Why Coherent Corp. (COHR) Went Down On Thursday?

We recently published a list of 10 Firms Take a Beating on Tariff Worries. In this article, we are going to take a look at where Coherent Corp. (NYSE:COHR) stands against other Thursday’s worst performers.

Wall Street’s three major indices suffered a bloodbath on Thursday as investors continued to digest news of President Donald Trump’s tariff rollout on imports.

The tech-heavy Nasdaq fell the heaviest, down by nearly 6 percent. The S&P 500 dropped by 4.84 percent and the Dow Jones was down by 3.98 percent.

Ten individual stocks, predominantly under the retail sector, mirrored a broader market pessimism, finishing the day in the negative territory as investors sold off positions to mitigate risks.

In this article, we named Thursday’s worst performers and detailed the reasons behind their drop.

To come up with the list, we considered only the stocks with $2-billion market capitalization and $5 million in trading volume.

A row of precision industrial lasers in action, cutting the most intricate of shapes.

Coherent Corp. (NYSE:COHR)

Coherent saw its share prices decline by 20.18 percent on Thursday to finish at $53.91 apiece, in line with the overall market sentiment that was dampened by President Donald Trump’s imposition of steep tariffs on US imports.

COHR is a US-based manufacturer of optic materials and semiconductors. With the ongoing trade tensions among economies, it is set to bear the brunt of higher costs of raw materials.

Despite market uncertainties, Needham & Company raised its price target for Coherent to $125 from $120 previously, while maintaining a “buy” rating on the stock on the back of its strong fourth-quarter earnings attributed to its AI-related Datacom transceiver business and improved demand in telecom vertical.

In its latest earnings release, Coherent said it swung to a net income of $103 million for the second quarter of fiscal year 2025, reversing a $27 million net loss in the same period a year earlier.

It also booked a net income of $129.3 million in six months ending December 2024, versus a $94.5 million net loss in the same period year-on-year.

Overall, COHR ranks 7th on our list of Thursday’s worst performers. While we acknowledge the potential of COHR as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than COHR but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.