VIAVI SOLUTIONS INC (VIAV) Fundamental Analysis & Valuation
NASDAQ:VIAV • US9255501051
29.72 USD
+0.48 (+1.64%)
At close: Mar 10, 2026
29.53 USD
-0.19 (-0.64%)
Pre-Market: 3/11/2026, 6:22:36 AM
This VIAV fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Overall VIAV gets a fundamental rating of 4 out of 10. We evaluated VIAV against 48 industry peers in the Communications Equipment industry. VIAV has an average financial health and profitability rating. VIAV is quite expensive at the moment. It does show a decent growth rate.
1. VIAV Profitability Analysis
1.1 Basic Checks
- VIAV had positive earnings in the past year.
- VIAV had a positive operating cash flow in the past year.
- Of the past 5 years VIAV 4 years were profitable.
- VIAV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of -1.51%, VIAV is in line with its industry, outperforming 52.08% of the companies in the same industry.
- VIAV has a Return On Equity (-5.03%) which is comparable to the rest of the industry.
- VIAV has a Return On Invested Capital (1.45%) which is in line with its industry peers.
- The Average Return On Invested Capital over the past 3 years for VIAV is significantly below the industry average of 10.39%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.51% | ||
| ROE | -5.03% | ||
| ROIC | 1.45% |
ROA(3y)0.55%
ROA(5y)1.19%
ROE(3y)1.46%
ROE(5y)3.1%
ROIC(3y)3.35%
ROIC(5y)5.84%
1.3 Margins
- In the last couple of years the Profit Margin of VIAV has declined.
- VIAV's Operating Margin of 3.37% is fine compared to the rest of the industry. VIAV outperforms 60.42% of its industry peers.
- VIAV's Operating Margin has declined in the last couple of years.
- VIAV has a better Gross Margin (56.59%) than 75.00% of its industry peers.
- In the last couple of years the Gross Margin of VIAV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.37% | ||
| PM (TTM) | N/A | ||
| GM | 56.59% |
OM growth 3Y-27.88%
OM growth 5Y-12.89%
PM growth 3Y38.83%
PM growth 5Y-5.74%
GM growth 3Y-1.45%
GM growth 5Y-0.44%
2. VIAV Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VIAV is destroying value.
- Compared to 1 year ago, VIAV has more shares outstanding
- VIAV has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for VIAV has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of -32.18, we must say that VIAV is in the distress zone and has some risk of bankruptcy.
- VIAV has a worse Altman-Z score (-32.18) than 85.42% of its industry peers.
- VIAV has a debt to FCF ratio of 16.40. This is a negative value and a sign of low solvency as VIAV would need 16.40 years to pay back of all of its debts.
- VIAV has a Debt to FCF ratio (16.40) which is in line with its industry peers.
- VIAV has a Debt/Equity ratio of 1.48. This is a high value indicating a heavy dependency on external financing.
- Looking at the Debt to Equity ratio, with a value of 1.48, VIAV is doing worse than 85.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.48 | ||
| Debt/FCF | 16.4 | ||
| Altman-Z | -32.18 |
ROIC/WACC0.15
WACC9.42%
2.3 Liquidity
- VIAV has a Current Ratio of 2.61. This indicates that VIAV is financially healthy and has no problem in meeting its short term obligations.
- The Current ratio of VIAV (2.61) is better than 66.67% of its industry peers.
- A Quick Ratio of 2.32 indicates that VIAV has no problem at all paying its short term obligations.
- Looking at the Quick ratio, with a value of 2.32, VIAV is in the better half of the industry, outperforming 79.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.61 | ||
| Quick Ratio | 2.32 |
3. VIAV Growth Analysis
3.1 Past
- VIAV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 96.97%, which is quite impressive.
- VIAV shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -8.43% yearly.
- VIAV shows a strong growth in Revenue. In the last year, the Revenue has grown by 23.51%.
