If you've been watching Lumentum Holdings (LITE) from the sidelines this year, you're not alone. The stock is up 135% year-to-date and a staggering 1,276% over the past twelve months. But after the company's fiscal third-quarter results, analysts are racing to raise their price targets — suggesting there may still be room to run for both current holders and those who missed the initial rally.

Record Revenue, But a Tiny Miss

Lumentum reported third-quarter revenue of $808.4 million, up 90.1% year-over-year. That's a company record, though it narrowly missed the Street's optimistic consensus of $809.1 million. Earnings per share of $2.37 easily beat the $2.17 estimate, extending the company's streak of EPS beats to 12 straight quarters.

On the revenue side, the picture is a bit more mixed: Lumentum has missed estimates for two consecutive quarters, after beating for 11 straight before that. But the components business — which brought in $533.3 million, up 77.3% — and systems revenue of $275.1 million, up 121.1%, both contributed to the record top line.

CEO Michael Hurlston called the results "exceptional." In a statement, he highlighted margin expansion as the real story: "While our top-line growth continues to garner headlines, the more impressive part of our recent performance has been our margin expansion. In fiscal Q3, gross margin improved by 540 basis points on quarter and operating margin by 700 basis points." Hurlston credited product mix — particularly strength in laser chips — and pointed to future growth drivers like co-packaged optics and optical circuit switches.

The company's guidance for the fourth quarter is equally eye-popping: revenue between $960 million and $1.01 billion, which would smash the just-set record and represent year-over-year growth of at least 99.7%. EPS guidance of $2.85 to $3.05 also points to continued momentum.

Analysts Get Even More Bullish

Since the earnings release, a parade of analysts has raised price targets. Here's a rundown of the new numbers:

• Stifel: Buy rating, target raised from $800 to $1,100
• Rosenblatt: Buy rating, target raised from $900 to $1,300
• Morgan Stanley: Equal-Weight, target raised from $710 to $900
• TD Cowen: Hold rating, target raised from $875 to $995
• JPMorgan: Overweight, target raised from $950 to $1,130
• UBS: Neutral, target raised from $455 to $960
• Barclays: Equal-Weight, target raised from $750 to $1,000

Even the analysts with Neutral or Hold ratings aren't telling clients to sell — they've simply lifted their targets to keep pace with the stock's surge. Lumentum closed Friday at $903.43, meaning every single analyst now sees some upside from current levels. Rosenblatt's $1,300 target implies another 43% gain on top of the already massive run.

For investors who've been watching Lumentum's meteoric rise, the message from Wall Street is clear: the work is in progress, and the price targets are still climbing.