Lumentum (NASDAQ:LITE) Shares Up 3.9% – What’s Next?

Lumentum Holdings Inc. (NASDAQ:LITE)’s stock price shot up 3.9% during trading on Monday . The company traded as high as $998.50 and last traded at $957.24. 5,236,470 shares were traded during mid-day trading, a decline of 13% from the average session volume of 6,005,174 shares. The stock had previously closed at $921.56.

Wall Street Analysts Forecast Growth

A number of research firms have commented on LITE. Weiss Ratings restated a “hold (c)” rating on shares of Lumentum in a report on Tuesday, April 21st. Needham & Company LLC restated a “buy” rating and issued a $1,040.00 price target on shares of Lumentum in a report on Tuesday, June 9th. Morgan Stanley raised their price target on shares of Lumentum from $710.00 to $900.00 and gave the stock an “equal weight” rating in a report on Wednesday, May 6th. Barclays raised their price target on shares of Lumentum from $750.00 to $1,000.00 and gave the stock an “equal weight” rating in a report on Wednesday, May 6th. Finally, TD Cowen raised their price target on shares of Lumentum from $875.00 to $995.00 and gave the stock a “hold” rating in a report on Wednesday, May 6th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat.com, Lumentum currently has an average rating of “Moderate Buy” and an average target price of $1,021.95.

Lumentum Price Performance

The stock has a market capitalization of $74.47 billion, a P/E ratio of 177.27 and a beta of 1.47. The business’s 50 day simple moving average is $897.64 and its two-hundred day simple moving average is $632.04. The company has a quick ratio of 0.97, a current ratio of 1.14 and a debt-to-equity ratio of 0.01.

Lumentum (NASDAQ:LITE) last released its quarterly earnings data on Tuesday, May 5th. The technology company reported $2.37 earnings per share for the quarter, beating analysts’ consensus estimates of $2.27 by $0.10. Lumentum had a net margin of 17.61% and a return on equity of 24.81%. The firm had revenue of $808.40 million for the quarter, compared to analyst estimates of $810.21 million. During the same period last year, the firm earned $0.57 earnings per share. The business’s quarterly revenue was up 90.1% compared to the same quarter last year. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. As a group, sell-side analysts forecast that Lumentum Holdings Inc. will post 6.49 earnings per share for the current fiscal year.

Insider Transactions at Lumentum

In other Lumentum news, Director Brian Lillie sold 11,951 shares of the firm’s stock in a transaction on Monday, May 11th. The shares were sold at an average price of $981.64, for a total value of $11,731,579.64. Following the transaction, the director directly owned 13,959 shares of the company’s stock, valued at approximately $13,702,712.76. This trade represents a 46.13% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 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 on 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 ownership of the stock. 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. In the last three months, insiders sold 41,260 shares of company stock valued at $38,859,220. Corporate insiders own 0.43% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the company. Vanguard Group Inc. lifted its position in shares of Lumentum by 0.6% during the third quarter. Vanguard Group Inc. now owns 7,485,282 shares of the technology company’s stock valued at $1,217,930,000 after purchasing an additional 41,975 shares in the last quarter. Arrowstreet Capital Limited Partnership lifted its position in shares of Lumentum by 18.7% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,854,801 shares of the technology company’s stock valued at $683,661,000 after purchasing an additional 291,591 shares in the last quarter. Geode Capital Management LLC lifted its position in shares of Lumentum by 9.6% during the fourth quarter. Geode Capital Management LLC now owns 1,412,213 shares of the technology company’s stock valued at $521,563,000 after purchasing an additional 123,265 shares in the last quarter. Situational Awareness LP lifted its position in shares of Lumentum by 210.9% during the fourth quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company’s stock valued at $478,577,000 after purchasing an additional 880,800 shares in the last quarter. Finally, Norges Bank bought a new position in shares of Lumentum during the fourth quarter valued at about $474,495,000. 94.05% of the stock is owned by institutional investors.

About Lumentum

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.