Lumentum Holdings Inc. has surged 1300% over the last 12 months. The company's lasers are vital to 1.6T and 3.2T build-outs. Despite the run-up, I think LITE stock has more room to run.
LITE pivots to AI networking as surging optics demand, record revenues and capacity expansion plans signal a high-growth shift beyond telecom roots.
Lumentum Holdings has transitioned from a scarce component supplier to a higher-content optical platform provider, leveraging external laser source architecture. LITE's revenue content per unit is expected to rise 2–2.5x with broader participation in the external light source market. Despite high headline valuation multiples, LITE's forward PEG ratio of 0.87x reflects a 40% discount to the sector median, justified by rapid growth.
LITE outpaces LASR as AI-driven demand, strong revenue growth and rising estimates outweigh nLIGHT's near-term headwinds from cutting and welding exit.
Lumentum stock price has been in a strong bull run and is hovering near its all-time high. It has soared from a low of $36 in 2023 to $897 today.
Lumentum Holdings (NASDAQ:LITE) has risen 1,691% over the past year, climbing from $50.02 to $896.02.
Lumentum and Coherent shares climbed again after upbeat comments on hyperscaler demand and fresh price-target hikes from J.P. Morgan.
Photonics and laser maker Lumentum's CEO said it's seen such strong AI-driven demand that it could sell out.
Photonics stock Lumentum Holdings Inc (NASDAQ:LITE) is up 2.8% to trade at $919.16 at last check, after the CEO of the Nvidia (NVDA)-backed company told Bloomberg that its products are sold out through 2027 thanks to strong demand amid AI-infrastructure growth.
Stock futures are little changed this morning after a volatile week.
Lumentum Holdings (NASDAQ:LITE) sits at a critical inflection point.
Lumentum Holdings (NASDAQ: LITE) stock is eyeing fresh record highs, jumping 5.5% to $944 in pre-market trading on Friday, April 10, as the company points to a massive order backlog over the next couple of years.