Viavi Solutions (NASDAQ:VIAV) Posts Quarterly Earnings Results, Beats Expectations By $0.03 EPS

Viavi Solutions (NASDAQ:VIAV) announced its quarterly earnings data on Wednesday. The communications equipment provider reported $0.22 earnings per share for the quarter, topping the consensus estimate of $0.19 by $0.03, FiscalAI reports. The business had revenue of $369.30 million during the quarter, compared to the consensus estimate of $365.25 million. Viavi Solutions had a return on equity of 10.70% and a net margin of 1.33%.Viavi Solutions’s revenue for the quarter was up 36.4% on a year-over-year basis. During the same period in the prior year, the company earned $0.13 EPS. Viavi Solutions updated its Q3 2026 guidance to 0.220-4.000 EPS.

Here are the key takeaways from Viavi Solutions’ conference call:

• Viavi beat expectations in FQ2 with $369.3 million revenue (high end of guidance), operating margin of 19.3% above guidance, and EPS of $0.22, all showing strong sequential and year-over-year improvement.
• Data center and aerospace & defense drove NSE strength—NSE revenue of $291.5 million was at the high end of guidance and NSE grew ~46% YoY, with management saying data center momentum should continue through calendar 2026.
• Management approved a restructuring impacting ~5% of the workforce with estimated one-time charges of $32 million and expected annual run-rate savings of ~$30 million, a portion of which will be reinvested in higher-growth areas.
• Balance sheet actions include cash and short-term investments of $772.1 million, a $100 million convertible-note exchange, a $100 million Term Loan B prepayment and an expected $75 million earnout payment in Q3, while diluted share count has risen (233.4M current, ~245M expected), mixing positive liquidity with dilution and near-term cash outflows.
• Q3 guidance is for sequentially higher revenue of $386–$400 million, operating margin ~19.7%, EPS of $0.22–$0.24, incorporates a full 13 weeks of Spirent product lines, and management now expects a go‑forward tax rate in the mid‑teens.

Viavi Solutions Trading Up 1.6%

Shares of NASDAQ:VIAV traded up $0.33 during midday trading on Wednesday, hitting $21.03. 9,034,642 shares of the stock traded hands, compared to its average volume of 4,253,871. Viavi Solutions has a one year low of $8.10 and a one year high of $21.52. The company has a quick ratio of 1.74, a current ratio of 1.99 and a debt-to-equity ratio of 0.88. The business’s 50 day moving average is $18.09 and its two-hundred day moving average is $14.47. The stock has a market capitalization of $4.69 billion, a PE ratio of 300.43 and a beta of 0.94.

Insider Buying and Selling at Viavi Solutions

In related news, Director Eugenia Corrales sold 3,384 shares of Viavi Solutions stock in a transaction dated Wednesday, December 10th. The stock was sold at an average price of $18.76, for a total value of $63,483.84. Following the completion of the sale, the director directly owned 3,384 shares in the company, valued at approximately $63,483.84. This trade represents a 50.00% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, SVP Kevin Christopher Siebert sold 24,225 shares of the firm’s stock in a transaction on Monday, December 8th. The stock was sold at an average price of $18.26, for a total value of $442,348.50. Following the completion of the transaction, the senior vice president owned 49,225 shares in the company, valued at approximately $898,848.50. This trade represents a 32.98% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 606,226 shares of company stock worth $10,714,820. Insiders own 1.80% of the company’s stock.

Institutional Investors Weigh In On Viavi Solutions

Institutional investors and hedge funds have recently modified their holdings of the stock. Hancock Whitney Corp purchased a new stake in Viavi Solutions in the third quarter valued at $320,000. Caxton Associates LLP acquired a new position in shares of Viavi Solutions in the 3rd quarter valued at about $299,000. Lido Advisors LLC boosted its stake in shares of Viavi Solutions by 3.0% in the third quarter. Lido Advisors LLC now owns 24,082 shares of the communications equipment provider’s stock worth $306,000 after buying an additional 697 shares during the last quarter. Entropy Technologies LP purchased a new stake in shares of Viavi Solutions in the third quarter worth about $436,000. Finally, Boothbay Fund Management LLC grew its holdings in Viavi Solutions by 35.1% during the second quarter. Boothbay Fund Management LLC now owns 40,890 shares of the communications equipment provider’s stock worth $412,000 after acquiring an additional 10,621 shares during the period. Institutional investors own 95.54% of the company’s stock.

Analyst Ratings Changes

A number of brokerages recently issued reports on VIAV. B. Riley increased their target price on Viavi Solutions from $18.00 to $22.00 and gave the stock a “buy” rating in a report on Monday. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Viavi Solutions in a research note on Monday, December 29th. Rosenblatt Securities boosted their target price on shares of Viavi Solutions from $15.00 to $19.00 and gave the stock a “buy” rating in a research report on Thursday, October 30th. Needham & Company LLC upped their target price on shares of Viavi Solutions from $16.00 to $20.00 and gave the stock a “buy” rating in a report on Thursday, October 30th. Finally, UBS Group lifted their price target on Viavi Solutions from $12.00 to $17.00 and gave the company a “neutral” rating in a research note on Thursday, October 30th. Seven equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $17.89.

Trending Headlines about Viavi Solutions

Here are the key news stories impacting Viavi Solutions this week:

• Positive Sentiment: Q2 results: VIAVI reported $0.22 EPS vs. $0.19 consensus, releasing a slide deck and press materials that accompanied the beat — the surprise lift in profit drove immediate buying interest. VIAVI Announces Second Quarter Fiscal 2026 Results
• Positive Sentiment: Analyst upgrade/price‑target increase: B. Riley raised VIAV’s price target (coverage noted) which helped lift sentiment and was cited in reports noting an analyst-driven rally. B. Riley Increases Viavi Solutions (NASDAQ:VIAV) Price Target to $22.00
• Positive Sentiment: Strategic narrative: Coverage highlights that VIAVI is “repositioning” its Edge platform as a core enterprise growth engine — a potential multi‑quarter growth story if adoption accelerates. Is Viavi Solutions (VIAV) Quietly Repositioning Its Edge Platform as a Core Enterprise Growth Engine?
• Neutral Sentiment: Analyst coverage roundup and outlook pieces provide mixed perspectives — some see upside from software/edge exposure while others flag execution risks; these pieces give context but not new catalyst. Viavi Solutions Stock: A Deep Dive Into Analyst Perspectives (6 Ratings)
• Neutral Sentiment: Momentum and retail attention: multiple news items explain today’s surge and high volume (roughly double average), suggesting short‑term momentum traders are active. Why is Viavi Solutions (VIAV) stock soaring today
• Negative Sentiment: Valuation and margin caution: VIAV trades at a high P/E and currently posts slim net margins (~1.3%), which raises downside risk if growth or margin improvement disappoints — keep an eye on guidance and margin trends in upcoming quarters.

Viavi Solutions Company Profile

Viavi Solutions Inc is a provider of network test, monitoring and assurance solutions for communications service providers, cable operators, enterprises and government agencies. The company offers an extensive portfolio of fiber optic and copper cable test and measurement instruments, wireless network testing equipment and network performance monitoring software. Its products are designed to support the deployment, maintenance and optimization of high-speed broadband, 5G wireless, data center and enterprise networks.

Viavi’s product offerings are organized into two primary segments: Network & Service Enablement and Optical Security & Performance.