Shares of fiber optic connectivity companies are trading higher amid sympathy with Lumentum Holdings after the company reported better-than-expected Q4 financial results and issued Q1 guidance above estimates.

This Ciena Analyst Begins Coverage On A Bullish Note; Here Are Top 5 Initiations For Wednesday

Analysts initiated coverage: Buy on FORM ($200), NUVB ($12); Outperform on CIEN ($440); Neutral on EXPD ($180); Equal-Weight on SFD ($22).

Bernstein Initiates Coverage On Ciena with Outperform Rating, Announces Price Target of $440

Shares of fiber optic connectivity companies are trading lower. Elevated bond yields and Fed interest rate expectations are weighing on technology sectors that have exposure to AI buildout capex plans that may come under pressure from inflated borrowing costs.

Buy 3 Top-Ranked AI-Led Stocks at Deep Discount to Maximize Your Gains

Three AI infrastructure stocks—Amkor Technology, Ciena Corp, and TTM Technologies—are recommended as strong buys despite rallying 35-85% year-to-date, as they trade at 42-43% discounts to their 52-week highs. All three benefit from accelerating AI and data center demand with significant upside potential ranging from 34% to 96%.

Nike, Corteva, Mattel, Accenture and Coherent: Why These 5 Stocks Are on Investors' Radars Today

NKE, CTVA, MAT, ACN, COHR were among the stocks seen trending on Thursday, Oct. 1, 2026.

Lumentum, Coherent Rip Higher As Washington Targets Chinese Optical Transceivers

Lumentum and Coherent stocks surge as potential U.S. restrictions on Chinese optical transceivers spark supply tailwinds.