Wajid Ali Sells 5,302 Shares of Lumentum (NASDAQ:LITE) Stock

Lumentum Holdings Inc. (NASDAQ:LITE) CFO Wajid Ali sold 5,302 shares of the stock in a transaction on Friday, February 27th. The shares were sold at an average price of $691.13, for a total transaction of $3,664,371.26. Following the completion of the sale, the chief financial officer owned 66,287 shares of the company’s stock, valued at approximately $45,812,934.31. This represents a 7.41% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website.

Lumentum Stock Down 11.3%

Lumentum stock opened at $694.43 on Wednesday. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.61 and a quick ratio of 0.45. The company’s 50-day moving average is $468.80 and its 200-day moving average is $302.62. The firm has a market capitalization of $49.58 billion, a PE ratio of 213.02 and a beta of 1.38. Lumentum Holdings Inc. has a fifty-two week low of $45.65 and a fifty-two week high of $783.80.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings results on Tuesday, February 3rd. The technology company reported $1.67 EPS for the quarter, topping analysts’ consensus estimates of $1.41 by $0.26. The business had revenue of $665.50 million during the quarter, compared to analysts’ expectations of $646.74 million. Lumentum had a return on equity of 17.27% and a net margin of 11.95%.Lumentum’s quarterly revenue was up 65.5% on a year-over-year basis. During the same quarter last year, the company posted $0.42 earnings per share. Lumentum has set its Q3 2026 guidance at 2.150-2.350 EPS. Sell-side analysts anticipate that Lumentum Holdings Inc. will post 0.03 earnings per share for the current year.

Hedge Funds Weigh In On Lumentum

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. grew its holdings in shares of Lumentum by 0.6% during the 3rd quarter. Vanguard Group Inc. now owns 7,485,282 shares of the technology company’s stock worth $1,217,930,000 after purchasing an additional 41,975 shares in the last quarter. Hood River Capital Management LLC lifted its position in Lumentum by 82.1% during the second quarter. Hood River Capital Management LLC now owns 2,206,453 shares of the technology company’s stock worth $209,745,000 after purchasing an additional 994,551 shares during the period. Arrowstreet Capital Limited Partnership grew its stake in Lumentum by 18.7% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,854,801 shares of the technology company’s stock worth $683,661,000 after buying an additional 291,591 shares in the last quarter. Geode Capital Management LLC increased its holdings in Lumentum by 9.6% in the 4th quarter. Geode Capital Management LLC now owns 1,412,213 shares of the technology company’s stock valued at $521,563,000 after buying an additional 123,265 shares during the period. Finally, Situational Awareness LP raised its position in shares of Lumentum by 210.9% in the 4th quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company’s stock valued at $478,577,000 after buying an additional 880,800 shares in the last quarter. 94.05% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Nvidia committed to a $2 billion strategic investment in Lumentum to accelerate R&D and U.S. photonics capacity — a direct customer/funding commitment that de?risks large capital expansion tied to AI infrastructure demand. Read More.
• Positive Sentiment: Analysts and sector research continue to position Lumentum as a top beneficiary of the multi?year optics upcycle driven by hyperscaler AI spending — supporting a longer?term bullish thesis. Read More.
• Positive Sentiment: Barclays raised Lumentum’s price target to $750 (Equal Weight), signaling additional analyst upside and reinforcing the view that valuation can move higher if growth/profits track AI demand. Read More.
• Neutral Sentiment: Market commentary emphasizes that much of the recent move is theme-driven (AI optics rally) rather than new company-level revenue disclosures; this supports momentum but increases sensitivity to sector sentiment. Read More.
• Neutral Sentiment: Lumentum’s management presentation at the Morgan Stanley TMT conference is available (transcript), useful for detail on capacity plans and margins but not a near?term market mover by itself. Read More.
• Negative Sentiment: Short?term profit?taking hit the stock after a sectorwide surge; headlines noted LITE was among names “hammered” as investors locked in gains following the Nvidia announcement. That selling pressure explains today’s pullback. Read More.
• Negative Sentiment: High-profile commentary urged caution: Jim Cramer said he would be a seller rather than a buyer after the recent rally, which can amplify retail selling. Read More.
• Negative Sentiment: Insider selling: CFO Wajid Ali sold 5,302 shares on Feb. 27 (~$3.66M), reducing his stake ~7.4% — a data point some investors view negatively even if the sale may be non?operational. Read More.

Analyst Upgrades and Downgrades

LITE has been the subject of a number of research analyst reports. Northland Securities set a $350.00 price objective on shares of Lumentum in a research report on Wednesday, December 3rd. B. Riley Financial raised shares of Lumentum from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $147.00 to $526.00 in a report on Wednesday, February 4th. Morgan Stanley upped their price target on shares of Lumentum to $520.00 and gave the company an “equal weight” rating in a research note on Monday, February 23rd. Mizuho raised their price objective on shares of Lumentum to $645.00 and gave the stock an “outperform” rating in a research report on Tuesday, February 17th. Finally, Bank of America boosted their price objective on Lumentum to $520.00 and gave the stock a “neutral” rating in a report on Wednesday, February 4th. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and five have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Lumentum has a consensus rating of “Moderate Buy” and a consensus price target of $495.19.

About Lumentum

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.