Piper Jaffray analyst Troy Jensen lowered his price target for Lumentum Holdings to $68 from $75 saying the Huawei sanction is a "significant near-term issue" for the company. Lumentum has stopped shipping products to Huawei, which has represented 15% of total sales over the past nine months and 18% of sales in the March quarter, Jensen tells investors in a research note after the company cut its Q4 outlook. Jensen, however, reiterates an Overweight rating on Lumentum. He believes the U.S. sanction will have limited longer-term implications as Huawei's inability to ship products should result in share gains to Huawei's competitors. Further, the analyst views the sanction as a negotiation tactic for China trade talks and believes it "could be resolved quickly if a trade agreement is announced." The negative estimate revisions have already been factored into Lumentum shares, says Jensen.