Lumentum (NASDAQ:LITE) Trading Down 5% on Insider Selling

Lumentum Holdings Inc. (NASDAQ:LITE)’s stock price was down 5% on Tuesday after an insider sold shares in the company. The stock traded as low as $854.13 and last traded at $868.95. 3,815,619 shares were traded during mid-day trading, a decline of 32% from the average session volume of 5,632,734 shares. The stock had previously closed at $914.76.

Specifically, insider Yuen Wupen sold 500 shares of the business’s stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $895.00, for a total value of $447,500.00. Following the sale, the insider directly owned 118,127 shares in the company, valued at approximately $105,723,665. The trade was a 0.42% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Yuen Wupen sold 500 shares of Lumentum stock in a transaction dated Friday, August 28th. The shares were sold at an average price of $940.95, for a total value of $470,475.00. Following the transaction, the insider directly owned 118,627 shares of the company’s stock, valued at $111,622,075.65. The trade was a 0.42% decrease in their position. 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. In related news, CEO Michael E. Hurlston sold 548 shares of the business’s stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of $958.66, for a total transaction of $525,345.68. Following the completion of the transaction, the chief executive officer owned 186,951 shares of the company’s stock, valued at approximately $179,222,445.66. The trade was a 0.29% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website.

Analyst Ratings Changes

A number of equities analysts recently issued reports on LITE shares. Jefferies Financial Group reissued a “buy” rating and issued a $1,200.00 price target on shares of Lumentum in a research note on Wednesday, May 6th. Deutsche Bank Aktiengesellschaft initiated coverage on Lumentum in a report on Monday. They set a “buy” rating and a $1,200.00 target price on the stock. UBS Group set a $820.00 target price on Lumentum in a research note on Wednesday, August 12th. BNP Paribas Exane lifted their price target on Lumentum from $1,040.00 to $1,300.00 in a research report on Wednesday, May 6th. Finally, TD Cowen upped their price target on Lumentum from $800.00 to $820.00 and gave the stock a “hold” rating in a research note on Wednesday, August 12th. One analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $1,053.83.

Lumentum Stock Down 2.7%

The stock has a market cap of $75.97 billion, a PE ratio of -10.30 and a beta of 1.53. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.68 and a quick ratio of 1.40. The company has a 50 day moving average price of $813.66 and a two-hundred day moving average price of $813.27.

Lumentum (NASDAQ:LITE) last announced its earnings results on Tuesday, August 11th. The technology company reported $3.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.97 by $0.26. The company had revenue of $1.01 billion during the quarter, compared to analyst estimates of $987.70 million. Lumentum had a negative net margin of 230.15% and a positive return on equity of 26.34%. The firm’s quarterly revenue was up 109.3% compared to the same quarter last year. During the same period in the previous year, the business posted $0.88 earnings per share. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Analysts expect that Lumentum Holdings Inc. will post 19.76 EPS for the current year.

Institutional Investors Weigh In On Lumentum

Large investors have recently bought and sold shares of the business. California State Teachers Retirement System raised its position in Lumentum by 112,343.2% during the 2nd quarter. California State Teachers Retirement System now owns 92,237,160 shares of the technology company’s stock valued at $79,145,018,000 after purchasing an additional 92,155,130 shares in the last quarter. Jupiter Topco LLC bought a new position in shares of Lumentum during the 2nd quarter worth $1,621,396,000. Arrowstreet Capital Limited Partnership increased its stake in shares of Lumentum by 18.7% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,854,801 shares of the technology company’s stock valued at $683,661,000 after buying an additional 291,591 shares during the period. Geode Capital Management LLC increased its stake in shares of Lumentum by 9.6% during the fourth quarter. Geode Capital Management LLC now owns 1,412,213 shares of the technology company’s stock valued at $521,563,000 after buying an additional 123,265 shares during the period. Finally, Situational Awareness LP raised its holdings in shares of Lumentum by 210.9% in the fourth quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company’s stock valued at $478,577,000 after acquiring an additional 880,800 shares in the last quarter. Institutional investors own 94.05% of the company’s stock.

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.