Upside case
Bull case
$12-77.8%
The bull case prices VIAV at 13x on FY1 earnings, assuming continued execution and no meaningful deceleration in the core business.
Analysis OverviewBuyUpdated May 1, 2026
Viavi Solutions Inc. (VIAV) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Buy
Covering
19
analysts
15 bullish · 1 bearish · 19 covering VIAV
Strong Buy
0
Buy
15
Hold
3
Sell
1
Strong Sell
0
Consensus Target
$32
-39.2% vs today
Scenario Range
$1 – $12
Model bear to bull value window
Coverage
19
Published analyst ratings
Valuation Context
57.3x
Forward P/E · Market cap $12.3B
VIAV price targets
Three scenarios for where VIAV stock could go
Current
~$53
Confidence
54 / 100
Updated
May 1, 2026
Where we are now
Current · $53
Bear
$1
Base
$8
Bull
$12
Market caseClosest to today
Base case
$8-85.5%
At 8x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$1-98.4%
If investor confidence fades or macro conditions deteriorate, a 56x multiple contraction could push VIAV down roughly 98% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Viavi Solutions Inc.
VIAV · NASDAQTechnologyCommunication EquipmentJune year-end
Viavi Solutions is a provider of network testing, monitoring, and assurance solutions for communications networks. It generates revenue through three segments: Network Enablement (~50% of revenue) for network build-out tools, Service Enablement (~30%) for performance management software, and Optical Security & Performance Products (~20%) for anti-counterfeiting and optical components. The company's moat lies in its deep technical expertise across multiple network layers and its established relationships with major telecom operators and equipment manufacturers.
Market Cap
$12.3B
Revenue TTM
$1.4B
Net Income TTM
-$55M
Net Margin
-4.0%
VIAV Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
75%Exceptional
12 quarters tracked
Revenue Beat Rate
58%Exceptional
vs consensus estimates
Avg EPS Surprise
+13.3%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 4 of 4Q3 2025
EPS
$0.13/$0.12
Revenue
$291M/$285M
Q4 2025
EPS
$0.15/$0.13
Revenue
$299M/$302M
Q1 2026
EPS
$0.22/$0.19
Revenue
$369M/$365M
Q2 2026
EPS
$0.27/$0.24
Revenue
$407M/$394M
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $0.13/$0.12 | +8.3% | $291M/$285M | +1.9% |
| Q4 2025 | $0.15/$0.13 | +15.4% | $299M/$302M | -0.9% |
| Q1 2026 | $0.22/$0.19 | +15.8% | $369M/$365M | +1.1% |
| Q2 2026 | $0.27/$0.24 | +12.5% | $407M/$394M | +3.3% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$1.4B
+3.7% YoY
FY2
$1.5B
+4.8% YoY
EPS Outlook
FY1
$0.02
+108.5% YoY
FY2
$0.10
+413.4% YoY
Trailing FCF (TTM)$46M
FCF Margin: 3.3%
Next Earnings
May 7, 2026
Expected EPS
$0.22
Expected Revenue
$394M
VIAV beat EPS estimates in 4 of 4 tracked quarters. A perfect track record raises the bar for the upcoming report.
VIAV Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $1.1B
Product Mix
Latest annual revenue by segment or product family
Product
84.1%
+9.2% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
Americas
39.2%
+8.8% YoY
Tap, hover, or focus a slice to inspect segment detail.
Product is the largest disclosed segment at 84.1% of FY 2025 revenue, up 9.2% YoY.
Americas is the largest reported region at 39.2%, up 8.8% YoY.
VIAV Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Significantly Overvalued
Fair value est. $18 — implies -67.4% from today's price.
