IPG Photonics (IPGP) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

IPG Photonics

NasdaqGS•Technology•Semiconductor Equipment & Materials

$76.55+0.43(0.01%)Market closed

Market Cap

$3.23B

P/E

117.3x

P/S

3.0x

P/B

1.5x

IPG Photonics Corporation develops, manufactures, and sells fiber lasers, fiber amplifiers, diode lasers, and laser-based systems used in materials processing, medical, and advanced applications. The company offers laser products, including hybrid fiber-solid state lasers with green and ultraviolet wavelengths; fiber pigtailed packaged diodes and fiber coupled direct diode laser systems; and high-energy pulsed lasers, multi-wavelength and tunable lasers, and single-polarization and single-frequency lasers, as well as other versions. It also provides complementary products, such as optical fiber delivery cables, fiber couplers, beam switches, optical processing heads, process measuring and monitoring technologies, and in-line sensors and chillers. In addition, the company offers LightWELD, a handheld laser welding system; 2D compact flat sheet cutter systems; high precision laser systems for medical technology industry; multi axis Cartesian systems for fine welding, cutting, and drilling applications; laser and non-laser robotic welding and automation solutions; and related accessories for specific medical applications. The company sells and markets its products to original equipment manufacturers, system integrators, and end users through direct sales force, as well as through agreements with independent sales representatives and distributors. It serves general manufacturing, automotive, consumer goods, medical devices, energy/renewable energy, micro electronics, original equipment manufacturers instrument manufacturing, scientific, as well as aerospace and defense, rail, and shipbuilding markets. IPG Photonics Corporation was founded in 1990 and is headquartered in Marlborough, Massachusetts.

How this company scores

AverageMetricSide Score: 57/100

Strongest: Growth (22/25); weakest: Cash & Earnings Quality (7/25).

Profitability13/25

Growth22/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality7/25

Strengths

Rising earningsInterest easily coveredProfit converts from growthNet cash position

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 117.3x5y range 16.6x – 157.3x

Currently above its 16-quarter median.

P/S · 3.0x5y range 2.8x – 6.3x

Currently near its 20-quarter median.

P/B · 1.5x5y range 1.3x – 3.3x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 4 quarters — monitor for earnings quality deterioration.

Price & Volume

Market Cap $3.23B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $1.07B
Q. Revenue: $278.58M
TTM EBITDA: $75.07M
TTM Op. Income: $7.97M
Q. Op. Income: $4.53M
TTM Net Income: $27.56M
Q. Net Income: $5.24M
EPS: $0.12
Shares Out.: $42.47M

$1.07B in TTM revenue grew 13.0% YoY, reaching $278.58M last quarter. TTM EBITDA of $75.07M and TTM operating income of $7.97M show growth is flowing through to the bottom line. TTM net income of $27.56M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 4 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 40.4%
EBITDA Margin: 7.2%
Op. Margin: 1.6%
Net Margin: 1.9%

Op. margin of 1.6% is up 1.6% YoY — cost efficiency is improving. Net margin at 1.9% and gross margin of 40.4% show how much of each revenue dollar survives to profit. Over the past year, operating margin is up 3821% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 117.3x
P/S Ratio: 3.0x
P/B Ratio: 1.5x

At 117.3x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 3.0x and P/B of 1.5x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is up 0% — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $2.42B
Cash: $399.23M
Long-Term Debt: N/A
Book Value: $2.13B
D/E Ratio: N/A
Debt/EBITDA: 0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $37.79M
TTM Free Cash Flow: $20.80M
FCF Margin: 1.9%
FCF / Net Income: 0.8

TTM FCF of $20.80M on $37.79M in operating cash flow. The FCF / Net Income ratio of 0.8x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is down 68% — an improving trend.