Lumentum (LITE)
NASDAQInformation TechnologyCommunication EquipmentSnapshot 2026-11-05
$509.70-18.68%
Close 2026-11-05 · 1-day change
NASDAQInformation TechnologyCommunication EquipmentSnapshot 2026-11-05
QuarterlyIQ Insights · LITE
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within information technology on a research-validated quality screen. As of 2026-11-04.
The screen ranks LITE against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 3 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 3 of the last 3 quarter-over-quarter moves. Historically, Information Technology names rated strong grew net income 65% of the time over the next year (vs 52% for the rest of the cohort, n=6380).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Met or beat guidance 63% of the last 8 guided quarters · 33.4% avg surprise
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
During the quarter, we secured our second major NPO/CPO win, backed by purchase commitments exceeding $5 billion.
Stated in 6 of 8 supplied quarters. Management reported: “During the quarter, we secured our second major NPO/CPO win, backed by purchase commitments exceeding $5 billion.” “Additionally, our OCS demand visibility has expanded significantly in recent months, positioning optical switching to become a multi-billion-dollar annual revenue stream.” Revenue was $1.263 billion in 2027-Q1.
“During the quarter, we secured our second major NPO/CPO win, backed by purchase commitments exceeding $5 billion.”
“Increasing demand for ultra-high-power CPO lasers, an initial order for ELS modules, as well as our breadth of NPO engagements are the first signs that optics are starting to penetrate in-rack connec…”
“As our key growth drivers of co-packaged optics and optical circuit switches begin to kick in, we would expect further increases in earnings power.””
“In OCS, we are scaling rapidly to meet extraordinary customer demand that has already driven our backlog well beyond $400 million.”
“Our guidance indicates we expect more than 20 percent sequential revenue growth, even before meaningful contributions from two of our next major growth engines—optical circuit switches and co-package…”
“The outperformance was broad-based across our cloud-focused business, with particular strength in components, specifically EML chips, pump lasers, and narrow linewidth laser assemblies for data cente…”
Document NEWS RELEASE LUMENTUM ANNOUNCES FIRST QUARTER OF FISCAL YEAR 2027 FINANCIAL RESULTS • Net revenue of $1.26 billion • GAAP gross margin of 51.0%; Non-GAAP gross margin of 53.2% • GAAP operati…
Stated in 6 of 8 supplied quarters. Management reported: “Document NEWS RELEASE LUMENTUM ANNOUNCES FIRST QUARTER OF FISCAL YEAR 2027 FINANCIAL RESULTS • Net revenue of $1.26 billion • GAAP gross margin of 51.0%; Non-GAAP gross margin of 53.2% • GAAP operating margin of 28.5%; Non-GAAP operating margin of 42.3% • Forecasting second quarter of fiscal year 2027 revenue of $1.575 billion to $1.625 billion; non-GAAP operating margin of 45.0% to 46.0%; and non-GAAP diluted net income per share of $5.90 to $6.20.” “Furthermore, we project our second quarter operating margin to exceed 45 percent.””
"Looking ahead, we anticipate adding approximately $350 million in sequential growth in our second quarter, a figure greater than the quarterly revenue of the whole company just two years ago.
Stated in 6 of 8 supplied quarters. Management reported: “Document NEWS RELEASE LUMENTUM ANNOUNCES FIRST QUARTER OF FISCAL YEAR 2027 FINANCIAL RESULTS • Net revenue of $1.26 billion • GAAP gross margin of 51.0%; Non-GAAP gross margin of 53.2% • GAAP operating margin of 28.5%; Non-GAAP operating margin of 42.3% • Forecasting second quarter of fiscal year 2027 revenue of $1.575 billion to $1.625 billion; non-GAAP operating margin of 45.0% to 46.0%; and non-GAAP diluted net income per share of $5.90 to $6.20.” “"Looking ahead, we anticipate adding approximately $350 million in sequential growth in our second quarter, a figure greater than the quarterly revenue of the whole company just two years ago.” Revenue was $1.263 billion in 2027-Q1.
Business Outlook Lumentum expects the following for the second quarter of fiscal year 2027: • Net revenue in the range of $1.575 billion to $1.625 billion • Non-GAAP operating margin of 45.0% to 46.0…
Focus on expanding revenue through AI compute workloads, cloud data center demand, and optical networking products including OCS and CPO solutions.
Over the trailing year it converted 1.69x of net income into operating cash flow. Historically, Information Technology names rated neutral grew net income 57% of the time over the next year (vs 52% for the rest of the cohort, n=4167).
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to the US dollar, long-term interest rates, real (inflation-adjusted) rates, Fed net liquidity (low R² over the window).
18 material management or governance events in the past 24 months, led by executive changes. Historically, Information Technology names rated volatile grew net income 52% of the time over the next year (vs 57% for the rest of the cohort, n=6008).
Not investment advice. As of 2026-11-05.
“Document NEWS RELEASE LUMENTUM ANNOUNCES FIRST QUARTER OF FISCAL YEAR 2027 FINANCIAL RESULTS • Net revenue of $1.26 billion • GAAP gross margin of 51.0%; Non-GAAP gross margin of 53.2% • GAAP operati…”
“Business Outlook Lumentum expects the following for the first quarter of fiscal year 2027: • Net revenue in the range of $1.225 billion to $1.275 billion • Non-GAAP operating margin of 39.5% - 40.5%…”
““Margin improvement has been driven by many factors including operational rigor, pricing discipline, and product mix.”
“Business Outlook Lumentum expects the following for the third quarter of fiscal year 2026: • Net revenue in the range of $780 million to $830 million • Non-GAAP operating margin of 30.0% to 31.0% • N…”
“Business Outlook Lumentum expects the following for the second quarter of fiscal year 2026: • Net revenue in the range of $630 million to $670 million • Non-GAAP operating margin of 20.0% to 22.0% •…”
“Business Outlook Lumentum expects the following for the first quarter of fiscal year 2026: • Net revenue in the range of $510 million to $540 million • Non-GAAP operating margin of 16.0% - 17.5% • No…”
“"Looking ahead, we anticipate adding approximately $350 million in sequential growth in our second quarter, a figure greater than the quarterly revenue of the whole company just two years ago.”
““Looking ahead, our trajectory continues to accelerate as AI demand drives our Q1 revenue guidance midpoint to $1.25 billion, reaching our target model more than a quarter ahead of schedule.””
“Business Outlook Lumentum expects the following for the fourth quarter of fiscal year 2026: • Net revenue in the range of $960 million to $1.01 billion • Non-GAAP operating margin of 35.0% to 36.0% •…”
““Our forward guidance calls for over 85 percent year-over-year revenue growth, yet we are only at the starting line for two substantial opportunities: optical circuit switches (OCS) and co-packaged o…”
“Our guidance indicates we expect more than 20 percent sequential revenue growth, even before meaningful contributions from two of our next major growth engines—optical circuit switches and co-package…”
“Looking ahead, we expect continued strong demand for our AI data center and long-haul solutions, giving us confidence in surpassing $600 million in quarterly revenue by June 2026 or earlier.””