Lumentum (NASDAQ:LITE) Trading Up 5.9% – What’s Next?

Lumentum Holdings Inc. (NASDAQ:LITE)’s stock price traded up 5.9% during trading on Monday . The company traded as high as $931.85 and last traded at $905.00. 7,795,549 shares changed hands during trading, an increase of 30% from the average session volume of 5,991,229 shares. The stock had previously closed at $854.96.

Analyst Ratings Changes

A number of equities analysts have recently commented on the stock. Rosenblatt Securities lifted their price target on shares of Lumentum from $900.00 to $1,300.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Morgan Stanley boosted their target price on shares of Lumentum from $710.00 to $900.00 and gave the company an “equal weight” rating in a report on Wednesday, May 6th. Stifel Nicolaus boosted their target price on shares of Lumentum from $800.00 to $1,100.00 and gave the company a “buy” rating in a report on Tuesday, May 5th. Mizuho set a $1,100.00 target price on shares of Lumentum in a report on Wednesday, May 6th. Finally, TD Cowen boosted their target price on shares of Lumentum from $875.00 to $995.00 and gave the company a “hold” rating in a report on Wednesday, May 6th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, Lumentum currently has a consensus rating of “Moderate Buy” and a consensus price target of $1,012.43.

Lumentum Stock Up 5.9%

The company has a current ratio of 1.14, a quick ratio of 0.97 and a debt-to-equity ratio of 0.01. The stock’s 50-day simple moving average is $862.40 and its 200-day simple moving average is $585.91. The firm has a market capitalization of $70.41 billion, a P/E ratio of 167.59 and a beta of 1.47.

Lumentum (NASDAQ:LITE) last issued its quarterly earnings data on Tuesday, May 5th. The technology company reported $2.37 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.27 by $0.10. Lumentum had a net margin of 17.61% and a return on equity of 24.81%. The business had revenue of $808.40 million during the quarter, compared to the consensus estimate of $810.21 million. During the same period in the prior year, the firm posted $0.57 EPS. The firm’s quarterly revenue was up 90.1% compared to the same quarter last year. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. As a group, research analysts predict that Lumentum Holdings Inc. will post 6.49 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Yuen Wupen sold 3,210 shares of the firm’s stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $953.95, for a total value of $3,062,179.50. Following the completion of the transaction, the insider directly owned 81,488 shares of the company’s stock, valued at approximately $77,735,477.60. This trade represents a 3.79% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Vincent Retort sold 3,183 shares of the firm’s stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $953.95, for a total transaction of $3,036,422.85. Following the completion of the transaction, the insider directly owned 89,563 shares of the company’s stock, valued at approximately $85,438,623.85. This trade represents a 3.43% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 35,844 shares of company stock worth $34,003,107 in the last ninety days. 0.43% of the stock is owned by corporate insiders.

Institutional Trading of Lumentum

Institutional investors and hedge funds have recently bought and sold shares of the company. Nomura Asset Management Co. Ltd. increased its position in shares of Lumentum by 45.0% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 369,804 shares of the technology company’s stock valued at $136,306,000 after acquiring an additional 114,714 shares during the period. Andar Capital Management HK Ltd purchased a new position in shares of Lumentum in the fourth quarter valued at about $4,325,000. Mirae Asset Global Investments Co. Ltd. purchased a new position in shares of Lumentum in the fourth quarter valued at about $6,755,000. Headwater Capital Co Ltd purchased a new position in shares of Lumentum in the third quarter valued at about $20,339,000. Finally, Maxi Investments CY Ltd purchased a new position in shares of Lumentum in the fourth quarter valued at about $2,212,000. 94.05% of the stock is currently owned by hedge funds and other institutional investors.

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.