Coatue’s 35 Most Important AI Stocks

25. Coherent Corp. (NYSE:COHR)

Number of Hedge Fund Holders: 51 

Coherent Corp. (NYSE:COHR) develops, manufactures, and markets engineered materials, optoelectronic components, and devices worldwide. The report for the fourth quarter of 2024 shows a promising picture of the company’s financial growth. For instance, the revenue was $1.314 billion, which grew 9.1% year-over-year, GAAP gross margin was 32.9%, which grew 437 bps year-over-year, and non-GAAP gross margin was 37.2%, showing an increase of 132 bps year-over-year. This demonstrates strong growth in both revenue and profitability, with the company improving its cost management and achieving better financial results compared to the same period last year. This 9% increase in revenue on a sequential basis was primarily driven by ongoing AI-related strength in the datacom transceiver business.