Direct Answer
65 SEC filers are classified under the Standard Industrial Classification codes that describe the optoelectronics industry, and their latest annual reports show $560.9 billion of combined revenue and a median operating margin of -2.1%. Investors should still evaluate its revenue model, industry-specific KPIs, valuation framework and the risks that can change the group's economics.
Industry Overview
Optoelectronics companies make LEDs, lasers, photodetectors and optical sensors that convert between light and electricity, used in displays, communications, automotive and industry. Demand follows device and vehicle production. The first numbers to compare across companies here are revenue by application, gross margin and design wins.
Key Industry Metrics
- Revenue by application: Sales divided among displays, communications, automotive sensing and industrial uses. It shows which markets drive growth and how exposed results are to consumer cycles.
- Gross margin: Revenue left after wafers, assembly and test. Specialized lasers and sensors earn more than commodity LEDs, so mix and price competition shape it.
- Design wins: Selections of a component for a customer's future product. Wins convert into revenue over a product's life, so they point to future share.
- Capacity utilization: The share of plant capacity in use. High utilization supports profit and low utilization leaves fixed costs unabsorbed, which matters for commodity LED lines.
- Customer concentration: The share of revenue from a few device makers. A single large program can dominate results, so a high share raises sensitivity to its volume.
Primary Macro Drivers
- Consumer electronics and automotive sensing: Phones, cars and gadgets use light sensors, lasers and LEDs, so device and vehicle sensing content drives revenue by application.
- Data communications: Optical links in data centers and networks use lasers and detectors, adding demand outside consumer cycles.
- Industrial lasers: Factories using laser cutting, welding and measurement buy lasers and optical components, supporting steady industrial revenue.
- Display technology: Newer display types use different light sources and sensors, shifting content per device and design-win opportunities.
Major Risks
- Cyclical demand: Orders follow device and vehicle output, so slowdowns cut revenue quickly; watch revenue by application and capacity utilization.
- Price competition: Many suppliers sell similar LEDs and sensors, so prices fall quickly in commoditized parts; watch gross margin and average selling price.
- Customer concentration: A few device makers account for much of volume, so a design change can shift revenue; watch top-customer share and design wins.
- Technology change: New sensing or display approaches can render older products less relevant, requiring new investment; watch research spending and product mix.
Industry Characteristics
| Characteristic | Profile |
|---|---|
| Cyclicality | Cyclical |
| Capital Intensity | Medium |
| Regulatory Intensity | Low |
| Industry Maturity | Growth |
| Geographic Importance | Global |
Optoelectronics Filers in the SEC Record
65 companies with annual reports in the dataset are classified by the SEC in the Standard Industrial Classification codes 3674, 3827. Their latest fiscal years end between 2025 and 2026, and together they reported $560.9 billion of revenue. Median revenue growth over the prior year was 20.9%. Median operating margin was -2.1% and median net margin -1.6%. Median total liabilities were 35% of total assets, and 30 of 65 reported a profit in their latest year.
| Company | Revenue | Growth | Operating margin | Net margin | Year |
|---|---|---|---|---|---|
| Nvidia Corp | $215.9 billion | 65.5% | 60.4% | 55.6% | FY 2026 |
| Broadcom Inc. | $63.9 billion | 23.9% | 39.9% | 36.2% | FY 2025 |
| Intel Corp | $52.9 billion | -0.5% | -4.2% | -0.5% | FY 2025 |
| Micron Technology Inc | $37.4 billion | 48.9% | 26.1% | 22.8% | FY 2025 |
| Advanced Micro Devices Inc | $34.6 billion | 34.3% | 10.7% | 12.5% | FY 2025 |
| Applied Materials Inc | $28.4 billion | 4.4% | 29.2% | 24.7% | FY 2025 |
| Texas Instruments Inc | $17.7 billion | 13.0% | 34.1% | 28.3% | FY 2025 |
| Nxp Semiconductors N.V. | $12.3 billion | -2.7% | 24.8% | 16.5% | FY 2025 |
The 8 largest of 65 by revenue. Source: each company's own annual report as filed with the SEC (XBRL data), figures in U.S. dollars. A company's SIC code reflects its main business as the SEC records it, so it can differ from how an index provider or analyst classifies the company, and a diversified group appears under only one code.
Where to Go Next
The Optoelectronics guide describes how the industry earns money, what to measure and what can go wrong. To see how it compares, read the neighbouring industries in the same sector, then apply the same checks to a specific company.
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Frequently Asked Questions
What are the main KPIs for the Optoelectronics industry?
Key performance indicators for the Optoelectronics industry include: Revenue by application, Gross margin, Design wins, Capacity utilization, Customer concentration. Which matter most depends on the company's model, so compare them across several companies rather than relying on one.
How cyclical is the Optoelectronics industry?
The Optoelectronics industry is cyclical, meaning its revenues and earnings tend to expand during economic expansions and contract during downturns. Investors should monitor leading economic indicators and interest rate trends when evaluating timing.
What are the biggest risks in the Optoelectronics industry?
The primary risks for Optoelectronics companies include: Cyclical demand, Price competition, Customer concentration, Technology change. Investors should assess each company's exposure to these factors and its track record of navigating them.