Lumentum Holdings Inc. (LITE) shares plummeted 8.78% during intraday trading on Monday, making it one of the worst performers in the optical components sector.
The sharp decline was driven by a cautious optical-components outlook that rattled investor confidence across the sector. Peer Coherent Corp. (COHR) also suffered a dramatic 14.24% drop, underscoring the broad-based pressure on optical networking stocks.
The sell-off reversed earlier session gains that had been fueled by lofty earnings expectations and AI-related capacity shortage narratives, as the cautious outlook prompted investors to lock in profits ahead of Lumentum's upcoming quarterly report.
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