Earnings results often indicate what direction a company will take in the months ahead. With Q3 behind us, let’s have a look at Coherent (NYSE: COHR) and its peers.

The sector could see higher demand as the prevalence of advanced electronics increases in industries such as automotive, healthcare, aerospace, and computing. The high-performance components and contract manufacturing expertise required for autonomous vehicles and cloud computing datacenters, for instance, will benefit companies in the space. However, headwinds include geopolitical risks, particularly U.S.-China trade tensions that could disrupt component sourcing and production as the Trump administration takes an increasingly antagonizing stance on foreign relations. Additionally, stringent environmental regulations on e-waste and emissions could force the industry to pivot in potentially costly ways.

The 10 electronic components & manufacturing stocks we track reported a very strong Q3. As a group, revenues beat analysts’ consensus estimates by 4.9% while next quarter’s revenue guidance was 4.1% above.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 12.5% since the latest earnings results.

Coherent (NYSE: COHR)

Created through the 2022 rebranding of II-VI Incorporated, a company with roots dating back to 1971, Coherent (NYSE: COHR) develops and manufactures advanced materials, lasers, and optical components for applications ranging from telecommunications to industrial manufacturing.

Coherent reported revenues of $2.37 billion, up 49.9% year on year. This print exceeded analysts’ expectations by 2.5%. Overall, it was a very strong quarter for the company with a solid beat of analysts’ EPS guidance for next quarter estimates and revenue guidance for next quarter exceeding analysts’ expectations.

“Q1 marked a strong start to fiscal 2027, with pro forma revenue up 56% year over year and non-GAAP EPS up 80%,” said Jim Anderson, CEO. “Our established businesses delivered strong growth, while new growth areas are beginning to ramp. As AI datacenters transition from copper to optical connectivity, Coherent’s broad photonics platform and manufacturing scale position us to help customers meet rising needs for bandwidth and energy efficiency. We expect fiscal 2027 pro forma revenue growth to exceed 60%.”

The market was likely pricing in the results, and the stock is flat since reporting. It currently trades at $194.80.

Is now the time to buy Coherent? Access our full analysis of the earnings results here, it’s free.

Best Q3: Plexus (NASDAQ: PLXS)

With over 20,000 team members across 26 global facilities, Plexus (NASDAQ: PLXS) designs, manufactures, and services complex electronic products for companies in aerospace/defense, healthcare, and industrial sectors.

Plexus reported revenues of $1.43 billion, up 34.8% year on year, outperforming analysts’ expectations by 4.9%. The business had an impressive quarter with a solid beat of analysts’ EPS guidance for next quarter estimates and revenue guidance for next quarter exceeding analysts’ expectations.

Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 19.7% since reporting. It currently trades at $192.24.

Is now the time to buy Plexus? Access our full analysis of the earnings results here, it’s free.

Weakest Q3: TTM Technologies (NASDAQ: TTMI)

As one of the world's largest printed circuit board manufacturers with facilities spanning North America and Asia, TTM Technologies (NASDAQ: TTMI) manufactures printed circuit boards (PCBs) and radio frequency (RF) components for aerospace, defense, automotive, and telecommunications industries.

TTM Technologies reported revenues of $1.20 billion, up 59.9% year on year, exceeding analysts’ expectations by 7.3%. It may have had the worst quarter among its peers, but its results were still good as it also locked in a beat of analysts’ EPS estimates and revenue guidance for next quarter meeting analysts’ expectations.

TTM Technologies delivered the weakest guidance update among its peers. As expected, the stock is down 34.9% since the results and currently trades at $66.50.

Read our full analysis of TTM Technologies’s results here.

Jabil (NYSE: JBL)

With manufacturing facilities spanning the globe from China to Mexico to the United States, Jabil (NYSE: JBL) provides electronics design, manufacturing, and supply chain solutions to companies across various industries, from healthcare to automotive to cloud computing.

Jabil reported revenues of $10.62 billion, up 28.6% year on year. This number beat analysts’ expectations by 9.8%. Overall, it was an impressive quarter as it also recorded a solid beat of analysts’ EPS guidance for next quarter estimates and revenue guidance for next quarter exceeding analysts’ expectations.

Jabil delivered the biggest analyst estimate beat and highest guidance raise of the whole group. The stock is down 24.6% since reporting and currently trades at $240.45.

Read our full, actionable report on Jabil here, it’s free.

Flex (NASDAQ: FLEX)

Originally known as Flextronics until its 2016 rebranding, Flex (NASDAQ: FLEX) is a global manufacturing partner that designs, engineers, and builds products for companies across industries from medical devices to solar trackers.

Flex reported revenues of $8.49 billion, up 24.8% year on year. This print surpassed analysts’ expectations by 4.2%. It was a favorable quarter as it also put up a solid beat of analysts’ full-year EPS guidance estimates and a beat of analysts’ EPS estimates.

Flex had the weakest full-year guidance update in the group. The stock is down 15.8% since reporting and currently trades at $70.15.

Read our full, actionable report on Flex here, it’s free.

Market update

Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership.

Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products.

By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals.

Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.