IPG Photonics Corporation (IPGP) Stock

IPG Photonics Corporation (IPGP) is a Technology stock trading at $74.39 (as of 2026-08-20), with a market capitalization of $3.16B and a trailing P/E of 114.8. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

IPG Photonics Corporation designs, manufactures, and sells laser systems and components, including fiber lasers and fiber amplifiers, diode lasers, and related optics such as delivery cables, couplers, switches, and cooling equipment. Its products are used in materials processing applications and also include communications-related optical amplification and integrated communications equipment.

Understand IPG Photonics Corporation: how it makes money

IPG Photonics develops, manufactures, and sells high-performance fiber lasers and diode lasers used mainly in materials processing, generating revenue from sales across Industrial Solutions and Advanced Solutions.

Because most revenue is tied to Materials Processing (about 86 to 88% of revenue), changes in materials processing demand and related application or regional sales trends flow directly into Industrial Solutions and overall profitability.

Revenue by segment (latest quarter)
Industrial Solutions$0.2B
Advanced Solutions$0.0B

Business quality (Weak): Key operating drivers are concentration in materials processing and the Industrial Solutions revenue stream, but the latest quarter shows negative operating margin alongside clear application and regional revenue declines.

Valuation: At 174× earnings, IPGP trades 238% above the Semiconductors average (51×). Note: one-time items can distort reported P/E.

Bull case

  • Materials Processing is the dominant revenue mix: Materials Processing Revenue Mix is 86.0%, and related share measures are 85.0% to 88.0%.
  • Large base of Industrial Solutions revenue: Industrial Solutions Revenue is 0.23B, versus Advanced Solutions Revenue of 0.04B.

Bear case

  • Profitability was negative in the latest quarter: Operating margin was -2.9% (gross margin 37.5%).
  • Demand headwinds show up in application and regional declines: Materials Processing Applications Revenue Decline is 28%, and North America, Europe, and China sales declined (16%, 21%, and 38% respectively).
Valuation — source: SEC EDGAR (first-party)
Price$74.39
Market Cap$3.16B
P/E Ratio114.8
EV / EBITDA36.8
Price / Book1.49
Price / Sales2.96
FCF Yield0.7%
DCF Value (model)$9.75
DCF Upside vs Price-86.9%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$1.00B
Net Margin3.1%
Revenue Growth (YoY)11.1%
EPS Growth (YoY)-25.0%
FCF Growth (YoY)-197.2%
Financial Health — source: SEC EDGAR
Altman Z-Score8.91 (safe)
Valuation vs Sector & Industry
Stock P/E114.8
Sector P/E (Technology)33.9
Industry P/E (Electronic Equipment)39.4
vs Sector238.4%
vs Industry191.5%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderFirst Eagle Investment Management, LLC ($526.35M)
Institutional Holders Tracked10
Company
SectorTechnology
IndustryElectronic Equipment
CEOMark Milton Gitin
Employees4,740
CountryUS
IPO Date2006-12-13

Related Companies (Business model: Fabless Semiconductors; 8 closest by market cap; US-domiciled)

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  • Diodes Incorporated (DIOD)
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  • OSI Systems, Inc. (OSIS)
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  • Power Integrations, Inc. (POWI)
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IPGP earnings history · IPGP institutional & insider holders · IPGP KPIs & operating metrics · IPGP financials · IPGP investor presentations & press releases · IPGP SEC filings · IPGP peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-08-20.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.