Premium to Fair Value
67.4%
above fair value
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
VIAV
353.3x
vs
S&P 500
25.2x
+1301% premium
vs Technology Trailing P/E
VIAV
353.3x
vs
Technology
27.5x
+1186% premium
vs VIAV 5Y Avg P/E
Today
353.3x
vs
5Y Average
76.6x
+361% premium
Forward PE
57.3x
S&P 500
19.1x
+201%
Technology
21.7x
+164%
5Y Avg
—
—
Trailing PE
353.3x
S&P 500
25.2x
+1301%
Technology
27.5x
+1186%
5Y Avg
76.6x
+361%
PEG Ratio
77.42x
S&P 500
1.75x
+4334%
Technology
1.47x
+5181%
5Y Avg
—
—
EV/EBITDA
93.8x
S&P 500
15.3x
+515%
Technology
17.4x
+440%
5Y Avg
16.6x
+464%
Price/FCF
197.8x
S&P 500
21.3x
+827%
Technology
19.8x
+899%
5Y Avg
28.8x
+587%
Price/Sales
11.3x
S&P 500
3.1x
+261%
Technology
2.4x
+369%
5Y Avg
2.4x
+380%
Dividend Yield
—
S&P 500
1.88%
—
Technology
1.18%
—
5Y Avg
—
—
| Metric | VIAV | S&P 500 | Technology | 5Y Avg VIAV |
|---|---|---|---|---|
| Forward PE | 57.3x | 19.1x+201% | 21.7x+164% | — |
| Trailing PE | 353.3x | 25.2x+1301% | 27.5x+1186% | 76.6x+361% |
| PEG Ratio | 77.42x | 1.75x+4334% | 1.47x+5181% | — |
| EV/EBITDA | 93.8x | 15.3x+515% | 17.4x+440% | 16.6x+464% |
| Price/FCF | 197.8x | 21.3x+827% | 19.8x+899% | 28.8x+587% |
| Price/Sales | 11.3x | 3.1x+261% | 2.4x+369% | 2.4x+380% |
| Dividend Yield | — | 1.88% | 1.18% | — |
VIAV trades above S&P 500 benchmarks on 6 of 6 measured multiples — commands a broad premium across most valuation dimensions.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolVIAV Financial Health
Verdict
Stressed
Key financial metrics for VIAV are shown below.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$1.4B
Revenue Growth
TTM vs prior year
+30.6%
Gross Margin
Gross profit as a share of revenue
55.7%
Operating Margin
Operating income divided by revenue
8.2%
Net Margin
Net income divided by revenue
-4.0%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$-0.22
Free Cash Flow (TTM)
Cash generation after capex
$46M
FCF Margin
FCF as share of revenue — the primary cash quality signal
3.3%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
5.5%
ROA
Return on assets, trailing twelve months
-2.3%
Cash & Equivalents
Liquid assets on the balance sheet
$424M
Net Debt
Total debt minus cash
$269M
Debt Serviceability
Net debt as a multiple of annual free cash flow
5.9× FCF
~5.9 years to full repayment at current FCF run-rate
ROE
Return on equity, trailing twelve months
-6.9%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
0.1%
Dividend
—
Buyback
0.1%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$16M
Dividend / Share
Annualized trailing dividend per share
—
Payout Ratio
Share of earnings distributed as dividends
—
Shares Outstanding
Declining as buybacks retire shares
231M
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt).
Open full ratios pageVIAV Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 29, 2026
High Risk
Debt and Leverage
Viavi Solutions carries a substantial debt of nearly $800 million against a cash position of over $500 million, resulting in a high Debt-to-Equity ratio of 1.09 and a Debt-to-EBITDA ratio exceeding 5x. This indicates significant financial leverage that could impact the company's ability to manage its obligations.
High Risk
Interest Coverage
In the latest quarter, Viavi's operating income was insufficient to cover its interest expenses, signaling potential financial distress. This situation raises concerns about the company's ability to sustain its debt levels without compromising future growth.
High Risk
Revenue Growth
Viavi Solutions has experienced sluggish annualized revenue growth of only 2.3% over the last five years, falling short of industry benchmarks. This slow growth trajectory raises concerns about the company's long-term revenue sustainability.
Medium
Profitability Issues
Despite strong gross margins, Viavi has faced significant compression in operating margins, leading to a net loss in the most recent quarter. High operating expenses, particularly in Research & Development, have contributed to this profitability squeeze.
Medium
Valuation Concerns
Several analyses suggest that VIAV is significantly overvalued, with its current market price far exceeding its intrinsic value. This raises concerns about potential price corrections and increased volatility, particularly for value investors.
Medium
Competition Risks
Viavi faces increased competition in its lab testing segment and the broader market's shift towards a more software-centric model. This competitive pressure could impact market share and profitability.
Lower
Seasonal Demand Fluctuations
Seasonal demand fluctuations in markets like consumer 3D sensing can impact the company's performance. These variations may lead to inconsistent revenue streams throughout the year.
Lower
Insider Selling
There has been significant insider selling of VIAV stock in recent months, with no insider purchases reported. This could indicate a lack of confidence from those closest to the company's operations.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why VIAV Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 29, 2026
AI and Data Center Growth
Viavi is a critical enabler for the expansion of AI applications, providing essential network test, monitoring, and assurance solutions. The shift from AI compute build-out to application deployment is expected to drive significant demand for Viavi's offerings in hyperscale and enterprise data centers.
5G Technology Demand
The ongoing deployment of 5G technology is a major catalyst for Viavi, as it requires robust network testing and monitoring solutions. This demand is expected to enhance Viavi's revenue streams significantly.
Strong Financial Performance
Viavi has demonstrated positive revenue growth, with recent quarters showing significant year-over-year increases. The company maintains a healthy cash position, providing liquidity for growth initiatives and has consistently beaten analyst expectations.
Positive Analyst Sentiment
A majority of analysts covering VIAV stock have a 'Buy' or 'Strong Buy' rating, reflecting optimism about the company's exposure to data centers and aerospace/defense. This positive sentiment is further bolstered by the impact of recent acquisitions.
