Lumentum Holdings Inc. $LITE Stake Cut by Divisar Capital Management LLC

Divisar Capital Management LLC lowered its stake in Lumentum Holdings Inc. (NASDAQ:LITE) by 47.6% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 203,915 shares of the technology company’s stock after selling 184,871 shares during the quarter. Lumentum makes up 9.0% of Divisar Capital Management LLC’s investment portfolio, making the stock its largest position. Divisar Capital Management LLC owned about 0.29% of Lumentum worth $33,179,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Arrowstreet Capital Limited Partnership lifted its holdings in shares of Lumentum by 8,579.2% in the third quarter. Arrowstreet Capital Limited Partnership now owns 1,563,210 shares of the technology company’s stock worth $254,350,000 after buying an additional 1,545,199 shares in the last quarter. Hood River Capital Management LLC grew its stake in Lumentum by 82.1% during the second quarter. Hood River Capital Management LLC now owns 2,206,453 shares of the technology company’s stock valued at $209,745,000 after acquiring an additional 994,551 shares in the last quarter. Norges Bank bought a new stake in Lumentum during the 2nd quarter worth approximately $82,983,000. WT Asset Management Ltd increased its holdings in Lumentum by 170.0% during the 3rd quarter. WT Asset Management Ltd now owns 710,208 shares of the technology company’s stock worth $115,558,000 after acquiring an additional 447,208 shares during the period. Finally, FengHe Fund Management Pte. Ltd. purchased a new stake in Lumentum in the 3rd quarter worth approximately $71,771,000. 94.05% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

Several brokerages have commented on LITE. Morgan Stanley raised their price target on shares of Lumentum to $520.00 and gave the company an “equal weight” rating in a report on Monday, February 23rd. Weiss Ratings reiterated a “hold (c-)” rating on shares of Lumentum in a research report on Monday, December 29th. Zacks Research upgraded Lumentum from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, December 2nd. TD Cowen started coverage on Lumentum in a research note on Thursday. They issued a “hold” rating and a $675.00 target price on the stock. Finally, Mizuho raised their price target on Lumentum to $645.00 and gave the company an “outperform” rating in a report on Tuesday, February 17th. Two research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $550.38.

Insider Buying and Selling

In other news, insider Vincent Retort sold 3,441 shares of the stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $545.78, for a total transaction of $1,878,028.98. Following the completion of the sale, the insider owned 95,975 shares of the company’s stock, valued at approximately $52,381,235.50. This represents a 3.46% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Wajid Ali sold 5,302 shares of the firm’s stock in a transaction that occurred on Friday, February 27th. The stock was sold at an average price of $691.13, for a total transaction of $3,664,371.26. Following the completion of the transaction, the chief financial officer owned 66,287 shares in the company, valued at $45,812,934.31. This represents a 7.41% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 65,775 shares of company stock worth $38,851,343. Insiders own 0.43% of the company’s stock.

Lumentum Stock Up 1.0%

Shares of NASDAQ LITE opened at $622.50 on Monday. The stock has a market capitalization of $44.45 billion, a P/E ratio of 190.95 and a beta of 1.38. Lumentum Holdings Inc. has a one year low of $45.65 and a one year high of $783.80. The firm’s 50 day simple moving average is $510.02 and its two-hundred day simple moving average is $331.85. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.61 and a quick ratio of 0.45.

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

Trending Headlines about Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: NVIDIA strategic deal and US$2.0B investment underpin a major growth runway for Lumentum’s AI optics business — supports revenue visibility, R&D and a new U.S. fab. Why Lumentum (LITE) Is Down 5.3% After NVIDIA’s US$2 Billion AI Optics Investment Deal
• Positive Sentiment: CEO Michael Hurlston said Lumentum is “sold out really until the end of 2027,” signaling a heavy, multi-year backlog and strong demand for optical components. Lumentum CEO: sold out through end of 2027, no end in sight
• Positive Sentiment: Analyst optimism: Barclays raised its price target (to $750) after the NVIDIA news and earnings beat, reflecting higher modeled upside for AI optics exposure. Lumentum Holdings (LITE) Sees Strong Analyst Optimism Following Earnings & NVIDIA Deal
• Positive Sentiment: Multiple buy/recommendation write-ups and analyst coverage upgrades/new coverage are spotlighting Lumentum as a core AI-optics play. Lumentum Holdings (LITE): New Buy Recommendation for This Technology Giant
• Positive Sentiment: Inclusion in the S&P 500 (effective March 23) creates a date-certain, index-driven buyer base that should increase demand from passive funds. Lumentum Joins the S&P 500 Soon: Buy the Dip Before the Index Funds Have To?
• Neutral Sentiment: TD Cowen initiated coverage with a Hold rating and a $675 price target (modest upside vs. recent levels) — a balanced view that may temper short-term upside expectations. TD Cowen initiates coverage of Lumentum Holdings (LITE) with hold recommendation
• Negative Sentiment: Short-term selloff/volatility after the NVIDIA announcement likely reflects investor concerns about the convertible preferred structure, potential dilution and profit-taking after a strong rally. A Look At Lumentum Holdings (LITE) Valuation After Nvidia Investment And S&P 500 Inclusion

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.