FirstWave Capital Management LLC Raises Holdings in Lumentum Holdings Inc. $LITE

FirstWave Capital Management LLC lifted its stake in Lumentum Holdings Inc. (NASDAQ:LITE) by 94.0% in the second quarter, Holdings Channel.com reports. The fund owned 2,737 shares of the technology company’s stock after purchasing an additional 1,326 shares during the period. Lumentum makes up approximately 1.0% of FirstWave Capital Management LLC’s portfolio, making the stock its 29th biggest position. FirstWave Capital Management LLC’s holdings in Lumentum were worth $2,349,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also bought and sold shares of the company. Nomura Asset Management Co. Ltd. increased its position in shares of Lumentum by 45.0% during the 4th quarter. Nomura Asset Management Co. Ltd. now owns 369,804 shares of the technology company’s stock valued at $136,306,000 after purchasing an additional 114,714 shares during the last quarter. Financiere des Professionnels Fonds d investissement inc. purchased a new stake in shares of Lumentum during the first quarter worth about $2,046,000. Styrax Capital LP increased its position in Lumentum by 3.6% during the 1st quarter. Styrax Capital LP now owns 140,000 shares of the technology company’s stock valued at $98,386,000 after purchasing an additional 4,837 shares during the period. Whittier Trust Co. lifted its position in Lumentum by 21,806.5% during the first quarter. Whittier Trust Co. now owns 74,044 shares of the technology company’s stock valued at $57,183,000 after buying an additional 73,706 shares during the period. Finally, Andar Capital Management HK Ltd bought a new position in Lumentum during the 4th quarter valued at approximately $4,325,000. Institutional investors own 94.05% of the company’s stock.

Lumentum News Roundup

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Optical-photonics rally: Lumentum gained alongside Coherent and other optical-networking stocks as investors focused on rising demand for lasers and optical components used to connect high-performance AI chips. Optical-photonics stocks article
• Positive Sentiment: Favorable analyst coverage: Deutsche Bank initiated coverage with a Buy rating, while Evercore also began research coverage. New institutional coverage can improve visibility and support investor interest in LITE. Deutsche Bank coverage article Evercore coverage article
• Positive Sentiment: AI infrastructure fundamentals remain strong: Recent results showed approximately $1.01 billion in quarterly revenue, adjusted EPS of $3.23, and guidance for $1.225 billion–$1.275 billion in revenue. Nvidia’s investment and purchase commitment for Lumentum’s laser components further reinforce the AI-demand thesis.
• Neutral Sentiment: Portfolio concentration warning: One analysis said LITE’s roughly 680% advance can make it an outsized portfolio position. The article remained positive on the business but advised investors to reassess position sizing after the substantial rally. Lumentum portfolio concentration article
• Negative Sentiment: Valuation concerns: A Seeking Alpha analysis argued that Lumentum has become too expensive following its dramatic run, creating a potential headwind if growth or AI infrastructure spending fails to exceed already-high expectations. Lumentum valuation article
• Negative Sentiment: Insider selling: Yuen Wupen sold two separate blocks of 500 shares for a combined $862,245. Both trades were conducted under a pre-arranged Rule 10b5-1 plan and represented only 0.43% of the insider’s holdings, making the signal relatively limited.

Lumentum Stock Up 4.0%

Lumentum stock opened at $881.26 on Friday. Lumentum Holdings Inc. has a twelve month low of $144.20 and a twelve month high of $1,085.68. The firm has a market capitalization of $79.05 billion, a P/E ratio of -10.72 and a beta of 1.53. The company has a current ratio of 1.68, a quick ratio of 1.40 and a debt-to-equity ratio of 0.01. The stock’s fifty day simple moving average is $814.62 and its 200-day simple moving average is $815.74.

Lumentum (NASDAQ:LITE) last posted its earnings results on Tuesday, August 11th. The technology company reported $3.23 EPS for the quarter, beating the consensus estimate of $2.97 by $0.26. Lumentum had a positive return on equity of 26.34% and a negative net margin of 230.15%.The firm had revenue of $1.01 billion for the quarter, compared to analyst estimates of $987.70 million. During the same quarter in the prior year, the company posted $0.88 earnings per share. Lumentum’s revenue for the quarter was up 109.3% compared to the same quarter last year. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. As a group, equities analysts expect that Lumentum Holdings Inc. will post 19.78 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several research analysts have issued reports on LITE shares. Northland Securities raised their target price on Lumentum from $1,000.00 to $1,200.00 and gave the stock an “outperform” rating in a research report on Wednesday, June 3rd. Citic Securities boosted their target price on shares of Lumentum from $620.00 to $1,186.00 in a report on Monday, May 11th. Zacks Research raised shares of Lumentum from a “hold” rating to a “strong-buy” rating in a research report on Thursday, August 20th. Morgan Stanley raised their price target on shares of Lumentum from $900.00 to $1,000.00 and gave the stock an “equal weight” rating in a report on Wednesday, August 12th. Finally, Raymond James Financial restated an “outperform” rating and set a $1,036.00 price target on shares of Lumentum in a research report on Wednesday, August 12th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, five have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $1,053.83.

Insider Buying and Selling at Lumentum

In other news, SVP Jae Kim sold 12,000 shares of the company’s stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $852.58, for a total transaction of $10,230,960.00. Following the transaction, the senior vice president directly owned 37,804 shares of the company’s stock, valued at $32,230,934.32. This represents a 24.09% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Yuen Wupen sold 500 shares of the firm’s stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $860.00, for a total value of $430,000.00. Following the completion of the transaction, the insider directly owned 116,127 shares of the company’s stock, valued at $99,869,220. The trade was a 0.43% 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. Insiders have sold a total of 65,147 shares of company stock worth $55,812,856 over the last three months. 0.43% of the stock is currently owned by corporate insiders.

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.