Lumentum (NASDAQ:LITE) Shares Gap Up – Here’s Why

Lumentum Holdings Inc. (NASDAQ:LITE) gapped up prior to trading on Monday . The stock had previously closed at $324.35, but opened at $341.48. Lumentum shares last traded at $337.5780, with a volume of 963,551 shares trading hands.

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on LITE shares. Mizuho increased their target price on shares of Lumentum to $325.00 and gave the stock an “outperform” rating in a research note on Tuesday, November 25th. Raymond James Financial downgraded Lumentum from a “strong-buy” rating to an “outperform” rating and set a $220.00 price target on the stock. in a research note on Friday, October 31st. Barclays increased their price objective on Lumentum from $165.00 to $181.00 and gave the stock an “equal weight” rating in a research report on Thursday, November 6th. B. Riley raised their target price on Lumentum from $83.00 to $147.00 and gave the company a “neutral” rating in a report on Wednesday, November 5th. Finally, JPMorgan Chase & Co. upped their price target on shares of Lumentum from $145.00 to $185.00 and gave the stock an “overweight” rating in a research note on Thursday, October 16th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Lumentum has an average rating of “Moderate Buy” and an average target price of $215.00.

Lumentum Stock Performance

The stock has a fifty day moving average price of $237.68 and a two-hundred day moving average price of $158.80. The company has a quick ratio of 1.02, a current ratio of 1.37 and a debt-to-equity ratio of 2.77. The company has a market capitalization of $23.82 billion, a price-to-earnings ratio of 225.36 and a beta of 1.52.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings results on Tuesday, November 4th. The technology company reported $1.10 EPS for the quarter, beating the consensus estimate of $1.03 by $0.07. The company had revenue of $533.80 million during the quarter, compared to analysts’ expectations of $525.10 million. Lumentum had a return on equity of 4.62% and a net margin of 6.11%.The firm’s revenue was up 58.4% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.18 EPS. Lumentum has set its Q2 2026 guidance at 1.300-1.500 EPS. As a group, analysts forecast that Lumentum Holdings Inc. will post 0.03 EPS for the current fiscal year.

Insider Activity

In related news, Director Julia Suzanne Johnson sold 10,000 shares of the company’s stock in a transaction on Monday, November 10th. The shares were sold at an average price of $270.39, for a total transaction of $2,703,900.00. Following the completion of the sale, the director directly owned 12,037 shares of the company’s stock, valued at approximately $3,254,684.43. This represents a 45.38% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Jae Kim sold 170 shares of the stock in a transaction that occurred on Tuesday, November 18th. The shares were sold at an average price of $246.00, for a total value of $41,820.00. Following the transaction, the senior vice president owned 38,400 shares of the company’s stock, valued at approximately $9,446,400. This trade represents a 0.44% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 28,612 shares of company stock valued at $7,317,398 in the last 90 days. 0.43% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Lumentum

Several institutional investors have recently made changes to their positions in the stock. PointState Capital LP bought a new stake in Lumentum during the 1st quarter valued at $213,503,000. Arrowstreet Capital Limited Partnership increased its stake in shares of Lumentum by 8,579.2% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,563,210 shares of the technology company’s stock worth $254,350,000 after purchasing an additional 1,545,199 shares during the last quarter. Hood River Capital Management LLC lifted its position in Lumentum by 82.1% during the 2nd quarter. Hood River Capital Management LLC now owns 2,206,453 shares of the technology company’s stock worth $209,745,000 after acquiring an additional 994,551 shares during the last quarter. Analog Century Management LP bought a new stake in shares of Lumentum in the first quarter valued at approximately $60,348,000. Finally, Norges Bank bought a new stake in Lumentum in the 2nd quarter valued at $82,983,000. 94.05% of the stock is owned by institutional investors.

Lumentum Company Profile

Lumentum Holdings Inc manufactures and sells optical and photonic products in the Americas, the Asia-Pacific, Europe, the Middle East, and Africa. The company operates through two segments: Optical Communications (OpComms) and Commercial Lasers (Lasers). The OpComms segment offers components, modules, and subsystems that enable the transmission and transport of video, audio, and data over high-capacity fiber optic cables.