Lumentum (NASDAQ:LITE) Trading 2.1% Higher – Here’s Why

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) shot up 2.1% on Friday . The company traded as high as $806.56 and last traded at $802.01. Approximately 3,546,248 shares traded hands during trading, a decline of 40% from the average daily volume of 5,896,252 shares. The stock had previously closed at $785.77.

Analysts Set New Price Targets

LITE has been the subject of a number of research analyst reports. Susquehanna raised their target price on Lumentum from $550.00 to $1,100.00 and gave the company a “positive” rating in a research note on Monday, April 20th. Loop Capital upped their price target on Lumentum from $900.00 to $1,400.00 and gave the stock a “buy” rating in a research note on Tuesday, May 5th. B. Riley Financial reiterated a “buy” rating on shares of Lumentum in a report on Friday, May 1st. Mizuho set a $1,100.00 price objective on Lumentum in a research report on Wednesday, May 6th. Finally, Zacks Research cut shares of Lumentum from a “strong-buy” rating to a “hold” rating in a report on Monday. Fourteen research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $1,021.95.

Lumentum Stock Up 2.1%

The company’s fifty day moving average price is $883.44 and its 200-day moving average price is $697.36. The stock has a market capitalization of $62.40 billion, a PE ratio of 148.52 and a beta of 1.48. The company has a quick ratio of 0.97, a current ratio of 1.14 and a debt-to-equity ratio of 0.01.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings results on Tuesday, May 5th. The technology company reported $2.37 earnings per share for the quarter, topping the consensus estimate of $2.27 by $0.10. The company had revenue of $808.40 million for the quarter, compared to the consensus estimate of $810.21 million. Lumentum had a return on equity of 24.81% and a net margin of 17.61%.The firm’s quarterly revenue was up 90.1% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.57 EPS. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. Analysts forecast that Lumentum Holdings Inc. will post 6.4 earnings per share for the current year.

Insiders Place Their Bets

In other Lumentum news, Director Ian Small sold 4,954 shares of the business’s stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $868.07, for a total value of $4,300,418.78. Following the sale, the director directly owned 21,008 shares of the company’s stock, valued at approximately $18,236,414.56. The trade was a 19.08% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Wajid Ali sold 2,487 shares of the stock in a transaction on Monday, May 18th. The stock was sold at an average price of $953.95, for a total value of $2,372,473.65. Following the completion of the sale, the chief financial officer directly owned 60,951 shares in the company, valued at approximately $58,144,206.45. This represents a 3.92% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 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. In the last ninety days, insiders sold 41,260 shares of company stock valued at $38,859,220. Company insiders own 0.43% of the company’s stock.

Institutional Trading of Lumentum

Institutional investors have recently bought and sold shares of the company. Arrowstreet Capital Limited Partnership increased its stake in 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 valued at $254,350,000 after purchasing an additional 1,545,199 shares in the last quarter. Norges Bank bought a new position in shares of Lumentum in the fourth quarter worth approximately $474,495,000. Value Aligned Research Advisors LLC bought a new position in shares of Lumentum in the fourth quarter worth approximately $432,062,000. Situational Awareness LP grew its holdings in shares of Lumentum by 210.9% during the fourth quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company’s stock valued at $478,577,000 after buying an additional 880,800 shares during the last quarter. Finally, Assenagon Asset Management S.A. grew its holdings in shares of Lumentum by 707.0% during the fourth quarter. Assenagon Asset Management S.A. now owns 994,478 shares of the technology company’s stock valued at $366,555,000 after buying an additional 871,249 shares during the last quarter. 94.05% of the stock is owned by hedge funds and other institutional investors.

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.