Lightpath Technologies (LPTH) AI Stock Analysis

• Market Cap: $601.00M
• Dividend Yield: N/A
• Average Volume (3M): 2.75M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.16
• 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: 53,280,178
• 10 Day Avg. Volume: 4,430,204
• 30 Day Avg. Volume: 2,753,427
• PEG Ratio: -0.12
• Price to Book (P/B): 8.05
• Price to Sales (P/S): 3.38
• P/FCF Ratio: -13.12
• Enterprise Value/Market Cap: 0.73
• Enterprise Value/Revenue: 10.02
• Enterprise Value/Gross Profit: 37.35
• Enterprise Value/Ebitda: -75.22
• 1Y Price Target: $13.25
• Price Target Upside: 15.32% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: $10.50 ▼(-8.62% Downside)

The score is primarily constrained by weak profitability and negative cash flows despite rapid revenue growth. Offsetting positives include constructive earnings-call indicators (record orders/backlog and positive adjusted EBITDA) and supportive strategic events (capacity-building acquisition), while technicals are mixed and valuation remains challenged due to ongoing losses and no dividend.

Positive Factors

Revenue Growth

Sustained, high single‑quarter revenue growth reflects durable adoption of LightPath’s optical products and strengthens OEM relationships. When growth is driven by program ramps and repeated orders, it supports capacity utilization, scale economics, and investment in higher‑value system offerings over multiple years.

Backlog & Systems Shift

A $90M backlog with the majority in systems and subsystems signals a structural move up the value chain toward recurring, higher‑margin engineering programs. Multi‑year awards deepen customer ties, increase visibility into future revenue, and reduce commoditization risk compared with spot component sales.

Vertical Integration / Capacity

Acquiring AMI expands in‑house chalcogenide melting capacity, proprietary glass tech, and an NDAA‑compliant U.S. manufacturing site. That materially strengthens supply‑chain resilience, supports BlackDiamond product differentiation, and creates a durable competitive advantage for defense and space programs.

Negative Factors

Negative Profitability

Despite revenue growth, LightPath remains unprofitable with negative net and operating margins. Persistent losses reduce retained earnings and impair the company’s ability to self‑fund expansion, forcing reliance on external capital until sustained operating profitability is achieved.

Weak Cash Generation

Negative operating and free cash flow point to structural liquidity pressure: the business currently burns cash to grow. This constrains reinvestment, heightens dependency on investors or lenders, and increases vulnerability to funding disruptions unless cash conversion reverses.

Customer Concentration Risk

Material revenue tied to a single tier‑1 defense customer concentrates program and timing risk. Dependence on one large customer can amplify revenue volatility, reduce pricing leverage, and create backend risk to backlog realization if award timing or requirements change.

Lightpath Technologies Business Overview & Revenue Model

Company Description

LightPath Technologies, Inc. designs, develops, manufactures, and distributes optical components and assemblies. The company offers precision molded glass aspheric optics, molded and diamond-turned infrared aspheric lenses, and other optical components used to produce products that manipulate light. Its products are used in defense products, medical devices, laser aided industrial tools, automotive safety applications, barcode scanners, optical data storage, hybrid fiber coax datacom, telecommunications, machine vision and sensors, and other industries. The company sells its products directly to customers in North America, Europe, and Asia, as well as through distributors and catalogs in the United States and internationally. LightPath Technologies, Inc. was founded in 1985 and is headquartered in Orlando, Florida.

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

Strong top-line growth is outweighed by weak profitability and cash generation. Income statement signals meaningful losses with negative operating margins, and cash flow remains pressured with negative operating/free cash flow, although leverage appears moderate on the balance sheet.

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	43.86M	37.20M	31.73M	32.93M	35.56M	38.46M
Gross Profit	11.77M	10.13M	8.63M	11.07M	11.81M	13.45M
EBITDA	-5.84M	-4.91M	-2.96M	-458.35K	999.74K	2.23M
Net Income	-16.14M	-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: Neutral
• Last Price: 11.49
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LPTH, the sentiment is Neutral. The current price of 11.49 is below the 20-day moving average (MA) of 12.19, above the 50-day MA of 9.72, and above the 200-day MA of 5.92, indicating a neutral trend. The MACD of 0.40 indicates Positive momentum. The RSI at 45.40 is Neutral, neither overbought nor oversold. The STOCH value of 22.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LPTH.

Lightpath Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MPTI	82 Outperform	$181.56M	25.91	22.65%	―	12.79%	23.79%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
RELL	58 Neutral	$167.48M	176.74	0.11%	2.25%	6.17%	―
LPTH	52 Neutral	$601.00M	-29.94	-37.93%	―	36.85%	-77.93%
MEI	50 Neutral	$281.50M	-4.50	-8.87%	5.93%	-9.51%	29.57%
GNSS	49 Neutral	$88.13M	-4.82	-183.60%	―	69.76%	43.82%
LINK	41 Neutral	$59.38M	-29.37	-13.78%	―	-1.70%	17.13%

Lightpath Technologies Corporate Events

LightPath Technologies Completes Strategic Amorphous Materials Acquisition

On January 21, 2026, LightPath Technologies completed the acquisition of substantially all assets of Amorphous Materials, Inc. (AMI), a 50-year-old industrial manufacturer specializing in chalcogenide glass melting, for $7 million in cash plus up to $3 million in milestone-based equity consideration. Through the deal, executed under an asset purchase agreement signed on January 20, 2026, LightPath gains AMI’s proprietary large-diameter chalcogenide glass plate technology, expanded glass melting capacity up to 10,000 lbs per year, and a second NDAA-compliant manufacturing location in Texas, with AMI’s portfolio of complementary glasses expected to bolster LightPath’s BlackDiamond materials offering and support major U.S. defense programs. Management characterizes the transaction as accretive, projecting roughly $3 million in additional annual revenue tied largely to one tier-1 defense customer with long-term programs of record, and positions LightPath to accelerate its transition into a leading vertically integrated infrared imaging solutions provider in the $9 billion IR market while enhancing supply-chain resilience and expanding its footprint in large, high-value optics for applications including space and long-range defense systems.

The most recent analyst rating on (LPTH) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on Lightpath Technologies stock, see the LPTH Stock Forecast page.

LightPath shareholders approve directors and expand equity plan

On December 17, 2025, LightPath Technologies, Inc. held its annual meeting of stockholders, with approximately 76% of the company’s outstanding voting power represented, establishing a quorum. Shareholders reelected Dr. Joseph Menaker and Darcie Peck and elected Mark Caylor as Class I directors for terms ending at the third successive annual meeting, approved on an advisory basis the compensation of the company’s named executive officers, and ratified the selection of BDO USA, P.C. as independent registered public accounting firm for the fiscal year ending June 30, 2026. Investors also approved an amendment to the 2018 Stock Incentive Compensation Plan to add 2.5 million shares of Class A common stock for future equity grants, a move that enhances LightPath’s capacity to use stock-based compensation to attract and retain talent but may modestly increase potential equity dilution for existing shareholders.

The most recent analyst rating on (LPTH) stock is a Buy with a $11.00 price target. To see the full list of analyst forecasts on Lightpath Technologies stock, see the LPTH Stock Forecast page.