AI InvestmentIncreased exposure to the Datacom segment, which is experiencing AI-led growth in demand, positions LITE shares as a potential pick to capitalize on the AI theme.
EarningsThe raised revenue outlook, driven by stronger demand for higher-margin parts of Lumentum’s portfolio, is pushing margins toward long-term targets and boosting earnings estimates.
Product DemandThe company set another record for EML unit shipments and remains on track with its capacity expansion plans.