Lumentum's Q1 revenue jumps 136.5% YoY to $1.26B, boosting AI infrastructure position and merger prospects.

Lumentum Holdings reported a strong Q1 with revenue up 136.5% year-over-year to $1.26 billion and adjusted operating margins expanding to 42.3%. The company saw a 228.8% increase in systems revenue and generated over $108 million from optical switching, strengthening its position in AI infrastructure. Marvell's acquisition offer of 4.5 shares per Lumentum share presents strategic synergies and potential upside despite merger uncertainties. The positive financial results support a Strong Buy rating with an estimated 17% valuation upside.

Lumentum shares fell 4.49% to USD 596.62 on Pluang, while Marvell also dropped 4.68% to USD 156.76 as of Nov 15, 2026 19:11 WIB. Despite the selloff, Lumentum remains heavily bought on Pluang with 90% buy orders and a market cap of $54.10 billion.