- The Revenue has been decreasing by -0.93% on average over the past years.
EPS 1Y (TTM)96.97%
EPS 3Y-20.63%
EPS 5Y-8.43%
EPS Q2Q%69.23%
Revenue 1Y (TTM)23.51%
Revenue growth 3Y-5.68%
Revenue growth 5Y-0.93%
Sales Q2Q%36.37%
3.2 Future
- VIAV is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 38.91% yearly.
- Based on estimates for the next years, VIAV will show a quite strong growth in Revenue. The Revenue will grow by 16.63% on average per year.
EPS Next Y81.58%
EPS Next 2Y47.89%
EPS Next 3Y38.91%
EPS Next 5YN/A
Revenue Next Year35.82%
Revenue Next 2Y22.59%
Revenue Next 3Y16.63%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. VIAV Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 45.72, which means the current valuation is very expensive for VIAV.
- VIAV's Price/Earnings ratio is in line with the industry average.
- When comparing the Price/Earnings ratio of VIAV to the average of the S&P500 Index (26.25), we can say VIAV is valued expensively.
- A Price/Forward Earnings ratio of 28.91 indicates a quite expensive valuation of VIAV.
- VIAV's Price/Forward Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.39, VIAV is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.72 | ||
| Fwd PE | 28.91 |
4.2 Price Multiples
- VIAV's Enterprise Value to EBITDA ratio is in line with the industry average.
- VIAV's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. VIAV is more expensive than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 87.38 | ||
| EV/EBITDA | 59.95 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- A more expensive valuation may be justified as VIAV's earnings are expected to grow with 38.91% in the coming years.
PEG (NY)0.56
PEG (5Y)N/A
EPS Next 2Y47.89%
EPS Next 3Y38.91%
5. VIAV Dividend Analysis
5.1 Amount
- No dividends for VIAV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
VIAV Fundamentals: All Metrics, Ratios and Statistics
29.72
+0.48 (+1.64%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)01-28 2026-01-28/amc
Earnings (Next)04-29 2026-04-29/amc
Inst Owners100.27%
Inst Owner Change-2.43%
Ins Owners1.3%
Ins Owner Change-13.16%
Market Cap6.88B
Revenue(TTM)1.24B
Net Income(TTM)-42.00M
Analysts84
Price Target26.59 (-10.53%)
Short Float %5.01%
Short Ratio2.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.45%
Min EPS beat(2)11.29%
Max EPS beat(2)15.61%
EPS beat(4)4
Avg EPS beat(4)15.36%
Min EPS beat(4)10.7%
Max EPS beat(4)23.84%
EPS beat(8)6
Avg EPS beat(8)10.3%
EPS beat(12)8
Avg EPS beat(12)9.04%
EPS beat(16)11
Avg EPS beat(16)8.59%
Revenue beat(2)0
Avg Revenue beat(2)-0.63%
Min Revenue beat(2)-0.88%
Max Revenue beat(2)-0.38%
Revenue beat(4)0
Avg Revenue beat(4)-0.61%
Min Revenue beat(4)-1.03%
Max Revenue beat(4)-0.13%
Revenue beat(8)1
Avg Revenue beat(8)-0.96%
Revenue beat(12)2
Avg Revenue beat(12)-0.95%
Revenue beat(16)5
Avg Revenue beat(16)-0.8%
PT rev (1m)0%
PT rev (3m)41.47%
EPS NQ rev (1m)-0.08%
EPS NQ rev (3m)50.72%
