Lightpath Technologies (LPTH) AI Stock Analysis

• Market Cap: $282.10M
• Dividend Yield: N/A
• Average Volume (3M): 1.79M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.05
• Revenue Growth: 36.85%
• EPS Growth: -77.93%
• Country: US
• Employees: 304
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.07
• Shares Outstanding: 45,426,926
• 10 Day Avg. Volume: 1,665,294
• 30 Day Avg. Volume: 1,794,659
• PEG Ratio: -0.12
• Price to Book (P/B): 2.52
• Price to Sales (P/S): 3.38
• P/FCF Ratio: -13.12
• Enterprise Value/Market Cap: 1.35
• Enterprise Value/Revenue: 0.03
• Enterprise Value/Gross Profit: 0.08
• Enterprise Value/Ebitda: -0.29
• 1Y Price Target: $10.50
• Price Target Upside: 54.64% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: $7.50 ▲(10.46% Upside)

Lightpath Technologies' overall stock score is driven by strong strategic advancements and revenue growth, as highlighted in the earnings call. However, financial performance is hindered by profitability and cash flow challenges. Technical indicators suggest mixed signals, and valuation metrics reflect ongoing losses, warranting a cautious outlook.

Positive Factors

Revenue Growth

Significant revenue growth indicates strong demand for Lightpath's products, enhancing its market position and supporting long-term business expansion.

Strategic Partnerships

Strategic investments and partnerships can accelerate commercialization and innovation, strengthening competitive advantages and market reach.

Product Innovation

Innovative products like germanium-free cameras address supply chain issues and enhance product differentiation, supporting sustainable growth.

Negative Factors

Profitability Challenges

Ongoing net losses highlight profitability challenges, which can strain financial resources and limit reinvestment in growth opportunities.

Decreased Gross Margin

A declining gross margin suggests cost pressures or pricing challenges, potentially impacting long-term profitability and financial health.

Increased Operating Expenses

Rising operating expenses can erode profitability and cash flow, necessitating improved cost management to ensure sustainable financial performance.

Lightpath Technologies Business Overview & Revenue Model

Company Description

Lightpath Technologies (LPTH) is a leading provider of advanced optical communication solutions and innovative photonic technologies. The company operates primarily in the telecommunications sector, focusing on the development and manufacturing of high-performance fiber optic components and systems. LPTH's core products include optical transceivers, optical amplifiers, and integrated photonic circuits, which are essential for high-speed data transmission and telecommunications infrastructure.

How the Company Makes Money

Lightpath Technologies generates revenue primarily through the sale of its optical communication products and systems to telecommunications companies, data centers, and other enterprises requiring high-speed data solutions. Key revenue streams include direct sales of optical transceivers and amplifiers, as well as long-term contracts and partnerships with major telecommunications providers that require customized solutions. The company also engages in research and development collaborations with industry partners, further enhancing its product offerings and market reach. Additionally, LPTH benefits from increasing demand for high-bandwidth connectivity driven by the growth of cloud computing, 5G networks, and the Internet of Things (IoT), which adds to its revenue potential.

Lightpath Technologies Financial Statement Overview

Summary

Lightpath Technologies shows significant revenue growth but struggles with profitability and cash flow management. The balance sheet indicates moderate leverage, but negative returns on equity and cash flow issues pose risks. Improvement in operational efficiency and cash flow generation is needed.

Income Statement

Lightpath Technologies exhibits significant revenue growth in the TTM period, but this is overshadowed by negative profitability metrics. The gross profit margin is moderate, but the net profit margin is deeply negative, indicating substantial losses. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The company's debt-to-equity ratio is moderate, suggesting a balanced approach to leveraging. However, the return on equity is negative, indicating that the company is not generating profit from its equity base. The equity ratio is reasonable, showing a fair amount of assets financed by equity.

