Lumentum Holdings Inc.

Corning jumped seven and a half percent after Verizon Communications and Corning announced a supply agreement covering broadband expansion and AI infrastructure, Barron's reported.

Lumentum and other optical tech infrastructure stocks also rose.

Qualcomm climbed three point two percent as it announced a partnership with Amazon to build data center infrastructure, Barron's said.

Peloton Interactive dropped six point seven percent as Morgan Stanley downgraded shares to underweight from equal weight, citing structural headwinds in the company's business.

It's on the outskirts of town, maybe, of the A.I., But fiber optic is a big player in AI.

Lumentum was up 11% yesterday.

The AI optical networking rally was in full force yesterday.

And, you know, you have a fresh wave of enthusiasm for AI data center connectivity using fiber optics.

I would say here, particularly for optical circuit switches, they particularly have, um, appear to be ramping up with more customer theme-- w- sorry, with, with, with more customers' demand, as well as CPO and, and MPO progressing well, which is adding up to a, to a new market.

These themes have been benefiting both Lumentum and Coherent.

Now, on the networking side, it's clear to us that there, there is a very strong demand for back-end AI networking, given the push for scale-up and scale-out from hyperscalers.

Scale across is also a big theme for names such as Cisco, as there are power requirements that are hitting a wall, and thus we need to, um, we need to see that, uh, data centers need to be connected from one to another, and this is, this is, um, particularly helping the companies like Cisco.

And so the distance between how many, um, accelerators you can connect actually shrinks.

And so eventually, we'll get to a point where we need optical.

And so right now we're seeing companies like, l-like Lumentum and CoherenSee really strong demand for their laser chips because of the shifting in architecture both within, so scale up, in scale out, and scale across.

And so as we're shifting towards optical, there is a need for laser chips because there is a need to lase, and we all know that silicon cannot lase.

But fiber optic is a big, uh, player in AI.

Uh, Lumentum was up eleven percent yesterday.

The AI optical networking rally, uh, was in full f-force yesterday.

Uh, and, uh, you know, you have a fresh wave of enthusiasm for AI data center connectivity using fiber optics.

So much of the last couple of days feels like the open AI ecosystem levitating.

Look at Lumentum, look at CoreWeave today because of Astra and that release.

So is it, are we kind of transitioning through the trade or is it a leadership issue where when Google's in the lead, that's one thing.

And then when Astra's back in the lead, then that's a whole other set of trades.

NTRA target 385.

ATR medium around 3.1. And keep Intel and Lumentum as your continuation of strength plays.

So stay selective until the data clears.

Like selective and defensive.