Coherent Corp. stock analysis

PARAGRAPH 1 --- What happened: On May 7 and 11, 2026, analysts at Rosenblatt and Stifel raised their price targets for Coherent Corp. (NYSE:COHR) by 13.3% and 50% respectively, maintaining 'Buy' ratings. This follows Coherent's 40% year-over-year surge in data center revenue. Stifel's new price target is $412, indicating potential upside of 20%.

PARAGRAPH 2 --- Market impact: This bullish sentiment drives optimism in the optical networking sector. Coherent's strong performance in data centers, a key growth area, boosts investor confidence in the company and its peers. The raised targets may trigger a revaluation of photonics stocks, with Coherent potentially leading the sector higher.

PARAGRAPH 3 --- What to watch next: Coherent's upcoming quarterly reports, scheduled for late May and August, will provide insight into the sustainability of its data center growth. Additionally, investors should monitor the broader semiconductor industry trends, as Coherent's performance is partially tied to this sector's fortunes.