35 AI Superstars According to Goldman Sachs

28. Coherent Corp. (NYSE:COHR)

Number of Hedge Fund Holders: 47 

Coherent Corp. (NYSE:COHR) develops, manufactures, and markets engineered materials, optoelectronic components, and devices worldwide. Susquehanna recently upgraded the stock to Positive from Neutral with a price target of $120, up from $80. The advisory believes new CEO Jim Anderson, and his platform optimization program, will ultimately transform the company’s long-term financial model, potentially providing the company with over 1,000 basis points of net margin expansion, the advisory told investors. The firm has emerged as an important player in the AI space, marketing 800G transceivers which read and write data at a speed of 800 gigabytes per second.

In the third quarter earnings call, Chuck Mattera, the CEO of Coherent Corp. (NYSE:COHR), highlighted how the demand for 800G transceivers had led to a 50% sequential increase in non-GAAP earnings per share. He added that the firm expected AI tailwinds to continue to bolster earnings in the fourth quarter and into 2025.