Innovation and R&D Investment
Viavi continues to invest significantly in research and development, which supports the creation of cutting-edge technologies and new product enhancements. This commitment to innovation positions the company well for future growth.
Aerospace and Defense Opportunities
The company's growing presence in the aerospace and defense industry, particularly with its Resilient PNT technology, presents another avenue for growth. This diversification into high-demand sectors is expected to enhance Viavi's market position.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
VIAV Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$53.00
52W Range Position
86%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$8.75
+505.7% from the low
52-Week High
$60.43
-12.3% from the high
1 Month
+47.76%
3 Month
+100.91%
YTD
+192.0%
1 Year
+489.5%
3Y CAGR
+79.9%
5Y CAGR
+26.8%
10Y CAGR
+23.6%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
VIAV vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
57.3x
vs 41.2x median
+39% above peer median
Revenue Growth
+3.7%
vs +7.7% median
-52% below peer median
Net Margin
-4.0%
vs 16.9% median
-124% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
VIA VIAV Viavi Solutions Inc. | $12.3B | 57.3x | +3.7% | -4.0% | Buy | -39.2% |
KEY KEYS Keysight Technologies, Inc. | $62.9B | 41.2x | +7.7% | 16.9% | Buy | -21.1% |
LIT LITE Lumentum Holdings Inc. | $67.4B | 121.0x | +21.6% | 17.7% | Buy | -31.9% |
CIE CIEN Ciena Corporation | $81.6B | 93.8x | +15.7% | 4.5% | Buy | -42.1% |
NTC NTCT NetScout Systems, Inc. | $2.6B | 14.7x | -1.1% | 11.1% | Hold | -18.4% |
CSC CSCO Cisco Systems, Inc. | $362.9B | 22.1x | +4.2% | 18.8% | Buy | +5.3% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
VIAV Dividend and Capital Return
VIAV returns 0.1% annually — null% through dividends and 0.1% through buybacks.
Dividend UnknownFCF Unknown
Total Shareholder Yield
0.1%
Dividend + buyback return per year
Buyback Yield
0.1%
Dividend Yield
—
Payout Ratio
—
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$0.00
Growth Streak
Consecutive years of dividend increases
1Y
3Y Div CAGR
—
5Y Div CAGR
—
Ex-Dividend Date
—
Payment Cadence
—
0 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$16M
Estimated Shares Retired
309.4K
Approx. Share Reduction
0.1%
Shares Outstanding
Current diluted share count from the screening snapshot
231M
FAQ
7 questionsVIAV Investor Questions
Common questions answered from live analyst data and company financials.
01Is Viavi Solutions Inc. (VIAV) stock a buy or sell in 2026?
Viavi Solutions Inc. (VIAV) is rated Buy by Wall Street analysts as of 2026. Of 19 analysts covering the stock, 15 rate it Buy or Strong Buy, 3 rate it Hold, and 1 rate it Sell or Strong Sell. The consensus 12-month price target is $32, implying -39.2% from the current price of $53. The bear case scenario is $1 and the bull case is $12.
02What is the VIAV stock price target for 2026?
The Wall Street consensus price target for VIAV is $32 based on 19 analyst estimates. The high-end target is $50 (-5.7% from today), and the low-end target is $24 (-54.7%). The base case model target is $8.
03Is Viavi Solutions Inc. (VIAV) stock overvalued in 2026?
VIAV trades at 57.3x times forward earnings. The stock trades at a notable premium to the broad market, which is typical for businesses with strong free cash flow and above-average growth expectations. Based on current multiples versus the peer group, the relative model signals significantly overvalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Viavi Solutions Inc. (VIAV) stock in 2026?
The primary risks for VIAV in 2026 are: (1) Debt and Leverage — Viavi Solutions carries a substantial debt of nearly $800 million against a cash position of over $500 million, resulting in a high Debt-to-Equity ratio of 1. (2) Interest Coverage — In the latest quarter, Viavi's operating income was insufficient to cover its interest expenses, signaling potential financial distress. (3) Revenue Growth — Viavi Solutions has experienced sluggish annualized revenue growth of only 2. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Viavi Solutions Inc.'s revenue and earnings forecast?
Analyst consensus estimates VIAV will report consensus revenue of $1.4B (+3.7% year-over-year) and EPS of $0.02 (+108.5% year-over-year) for the upcoming fiscal year. The following year, analysts project $1.5B in revenue.
06When does Viavi Solutions Inc. (VIAV) report its next earnings?
Viavi Solutions Inc. is expected to report its next earnings on approximately 2026-05-07. Consensus expects EPS of $0.22 and revenue of $394M. Over recent quarters, VIAV has beaten EPS estimates 75% of the time.
07How much free cash flow does Viavi Solutions Inc. generate?
Viavi Solutions Inc. (VIAV) generated $46M in free cash flow over the trailing twelve months — a free cash flow margin of 3.3%. VIAV returns capital to shareholders through and share repurchases ($16M TTM).