VMS Asset Management Limited Makes New $8.87 Million Investment in Lumentum Holdings Inc. $LITE

VMS Asset Management Limited bought a new stake in Lumentum Holdings Inc. (NASDAQ:LITE) during the third quarter, Holdings Channel.com reports. The firm bought 9,137 shares of the technology company’s stock, valued at approximately $8,874,000. Lumentum makes up about 3.5% of VMS Asset Management Limited’s holdings, making the stock its 8th biggest holding.

Other hedge funds and other institutional investors also recently modified their holdings of the company. Burkett Financial Services LLC bought a new position in shares of Lumentum during the third quarter worth about $28,000. Hilton Head Capital Partners LLC acquired a new stake in shares of Lumentum in the 1st quarter worth about $25,000. Sachetta LLC increased its holdings in shares of Lumentum by 118.8% in the 1st quarter. Sachetta LLC now owns 35 shares of the technology company’s stock worth $25,000 after acquiring an additional 19 shares during the period. Meeder Asset Management Inc. bought a new stake in Lumentum in the 2nd quarter valued at about $40,000. Finally, Keating Financial Advisory Services Inc. bought a new stake in Lumentum in the 2nd quarter valued at about $41,000. Institutional investors and hedge funds own 94.05% of the company’s stock.

Analyst Ratings Changes

A number of research firms have issued reports on LITE. JPMorgan Chase & Co. boosted their target price on shares of Lumentum from $1,165.00 to $1,280.00 and gave the company an “overweight” rating in a research note on Wednesday, August 12th. Zacks Research lowered shares of Lumentum from a “strong-buy” rating to a “hold” rating in a research note on Monday. Wolfe Research reiterated an “outperform” rating on shares of Lumentum in a research report on Friday, August 21st. TD Cowen increased their price objective on Lumentum from $800.00 to $820.00 and gave the stock a “hold” rating in a report on Wednesday, August 12th. Finally, UBS Group set a $820.00 price objective on Lumentum in a report on Wednesday, August 12th. Sixteen equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $1,078.75.

Lumentum Price Performance

Shares of NASDAQ LITE opened at $896.33 on Thursday. Lumentum Holdings Inc. has a fifty-two week low of $152.54 and a fifty-two week high of $1,143.00. The firm’s 50-day simple moving average is $932.17 and its 200 day simple moving average is $875.26. The company has a quick ratio of 1.40, a current ratio of 1.68 and a debt-to-equity ratio of 0.01. The stock has a market cap of $81.19 billion, a P/E ratio of -10.90 and a beta of 1.53.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings data on Tuesday, August 11th. The technology company reported $3.23 earnings per share for the quarter, topping the consensus estimate of $2.97 by $0.26. The business had revenue of $1.01 billion during 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 company’s quarterly revenue was up 109.3% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.88 earnings per share. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Equities analysts expect that Lumentum Holdings Inc. will post 19.79 EPS for the current year.

Insider Activity

In other news, insider Yuen Wupen sold 1,500 shares of the company’s stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $827.82, for a total value of $1,241,730.00. Following the completion of the sale, the insider directly owned 100,434 shares of the company’s stock, valued at approximately $83,141,273.88. This represents a 1.47% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. 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, CFO Wajid Ali sold 24,542 shares of the stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $1,048.50, for a total transaction of $25,732,287.00. Following the completion of the transaction, the chief financial officer owned 75,074 shares of the company’s stock, valued at $78,715,089. This trade represents a 24.64% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 94,496 shares of company stock worth $85,978,498 in the last 90 days. 0.28% of the stock is currently owned by corporate insiders.

Trending Headlines about Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Higher analyst price target: Stifel raised its price target on Lumentum from $1,100 to $1,232, implying substantial upside and reflecting confidence in the company’s AI-related optical demand. Stifel raised target for Lumentum
• Positive Sentiment: Strong AI positioning and backlog: Reports highlight Lumentum’s optical components for AI data centers, a PCIe-over-optics demonstration with Astera Labs and Corning, and management’s statement that demand is largely booked through 2029. Recent earnings also showed revenue more than doubling year over year, with EPS exceeding estimates. Lumentum AI optics commitments
• Positive Sentiment: Long-term investor support: Commentary continues to identify Lumentum as a leading photonics and AI-infrastructure supplier, while some analysts describe the recent weakness as a potential buying opportunity. Three AI stocks to buy on the pullback
• Neutral Sentiment: Mixed analyst views: Although Stifel increased its target, Zacks Research downgraded Lumentum from “Strong Buy” to “Hold,” creating conflicting signals about near-term valuation and momentum. Zacks downgrades Lumentum to Hold
• Negative Sentiment: Sector-wide AI funding concerns: Lumentum fell alongside Applied Optoelectronics and Coherent as investors questioned how AI data-center projects will be financed and whether current spending levels are sustainable. The concern is particularly important because Lumentum’s valuation has risen sharply this year. AI funding fears hit optical stocks

Lumentum Company Profile

Lumentum Holdings Inc is a photonics and optical technology company that develops and manufactures products used to transmit, process and manage light. Its solutions support communications networks, data centers, cloud computing infrastructure, industrial applications, and other technology markets that rely on high-speed optical connectivity and precision lasers.

The company’s product portfolio includes optical components and modules for telecommunications and networking, lasers and laser systems, optical amplifiers, wavelength-management products, and photonic subsystems.