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what it is
LightPath makes lenses, infrared optics, and camera modules that help machines see in defense, industrial, and medical markets.
how it gets paid
Last year Lightpath Tech made $37M in revenue.
why it's growing
Revenue grew 17.3% last year. The quarter showed real demand and a very strong 69.7% gross margin.
what just happened
Revenue hit $15M in the latest quarter, up 79% vs. prior year, but EPS still landed at -$0.27.
At a glance
B balance sheet — gets the job done, barely
45/100 earnings predictability — expect surprises
-$0.36 fy2025 eps est
$37M fy2025 rev est
31.8% operating margin
xvary composite: 55/100 — below average
What they do
LightPath makes lenses, infrared optics, and camera modules that help machines see in defense, industrial, and medical markets.
LightPath sells the parts that sit deep inside a customer’s system. If your sensor or camera is built around a custom lens, switching vendors means redesign work, retesting, and delays. That matters more when the company can post 69.7% gross margin, which is jargon → money left after making the product → so what: customers are paying for specialized optics, not commodity glass.
How they make money
$37M
annual revenue · their business grew +17.3% last year
total revenue
$37M
+17.3%
The products that matter
defense imaging assemblies
Infrared Camera Assemblies
$9.6M segment revenue · +740%
a single $9.6M defense contract drove the assemblies and modules surge. that's powerful in one quarter and dangerous if it doesn't repeat.
contract-driven growth
optical components manufacturing
Precision Optical Components
$6.8M segment revenue · +8.2%
this is the steadier legacy business. it grew 8.2%, which is respectable, but nowhere near enough to explain the stock's excitement on its own.
base business
Key numbers
2.0%
debt load
Long-term debt is just $14 million, or 2% of capital. Plain English: borrowing is tiny. So what: your real risk is losses, not leverage.
31.8%
operating margin
Jargon → operating margin → plain English: profit after running the business → so what: LightPath loses about $0.32 on every $1 of sales before interest and taxes.
$37M
annual revenue
That is the whole sales base supporting a roughly $607 million market cap, which leaves very little room for a stumble.
69.7%
gross margin
Jargon → gross margin → plain English: money left after making the product → so what: the products are specialized, even if the company still cannot turn that into operating profit.
Financial health
B
strength
- balance sheet grade B — adequate — nothing special
- risk rank 2 — safer than 80% of stocks
- price stability 5 / 100
- long-term debt $14M (2% of capital)
B — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for LPTH right now.
source: institutional data · return history unavailable
What just happened
missed estimates
Revenue hit $15M in the latest quarter, up 79% vs. prior year, but EPS still landed at -$0.27.
The quarter showed real demand and a very strong 69.7% gross margin. The quiet part out loud: a company can sell high-margin optics and still lose money when operating costs outrun scale.
$15M
revenue
$0.27
eps
69.7%
gross margin
the number that mattered
The 69.7% gross margin matters most because it says the product is not the problem. Turning that into operating profit is.
source: company earnings report, 2026
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What could go wrong
the #1 risk here is mistaking one defense program for a durable revenue engine.
med
contract concentration
a single $9.6M defense contract drove a +740% jump in assemblies and modules. when one program can move the whole quarter, forecasting becomes part analysis, part weather report.
if follow-on wins do not show up, reported growth can reverse just as fast as it arrived.
med
weak operating leverage
Q2 2026 revenue reached $16.4M and gross margin hit 69.7%, but operating margin was only 2.8%. that is the accounting version of revving the engine while barely leaving the driveway.
if costs keep absorbing the growth, the market eventually stops paying for the story.
med
dilution
the $60M public offering in december 2025 gave the company more capital, but it also diluted existing holders. small companies often solve one problem by creating another.
if LPTH needs more external funding before profits arrive, your ownership can keep getting sliced thinner.
the combined risk picture is simple: a business expected to do $37M in annual revenue is being asked to prove scale, repeatability, and profitability at the same time.
source: institutional data · regulatory filings · risk analysis
Pay attention to
next earnings
does revenue stay anywhere near $16.4M
the next quarter matters because LPTH just printed a $16.4M revenue number off one major program. you want to see whether that level sticks or snaps back.
margin test
can 69.7% gross margin become real operating profit
high gross margin is nice. the real watch item is whether operating margin can move meaningfully above 2.8% as revenue scales.
contract risk
is the $9.6M deal repeatable
one contract made the story. you need evidence that additional defense wins are entering the pipeline rather than just shipping through the current backlog.
base business
does the 8.2% legacy growth accelerate
precision optical components grew 8.2%. if that core segment starts moving faster, LPTH becomes less dependent on one-off headline contracts.
Analyst rankings
earnings predictability
45 / 100
this score says estimates can move around because the business is lumpy. in human-speak, do not treat one strong quarter like a straight line.
risk rank
2
on this measure, LPTH screens safer than many stocks. that speaks to balance sheet risk, not to whether the share price behaves calmly.
price stability
5 / 100
the stock has almost no stability score. translation: your business thesis may be right and the ride can still feel ridiculous.
source: institutional data
Institutional activity
institutional ownership data for LPTH is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$10
current price
n/a
target midpoint · n/a from current
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