Lumentum (LITE) Stock Plunges 11%, Then Rebounds on NVIDIA Partnership Announcement

Key Highlights Shares closed down 11.37% at $688.80 Thursday, then climbed 1.50% to $699.10 after hours. Company disclosed plans for a 240,000-square-foot Greensboro, NC production site purchased from Qorvo, with operations expected by mid-2028. NVIDIA named as a confirmed customer through existing strategic supply agreements linked to the facility. Previous quarter showed Lumentum exceeding EPS forecasts ($1.67 actual vs. $1.41 projected) while revenue jumped 65.5% annually to $665.5M. Wall Street price targets vary significantly — BNP Paribas projects $1,040 while the average consensus hovers at $575.06; company insiders offloaded approximately $38.9M in shares recently. Shares of Lumentum Holdings (LITE) experienced significant volatility Thursday, plummeting 11.37% before settling at $688.80. Trading volume reached approximately 6.18 million shares — representing a 4% increase over typical daily activity. Lumentum Holdings Inc., LITE However, the semiconductor stock staged a comeback during extended trading hours. Shares climbed 1.50% to $699.10 after the company disclosed details about a significant domestic manufacturing investment. Lumentum revealed its purchase of a 240,000-square-foot production campus in Greensboro, North Carolina, from fellow semiconductor company Qorvo. The facility will focus on manufacturing indium phosphide optical components, including continuous wave lasers and ultra-high-power laser systems utilizing 6-inch InP wafers. Operations are scheduled to reach full capacity around mid-2028. Chief Executive Michael Hurlston noted that clients are “constructing the technological backbone that will shape the future generation of computing.” NVIDIA received confirmation as a client through existing strategic partnership agreements connected to this manufacturing expansion. Debora Shoquist, NVIDIA’s EVP of Operations, stated the development “reinforces supply chain reliability and enables us to address increasing infrastructure requirements ...