POET Stock Spikes on Lumilens EOI Partnership — What the Deal Actually Means

Added: 2026-05-18

[00:00:01]POET is uh trending up 52%. This is Thursday, the 14th of May, 2026.

[00:00:08]The company signed a strategic supply and joint development deal with uh Lumilens.

[00:00:14]$50 million initial EOEI engine purchase order.

[00:00:19]Potential $500 million plus over 5 years.

[00:00:23]The bull case.

[00:00:26]This Lumilens deal lands at a moment of uh acute necessity for POET.

[00:00:34]We know what happened uh 3 weeks ago.

[00:00:36]Marvell canceled all the Celestica AI purchase orders citing uh confidentiality breaches. And then the POET stock launched over 47%.

[00:00:49]What today's announcement achieves is more than a replacement uh revenue narrative.

[00:00:54]It's a structural repositioning of POET from a component sub-supplier to a platform co-developer with its own named commercial partner and a contractually structured multi-year revenue pathway.

[00:01:13]Electrical optical interposer, EOEI, is the conceptual successor to the semiconductor industry's own integration milestones.

[00:01:25]2.5D electrical interposers for GPU/HBM packaging.

[00:01:32]Then hybrid uh hybrid bonding for today's uh HBM stacks.

[00:01:39]The optical layer has not yet undergone that transformation.

[00:01:46]POET and Lumilens are asserting that the EOEI is that transformation.

[00:01:54]Active alignment free, with a scale capital efficient precisely the manufacturing discipline hyper scalar procurement teams have demanded from optical engine suppliers not received and not received.

[00:02:11]Okay, so before we continue there's also there's a sentiment here. There's another sentiment there's a new news here.

[00:02:17]The company the the the community is pointing out that the company now has a new COO with deep semiconductor manufacturing expertise and it signals operational pivot toward high volume production. So all of this they seem to be aligning.

[00:02:37]Okay, there's also a warrant structure that has been in place. So it deserves the analytical attention beyond headline.

[00:02:46]Only 2.29 million of the 22.9 million shares are immediately immediately exercisable.

[00:02:55]The remainder vested tranches tied to community purchase order payments meaning Lumilens' equity upside is directly proportional to its uh commercial commitment.

[00:03:09]It's not a financial investor uh taking a speculative position.

[00:03:14]It is a customer structure in equity alignment with its own purchase order or with its own purchase behavior.

[00:03:23]That alignment is the strongest signal in the deal that Lumilens intends the $500 million framework to be operationally real not aspirational.

[00:03:37]Okay, so the trading community is wrestling with uh with a context unlike any prior POET catalyst.

[00:03:47]A company that suffered a near halving of events on the 27th of April.

[00:03:53]Okay. The stock is now uh 17 trading days later on printing a new deal and recall and has exceeded that uh pre-crash level levels. It's now printing new highs, if not all-time highs.

[00:04:11]Volume on the on that day of the collapse that is on the day uh the Marvel uh cancellation was uh released these run at uh abnormally high levels as the class action window opened.

[00:04:27]The Lumeris this announcement with the this this Lumeris Lumeris's deal has re-energized options activity with calls uh leading puts at well above average volume.

[00:04:40]We don't have the volumes here, but I'm surely they are. You can see here.

[00:04:44]This is what's going on. Calls on you can see calls on this side and puts on this side. This is the May 15th series. This will These were those will expire tomorrow and then this added June 15th series. They are yet to expire over the next month.

[00:05:06]Okay. The Marvel episode introduced a new variable that prior POET analysis did not model. The governance and confidentiality risk.

[00:05:17]Whether breach was inadvertent disclosure in investor communications or a deliberate commercial signal will bear on how future high-profile partners structure information sharing with the company.

[00:05:32]So, you can always pause and have a read of uh have a read of these.

[00:05:37]Yeah, you can always pause. This is risk factors, okay?

[00:05:41]The bear case on this deal rests on a four distinct risk factors that the most optimistic community positioning has not a fully priced.

[00:05:52]Class action litigation multiple law firms have filed or are investigating securities class action covering between 1 and 27, okay.

