10 Easy Double-Digit Gainers

1. Lumentum Holdings Inc. (NASDAQ:LITE)

Lumentum Holdings skyrocketed by 40.87 percent week-on-week, to hit a new all-time high, as investors digested its swing to profitability in the second quarter of fiscal year 2026.

On Friday alone, the stock rallied to a fresh all-time high anew of $558.38 before trimming gains to finish the session just up by 9.43 percent at $551.99 apiece.

In an updated report, Lumentum Holdings Inc. (NASDAQ:LITE) said that it swung to a net profit of $78.2 million in the second quarter ending December from a $60.9 million loss in the same period a year earlier. Net revenues surged by 65 percent to $665.5 million from $402.2 million year-on-year.

Revenues hit the high-end of its earlier guidance, while profitability and earnings per share exceeded its previous outlook.

“Our forward guidance calls for over 85 percent year-over-year revenue growth, yet we are only at the starting line for two substantial opportunities: optical circuit switches (OCS) and co-packaged optics (CPO). In OCS, we are scaling rapidly to meet extraordinary customer demand that has already driven our backlog well beyond $400 million. In CPO, we received an incremental multi-hundred-million-dollar order, deliverable in first half of 2027. Our results continue to highlight the strength of our roadmaps for both optical components and systems, which make us mission-critical to the world’s AI leaders,” said Lumentum Holdings Inc. (NASDAQ:LITE) President and CEO Michael Hurlston.

Encouraged by the results, Lumentum Holdings Inc. (NASDAQ:LITE) raised its revenue growth outlook for the third quarter ending March to be at $780 million to $830 million, or an implied growth of 83 percent to 95 percent from the $425.2 million reported in the same quarter last year.

While we acknowledge the potential of LITE to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than LITE and that has 100x upside potential, check out our report about this cheapest AI stock.

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