Coherent (COHR) Price Target Raised to $400 Amid $1.7T AI Forecast

Bank of America raised Coherent's (COHR) price target to $400 from $365, maintaining a Neutral rating. This increase is based on a revised 2030 AI data center total addressable market estimate of $1.7 trillion, up from $1.4 trillion. Coherent's revenue for Q3 FY2026 reached $1.805 billion, a 21% year-over-year increase, with the Datacenter & Communications segment generating $1.361 billion, up 41% year-over-year. The company's non-GAAP EPS stood at $1.41. CEO Jim Anderson indicated that their capacity is being rapidly expanded to meet the growing demand from AI infrastructure.