LITE
Lumentum Holdings Inc.

Lumentum Holdings Inc.LITE

Technology · Communication Equipment
538.59USD
+5.67%
Nov 08, 2026
LITE overview ready
Supplier of high-speed optical components for AI data center interconnects
Direct supplier of high-speed optical components, modules, and subsystems used to move data within and between AI data centers; its InP laser capacity makes it a potentially constrained upstream input for advanced optical links.
Primary theme is lagging
Optical / Photonics is lagging (-26.6pp vs SPY over 21 sessions; 1 of 12 members ahead of SPY).
Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
Valuation not measured
Fundamentals not measured
Primary risk
Supply chain constraints for InP laser components.
Market Nov 6Price action Nov 7Research Oct 3

Conviction Level

PriceAction1.4BusinessPerformance9.0BusinessQuality4.9Valuation—ThemeMomentum1.0Accelerating — Revenue growth has accelerated, rising from +66% to +137% year over year. One recent quarter could not be confirmed and is not part of this read. Diluted EPS moved to $3.54 from $0.05; the prior-year base is too small for a meaningful percentage. — Accelerating describes growth momentum measured in recent filed quarters. It is not proof that the acceleration will continue.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
vs SPY
−26.6pp
Theme return
−31.6%
Beating SPY
1 of 12
21 sessions to Nov 6, 2026 · Theme Leadership V2
Price
Loading price history…

Price Action

Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
EntryDamaged / breakdown

The technical structure itself is broken across timeframes — the weakest entry profile.

Key Financials

Market Cap
$48.8B
Avg Volume (60D)
5.6M
60 sessions
Revenue Growth YoY
+103.2%
Trailing twelve months
Gross Margin
+48.0%
Operating Margin
+23.4%
Trailing twelve months
Free Cash Flow Yield
+0.3%
Distance from 200DMA
-33.3%
Next Earnings
2027-02-02
P/E
N/M
EV / EBITDA
41.9x
EV / Sales
12.9x
Market metrics as of Nov 7, 2026

Business Performance

Accelerating

Revenue growth has accelerated, rising from +66% to +137% year over year. One recent quarter could not be confirmed and is not part of this read. Diluted EPS moved to $3.54 from $0.05; the prior-year base is too small for a meaningful percentage.

Latest reported: Q1 FY2027, ended Sep 26
Revenue growthAccelerating
+137%
$1.26B in Q1 FY2027 · YoY
YoY growth, last 4 quarters
  1. +66%
  2. +90%
  3. n/a
  4. +137%
Earnings growthGrowing
$3.54
Diluted EPS $3.54 vs $0.05 a year earlier · GAAP
Too few comparable EPS quarters: a loss or a turn to profit has no meaningful percentage.
Operating marginExpanding
28.5%
+27.2 pp YoY · gross margin 51.0% (+17.0 pp)
The share count is rising

Business Quality

4.9 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

Valuation unavailable for Lumentum Holdings Inc.: sufficient reliable data is not currently available — no valuation comparison could be performed. Until that changes, the price is better judged against the company's progress than against a multiple.

Company Research

Thesis
Direct supplier of high-speed optical components, modules, and subsystems used to move data within and between AI data centers; its InP laser capacity makes it a potentially constrained upstream input for advanced optical links. Lumentum is a direct, literal constituent of the active AI Networking and Optical Interconnect theme.
Opportunity
Moderate opportunity
Hyperscaler and AI-cluster investment in higher-bandwidth, lower-power optical connectivity for scale-out, scale-up, data-center-interconnect, and emerging co-packaged-optics architectures.
Key risk
Supply chain constraints for InP laser components.

Economic classification

Loading the economic classification…

Business & Markets

Technology · Communication Equipment
What they do

Lumentum Holdings Inc. designs, manufactures, and sells optical and photonic components and systems globally, serving data communications and industrial markets.

How it earns

The company generates revenue primarily through transactional sales of hardware products and components.

Products & services
Semiconductor laser chips
Laser sub-assemblies
Optical modules
Optical circuit switches
Industrial lasers
Customers & end markets
Hyperscale cloud and AI data center operators
Telecommunications providers
Industrial manufacturing companies
Market position

Lumentum is a leading supplier of high-speed optical components and subsystems in the communication equipment industry.

Demand drivers
Medium cyclicality

Demand is influenced by capital spending cycles in cloud infrastructure and telecom sectors, which can fluctuate with technology investment trends.