New York, Jan 12, 2026, 11:53 AM ET — Regular session
- Lumentum shares dropped roughly 5%, while the broader U.S. market hovered close to flat
- Investors are focused on the company’s Feb. 3 earnings report and conference call
- A recent SEC filing reveals a chief accounting officer change scheduled for early February
Lumentum Holdings shares dropped 5.4% to $332.28 in late-morning trading Monday, lagging behind a mostly flat U.S. market. The stock slipped $19.14 from its previous close and earlier dipped as low as $323.24.
This move is significant since Lumentum has become a swift, occasionally volatile stand-in for AI data center spending. The company sells optical components—the lasers and photonics that drive data through fiber—and that connection to cloud infrastructure projects has turned its stock into a hotspot for fast cash.
Lumentum will report fiscal second-quarter results on Feb. 3 after the market closes, the company announced. A webcast is scheduled for 5 p.m. ET that day. (Lumentum Investor Relations)
Macro jitters also played a role. Investors started the week eyeing a U.S. Justice Department investigation involving Federal Reserve Chair Jerome Powell, a development that pushed funds into safe-haven assets Monday morning, Reuters reported. (Reuters)
The sector showed mixed action. Ciena dropped 1.4%, Coherent held steady, Nvidia remained flat, and Broadcom climbed roughly 1.3%.
Last week, Lumentum disclosed that its chief accounting officer, Matthew Sepe, will retire in fall 2026 and leave the position in early February. Eric Chang is set to replace him as chief accounting officer on that date. (SEC)
Analysts remain fixated on AI-related capex despite the stock’s volatility. Mizuho’s Vijay Rakesh singled out Lumentum as a top pick for 2026, suggesting investors concerned about which chipmaker will come out on top might consider optical-networking firm Lumentum Holdings instead, Barron’s reported. (Barron’s)
The stock’s valuation leaves barely any margin for error. Simply Wall St points to a widely cited fair value near $255 — well under the last closing price — and cautions that the narrative could unravel if orders from a handful of major cloud clients dip or if capacity bottlenecks persist. (Simply Wall St)
Looking ahead, U.S. inflation figures and the kickoff of earnings season will dominate investor focus, Reuters reported. For those holding Lumentum, the Feb. 3 earnings release stands as the next major catalyst. (Reuters)
