Lumentum (NASDAQ:LITE) Sees Large Volume Increase – Still a Buy?

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) saw strong trading volume on Monday . 2,132,186 shares changed hands during trading, a decline of 30% from the previous session’s volume of 3,026,511 shares.The stock last traded at $287.7930 and had previously closed at $255.59.

Analyst Upgrades and Downgrades

Several brokerages have commented on LITE. Northland Securities set a $250.00 price target on Lumentum in a research report on Wednesday, November 5th. KGI Securities assumed coverage on shares of Lumentum in a research note on Monday, August 18th. They issued an “outperform” rating on the stock. Wolfe Research reiterated an “outperform” rating and set a $240.00 target price on shares of Lumentum in a research note on Wednesday, November 5th. Needham & Company LLC increased their price target on shares of Lumentum to $290.00 and gave the company a “buy” rating in a report on Monday. Finally, JPMorgan Chase & Co. upped their price objective on shares of Lumentum from $145.00 to $185.00 and gave the company an “overweight” rating in a research report on Thursday, October 16th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, five have given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $200.31.

Lumentum Stock Up 15.9%

The firm has a market cap of $21.00 billion, a price-to-earnings ratio of 198.04 and a beta of 1.48. The business’s 50-day moving average is $189.56 and its 200-day moving average is $132.35. The company has a debt-to-equity ratio of 2.77, a quick ratio of 1.02 and a current ratio of 1.37.

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

Insider Buying and Selling

In related news, Director Julia Suzanne Johnson sold 10,000 shares of the firm’s stock in a transaction that occurred 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 of the company’s stock, valued at $3,254,684.43. This trade represents a 45.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Yuen Wupen sold 3,281 shares of the company’s stock in a transaction on Wednesday, August 27th. The stock was sold at an average price of $124.86, for a total value of $409,665.66. Following the transaction, the insider directly owned 101,273 shares in the company, valued at approximately $12,644,946.78. This represents a 3.14% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 34,419 shares of company stock valued at $8,041,273. Insiders own 0.43% of the company’s stock.

Institutional Investors Weigh In On Lumentum

Institutional investors and hedge funds have recently made changes to their positions in the company. Northwestern Mutual Investment Management Company LLC lifted its stake in shares of Lumentum by 0.4% during the third quarter. Northwestern Mutual Investment Management Company LLC now owns 15,559 shares of the technology company’s stock valued at $2,532,000 after acquiring an additional 64 shares during the period. UMB Bank n.a. raised its holdings in Lumentum by 11.2% during the 3rd quarter. UMB Bank n.a. now owns 920 shares of the technology company’s stock worth $150,000 after purchasing an additional 93 shares during the last quarter. MAI Capital Management raised its holdings in Lumentum by 27.0% during the 2nd quarter. MAI Capital Management now owns 452 shares of the technology company’s stock worth $43,000 after purchasing an additional 96 shares during the last quarter. Louisiana State Employees Retirement System raised its position in shares of Lumentum by 0.5% during the 2nd quarter. Louisiana State Employees Retirement System now owns 19,500 shares of the technology company’s stock valued at $1,854,000 after acquiring an additional 100 shares during the last quarter. Finally, KLP Kapitalforvaltning AS lifted its stake in shares of Lumentum by 0.7% in the 3rd quarter. KLP Kapitalforvaltning AS now owns 15,171 shares of the technology company’s stock valued at $2,468,000 after purchasing an additional 100 shares during the period. 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.