Q2 Earnings Beat Leads to Bullish Views on Lumentum (LITE)

Lumentum Holdings (NASDAQ:LITE) is one of the 11 best communication equipment stocks according to hedge funds.

On February 4, Samik Chatterjee from J.P. Morgan raised his price target on Lumentum Holdings (NASDAQ:LITE) from $350 to $565. He reiterated an Overweight rating on the stock following the company’s “strong” numbers for fiscal quarter two, which beat consensus estimates. Chatterjee also noted that management provided highly robust third-quarter guidance, establishing a path for sustained growth in the following quarters.

On February 4, Christopher Rolland from Susquehanna also increased his price target for Lumentum Holdings (NASDAQ:LITE) from $420 to $550, reaffirming a Positive rating on the stock.

Rolland’s rating was part of Susquehenna’s adjustments to its model after strong quarterly results. The analyst anticipates a positive medium-term outlook for OCS and CPO scale-out, along with scale-up in three new significant markets.

Lumentum Holdings (NASDAQ:LITE) develops and sells optical and photonic products, with a focus on high-performance lasers, modules, and subsystems. It operates in two segments: Cloud & Networking and Industrial Tech, serving markets including cloud, networking, consumer electronics, and industrial.

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Disclosure: None. This article is originally published at Insider Monkey.