[00:06:03]June 29, 2026 governance risk now has a legal dimension that sits alongside any commercial recovery narrative.

[00:06:14]Luminance credibility gap Luminance described as a margin not a confirmed tier one supplier unlike Marvell CXL AI.

[00:06:25]It's a hyperscale pipeline and manufacturing conditions are not independently verified and publicly disclosed, so caution is warranted.

[00:06:35]Execution confidentiality, okay. Revenue fulfillment explicitly requires successful development model qualification and manufacturing scale.

[00:06:46]The $50 million purchase order is a conditional commercial framework not a revenue recognition event at signing.

[00:06:56]Dilution structure 22.9 million warrant shares at $8.25 represent a meaningful potential dilution at the current prices.

[00:07:07]Skeptics note POET's history of equity offerings as a structural headwind. The warrants Magnics simply can't be delivered at a mega scale, so there are there are some risk involved.

[00:07:21]Okay.

[00:07:23]So, the stock is up 10.36%.

[00:07:28]Okay, let's have a look at the 4-hour chart.

[00:07:31]Before we go ahead, underlying trend on the stock is strongly bullish. Yeah, it's 200-day moving average which underscores the underlying trend is sloping bullishly upwards, gaining uh 65 roughly 66 cents every day. The 10-day moving average has gone parabolic, gaining uh $8 and um 16 cents every day, okay?

[00:07:58]The 4-hour chart is saying that um this trend it has right now might remain in place up to midday today. Then after that, the algos are extrapolating now a contraction going all the way towards all the way towards Friday next week Friday, okay? So, um that is I think um the algos are being a cautious.

[00:08:18]Yeah, say that they're indicating that um profit taking might um play out right now or maybe playing out already.

[00:08:27]Has it had a rejection?

[00:08:30]It has had a rejection. Let's see. Yes, at $18.65, it has had a rejection.

[00:08:37]Okay, weekly chart is saying that um it may continue to print higher prices up till Tuesday, the 26th of May. Then after that, we're looking at the prospects of a distributive contraction.

[00:08:48]Okay, here projections are saying um not They're not sufficiently They're not They're not bullish at all. We have uh 0.1763, 1.48, and 3.6. This is on its weekly chart. And the line trend is uh strongly bullish.

[00:09:04]Uh and it's the 200-week moving average, which underscores that the line trend is gaining a dollar and 19 cents every week.

[00:09:11]The 10-week moving average is uh gaining uh $10.37 every week. It's It's gone parabolic.

[00:09:19]On the daily chart, let's see what we have. The The projections are saying um $10, $17, 21.06, 23.57. Uh Yeah, those are the The has a mix of uh upper projections and lower projections.

[00:09:33]So, seven 10 10.10 dollars is uh it was initiated on uh Monday 4th of May.

[00:09:42]The stock was it was initiated it was initially as an upper projection and has printed it and still we being reiterated as a downward projection.

[00:09:50]We know very well that um the algos this well with the we we don't know you don't know what I know.

[00:09:57]The algos we are using it's they're quite good at calling downward projections pullbacks, you know.

[00:10:04]Um yes, we have we have had two cases now, you know, we've had two cases now.

[00:10:08]The the first one was um initiated on the 8th of May. That was 9.68. It was it was initiated as an upper projection.

[00:10:16]It surpassed it, still re-traded as a downward projection. It passed it. It did it uh it came to pass.

[00:10:24]Um it started as an upper projection, it came to pass. Now as a downward projection, it has a chance it will happen. Yeah.

[00:10:32]Okay, so that's what's going on right now.

[00:10:34]Um the algos are saying that um this trend it has right now might remain in place up to midday today.

[00:10:40]But um the market hasn't opened yet. You know, by the time the market opens, yes, the selling pressure the profit taking may resume or it may at the same time as well continue to advance, you know, so what is absolutely certain is that it has now uh surpassed um the this high this uh pre pre >> [snorts] >> um our real consolidation high of uh 15.14. It has surpassed it now. You know, we now have 18 dollars and some fraction. Okay, so that's what's going on right now. Just uh see what you make of POET and thank you very much for watching this video.