StoneX initiates coverage of Lumentum and Coherent with Buy ratings and $1,200/$425 price targets
StoneX launched coverage on Lumentum (LITE) and Coherent (COHR) on Oct. 26, 2026, assigning Buy ratings and price targets of $1,200 and $425 respectively. The initiation sparked an 8% rise in Lumentum shares and a 6% rise in Coherent shares, with related optics stocks also gaining. Analysts cited strong AI‑related demand for high‑speed indium‑phosphide lasers and cloud transceiver components as the growth catalyst.
Why it matters
The $1,200 target for Lumentum implies roughly 45% upside from the closing price, while the $425 target for Coherent suggests a similar upside, potentially attracting new capital to the optics sector. The price moves also lifted the Roundhill Photonics & Optics ETF (LYTE) and other peers, broadening sector exposure.
Key facts
- 1StoneX initiated coverage with a Buy rating and a $1,200 price target for Lumentum. seekingalpha.com
- 2StoneX initiated coverage with a Buy rating and a $425 price target for Coherent. seekingalpha.com
- 3Lumentum shares rose 8% to $819.98 in afternoon trading. 247wallst.com
- 4Coherent shares rose about 6% to $220.93. 247wallst.com
- 5Applied Optoelectronics (AAOI) shares rose 6% to $71.85. 247wallst.com
- 6The Roundhill Photonics & Optics ETF (LYTE) gained 4% to $18.96. 247wallst.com
Summary written by AlphAI AI Desk from 14 of 14 sources. Not investment advice. Figures are as stated by the linked sources.