Lumentum price target raised to $470 from $290 at Needham

Needham raised the firm’s price target on Lumentum (LITE) to $470 from $290 and keeps a Buy rating on the shares. The analyst also repeats Lumentum as a top pick for 2026. Needham has increased conviction that optical spending for artificial intelligence infrastructure continues to increase. Lumentum is “uniquely positioned” to benefit throughout AI data center applications, the analyst tells investors in a research note. The firm says limited competition in InP laser fabrication adds to its conviction in the shares.