Lumentum’s (LITE) Buy Rating Reiterated at Rosenblatt Securities

Rosenblatt Securities restated their buy rating on shares of Lumentum (NASDAQ:LITE) in a research report released on Wednesday morning,Benzinga reports. The brokerage currently has a $1,300.00 price objective on the technology company’s stock.

Several other brokerages have also recently issued reports on LITE. Bank of America dropped their target price on shares of Lumentum from $1,100.00 to $1,000.00 and set a “neutral” rating on the stock in a report on Wednesday. Barclays lifted their target price on Lumentum from $750.00 to $1,000.00 and gave the company an “equal weight” rating in a research note on Wednesday, May 6th. Loop Capital boosted their target price on shares of Lumentum from $900.00 to $1,400.00 and gave the stock a “buy” rating in a report on Tuesday, May 5th. Citic Securities increased their price target on shares of Lumentum from $620.00 to $1,186.00 in a research report on Monday, May 11th. Finally, Morgan Stanley raised their price target on shares of Lumentum from $900.00 to $1,000.00 and gave the company an “equal weight” rating in a report on Wednesday. Fourteen investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Lumentum presently has an average rating of “Moderate Buy” and a consensus target price of $1,044.67.

Lumentum Stock Performance

Lumentum stock opened at $926.14 on Wednesday. Lumentum has a 1-year low of $111.20 and a 1-year high of $1,085.68. The firm has a market capitalization of $72.05 billion, a P/E ratio of -11.27 and a beta of 1.50. The company’s 50-day moving average is $809.08 and its 200 day moving average is $772.35. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.68 and a quick ratio of 0.97.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings results on Tuesday, August 11th. The technology company reported $3.23 EPS for the quarter, topping the consensus estimate of $2.97 by $0.26. The company had revenue of $1.01 billion for the quarter, compared to the consensus estimate of $987.70 million. Lumentum had a negative net margin of 230.15% and a positive return on equity of 26.34%. The firm’s revenue was up 109.3% compared to the same quarter last year. During the same quarter last year, the firm posted $0.88 EPS. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Research analysts forecast that Lumentum will post 16.67 EPS for the current year.

Insider Transactions at Lumentum

In related news, CFO Wajid Ali sold 2,487 shares of the business’s stock in a transaction on Monday, May 18th. The shares were sold at an average price of $953.95, for a total value of $2,372,473.65. Following the completion of the sale, the chief financial officer owned 60,951 shares of the company’s stock, valued at approximately $58,144,206.45. The trade was a 3.92% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 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. Also, Director Isaac Hosojiro Harris sold 1,416 shares of the company’s stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $1,000.08, for a total transaction of $1,416,113.28. Following the transaction, the director owned 6,984 shares of the company’s stock, valued at approximately $6,984,558.72. This trade represents a 16.86% 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. Over the last three months, insiders have sold 20,672 shares of company stock valued at $18,984,125. 0.43% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Lumentum

A number of hedge funds have recently made changes to their positions in the company. Jupiter Topco LLC purchased a new position in Lumentum in the 2nd quarter valued at $1,621,396,000. Arrowstreet Capital Limited Partnership raised its position in shares of Lumentum by 18.7% in 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 buying an additional 291,591 shares during the last quarter. Geode Capital Management LLC lifted its stake in shares of Lumentum by 9.6% in the fourth quarter. Geode Capital Management LLC now owns 1,412,213 shares of the technology company’s stock worth $521,563,000 after buying an additional 123,265 shares in the last quarter. Situational Awareness LP lifted its stake in shares of Lumentum by 210.9% in the fourth quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company’s stock worth $478,577,000 after buying an additional 880,800 shares in the last quarter. Finally, Norges Bank acquired a new position in Lumentum during the fourth quarter worth about $474,495,000. Institutional investors and hedge funds own 94.05% of the company’s stock.

Trending Headlines about Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Strong earnings and guidance: Lumentum reported quarterly EPS of $3.23, ahead of the $2.97 consensus estimate, while revenue reached $1.01 billion versus expectations of $987.7 million. Revenue increased roughly 109% year over year, and management issued fiscal Q1 2027 EPS guidance of $4.05-$4.35. Lumentum fiscal fourth-quarter earnings call transcript
• Positive Sentiment: AI infrastructure demand is accelerating: Analysts and financial commentators highlighted surging demand for optical components as AI data centers replace copper connections with high-speed fiber-optic links between GPU racks. Lumentum’s optical product sales and expanding margins are viewed as evidence that the company is converting this trend into results. Lumentum Just Delivered the AI Growth Investors Wanted
• Positive Sentiment: Analyst support increased: Rosenblatt Securities assigned LITE a Buy rating, while JPMorgan forecast significant additional appreciation. Reports cited an average Wall Street price target near $1,126, supporting the bullish reaction after earnings. Lumentum earns Buy rating from Rosenblatt Securities
• Neutral Sentiment: Sector-wide momentum: Lumentum, Corning and Applied Optoelectronics all advanced as investors returned to AI and optical-infrastructure stocks. The broader rally provides a favorable trading backdrop, although some of LITE’s move may reflect industry-wide enthusiasm rather than company-specific news. Optics stocks rise to end the week
• Negative Sentiment: Valuation and execution risks remain: Some commentary warned that the stock’s sharp long-term advance has left limited room for disappointment, with valuation and analyst disagreement creating potential volatility. Investors may also question whether AI-driven growth can remain at its current pace.

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.