Lumentum (NASDAQ:LITE) Stock Price Up 3.8% – What’s Next?

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) rose 3.8% during trading on Wednesday . The stock traded as high as $884.18 and last traded at $853.26. Approximately 5,794,619 shares traded hands during mid-day trading, a decline of 4% from the average daily volume of 6,037,001 shares. The stock had previously closed at $821.76.

Analyst Ratings Changes

LITE has been the topic of several recent research reports. Morgan Stanley upped their price objective 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. Craig Hallum upped their price objective on shares of Lumentum from $900.00 to $1,150.00 in a report on Wednesday, May 6th. Citic Securities upped their price objective on shares of Lumentum from $620.00 to $1,186.00 in a report on Monday, May 11th. Northland Securities upped their price objective on shares of Lumentum from $1,000.00 to $1,200.00 and gave the company an “outperform” rating in a report on Wednesday, June 3rd. Finally, JPMorgan Chase & Co. upped their price objective on shares of Lumentum from $950.00 to $1,130.00 and gave the company an “overweight” rating in a report on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $1,021.95.

Lumentum Stock Performance

The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.97 and a current ratio of 1.14. The firm’s 50 day moving average is $894.51 and its 200-day moving average is $627.66. The stock has a market capitalization of $71.70 billion, a price-to-earnings ratio of 170.66 and a beta of 1.47.

Lumentum (NASDAQ:LITE) last posted its earnings results on Tuesday, May 5th. The technology company reported $2.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.27 by $0.10. Lumentum had a net margin of 17.61% and a return on equity of 24.81%. The firm had revenue of $808.40 million during the quarter, compared to analysts’ expectations of $810.21 million. During the same period in the previous year, the business posted $0.57 EPS. The business’s 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. Analysts forecast that Lumentum Holdings Inc. will post 6.49 earnings per share for the current fiscal year.

Insider Transactions at Lumentum

In other Lumentum news, Director Ian Small sold 4,954 shares of the company’s stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $868.07, for a total transaction of $4,300,418.78. Following the completion of the transaction, the director directly owned 21,008 shares in the company, valued at approximately $18,236,414.56. This represents a 19.08% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Yuen Wupen sold 3,210 shares of the company’s stock in a transaction on Monday, May 18th. The stock was sold at an average price of $953.95, for a total transaction of $3,062,179.50. Following the transaction, the insider owned 81,488 shares of the company’s stock, valued at $77,735,477.60. This represents a 3.79% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 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. Over the last 90 days, insiders sold 41,260 shares of company stock worth $38,859,220. Insiders own 0.43% of the company’s stock.

Hedge Funds Weigh In On Lumentum

Large investors have recently added to or reduced their stakes in the stock. Nomura Asset Management Co. Ltd. boosted its stake in Lumentum by 45.0% during the fourth quarter. Nomura Asset Management Co. Ltd. now owns 369,804 shares of the technology company’s stock worth $136,306,000 after buying an additional 114,714 shares during the period. Andar Capital Management HK Ltd purchased a new position in Lumentum during the fourth quarter worth about $4,325,000. Mirae Asset Global Investments Co. Ltd. purchased a new position in Lumentum during the fourth quarter worth about $6,755,000. Headwater Capital Co Ltd purchased a new position in Lumentum during the third quarter worth about $20,339,000. Finally, Maxi Investments CY Ltd purchased a new position in Lumentum during the fourth quarter worth about $2,212,000. 94.05% of the stock is currently owned by institutional investors and hedge funds.

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.