Rosenblatt analyst Mike Genovese raised the firm’s price target on Lumentum (LITE) to $900 from $580 and keeps a Buy rating on the shares. Nvidia is investing $2B each in Lumentum and Coherent, and is placing multi-billion dollar purchase commitments with each company to secure future capacity access rights for advanced laser and other optical components, the analyst tells investors in a research note. Rosenblatt believes the deals are driven by co-packaged optics. It cites higher earnings power for the target boost.
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