Lumentum (NASDAQ:LITE) Shares Gap Down – Here’s What Happened

Lumentum Holdings Inc. (NASDAQ:LITE)’s share price gapped down prior to trading on Monday . The stock had previously closed at $52.00, but opened at $50.27. Lumentum shares last traded at $49.86, with a volume of 73,535 shares trading hands.

Wall Street Analyst Weigh In

LITE has been the subject of several recent research reports. Jefferies Financial Group initiated coverage on Lumentum in a research note on Friday, February 21st. They issued a “buy” rating for the company. JPMorgan Chase & Co. dropped their price objective on shares of Lumentum from $105.00 to $73.00 and set an “overweight” rating for the company in a research note on Thursday. Raymond James upgraded shares of Lumentum from an “outperform” rating to a “strong-buy” rating and decreased their target price for the stock from $96.00 to $82.00 in a research report on Monday, March 24th. Northland Securities raised Lumentum from a “market perform” rating to an “outperform” rating in a research report on Monday, April 7th. Finally, Morgan Stanley cut their target price on Lumentum from $83.00 to $81.00 and set an “equal weight” rating for the company in a research report on Friday, January 31st. Two research analysts have rated the stock with a sell rating, three have assigned a hold rating, ten have assigned a buy rating and two have given a strong buy rating to the company. Based on data from MarketBeat, Lumentum presently has an average rating of “Moderate Buy” and an average target price of $87.93.

Lumentum Stock Down 3.9 %

The stock has a market capitalization of $3.46 billion, a P/E ratio of -6.50 and a beta of 1.14. The stock’s fifty day simple moving average is $64.26 and its two-hundred day simple moving average is $75.48. The company has a debt-to-equity ratio of 2.94, a quick ratio of 3.60 and a current ratio of 4.76.

Lumentum (NASDAQ:LITE) last issued its quarterly earnings results on Thursday, February 13th. The technology company reported ($0.14) earnings per share 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, research analysts expect that Lumentum Holdings Inc. will post 0.03 EPS for the current fiscal year.

Insider Activity

In other news, CFO Wajid Ali sold 2,172 shares of the business’s stock in a transaction dated Tuesday, February 18th. The shares were sold at an average price of $78.34, for a total transaction of $170,154.48. Following the completion of the sale, the chief financial officer now directly owns 51,976 shares of the company’s stock, valued at $4,071,799.84. The trade was a 4.01 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 0.19% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Lumentum

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. HighTower Advisors LLC purchased a new stake in Lumentum during the 3rd quarter worth about $216,000. Tidal Investments LLC raised its holdings in Lumentum by 35.6% during the 3rd quarter. Tidal Investments LLC now owns 18,669 shares of the technology company’s stock valued at $1,183,000 after buying an additional 4,899 shares during the last quarter. Synovus Financial Corp grew its holdings in Lumentum by 1.5% in the 3rd quarter. Synovus Financial Corp now owns 13,225 shares of the technology company’s stock worth $838,000 after acquiring an additional 200 shares during the last quarter. GAMMA Investing LLC increased its position in shares of Lumentum by 33.3% in the fourth quarter. GAMMA Investing LLC now owns 1,192 shares of the technology company’s stock valued at $100,000 after acquiring an additional 298 shares during the period. Finally, Friedenthal Financial purchased a new stake in shares of Lumentum during the fourth quarter worth about $773,000. Hedge funds and other institutional investors own 94.05% of the company’s stock.

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.