Lumentum Holdings Inc Falls Despite Price Target Increase
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 02 Dec 25
Source: NASDAQ.COM
Lumentum Holdings Inc. experienced a decline of 5.01%, crossing down the 5-day SMA. This drop occurred despite Mizuho raising its price target for the company from $290 to $325, citing positive developments related to Google's Tensor Processing Units (TPUs).
The report highlights that Meta Platforms is in discussions to invest significantly in Alphabet's AI chips, which could enhance its infrastructure and benefit companies like Lumentum. Analysts believe this shift could pose challenges for traditional GPU suppliers while benefiting Lumentum and others in the TPU supply chain.
Despite the positive outlook from analysts, Lumentum's stock faced selling pressure, reflecting broader market dynamics and investor sentiment.
Analyst Views on LITE
Wall Street analysts forecast LITE stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for LITE is 303.36 USD with a low forecast of 147.00 USD and a high forecast of 470.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
14 Analyst Rating
9 Buy
5 Hold
0 Sell
Moderate Buy
Current: 391.840
Low
147.00
Averages
303.36
High
470.00
Current: 391.840
Low
147.00
Averages
303.36
High
470.00
About LITE
Lumentum Holdings Inc. is a designer and manufacturer of optical and photonic products enabling optical networking and laser applications worldwide. Its segments include Cloud & Networking and Industrial Tech. The Cloud & Networking segment products include a comprehensive portfolio of optical and photonic components, modules, and subsystems supplied to cloud and communications network operators and network equipment manufacturers building cloud data center infrastructure, including products for artificial intelligence and machine learning (AI/ML) and data center interconnect (DCI) applications, and communications service provider networks, including products for access (local), metro (intracity), long-haul (city-to-city and worldwide), and submarine (undersea) network infrastructure. The Industrial Tech segment products include solid-state lasers, kilowatt-class fiber lasers, diode lasers, ultrafast lasers, and gas lasers, which address applications in numerous end-markets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
