Lumentum (NASDAQ:LITE) Upgraded to “Buy” at B. Riley Securities

B. Riley Securities upgraded shares of Lumentum (NASDAQ:LITE) from a neutral rating to a buy rating in a research note published on Wednesday,Benzinga reports. They currently have $526.00 price objective on the technology company’s stock, up from their previous price objective of $147.00.

Several other research firms also recently issued reports on LITE. JPMorgan Chase & Co. lifted their price target on Lumentum to $565.00 and gave the company an “overweight” rating in a research note on Wednesday. Mizuho lifted their target price on Lumentum to $525.00 and gave the company an “outperform” rating in a research report on Wednesday. Citigroup boosted their target price on Lumentum to $560.00 and gave the company a “buy” rating in a research note on Thursday. Stifel Nicolaus raised their price target on shares of Lumentum to $480.00 and gave the stock a “buy” rating in a research note on Wednesday. Finally, Wall Street Zen downgraded shares of Lumentum from a “buy” rating to a “hold” rating in a report on Saturday, November 1st. One investment analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and five have given a Hold rating to the company. According to data from MarketBeat, Lumentum has a consensus rating of “Moderate Buy” and a consensus price target of $444.94.

Lumentum Stock Up 9.4%

NASDAQ LITE traded up $47.57 during trading hours on Wednesday, reaching $551.99. 6,670,933 shares of the company’s stock were exchanged, compared to its average volume of 5,262,147. The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.02 and a current ratio of 0.61. The company has a market capitalization of $39.14 billion, a price-to-earnings ratio of 169.32 and a beta of 1.51. The company’s 50-day moving average is $363.15 and its two-hundred day moving average is $234.43. Lumentum has a one year low of $45.65 and a one year high of $558.38.

Lumentum (NASDAQ:LITE) last released its quarterly earnings results on Tuesday, February 3rd. The technology company reported $1.67 earnings per share for the quarter, beating the consensus estimate of $1.41 by $0.26. Lumentum had a net margin of 11.95% and a return on equity of 17.27%. The company had revenue of $665.50 million during the quarter, compared to analysts’ expectations of $646.74 million. During the same quarter in the prior year, the company earned $0.42 earnings per share. The business’s quarterly revenue was up 65.5% compared to the same quarter last year. Lumentum has set its Q3 2026 guidance at 2.150-2.350 EPS. On average, analysts forecast that Lumentum will post 0.03 EPS for the current fiscal year.

Insider Activity

In other Lumentum 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 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 ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, SVP Jae Kim sold 1,367 shares of the stock in a transaction on Monday, November 17th. The shares were sold at an average price of $234.14, for a total transaction of $320,069.38. Following the completion of the sale, the senior vice president owned 38,570 shares of the company’s stock, valued at approximately $9,030,779.80. This represents a 3.42% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 17,180 shares of company stock valued at $4,551,380 in the last ninety days. Corporate insiders own 0.43% of the company’s stock.

Hedge Funds Weigh In On Lumentum

Institutional investors have recently bought and sold shares of the business. Federated Hermes Inc. grew its holdings in Lumentum by 7,168.8% in the 3rd quarter. Federated Hermes Inc. now owns 362,352 shares of the technology company’s stock valued at $58,958,000 after buying an additional 357,367 shares in the last quarter. FengHe Fund Management Pte. Ltd. bought a new position in Lumentum during the 3rd quarter worth $71,771,000. Pacer Advisors Inc. acquired a new position in Lumentum in the 3rd quarter valued at $1,512,000. Leeward Investments LLC MA grew its holdings in shares of Lumentum by 14.8% during the 2nd quarter. Leeward Investments LLC MA now owns 516,431 shares of the technology company’s stock worth $49,092,000 after purchasing an additional 66,541 shares in the last quarter. Finally, Braun Stacey Associates Inc. acquired a new position in Lumentum in the third quarter valued at about $15,125,000. Institutional investors and hedge funds own 94.05% of the company’s stock.

More Lumentum News

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: JPMorgan raised its price target to $565 and kept an “overweight” rating, signaling confidence in additional upside from Lumentum. JPMorgan raises PT to $565
• Positive Sentiment: Citigroup raised its price target to $560 and maintained a “buy” rating, supporting the bullish analyst momentum. Citigroup raises PT to $560
• Positive Sentiment: Northland published a much higher FY2027 EPS projection ($10.69 vs. street consensus near $0.03), reflecting expectations for sustained margin expansion and accelerated revenue — a strong forward signal for investors. Northland FY2027 EPS estimate
• Positive Sentiment: Company results: Q2 FY2026 reported EPS of $1.67 (vs. $1.41 consensus) and revenue $665.5M (vs. $646.7M); management set Q3 EPS guidance of $2.15–$2.35 — these beats and the guide raise are the core fundamental reason the stock is rising. Earnings call transcript
• Positive Sentiment: Sector/market tailwind: coverage highlighting hyperscaler capex “explosion” points to strong demand for Lumentum’s optical components, bolstering revenue growth expectations. Capex tailwind article
• Neutral Sentiment: Press pieces noting Lumentum hit new all-time highs and extended a multi-day winning streak after earnings — confirms market momentum but is descriptive rather than new catalyst. All-time high coverage
• Neutral Sentiment: Fund/strategy commentary (e.g., Fidelity growth strategy mentions) highlights Lumentum as a high-growth name, supporting institutional interest but not an immediate catalyst. Fund commentary
• Negative Sentiment: B. Riley upgraded Lumentum to “buy” but set a $526 price target (below the stock’s current level), implying limited near-term upside from that shop’s perspective and introducing a potential anchor on further gains. B. Riley upgrade and PT $526

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.