MKM Partners analyst Michael Genovese lowered his price target on Lumentum (LITE) to $60 after the company cut its Q4 earnings guidance to reflect the decision by U.S. Commerce Department to ban shipments to China's Huawei. The analyst notes that Huawei contributed about 18% to Lumentum's Q3 overall sales, including its Telcom, Datacom, and 3D Sensing segments. Genovese is keeping his Buy rating on Lumentum given its position as a "global leader in Optical Transport and 3D Sensing technology", but lowers his FY19 and FY20 EPS by 23c and 82c to $4.09 and $4.31 respectively. The analyst added that the purchases by China's ZTE (ZTCOY) may be in question as it may decide not to increase its Lumentum orders in solidarity with Huawei.