Lumentum (NASDAQ:LITE) Trading 7.8% Higher After Analyst Upgrade

Lumentum Holdings Inc. (NASDAQ:LITE)’s share price shot up 7.8% on Tuesday after Mizuho raised their price target on the stock to $645.00. Mizuho currently has an outperform rating on the stock. Lumentum traded as high as $612.50 and last traded at $606.6630. 3,806,765 shares were traded during mid-day trading, a decline of 26% from the average session volume of 5,163,739 shares. The stock had previously closed at $562.74.

Several other research firms also recently commented on LITE. UBS Group increased their target price on Lumentum from $215.00 to $455.00 and gave the company a “neutral” rating in a research report on Wednesday, February 4th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Lumentum in a research report on Monday, December 29th. Stifel Nicolaus boosted their target price on shares of Lumentum to $480.00 and gave the stock a “buy” rating in a report on Wednesday, February 4th. Zacks Research raised shares of Lumentum from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, December 2nd. Finally, JPMorgan Chase & Co. boosted their price objective on shares of Lumentum to $565.00 and gave the stock an “overweight” rating in a research note on Wednesday, February 4th. Two analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $447.38.

Insider Transactions at Lumentum

In related news, insider Vincent Retort sold 3,441 shares of the business’s stock in a transaction on Tuesday, February 17th. The shares were sold at an average price of $545.78, for a total value of $1,878,028.98. Following the transaction, the insider owned 95,975 shares in the company, valued at $52,381,235.50. The trade was a 3.46% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Yuen Wupen sold 3,157 shares of the stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $538.00, for a total value of $1,698,466.00. Following the sale, the insider owned 88,439 shares of the company’s stock, valued at approximately $47,580,182. The trade was a 3.45% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 60,473 shares of company stock worth $35,186,972 over the last three months. 0.43% of the stock is owned by company insiders.

Lumentum News Roundup

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Mizuho raised its price target to $645 and maintained an “outperform” rating, signaling analyst conviction in further upside from current levels. Read More.
• Positive Sentiment: Seeking Alpha published a bullish thesis (“AI’s Hidden Bottleneck Winner”) arguing Lumentum is well-positioned as a critical supplier for AI infrastructure, citing strong demand, margin expansion and operating leverage as growth drivers. Read More.
• Positive Sentiment: News outlets reported Lumentum hitting a new 12‑month / all‑time high after analyst upgrades, which likely attracted momentum buying ahead of the pullback. Read More.
• Neutral Sentiment: Broader media coverage called out the stock’s recent highs and updated targets, increasing visibility but not adding new fundamental data. Read More.
• Negative Sentiment: Insider sale — Vincent Retort sold 3,441 shares at an average price of $545.78 (~$1.88M); his holdings fell ~3.46%. The Form 4 is filed with the SEC. Read More.
• Negative Sentiment: Insider sale — Yuen Wupen sold 3,157 shares at $538.00 (~$1.70M); holdings decreased ~3.45%. That transaction is also disclosed with the SEC. Read More.

Institutional Trading of Lumentum

Several hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. grew its holdings in Lumentum by 0.6% in the third quarter. Vanguard Group Inc. now owns 7,485,282 shares of the technology company’s stock worth $1,217,930,000 after purchasing an additional 41,975 shares during the period. Hood River Capital Management LLC grew its stake in shares of Lumentum by 82.1% in the 2nd quarter. Hood River Capital Management LLC now owns 2,206,453 shares of the technology company’s stock valued at $209,745,000 after buying an additional 994,551 shares during the period. Arrowstreet Capital Limited Partnership increased its position in Lumentum by 18.7% in the 4th 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 in the last quarter. Geode Capital Management LLC raised its stake in Lumentum by 9.6% during the 4th 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 during the period. Finally, Situational Awareness LP raised its stake in Lumentum by 210.9% during the 4th 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 during the period. Institutional investors own 94.05% of the company’s stock.

Lumentum Trading Down 1.0%

The company has a debt-to-equity ratio of 0.06, a current ratio of 0.61 and a quick ratio of 0.45. The firm has a fifty day simple moving average of $406.96 and a 200-day simple moving average of $264.82. The firm has a market cap of $42.43 billion, a P/E ratio of 182.29 and a beta of 1.51.

Lumentum (NASDAQ:LITE) last issued its earnings results on Tuesday, February 3rd. The technology company reported $1.67 earnings per share for the quarter, topping analysts’ consensus estimates of $1.41 by $0.26. Lumentum had a return on equity of 17.27% and a net margin of 11.95%.The company had revenue of $665.50 million for the quarter, compared to analyst estimates of $646.74 million. During the same period in the prior year, the firm earned $0.42 earnings per share. Lumentum’s revenue for the quarter was up 65.5% on a year-over-year basis. Lumentum has set its Q3 2026 guidance at 2.150-2.350 EPS. On average, equities research analysts expect that Lumentum Holdings Inc. will post 0.03 earnings per share for the current year.

Lumentum Company Profile

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.