Lumentum Holdings is rated a buy due to strong growth prospects expected from 2027 onward. The company's optical division benefits from the shift in data centers from copper to fiber optics, increasing demand for its transceivers and high-speed lasers. Record shipments of 800G transceivers and limited supply of key components like indium phosphide lasers suggest robust near-term and future earnings potential. These supply constraints may also give Lumentum pricing power, indicating that current market valuations may undervalue its future earnings.
Optical networking stocks, key players in AI data-center connectivity, have sharply declined with Coherent down 12%, Applied Optoelectronics down 10%, and Lumentum down 9%. This selloff reflects broader tech weakness led by chipmakers and cautious in...
Jefferies analyst Blayne Curtis increased the price target for Lumentum from $1,200 to $1,250, reflecting optimism about the optics sector ahead of earnings reports. Lumentum, which produces optical products for communication networks, saw its stock ...
Several of the worst-performing stocks in the Nasdaq 100 last week, including Lumentum and Sandisk, saw rebounds on Monday. However, CoreWeave continued to decline, dragging down parts of the AI industry with it. This divergence highlights ongoing vo...
Optics stocks including Applied Optoelectronics, Lumentum, and Coherent rose between 2% and 5% ahead of their November earnings reports, driven by strong demand for AI-related optical components. Lumentum's CEO highlighted multiyear sell-out conditio...
