5 Best Day Trading Stocks to Buy Now

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1. Lumentum Holdings Inc. (NASDAQ:LITE)

Number of Hedge Fund Holdings: 97

Investment bank Barclays discussed photonics and optical products manufacturer Lumentum Holdings Inc. (NASDAQ:LITE)’s shares on March 3rd. It raised the share price target to $750 from $475 and kept an Equal-Weight rating on the shares. The coverage came a month after Lumentum Holdings Inc. (NASDAQ:LITE) reported its earnings for the second fiscal quarter of 2026. The results saw the firm report $665 million in revenue and $143 million in non-GAAP net income.

On the same day, Rosenblatt also discussed Lumentum Holdings Inc. (NASDAQ:LITE)’s shares. It raised the share price target to $900 from $580 and kept a Buy rating on the stock. Rosenblatt pointed out that the firm will benefit from AI chip giant NVIDIA’s decision to invest $2 billion in it and to secure future capacity for optical products. Like the two financial firms, investment bank Morgan Stanley is also optimistic about Lumentum Holdings Inc. (NASDAQ:LITE). It raised the price target to $520 from $420 and kept an Equal Weight rating on the shares.

Lumentum Holdings Inc. (NASDAQ:LITE) is an American company that makes and sells optical and photonic products used in computing and other applications. It is headquartered in San Jose, California.

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.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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