Viavi Solutions Inc. Common Stock (VIAV)

FairStock Score: 31/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Viavi as a Graham-style bargain hunter and Buffett-style business appraiser, and the numbers give me pause. Viavi sells test-and-measurement and optical technologies into defense, aerospace, railway, and first-responder communications—markets where reliability matters and switching costs can exist. But the reported record is uneven. In fiscal 2026, the year ended 2026-06-27, revenue rose to $1.5B from $1.1B in fiscal 2025, the year ended 2025-06-28, yet net income fell to a loss of $30.4M from a $34.8M profit, and diluted EPS went to -$0.13 from $0.15. In fiscal 2024, the year ended 2024-06-29, the company also lost $25.8M, or $0.12 per diluted share. The latest filed quarter, fiscal Q3 2026 ended 2026-03-28, showed revenue of $406.8M and net income of $6.4M, or $0.03 per diluted share—better, but small relative to the $10.2B market cap at the 2026-10-13 close of $41.28. FairStock’s calculations show a negative P/E of -317.54, P/B of 7.04, ROE of -2.73%, ROCE of 4.55%, EV/EBITDA of 60.89, and FCF yield of only 0.8%. The Piotroski F-score of 8/9 and $82.8M of trailing free cash flow are encouraging, and debt-to-equity of 0.48 is not frightening. But Altman Z-score of -30.71 signals distress, and FairStock labels it a TURNAROUND because the latest year had a loss after earlier profits. I would need evidence that margins and returns are durable before calling the price defensible.

In plain English: Viavi makes test and measurement gear and optical products used in communications, defense, aerospace and other critical networks. Revenue has climbed recently and the company still produces some cash, but it lost money in its latest full year and profits have been uneven. At $41.28, the stock looks expensive compared with those earnings and cash flow numbers.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-03-28) · fiscal Q2 2026 10-Q (period ended 2025-12-27) · fiscal Q1 2026 10-Q (period ended 2025-09-27) · fiscal Q3 2025 10-Q (period ended 2025-03-29) · FY2026 10-K (period ended 2026-06-27) · FY2025 10-K (period ended 2025-06-28) · FY2024 10-K (period ended 2024-06-29)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer