Lumentum stock rises as fiscal Q4 revenue doubles
π Lumentum reported fiscal Q4 2026 revenue of USD 1.006 billion, up 109.3% year over year.
π° Component revenue surged to USD 649.4 million, growing 102.7% and becoming the largest contributor to expansion.
π Fiscal Q4 2026 EPS reached USD 3.23, beating the consensus estimate of USD 2.97 by USD 0.26.
π Q1 2027 revenue guidance is centered at USD 1.25 billion, implying sustained demand beyond a one-quarter recovery.
π Q1 2027 adjusted EPS guidance ranges from USD 4.05 to USD 4.35 with a midpoint of USD 4.20.
π Stock closed at USD 945.67 on September 22, 2026, down 0.92% but up over 460% from the 52-week low.
π― Average analyst price target stands at USD 1,053.83 with a Moderate Buy consensus rating.
Bullish Signals
- Lumentum reported fiscal Q4 2026 revenue of USD 1.006 billion, representing a massive 109.3% year-over-year increase.
- Component revenue grew 102.7% to USD 649.4 million, establishing it as the primary driver of quarterly expansion.
- The company beat fiscal Q4 EPS estimates by USD 0.26, delivering USD 3.23 per share compared to a consensus of USD 2.97.
- Fiscal Q1 2027 revenue guidance is centered at USD 1.25 billion, which is 24.3% higher than the previous quarter's actuals.
- Adjusted EPS guidance for Q1 2027 ranges from USD 4.05 to USD 4.35, indicating a projected increase of nearly USD 1.00 per share.
Risk Factors
- The stock closed at USD 945.67, which is USD 140.01 below its 52-week high of USD 1,085.68.
- With a market capitalization of USD 84.83 billion, the company faces limited room for execution slippage given its elevated valuation.
Full Analysis
Lumentum Holdings Inc. (LITE) reported a significant surge in fiscal fourth-quarter 2026 revenue, reaching USD 1.006 billion. This figure represents a substantial 109.3% increase year over year and a 24.5% rise from the previous quarter, driven primarily by its component business which grew 102.7% to USD 649.4 million.
The company also delivered strong earnings performance, generating USD 3.23 per share in fiscal Q4 2026. This result exceeded the market consensus estimate of USD 2.97 by USD 0.26 and marked a dramatic year-over-year increase from USD 0.88 per share in the prior-year quarter.
Looking ahead, Lumentum provided guidance for fiscal first quarter 2027 revenue centered on USD 1.25 billion, indicating continued strong demand for its optical components. The company also forecast adjusted EPS between USD 4.05 and USD 4.35 for the upcoming quarter, with a midpoint of USD 4.20.
As of September 22, 2026, Lumentum's stock closed at USD 945.67 on Nasdaq, reflecting a massive 52-week gain of over 460%. Analysts maintain an average price target of USD 1,053.83 with a Moderate Buy consensus, though the high valuation leaves limited room for execution errors.