VIAVI Highlights Importance of Trusted Partner Collaboration in AI Era and Outlines Core Solution Areas for Communications and Networking at MWC Barcelona [Accessibility Statement] Skip NavigationOver 30 demonstrations across AI data center, security and quantum safe, mission-critical communications, AIOps, 6G and AI-RAN to be showcased at stand 5B18CHANDLER, Ariz., Feb. 18, 2026 /PRNewswire/ -- [VIAVI Solutions Inc.](VIAVI) (NASDAQ: VIAV) has announced its demonstration lineup for [Mobile World Congress (M ...

VIAVI Launches Cesium-less ePRTC360+ Enhanced Primary Reference Time Clock as Alternative to Cesium- Accuracy Holdover Clock [Accessibility Statement] Skip NavigationOnly alternative to Cesium clocks to meet ITU-T G.8272.1 drift standard, with no time limit and at a fraction of the costCHANDLER, Ariz., Feb. 17, 2026 /PRNewswire/ -- [VIAVI Solutions Inc.](VIAVI) (NASDAQ: VIAV) has launched the patent-pending Cesium- less [ePRTC360+â"¢ holdover solution] to safeguard at-risk critical power grids, transportati ...

Viavi Solutions (NASDAQ:VIAV) is one of the 11 best communication equipment stocks according to hedge funds. On January 29, the price target on Viavi Solutions (NASDAQ:VIAV) was increased from $22 to $26 by B. Riley analyst Dave Kang. He maintained a Buy rating on the stock after the recent quarterly report that beat consensus estimates. 2key.network Image source: 2key.network The analyst also reflected on the company’s recent acquisition of Spirent H-S Testing business, which makes it a leading player ...

Core Insights - Viavi Solutions, a technology firm specializing in network testing and optical security, reported a significant insider sale by CEO Oleg Khaykin amid strong stock performance, with shares up 106.1% over the past year [1][4][10] Transaction Summary - Oleg Khaykin sold 70,566 shares for approximately $1.9 million, with a post-transaction direct ownership of 1,708,871 shares valued at about $45.1 million [2][6] - The transaction occurred at a market close price of $26.38, reflecting a weighted average purchase price of $26.27 [2][6] Company Overview - Viavi Solutions has a market capitalization of $6.10 billion and generated $1.24 billion in revenue over the trailing twelve months, although it reported a net loss of $41.7 million [4] - The company experienced a 1-year price change of 106.1%, indicating strong capital appreciation [4] Company Operations - Viavi Solutions provides network test, monitoring, and assurance solutions, including hardware, software, and optical security products across three segments: Network Enablement, Service Enablement, and Optical Security and Performance Products [7][8] - The company serves a diverse customer base, including communications service providers, enterprises, and government agencies, focusing on both legacy and next-generation networks [8][9] Market Context - The sale by Mr. Khaykin does not raise concerns as he retains a significant stake in the company, and the transaction aligns with his historical trading patterns [6][10] - The company's stock reached a 52-week high of $26.83 shortly before the sale, reflecting strong market performance [10][11] - Despite the strong sales growth of 36% year-over-year in the fiscal second quarter, the company remains unprofitable, with a net loss of $48.1 million, although this shows significant improvement from the previous year [11]

Core Insights - VIAVI Solutions Inc. reported strong fiscal second-quarter results for 2026, with earnings per share of $0.22 and revenue of $369.3 million, exceeding analysts' expectations [2][6] - The company's revenue grew by 36.4% year-over-year, driven by demand in the Network and Service Enablement (NSE) and Optical Security and Performance Products (OSP) segments [3][6] - Despite a net loss of $48.1 million, the company maintains a positive return on equity of 13.43% and a moderate debt-to-equity ratio of 1.53 [4][5] Financial Performance - Revenue for the NSE segment rose by 45.8% to $291.5 million, supported by data centers and 5G network upgrades [3] - The OSP segment benefited from increased sales in aerospace and defense markets [3] - VIAVI's guidance for Q3 2026 projects earnings per share between $0.22 and $4.00, with anticipated revenues of $386 million to $400 million [5] Management Activity - Oleg Khaykin, President, CEO, and director of VIAVI Solutions, sold 70,000 shares at $24.50 each, retaining 1,779,437 shares [1][6]

