Lumentum (NASDAQ:LITE) Stock Price Up 10.8% – Still a Buy?

Lumentum Holdings Inc. (NASDAQ:LITE)’s stock price rose 10.8% during trading on Tuesday . The company traded as high as $363.13 and last traded at $368.1910. Approximately 1,087,420 shares changed hands during trading, a decline of 74% from the average daily volume of 4,224,278 shares. The stock had previously closed at $332.45.

Analyst Upgrades and Downgrades

LITE has been the topic of a number of recent research reports. Morgan Stanley upped their price objective on Lumentum from $190.00 to $304.00 and gave the company an “equal weight” rating in a research report on Wednesday, December 17th. JPMorgan Chase & Co. lifted their target price on Lumentum from $145.00 to $185.00 and gave the company an “overweight” rating in a research report on Thursday, October 16th. B. Riley increased their target price on Lumentum from $83.00 to $147.00 and gave the company a “neutral” rating in a research report on Wednesday, November 5th. Wolfe Research reiterated an “outperform” rating and set a $240.00 price objective on shares of Lumentum in a research note on Wednesday, November 5th. Finally, Barclays boosted their target price on shares of Lumentum from $181.00 to $365.00 and gave the stock an “equal weight” rating in a research report on Thursday, January 15th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $285.19.

Lumentum Trading Down 0.9%

The company has a debt-to-equity ratio of 2.77, a current ratio of 1.37 and a quick ratio of 1.02. The company’s 50 day simple moving average is $348.01 and its two-hundred day simple moving average is $222.45. The company has a market cap of $27.04 billion, a PE ratio of 256.00 and a beta of 1.51.

Lumentum (NASDAQ:LITE) last released its earnings results on Tuesday, November 4th. The technology company reported $1.10 earnings per share for the quarter, topping analysts’ consensus estimates of $1.03 by $0.07. The firm had revenue of $533.80 million for the quarter, compared to analyst estimates of $525.10 million. Lumentum had a net margin of 6.11% and a return on equity of 4.62%. The business’s quarterly revenue was up 58.4% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.18 earnings per share. Lumentum has set its Q2 2026 guidance at 1.300-1.500 EPS. As a group, sell-side analysts anticipate that Lumentum Holdings Inc. will post 0.03 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, Director Julia Suzanne Johnson sold 10,000 shares of Lumentum stock in a transaction on Monday, November 10th. The shares were sold at an average price of $270.39, for a total value of $2,703,900.00. Following the completion of the sale, the director owned 12,037 shares in the company, valued at approximately $3,254,684.43. The trade was a 45.38% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, SVP Jae Kim sold 1,367 shares of the business’s stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of $234.14, for a total value of $320,069.38. Following the completion of the sale, the senior vice president owned 38,570 shares of the company’s stock, valued at $9,030,779.80. This trade represents a 3.42% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 28,612 shares of company stock worth $7,317,398. 0.43% of the stock is owned by insiders.

Institutional Investors Weigh In On Lumentum

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. EverSource Wealth Advisors LLC grew its holdings in shares of Lumentum by 363.9% in the 3rd quarter. EverSource Wealth Advisors LLC now owns 167 shares of the technology company’s stock worth $27,000 after acquiring an additional 131 shares during the last quarter. V Square Quantitative Management LLC acquired a new position in Lumentum in the 4th quarter worth about $28,000. Danske Bank A S bought a new stake in Lumentum in the third quarter worth approximately $33,000. Chesapeake Asset Management LLC bought a new stake in Lumentum in the fourth quarter worth $37,000. Finally, BOCHK Asset Management Ltd acquired a new stake in Lumentum in the 4th quarter worth approximately $37,000. 94.05% of the stock is currently owned by institutional investors.

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.