Update: II-VI Incorporated Q4 Organic Sales Grew But EPS Fell As Struggles With The Acquired Optical Businesses Continued
Martin Vlcek • Wed, Aug. 6
- IIVI reported 22% Y/Y revenue growth, 3% organic growth, 33% rise in bookings and lower EPS as optical segment was a drag, but showed promising 8% Q/Q sales growth.
- Thanks to the lower stock price, the reward-to-risk is more favorable now. I initiate a long thesis with a target price of $18 within two years, offering a ~25% upside.
- My thesis correctly called to wait for a pullback before buying due to unfavorable reward-to-risk with 16% upside and 60% downside. The downside materialized as the stock dropped ~25%.