Company Performance - Viav Solutions (VIAV) has seen a significant stock increase of 41.3% over the past month, reaching a new 52-week high of $26.08 [1] - Year-to-date, the stock has gained 43.6%, outperforming the Zacks Computer and Technology sector's 2.3% gain and the Zacks Communication - Components industry's 20.7% return [1] Earnings and Revenue Expectations - Viav Solutions has a strong track record of positive earnings surprises, having met or exceeded earnings consensus estimates in the last four quarters [2] - For the current fiscal year, the company is expected to report earnings of $0.80 per share on revenues of $1.46 billion, reflecting a 70.21% increase in EPS and a 35.09% increase in revenues [3] - For the next fiscal year, earnings are projected to be $0.95 per share on revenues of $1.66 billion, indicating a year-over-year change of 19.69% in EPS and 13.52% in revenues [3] Valuation Metrics - Viav Solutions currently trades at 32.1 times the current fiscal year EPS estimates, aligning with the peer industry average [7] - On a trailing cash flow basis, the stock trades at 40.1 times, significantly higher than the peer group's average of 14.2 times, suggesting it may not be in the top echelon from a value perspective [7] Zacks Rank and Style Scores - The company holds a Zacks Rank of 2 (Buy), supported by a solid earnings estimate revision trend [8] - Viav Solutions has a Value Score of D, while its Growth and Momentum Scores are both A, resulting in a combined VGM Score of B [6] Industry Comparison - Ooma, Inc. (OOMA), a peer in the industry, also has a Zacks Rank of 2 (Buy) and shows strong performance with a Value Score of A and a Growth Score of A [9] - OOMA is expected to post earnings of $1.20 per share on revenues of $272.46 million for the current fiscal year, having beaten consensus estimates by 22.73% last quarter [10] - The Communication - Components industry is positioned in the top 22% of all industries, indicating favorable conditions for both VIAV and OOMA [11]

Core Insights - Viavi Solutions Inc. (NASDAQ:VIAV) experienced a significant stock performance, soaring by 30.17% week-on-week, attributed to a corporate restructuring initiative aimed at achieving $30 million in annual cost savings [1] - The stock reached a peak of $24.99, its highest in over two decades, before closing at $24.46, down 0.97% on the day [2] - The restructuring will involve layoffs of approximately 15% of the workforce, facility rationalization, and asset write-offs, with an expected charge of $32 million for severance payments [3] Financial Performance - In Q2 ending December 2025, Viavi Solutions reported a net loss of $48.1 million, a reversal from a net income of $9.1 million in the same quarter the previous year, despite a 36% increase in net revenues to $369.3 million [4] - For the six-month period, the net loss was $69.5 million, compared to a net income of $7.3 million in the same period last year, with revenues increasing by 31% to $668.4 million [5] Restructuring Timeline - The restructuring initiative is expected to be completed by June 2026 [3]

Core Insights - The article does not provide any specific information or insights regarding a company or industry [1] Summary by Categories - No relevant content available for summarization [1]

Group 1 - Viavi Solutions Inc. experienced a significant stock price increase, reaching a record high not seen in over two decades, driven by a new corporate restructuring initiative expected to yield annual savings of $30 million [1][3] - During intra-day trading, the stock peaked at $24.95 before closing at $24.70, reflecting a 17.45 percent increase [2] - The company announced a 5 percent reduction in its global workforce, facility rationalization, and asset write-offs to enhance operational efficiencies, with an anticipated expenditure of $32 million for severance payments [3] Group 2 - In the second quarter ending December 2025, Viavi Solutions reported a net loss of $48.1 million, a decline from a net income of $9.1 million in the same period the previous year, despite a 36 percent increase in net revenues to $369.3 million [4] - For the six-month period, the net loss totaled $69.5 million, reversing a net income of $7.3 million from the comparable semester, with revenues rising by 31 percent to $668.4 million [4]