EPS NY rev (1m)0.05%
EPS NY rev (3m)24.37%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)11.22%
Revenue NY rev (1m)0%
Revenue NY rev (3m)5.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.72 | ||
| Fwd PE | 28.91 | ||
| P/S | 5.53 | ||
| P/FCF | 87.38 | ||
| P/OCF | 65.43 | ||
| P/B | 8.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 59.95 |
EPS(TTM)0.65
EY2.19%
EPS(NY)1.03
Fwd EY3.46%
FCF(TTM)0.34
FCFY1.14%
OCF(TTM)0.45
OCFY1.53%
SpS5.37
BVpS3.61
TBVpS-1.25
PEG (NY)0.56
PEG (5Y)N/A
Graham Number7.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.51% | ||
| ROE | -5.03% | ||
| ROCE | 1.83% | ||
| ROIC | 1.45% | ||
| ROICexc | 2.18% | ||
| ROICexgc | 8.32% | ||
| OM | 3.37% | ||
| PM (TTM) | N/A | ||
| GM | 56.59% | ||
| FCFM | 6.33% |
ROA(3y)0.55%
ROA(5y)1.19%
ROE(3y)1.46%
ROE(5y)3.1%
ROIC(3y)3.35%
ROIC(5y)5.84%
ROICexc(3y)5%
ROICexc(5y)10.58%
ROICexgc(3y)13.16%
ROICexgc(5y)90.91%
ROCE(3y)4.24%
ROCE(5y)7.4%
ROICexgc growth 3Y-17.05%
ROICexgc growth 5Y-2.08%
ROICexc growth 3Y-33.9%
ROICexc growth 5Y-13.3%
OM growth 3Y-27.88%
OM growth 5Y-12.89%
PM growth 3Y38.83%
PM growth 5Y-5.74%
GM growth 3Y-1.45%
GM growth 5Y-0.44%
F-Score4
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.48 | ||
| Debt/FCF | 16.4 | ||
| Debt/EBITDA | 10.03 | ||
| Cap/Depr | 32.39% | ||
| Cap/Sales | 2.12% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 85.17% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.61 | ||
| Quick Ratio | 2.32 | ||
| Altman-Z | -32.18 |
F-Score4
WACC9.42%
ROIC/WACC0.15
Cap/Depr(3y)50.36%
Cap/Depr(5y)59.63%
Cap/Sales(3y)3.04%
Cap/Sales(5y)3.82%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)96.97%
EPS 3Y-20.63%
EPS 5Y-8.43%
EPS Q2Q%69.23%
EPS Next Y81.58%
EPS Next 2Y47.89%
EPS Next 3Y38.91%
EPS Next 5YN/A
Revenue 1Y (TTM)23.51%
Revenue growth 3Y-5.68%
Revenue growth 5Y-0.93%
Sales Q2Q%36.37%
Revenue Next Year35.82%
Revenue Next 2Y22.59%
Revenue Next 3Y16.63%
Revenue Next 5YN/A
EBIT growth 1Y31.76%
EBIT growth 3Y-31.98%
EBIT growth 5Y-13.7%
EBIT Next Year109.2%
EBIT Next 3Y41.61%
EBIT Next 5YN/A
FCF growth 1Y-3.2%
FCF growth 3Y-16.26%
FCF growth 5Y-9.78%
OCF growth 1Y-6.16%
OCF growth 3Y-20.41%
OCF growth 5Y-7.91%
VIAVI SOLUTIONS INC / VIAV FAQ
What is the ChartMill fundamental rating of VIAVI SOLUTIONS INC (VIAV) stock?
ChartMill assigns a fundamental rating of 4 / 10 to VIAV.
What is the valuation status for VIAV stock?
ChartMill assigns a valuation rating of 3 / 10 to VIAVI SOLUTIONS INC (VIAV). This can be considered as Overvalued.
Can you provide the profitability details for VIAVI SOLUTIONS INC?
VIAVI SOLUTIONS INC (VIAV) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for VIAV stock?
The Price/Earnings (PE) ratio for VIAVI SOLUTIONS INC (VIAV) is 45.72 and the Price/Book (PB) ratio is 8.24.
Can you provide the expected EPS growth for VIAV stock?
The Earnings per Share (EPS) of VIAVI SOLUTIONS INC (VIAV) is expected to grow by 81.58% in the next year.