Lumentum CEO Says Optical Parts Sold Out Through 2029, Stock Jumps 7.4%
LITE has more than doubled off its 52-week low of $147.81.
Summary
CEO Michael Hurlston told Bloomberg TV that Lumentum is almost sold out of optoelectronic parts through 2029 and cannot meet 30% of demand for some products through 2028, with a 70% shortfall for other items through next year. The comments drove the stock up 7.4% to $1,125.25 on Friday. This follows the company's fiscal Q4 report in August showing revenue up 109% YoY and Q1 guidance above consensus, and a GF Securities projection earlier this week that Nvidia-driven CPO/NPO revenue will surge from $928M in 2027 to over $3.3B in 2028. The sold-out status gives visibility into future revenue and suggests pricing power, but also means hyperscalers may shift orders to competitors like Coherent and Applied Optoelectronics.
At the time of this announcement, LITE was trading at $1,117.81 on NASDAQ in the Technology sector, with a market capitalization of approximately $101.5B. The 52-week trading range was $147.81 to $1,143.00. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.