Financial Performance - Net revenue for the second quarter of fiscal 2026 was $369.3 million, an increase of $98.5 million or 36.4% year-over-year[207] - GAAP net loss was $48.1 million, a decrease of $57.2 million or 628.6% year-over-year[207] - Non-GAAP net income reached $51.5 million, up $22.1 million or 75.2% year-over-year[207] - Non-GAAP diluted EPS was $0.22, an increase of $0.09 or 69.2% year-over-year[207] - Total net revenue increased by $98.5 million, or 36.4%, for the three months ended December 27, 2025, compared to the same period a year ago[218] - Total net revenue increased by $159.4 million, or 31.3%, for the six months ended December 27, 2025, compared to the same period a year ago[219] - Product revenues increased by $91.6 million, or 40.6%, for the three months ended December 27, 2025, driven by volume increases in NSE and OSP[220] - Product revenues increased by $151.5 million, or 35.8%, for the six months ended December 27, 2025, driven by volume increases in NSE and OSP[221] - Service revenues increased by $6.9 million, or 15.3%, for the three months ended December 27, 2025, driven by a volume increase in NSE[222] - Service revenues increased by $7.9 million, or 9.2%, for the six months ended December 27, 2025, driven by a volume increase in NSE[223] Acquisitions and Contributions - The acquisition of Spirent Communications contributed net revenues of $43.0 million, while Inertial Labs added $21.1 million[202] - The acquisitions of Spirent's HSE and CE business and Inertial Labs contributed $43.0 million and $21.1 million, respectively, during the three months ended December 27, 2025[218] Margins and Expenses - GAAP operating margin was 3.1%, down 510 basis points year-over-year, while non-GAAP operating margin improved to 19.3%, up 440 basis points[207] - Gross margin decreased by 2.4 percentage points to 57.0% for the three months ended December 27, 2025, primarily due to increased amortization of intangibles[230] - Research and Development (R&D) expense increased by $13.8 million, or 26.5%, during the three months ended December 27, 2025, driven by costs from recent acquisitions[233] - Selling, General and Administrative (SG&A) expense rose by $42.8 million, or 50.8%, during the three months ended December 27, 2025, largely due to acquisition-related costs[236] - Amortization of acquired technologies increased by $9.2 million, or 278.8%, during the three months ended December 27, 2025, due to intangibles from recent acquisitions[229] Future Outlook - The company expects continued growth in the NSE segment driven by end market demand and acquisitions[204] - The company plans to invest in secular trends to drive growth and expand its total addressable market (TAM)[206] - The company expects to face industry and market risks, including uncertainty around customer procurement decisions and the adoption of 5G technology[224] - Pricing pressures and competition from Asia-based competitors may affect revenues and profitability[225] Cash Flow and Financing - Cash provided by operating activities was $73.5 million, with a net loss of $69.5 million adjusted for non-cash charges totaling $162.9 million[274] - Cash used in investing activities totaled $412.6 million, primarily for the acquisition of Spirent's HSE and CE business[275] - Cash provided by financing activities was $680.6 million, mainly from a $600 million Term Loan B issuance[276] Pension and Liabilities - The pension plans in the U.K. and India are fully funded, while the German plans are unfunded, resulting in an under-funding of $50.9 million as of December 27, 2025[282] - The fair value of pension plan assets increased approximately 1.2% since June 28, 2025[282] - A 50-basis point change in the discount rate would result in a corresponding increase or decrease in the post-retirement benefit obligation (PBO) of approximately $4.0 million[288] - The company is responsible for a non-pension post-retirement benefit obligation of $0.3 million from a past acquisition[283] - The fair value of contingent purchase consideration liabilities is remeasured at each reporting period, with significant judgment involved in the estimates[287] Market and Geographic Information - The company operates in three geographic regions: Americas, Asia-Pacific, and EMEA, with net revenue assigned to the region where products are initially shipped[226] - Net revenue from customers outside the Americas represented 53.7% of total net revenue during the three months ended December 27, 2025, compared to 57.1% in the same period of the previous year[227] Risk Management - The company's market risk related to foreign exchange and interest rates has not changed materially since the last annual report[289] - The accounting estimates used in the financial statements are based on historical experience and reasonable assumptions, but actual results may differ materially[286] - Recent accounting pronouncements may affect the consolidated financial statements, as detailed in the relevant note[285]