New York, Jan 19, 2026, 19:57 EST — Market closed
- Coherent’s last trade slipped roughly 2.5% on Friday, just before the U.S. market holiday.
- The company introduced “bondable diamond” parts designed for thermal management in chip and opto-electronic cooling.
- Traders head back Tuesday as Photonics West kicks off in San Francisco.
Coherent Corp’s stock closed Friday at $191.04, slipping roughly 2.5%. The photonics supplier is set to regain attention when U.S. markets reopen following the Martin Luther King Jr. Day holiday, thanks to its launch of a new thermal-management product line. (FinanceCharts)
The pitch is cooling. As chips generate more heat—in data centers, power electronics, and laser systems—suppliers able to dissipate that heat from the die are catching investors’ attention, even if the story reads like a materials science lecture.
U.S. stock markets remained shut Monday in observance of the holiday, set to reopen on Tuesday. (New York Stock Exchange)
The broader market looked shaky early Monday. European tech stocks dipped, while Nasdaq 100 futures fell following tariff threats from U.S. President Donald Trump, which rattled risk sentiment, according to a Reuters report. (Reuters)
Coherent unveiled its new “Bondable Diamond” solutions designed for direct bonding to semiconductor die, cutting out the need for thermal interface materials — those thin layers that typically slow heat transfer between a chip and its heat spreader. According to the company, this method can slash interface thermal resistance by up to 99%. It supports die sizes up to 100 mm square. Senior Vice President Steve Rummel described the product as offering “breakthrough thermal performance” tailored to fit customer processes. (GlobeNewswire)
The stock saw a choppy session. Coherent started the day at $197, climbed up to $201.93, then dipped to a low of $189.59 before closing at $191.04. Trading volume hit roughly 3.59 million shares, per Yahoo Finance historical data. (Yahoo Finance)
Wall Street has been betting on the “AI infrastructure” angle within the optical supply chain, and Coherent is part of that play. Last week, Barclays analyst Tom O’Malley raised his price target on Coherent to $215 from $170, maintaining an Overweight rating. He said the stock’s 2026 performance will largely depend on how closely it stays tied to the AI theme. (TipRanks)
Earnings remain the focus in the near term. In its latest quarterly report, Coherent projected second-quarter fiscal 2026 revenue between $1.56 billion and $1.70 billion, with a non-GAAP gross margin anticipated in the 38% to 40% range. (Coherent Inc)
Cooling hardware remains a competitive field. Take Element Six—they offer metallised CVD diamond products designed for die bonding, aimed at thermal management. (Element Six)
Product launches don’t always translate into quick revenue. Qualification cycles often drag on, and if cost, yield, or supply problems arise, customers might switch to different materials or packaging methods.
Traders will be eyeing Tuesday’s open closely — to see if Coherent gains momentum after the long weekend and to gauge overall risk appetite. The Photonics West exhibition, running Jan. 20-22 in San Francisco, will spotlight Coherent’s new thermal-management product line. (Spie)
