Viavi Solutions (VIAV) AI Stock Analysis

Viavi Solutions

(BMV:VIAV)

Rating:―N/A

Action:N/A

Date:―

No summary available

Positive Factors

Revenue growth and margin expansionThe sharp fiscal-year growth and substantial quarterly margin expansion indicate stronger demand and improving operating leverage. If sustained, this combination can broaden earnings capacity, support reinvestment in product development, and strengthen Viavi’s position in expanding network and data-center test markets.

Negative Factors

Inconsistent profitabilityThe return to a net loss despite revenue growth shows that improved demand has not yet translated into consistently durable bottom-line performance. Lower operating margins than in earlier years may limit internal investment, weaken earnings predictability, and make results more sensitive to mix and execution.

Viavi Solutions (VIAV) vs. SPDR S&P 500 ETF (SPY)

Market Cap: MXN 7.36B
Dividend Yield: ―
Average Volume (3M): 3,023
Price to Earnings (P/E): -233.0
Beta (1Y): -0.34
Revenue Growth: 26.81%
EPS Growth: -190.54%
Country: Mexico
Employees: 4,100
Sector: Technology
Sector Strength: 61
Industry: Communication Equipment

Viavi Solutions Business Overview & Revenue Model

Company Description

Viavi Solutions Inc. offers a comprehensive suite of solutions for network testing, monitoring, and assurance to a global customer base. These clients include telecommunication service providers, businesses, manufacturers of network equipment, origin...

Viavi Solutions Earnings Call Summary

Earnings Call Date:Aug 04, 2026(Q4-2026)|% Change Since:-5.80%|Next Earnings Date:Nov 03, 2026

Earnings Call SentimentPositive

The call presented a meaningfully positive operating and financial beat: strong top-line beats, large year-over-year growth (Q4 +52.5% and FY +40%), substantial margin expansion, strong segment performance in NSE (driven by data center and Spirent products) and improved cash position with debt paydown. Near-term guidance is constructive with higher margins and EPS guidance. Offsetting items include dilution from recent share issuance, reliance on non-recurring tariff refunds that boosted margins/EPS, Spirent seasonality, and continued weak wireless/service-provider demand. Overall, the positives (large beats, margin expansion, strong segment momentum, cash/debt improvements, and optimistic forward guide) outweigh the negatives.

Positive Updates

Quarterly Revenue Beat and Strong YoY Growth

Q4 net revenue of $443.1M beat guidance ($427M–$437M), was up 8.9% sequentially and up 52.5% year-over-year.

Negative Updates

Share Count Dilution

Fully diluted share count rose to ~261M in the quarter from 227M a year ago (≈+15.0%), driven by share issuance and convertible-note exchanges, which dilutes EPS going forward. Guidance expects ~268M shares in Q1.

Company Guidance

Viavi guided Q1 FY2027 revenue of $450–460M (expecting sequential growth) with NSE at $360–368M and OSP at $90–92M; company operating margin of 27.1% ±40 bps (including roughly a 100‑bp net benefit from an ~$11M tariff refund that is largely offset by the additional 14th‑week variable costs), NSE margin 23.1% ±50 bps, and OSP margin 43.2% ±20 bps; EPS $0.40–0.42 (including about $0.02 net benefit from tariff refunds/additional week), tax expense ≈ $12M ±$0.5M, other income/expense ≈ net $2.5M expense, and diluted share count ≈ 268M.

Viavi Solutions Risk Analysis

Viavi Solutions disclosed 32 risk factors in its most recent earnings report. Viavi Solutions reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

0 New Risks

Viavi Solutions Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

MX:VIAV against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CSCO	81Outperform	$411.45B	31.10	27.39%	1.60%	11.77%	27.65%
CIEN	78Outperform	$45.48B	69.42	22.82%	―	32.57%	367.53%
ERIC	73Outperform	$37.06B	18.67	18.10%	2.78%	3.88%	-16.99%
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
LITE	58Neutral	$76.15B	-9.04	-300.07%	―	83.22%	-24212.72%
NOK	55Neutral	$48.95B	55.57	3.65%	1.90%	9.69%	-8.89%

* Technology Sector Average

Performance Comparison

MX:VIAV and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
MX:VIAV	Viavi Solutions Inc	642.42	464.42	260.91%
CIEN	Ciena Corporation	320.72	131.16	69.19%
CSCO	Cisco	104.51	31.41	42.98%
ERIC	Telefonaktiebolaget LM Ericsson Class B	11.18	1.12	11.14%
NOK	Nokia	8.56	1.51	21.37%
LITE	Lumentum Holdings Inc	840.70	641.12	321.23%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Viavi Solutions AI Stock Analysis