Headwater Capital Co Ltd Takes Position in Lumentum Holdings Inc. $LITE

Headwater Capital Co Ltd acquired a new position in shares of Lumentum Holdings Inc. (NASDAQ:LITE) in the 3rd quarter, HoldingsChannel.com reports. The fund acquired 125,000 shares of the technology company’s stock, valued at approximately $20,339,000. Lumentum makes up 5.0% of Headwater Capital Co Ltd’s portfolio, making the stock its 7th largest holding.

Other large investors have also recently added to or reduced their stakes in the company. Advisors Asset Management Inc. raised its stake in Lumentum by 36.8% during the 1st quarter. Advisors Asset Management Inc. now owns 945 shares of the technology company’s stock valued at $59,000 after acquiring an additional 254 shares in the last quarter. NewEdge Advisors LLC increased its holdings in shares of Lumentum by 109.9% during the first quarter. NewEdge Advisors LLC now owns 11,986 shares of the technology company’s stock valued at $747,000 after purchasing an additional 6,275 shares during the period. Empowered Funds LLC raised its stake in shares of Lumentum by 9.1% during the first quarter. Empowered Funds LLC now owns 8,139 shares of the technology company’s stock valued at $507,000 after purchasing an additional 680 shares in the last quarter. Asset Management One Co. Ltd. lifted its holdings in Lumentum by 123.9% in the second quarter. Asset Management One Co. Ltd. now owns 2,483 shares of the technology company’s stock worth $236,000 after purchasing an additional 1,374 shares during the period. Finally, AlphaQuest LLC grew its position in Lumentum by 172.2% in the 2nd quarter. AlphaQuest LLC now owns 5,680 shares of the technology company’s stock valued at $540,000 after buying an additional 3,593 shares in the last quarter. 94.05% of the stock is currently owned by institutional investors and hedge funds.

Lumentum News Summary

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Post-earnings AI-driven momentum: Investors are positioning ahead of management appearances and continuing to buy after Lumentum’s strong fiscal Q2 that highlighted cloud/AI demand and expanding profitability — a likely driver of the rally. Lumentum rises as investors position…
• Positive Sentiment: Product backlog and TAM expansion: Reports highlight surging order/backlog for optical circuit switches (OCS) and co?packaged optics (CPO), which improve revenue visibility and margin leverage if demand persists. Lumentum’s OCS and CPO Momentum Builds…
• Positive Sentiment: Wall Street support and retail optimism: Multiple recent buy/outperform ratings (including Morgan Stanley coverage cited in press) and positive retail commentary are reinforcing the uptrend and setting higher price targets. LITE stock heads for 4th day in green…
• Neutral Sentiment: Unusually large options activity: Elevated call activity and unusual options trading have been reported — this can amplify intraday moves but doesn’t change fundamentals by itself. Lumentum Target of Unusually Large Options Trading…
• Neutral Sentiment: Near-term catalysts: Management appearances at investor conferences (late Feb/early Mar) are scheduled and could sustain momentum if commentary on backlog, customer demand, or product ramps is positive. Lumentum rises as investors position…
• Neutral Sentiment: Consensus broker view: Brokerages give LITE an average “Moderate Buy,” which supports continued interest but leaves room for dispersion in price targets. Lumentum Holdings Inc. Given Average Rating…
• Negative Sentiment: Balance-sheet uncertainty flagged: Coverage notes fresh questions around balance-sheet items that could weigh on valuation if clarified negatively or if cash/working-capital dynamics tighten. Lumentum’s AI Optics Boom Meets Fresh Balance Sheet Uncertainty
• Negative Sentiment: Heavy insider selling: Public filings show significant insider sales in recent months, which can be interpreted as a cautionary signal by some investors. Lumentum rises as investors position…

Insider Transactions at Lumentum

In related news, insider Yuen Wupen sold 3,157 shares of the company’s stock in a transaction that occurred on Tuesday, February 17th. The shares were sold at an average price of $538.00, for a total value of $1,698,466.00. Following the completion of the sale, the insider owned 88,439 shares in the company, valued at approximately $47,580,182. This represents a 3.45% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Penny Herscher sold 4,849 shares of the firm’s stock in a transaction that occurred on Friday, February 6th. The stock was sold at an average price of $535.48, for a total transaction of $2,596,542.52. Following the completion of the transaction, the director directly owned 6,057 shares of the company’s stock, valued at $3,243,402.36. This represents a 44.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 60,473 shares of company stock valued at $35,186,972 over the last ninety days. Corporate insiders own 0.43% of the company’s stock.

Wall Street Analyst Weigh In

Several equities analysts have commented on LITE shares. Susquehanna raised their target price on shares of Lumentum to $550.00 and gave the company a “positive” rating in a research note on Wednesday, February 4th. Stifel Nicolaus raised their price objective on shares of Lumentum to $480.00 and gave the company a “buy” rating in a research note on Wednesday, February 4th. Citigroup upped their target price on Lumentum to $560.00 and gave the stock a “buy” rating in a research report on Thursday, February 5th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Lumentum in a research note on Monday, December 29th. Finally, Needham & Company LLC lifted their price target on Lumentum to $550.00 and gave the company a “buy” rating in a research report on Wednesday, February 4th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $458.00.

Lumentum Price Performance

Shares of NASDAQ:LITE opened at $723.39 on Thursday. The company has a market capitalization of $51.65 billion, a PE ratio of 221.90 and a beta of 1.51. The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.45 and a current ratio of 0.61. The stock has a fifty day moving average of $441.40 and a 200-day moving average of $284.63. Lumentum Holdings Inc. has a one year low of $45.65 and a one year high of $765.00.

Lumentum (NASDAQ:LITE) last announced its earnings results on Tuesday, February 3rd. The technology company reported $1.67 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.41 by $0.26. Lumentum had a return on equity of 17.27% and a net margin of 11.95%.The company had revenue of $665.50 million for the quarter, compared to analyst estimates of $646.74 million. During the same period in the previous year, the firm earned $0.42 earnings per share. Lumentum’s revenue for the quarter was up 65.5% compared to the same quarter last year. Lumentum has set its Q3 2026 guidance at 2.150-2.350 EPS. As a group, equities analysts anticipate that Lumentum Holdings Inc. will post 0.03 EPS for the current fiscal year.

Lumentum Company Profile

Lumentum Holdings Inc, headquartered in San Jose, California, is a leading provider of photonic technologies that enable high-speed optical communication networks and advanced industrial applications. The company designs and manufactures a broad range of lasers, optical modules and subsystems tailored to the evolving requirements of telecommunications carriers, cloud data centers and enterprise networking.

Its core product portfolio includes tunable and fixed-wavelength laser transmitters, coherent optical engines, transceivers for long-haul, metro and data center interconnects, as well as test and measurement instruments.