The company has one of the broadest test and monitoring portfolios in the industry, and growth in revenue and non-GAAP margin shows solid execution 12.
- Its anti-counterfeiting technologies are deployed on banknotes in many countries, a niche position that is hard to replicate 1.
- The company has integrated major acquisitions and expanded its portfolio in data centers and aerospace 1.
Weaknesses
- Dependence on a limited number of large customers makes revenue sensitive to a single customer's orders 1.
- GAAP profitability remains modest, and the fiscal 2026 GAAP loss per share was affected by debt extinguishment 1.
- The company has repeatedly incurred restructuring and integration costs, and production transitions can weigh on margins 1.
Opportunities
- Demand from AI data centers and the move toward 6G could open new revenue lines for testing 1.
- Needs for resilient PNT and post-quantum cryptography testing could extend the offer into defense and security 1.
- If acquisition integration succeeds, synergies could support higher margins in the NSE segment 1.
Risks
- Customer concentrationhigh
A limited number of customers account for a substantial part of revenue, and consolidation in the communications industry could increase pressure on prices and contract terms 1.
- Reliance on SICPAmedium
Marketing of anti-counterfeiting products depends on a strategic alliance with SICPA, and losing that relationship could affect the OSP segment 1.
- Tariffs and geopoliticshigh
Tariffs, sanctions and geopolitical tensions could raise supply costs and limit access to certain markets 1.
- Acquisition integrationmedium
Integrating acquired businesses and realizing the expected synergies is uncertain, and difficulties could affect results 12.
- Supply chainmedium
Dependence on specialized suppliers and component shortages, including memory chips, could raise costs and delay deliveries 1.
Investment thesis
What would need to be true (bull case)
- Revenue growth from data centers and aerospace, combined with an expanding non-GAAP margin, could sustain good performance if these trends hold 12.
- The niche position in anti-counterfeiting and network testing provides a stable revenue base that competitors find hard to replace 1.
- Solid operating cash flow and debt reduction could give the company flexibility for future investment 1.
What would break the thesis
- Dependence on investment by a small number of large customers leaves revenue vulnerable to delayed orders 1.
- Tariffs and US-China tensions could raise costs and reduce margins, particularly if tariff policy changes quickly 1.
- The shift toward software and virtualized networks could weaken demand for traditional hardware that remains a large part of the business 1.
What to watch
- Delivery against first-quarter revenue and non-GAAP EPS guidanceQ1 2027
- Demand trends in data center and aerospace testing within NSE2027
- Impact of tariffs and IEEPA refunds on costs and margins2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 13 Aug 2026; since then the company filed 8-K (04 Nov 2026 · results).
The business
VIAVI Solutions, Inc. describes itself as a global leader in test and measurement and optical technologies, offering test, monitoring, assurance and resilient PNT solutions for critical infrastructure, from data center ecosystems and communication networks to military, aerospace, railway and first responder communications 1. The company operates through two segments: Network and Service Enablement (NSE) and Optical Security and Performance Products (OSP) 1. Its strategy aims to defend leadership in core segments, invest in secular trends such as data centers and next-generation wireless, and extend into aerospace and defense 1. In fiscal 2026 net revenue was 1518.3 million USD, up 40.0% year-over-year, with a non-GAAP operating margin of 20.6% and a GAAP operating margin of 6.9% 12.
For the first quarter of fiscal 2027, ending October 3, 2026, the company expects net revenue between 450 and 460 million USD and non-GAAP EPS between 0.40 and 0.42 USD 2. With a concentrated customer base, revenue depends heavily on the investment cycles of a few large telecom and data center operators 1.
Segments
Network and Service Enablement (NSE)
NSE generated 1182.9 million USD in fiscal 2026, up 52.3% 2. Growth came from demand for lab, production and field products tied to the data center ecosystem, the Spirent acquisition and aerospace and defense products 2. The segment covers Ethernet and fiber testing, 5G and Open RAN wireless testing, resilient PNT and AIOps solutions 1.
Market context
The market is changing quickly: the buildout of AI data centers and HPC is driving demand for faster optical transceivers, while the move to 5G Standalone and 6G research opens new testing cycles 1. At the same time, GNSS interference risks and the push toward post-quantum cryptography raise demand for resilient PNT and test solutions 1.
Trends
- Data center and AI infrastructure expansiontailwind
The rapid buildout of AI data centers and HPC requires faster optical transceivers and more interconnects, which increases demand for testing these components 1. If hyperscaler investment holds up, the lab and production business could keep growing.
- Transition to 5G Standalone and 6Gmixed
Operators are moving to 5G Standalone with dedicated core networks, and 6G research centered on AI across network functions and new frequency bands creates new testing needs 1. Delays in operator capital spending remain a risk to the timing of this demand 1.
- GNSS threats and defense spendingtailwind
Rising disruption, jamming and spoofing of GPS and GNSS signals supports demand for resilient PNT, and higher military and public safety budgets could support avionics upgrades 1.
- Tariffs and geopolitical tensionsheadwind
US tariffs, the February 2026 Supreme Court ruling on IEEPA tariffs and US-China tensions could raise costs and disrupt trade relations 1. The company has recovered part of the IEEPA tariffs it paid, but the tariff policy remains uncertain 1.
Competitive position
In NSE, competitors include Anritsu, EXFO, Keysight Technologies, NetScout Systems, Riverbed Technology, Rohde & Schwarz and VeEX 1. Price pressure comes especially from Asia-based suppliers, and larger, better-resourced companies compete with VIAVI across product families 1.
In OSP, competition comes from anti-counterfeiting providers such as Giesecke & Devrient and Crane NXT, special-effect pigment makers such as GNMI Group and FYOTEC, optical coating companies such as Materion and Coherent, and other optical component manufacturers 1.
- Keysight TechnologiesKEYS
Competitor in test and measurement for NSE, named in the annual report 1.
- NetScout SystemsNTCT
Competitor in network performance and security monitoring, named in the annual report 1.
- Giesecke & Devrient
Anti-counterfeiting technology provider competing with the OSP segment, named in the annual report 1.
- Coherent
Optical component manufacturer named as a competitor to the OSP segment 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Viavi Solutions EVP Paul McNab Sells 11,032 Shares for $429,917Yahoo Finance — News · 13 Sept 2026 · EN
The latest news item in our archive is from 13 Sept 2026; the newest SEC filing is from 04 Nov 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Current report04 Nov 2026Results of operations · Other events · Financial statements and exhibits
- Proxy statement02 Oct 2026
- Annual report13 Aug 2026
- Current report05 Aug 2026Results of operations · Financial statements and exhibits
- Current report21 May 2026Other events · Financial statements and exhibits
- Current report18 May 2026Departure or appointment of officers
- Quarterly report30 Apr 2026
- Current report29 Apr 2026Results of operations · Financial statements and exhibits
- Quarterly report29 Jan 2026
- Current report28 Jan 2026Results of operations · Exit or disposal costs · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2026-06-27 · SEC / VIAVI Solutions, Inc. · 13 Aug 2026
- [2] Form 8-K, results release (exhibit 99.1) · SEC / VIAVI Solutions, Inc. · 05 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.