Lumentum (NASDAQ:LITE) Trading 4.5% Higher – Here’s Why

Lumentum Holdings Inc. (NASDAQ:LITE) shares traded up 4.5% during mid-day trading on Monday . The company traded as high as $801.80 and last traded at $765.55. Approximately 4,403,399 shares were traded during mid-day trading, a decline of 24% from the average session volume of 5,820,916 shares. The stock had previously closed at $732.82.

Analysts Set New Price Targets

Several brokerages have recently commented on LITE. Raymond James Financial reiterated an “outperform” rating and issued a $1,014.00 target price on shares of Lumentum in a research report on Wednesday, May 6th. Craig Hallum increased their target price on Lumentum from $900.00 to $1,150.00 in a research report on Wednesday, May 6th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Lumentum in a report on Friday. BNP Paribas Exane upped their price objective on shares of Lumentum from $1,040.00 to $1,300.00 in a report on Wednesday, May 6th. Finally, Jefferies Financial Group reaffirmed a “buy” rating and issued a $1,200.00 price objective on shares of Lumentum in a research note on Wednesday, May 6th. Fourteen investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $1,012.67.

Lumentum Trading Down 1.1%

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 company has a 50-day simple moving average of $856.21 and a 200 day simple moving average of $719.22. The company has a market capitalization of $64.46 billion, a P/E ratio of 153.42 and a beta of 1.48.

Lumentum (NASDAQ:LITE) last issued its earnings results on Tuesday, May 5th. The technology company reported $2.37 EPS for the quarter, topping the consensus estimate of $2.27 by $0.10. The firm had revenue of $808.40 million during the quarter, compared to analysts’ expectations of $810.21 million. Lumentum had a return on equity of 24.81% and a net margin of 17.61%.Lumentum’s quarterly revenue was up 90.1% compared to the same quarter last year. During the same period last year, the business earned $0.57 earnings per share. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. Sell-side analysts expect that Lumentum Holdings Inc. will post 6.42 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Isaac Hosojiro Harris sold 4,000 shares of the firm’s stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $860.00, for a total value of $3,440,000.00. Following the transaction, the director owned 8,400 shares in the company, valued at $7,224,000. This trade represents a 32.26% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Vincent Retort sold 3,183 shares of the firm’s stock in a transaction dated Monday, May 18th. The shares were 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 in the company, valued at $85,438,623.85. This trade represents a 3.43% decrease in their position. 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. Insiders sold a total of 41,260 shares of company stock valued at $38,859,220 over the last three months. Company insiders own 0.43% of the company’s stock.

Hedge Funds Weigh In On Lumentum

Several institutional investors have recently modified their holdings of LITE. Advisors Asset Management Inc. raised its holdings in Lumentum by 36.8% in the first quarter. Advisors Asset Management Inc. now owns 945 shares of the technology company’s stock worth $59,000 after purchasing an additional 254 shares during the period. NewEdge Advisors LLC boosted its position in shares of Lumentum by 109.9% during the first quarter. NewEdge Advisors LLC now owns 11,986 shares of the technology company’s stock worth $747,000 after buying an additional 6,275 shares during the period. Empowered Funds LLC grew its stake in shares of Lumentum by 9.1% during the 1st quarter. Empowered Funds LLC now owns 8,139 shares of the technology company’s stock worth $507,000 after acquiring an additional 680 shares in the last quarter. Hsbc Holdings PLC bought a new position in Lumentum in the second quarter valued at $298,000. Finally, Arrowstreet Capital Limited Partnership bought a new position in shares of Lumentum in the 2nd quarter valued at about $1,712,000. 94.05% of the stock is currently owned by institutional investors and hedge funds.

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.