Cash Flow

Operating and free cash flows are negative, highlighting liquidity challenges. The free cash flow to net income ratio is positive, suggesting some ability to cover net losses with free cash flow, but overall cash flow health is weak due to negative growth and operating cash flow coverage ratios.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	15.09B	37.20M	31.73M	32.93M	35.56M	38.46M
Gross Profit	4.49B	10.13M	8.63M	11.07M	11.81M	13.45M
EBITDA	-1.33B	-4.91M	-2.96M	-458.35K	999.74K	2.23M
Net Income	-2.91B	-14.87M	-8.01M	-4.05M	-3.54M	-3.19M
Balance Sheet
Total Assets	87.26M	81.51M	48.09M	53.54M	50.71M	54.61M
Cash, Cash Equivalents and Short-Term Investments	11.51M	4.88M	3.48M	4.69M	5.51M	6.77M
Total Debt	15.36M	15.19M	10.36M	12.38M	14.73M	14.23M
Total Liabilities	31.59M	65.86M	17.89M	17.58M	20.98M	21.03M
Stockholders Equity	55.67M	15.64M	30.20M	35.95M	29.73M	33.58M
Cash Flow
Free Cash Flow	-9.03M	-9.59M	-1.66M	-5.89M	-162.49K	1.57M
Operating Cash Flow	-7.77M	-8.33M	521.04K	-2.81M	1.46M	4.73M
Investing Cash Flow	-19.62M	-19.74M	-2.67M	-2.87M	-1.63M	-3.16M
Financing Cash Flow	34.46M	29.30M	-1.47M	7.46M	-636.17K	-843.43K

Lightpath Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.79
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LPTH, the sentiment is Positive. The current price of 6.79 is below the 20-day moving average (MA) of 7.43, below the 50-day MA of 7.74, and above the 200-day MA of 4.15, indicating a neutral trend. The MACD of -0.38 indicates Positive momentum. The RSI at 44.61 is Neutral, neither overbought nor oversold. The STOCH value of 14.56 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LPTH.

Lightpath Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MPTI	73 Outperform	$145.41M	20.24	22.65%	―	12.79%	23.79%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
RELL	61 Neutral	$141.02M	456.94	0.11%	2.43%	6.17%	―
MEI	54 Neutral	$246.17M	―	-7.62%	5.72%	-4.91%	61.77%
LPTH	51 Neutral	$282.10M	―	-37.93%	―	36.85%	-77.93%
GNSS	47 Neutral	$96.18M	―	-177.60%	―	8.95%	14.34%
LINK	41 Neutral	$64.81M	―	-13.78%	―	-1.70%	17.13%

Lightpath Technologies Corporate Events

LightPath Technologies Reports Strong Growth Amid Challenges

LightPath Technologies’ recent earnings call painted a picture of robust growth and strategic progress, albeit with some financial challenges. The company reported strong revenue growth and strategic advancements, particularly through key partnerships and new product introductions. However, challenges such as increased net loss and operating expenses were noted. The strategic shift toward systems and subsystems is yielding positive results, but financial metrics like gross margin and net loss indicate areas needing improvement.

LightPath Technologies Reports Strong Revenue Growth

LightPath Technologies, Inc. is a leading provider of next-generation optics and imaging systems, focusing on defense and commercial applications. The company is known for its proprietary BlackDiamond™ glass materials and infrared optical systems, with manufacturing facilities in the U.S., Latvia, and China.

LightPath Technologies’ Earnings Call: Growth Amid Challenges

LightPath Technologies’ recent earnings call presented a mixed bag of achievements and challenges. The company celebrated significant successes in backlog growth, strategic investments, and revenue increases. However, these positive developments were counterbalanced by issues such as declining gross margins, increased operating expenses, and a higher net loss. Despite these financial pressures, LightPath is undergoing a successful transformation.

LightPath Technologies Reports Strong Revenue Growth Amid Losses

LightPath Technologies, Inc. is a leading provider of next-generation optics and imaging systems for defense and commercial applications, known for its proprietary BlackDiamond™ glass technology. The company recently reported its fiscal 2025 fourth quarter and full-year financial results, highlighting a significant increase in revenue driven by robust demand for its Germanium-free optics, particularly in defense and public safety sectors. Key financial metrics showed a 41.4% increase in quarterly revenue to $12.2 million and a 17.4% rise in annual revenue to $37.6 million. However, the company also reported a substantial net loss of $7.1 million for the quarter and $14.9 million for the year, attributed to increased operating expenses and strategic investments. Strategic highlights include securing significant purchase orders for IR cameras, launching new products, and receiving strategic investments to support growth in the drone sector. Looking ahead, LightPath aims to capitalize on the growing demand for Germanium-free solutions and expand its market presence in defense and industrial sectors, focusing on sustainable revenue growth and supply chain security.