Lumentum Holdings Inc. (NASDAQ:LITE) Receives Average Rating of “Moderate Buy” from Analysts

Lumentum Holdings Inc. (NASDAQ:LITE) has received a consensus recommendation of “Moderate Buy” from the twenty-one brokerages that are covering the firm, Marketbeat reports. Six equities research analysts have rated the stock with a hold recommendation, fourteen have given a buy recommendation and one has given a strong buy recommendation to the company. The average 1 year price objective among brokers that have issued ratings on the stock in the last year is $1,021.9524.

A number of brokerages recently weighed in on LITE. Citic Securities upped their target price on shares of Lumentum from $620.00 to $1,186.00 in a research note on Monday, May 11th. Zacks Research raised shares of Lumentum from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, May 13th. Bank of America upped their target price on shares of Lumentum to $520.00 and gave the stock a “neutral” rating in a research note on Wednesday, February 4th. JPMorgan Chase & Co. upped their target price on shares of Lumentum from $950.00 to $1,130.00 and gave the stock an “overweight” rating in a research note on Wednesday, May 6th. Finally, Loop Capital upped their target price on shares of Lumentum from $900.00 to $1,400.00 and gave the stock a “buy” rating in a research note on Tuesday, May 5th.

Key Stories Impacting Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Northland Securities raised its price target on Lumentum and kept an Outperform rating, reinforcing the bullish case for more upside. Northland Securities adjusts PT on Lumentum
• Positive Sentiment: Market commentary highlighted Nvidia’s shift from copper to optical interconnects in AI data centers, putting Lumentum at the center of a major long-term growth theme. Nvidia optics shift puts Lumentum at center of AI data centers
• Positive Sentiment: Optical networking stocks broadly rallied as investors piled into AI-related infrastructure names, which has helped lift sentiment toward Lumentum alongside peers like Coherent and Corning. Why Coherent and Lumentum stocks jumped on Tuesday
• Neutral Sentiment: One article noted that a director sold 4,000 shares, but the sale was made under a pre-arranged 10b5-1 plan, so it is less likely to be interpreted as a negative fundamental signal. Director Isaac Hosojiro Harris sells 4,000 shares

Lumentum Price Performance

Shares of NASDAQ LITE opened at $938.00 on Thursday. The firm has a market cap of $72.98 billion, a PE ratio of 173.70 and a beta of 1.47. The company has a current ratio of 1.14, a quick ratio of 0.97 and a debt-to-equity ratio of 0.01. Lumentum has a 1-year low of $79.50 and a 1-year high of $1,085.68. The company has a fifty day moving average price of $875.70 and a 200 day moving average price of $600.97.

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

Insider Activity at Lumentum

In other news, insider Vincent Retort sold 3,183 shares of the stock in a transaction dated 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 represents a 3.43% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 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, insider Yuen Wupen sold 3,210 shares of the stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $953.95, for a total transaction of $3,062,179.50. Following the transaction, the insider owned 81,488 shares of the company’s stock, valued at approximately $77,735,477.60. This represents a 3.79% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 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. Over the last 90 days, insiders sold 39,844 shares of company stock worth $37,443,107. Corporate insiders own 0.43% of the company’s stock.

Hedge Funds Weigh In On Lumentum

A number of large investors have recently modified their holdings of the business. Sachetta LLC boosted its stake in shares of Lumentum by 118.8% during the 1st quarter. Sachetta LLC now owns 35 shares of the technology company’s stock worth $25,000 after buying an additional 19 shares during the last quarter. Hilton Head Capital Partners LLC acquired a new position in shares of Lumentum during the 1st quarter worth about $25,000. Abel Hall LLC boosted its stake in shares of Lumentum by 5.5% during the 1st quarter. Abel Hall LLC now owns 693 shares of the technology company’s stock worth $487,000 after buying an additional 36 shares during the last quarter. Checchi Capital Advisers LLC boosted its stake in shares of Lumentum by 5.1% during the 1st quarter. Checchi Capital Advisers LLC now owns 790 shares of the technology company’s stock worth $555,000 after buying an additional 38 shares during the last quarter. Finally, 180 Wealth Advisors LLC boosted its stake in shares of Lumentum by 2.9% during the 1st quarter. 180 Wealth Advisors LLC now owns 1,553 shares of the technology company’s stock worth $1,092,000 after buying an additional 44 shares during the last quarter. 94.05% of the stock is currently owned by institutional investors and hedge funds.

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.