Lumentum (NASDAQ:LITE) Stock Price Down 4.7% – Time to Sell?

Lumentum Holdings Inc. (NASDAQ:LITE) shares traded down 4.7% during mid-day trading on Tuesday . The stock traded as low as $70.99 and last traded at $70.18. 153,508 shares were traded during mid-day trading, a decline of 91% from the average session volume of 1,693,850 shares. The stock had previously closed at $73.63.

Analyst Ratings Changes

LITE has been the subject of several analyst reports. B. Riley increased their price target on shares of Lumentum from $62.00 to $75.00 and gave the company a “neutral” rating in a research report on Friday, February 7th. BNP Paribas raised shares of Lumentum from a “neutral” rating to an “outperform” rating and set a $92.00 target price for the company in a research report on Tuesday, March 11th. Jefferies Financial Group began coverage on shares of Lumentum in a report on Friday, February 21st. They issued a “buy” rating on the stock. Barclays upgraded Lumentum from an “underweight” rating to an “overweight” rating and increased their price objective for the company from $80.00 to $125.00 in a report on Friday, January 17th. Finally, Needham & Company LLC restated a “buy” rating and set a $110.00 target price on shares of Lumentum in a research note on Friday, February 7th. Two equities research analysts have rated the stock with a sell rating, four have issued a hold rating, nine have issued a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $87.40.

Lumentum Price Performance

The firm has a market capitalization of $4.93 billion, a PE ratio of -9.31 and a beta of 1.03. The firm’s fifty day moving average price is $77.15 and its 200 day moving average price is $75.90. The company has a current ratio of 4.76, a quick ratio of 3.60 and a debt-to-equity ratio of 2.94.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings results on Thursday, February 13th. The technology company reported ($0.14) EPS for the quarter, missing the consensus estimate of $0.27 by ($0.41). Lumentum had a negative net margin of 36.98% and a negative return on equity of 7.25%. As a group, equities analysts forecast that Lumentum Holdings Inc. will post 0.03 earnings per share for the current year.

Insider Activity at Lumentum

In other news, CFO Wajid Ali sold 2,172 shares of the firm’s stock in a transaction that occurred on Tuesday, February 18th. The shares were sold at an average price of $78.34, for a total transaction of $170,154.48. Following the sale, the chief financial officer now owns 51,976 shares of the company’s stock, valued at $4,071,799.84. This trade represents a 4.01 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.19% of the stock is owned by company insiders.

Institutional Trading of Lumentum

A number of hedge funds have recently added to or reduced their stakes in the company. Quarry LP raised its position in shares of Lumentum by 85.5% in the third quarter. Quarry LP now owns 436 shares of the technology company’s stock worth $28,000 after acquiring an additional 201 shares during the period. UMB Bank n.a. raised its holdings in Lumentum by 301.2% in the 4th quarter. UMB Bank n.a. now owns 337 shares of the technology company’s stock worth $28,000 after purchasing an additional 253 shares during the period. Jones Financial Companies Lllp raised its holdings in Lumentum by 54.2% in the 4th quarter. Jones Financial Companies Lllp now owns 370 shares of the technology company’s stock worth $31,000 after purchasing an additional 130 shares during the period. CoreCap Advisors LLC boosted its position in Lumentum by 2,235.3% during the fourth quarter. CoreCap Advisors LLC now owns 397 shares of the technology company’s stock worth $33,000 after purchasing an additional 380 shares in the last quarter. Finally, Nomura Asset Management Co. Ltd. grew its holdings in Lumentum by 67.5% in the third quarter. Nomura Asset Management Co. Ltd. now owns 670 shares of the technology company’s stock valued at $42,000 after purchasing an additional 270 shares during the period. 94.05% of the stock is owned by hedge funds and other institutional investors.

About Lumentum

Lumentum Holdings Inc manufactures and sells optical and photonic products in the Americas, the Asia-Pacific, Europe, the Middle East, and Africa. The company operates through two segments: Optical Communications (OpComms) and Commercial Lasers (Lasers). The OpComms segment offers components, modules, and subsystems that enable the transmission and transport of video, audio, and data over high-capacity fiber optic cables.