LITE’s 14.8% Surge: Growth Supports a Cautious Buy

I view LITE’s +14.84% session move to $672.47 as understandable against its growth outlook, but it does not change my thesis or erase the risk. Q3 revenue rose 136.5% year over year to $1,263M, and net margin reached 28.5%, up 27.7 percentage points. Consensus expects FY2027 EPS of $24.940, up 187.7%, then $40.135 in FY2028, up 60.9%; that takes the forward P/E from 27.0x to 16.8x. The move follows a 32.0% one-month decline, while shares remain 40.7% below their 52-week high, so it looks more like a sharp rebound than evidence of excess by itself. Still, FY2026’s −$92.960 EPS and only $38M of Q3 free cash flow argue for restraint. I’ll start a small position, not chase aggressively.