Lumentum (NASDAQ:LITE) Announces Q2 2027 Earnings Guidance

Lumentum (NASDAQ:LITE) updated its second quarter 2027 earnings guidance on Tuesday. The company provided EPS guidance of 5.900-6.200 for the period, compared to the consensus earnings per share estimate of 4.980. The company issued revenue guidance of $1.6 billion, compared to the consensus revenue estimate of $1.5 billion.

Lumentum Stock Down 0.6%

NASDAQ:LITE opened at $680.16 on Wednesday. Lumentum has a 52 week low of $184.20 and a 52 week high of $1,143.00. The stock’s fifty day moving average is $916.26 and its two-hundred day moving average is $798.35. The stock has a market capitalization of $61.61 billion, a price-to-earnings ratio of -8.64 and a beta of 1.64. The company has a quick ratio of 1.40, a current ratio of 1.68 and a debt-to-equity ratio of 0.01.

Lumentum (NASDAQ:LITE) last issued its quarterly earnings data on Monday, November 2nd. The technology company reported $4.57 earnings per share for the quarter, beating analysts’ consensus estimates of $4.22 by $0.35. The business had revenue of $1.26 billion during the quarter, compared to analysts’ expectations of $1.26 billion. Lumentum had a positive return on equity of 33.33% and a negative net margin of 175.82%. The company’s revenue was up 136.5% on a year-over-year basis. During the same period in the previous year, the firm posted $1.10 earnings per share. Research analysts anticipate that Lumentum will post 19.79 EPS for the current year.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the company. Deutsche Bank Aktiengesellschaft initiated coverage on Lumentum in a report on Monday, August 31st. They set a “buy” rating and a $1,200.00 target price for the company. Bank of America cut their price target on shares of Lumentum from $1,100.00 to $1,000.00 and set a “neutral” rating on the stock in a research note on Wednesday, August 12th. Rosenblatt Securities reduced their price target on shares of Lumentum from $1,300.00 to $900.00 and set a “buy” rating on the stock in a research report on Tuesday. Stifel Nicolaus set a $806.00 price objective on shares of Lumentum in a research note on Monday. Finally, Needham & Company LLC lowered their price objective on shares of Lumentum from $1,040.00 to $800.00 and set a “buy” rating for the company in a research note on Tuesday. Two research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $1,046.54.

Insider Buying and Selling at Lumentum

In related news, insider Yuen Wupen sold 307 shares of Lumentum stock in a transaction on Tuesday, September 29th. The stock was sold at an average price of $945.00, for a total value of $290,115.00. Following the completion of the transaction, the insider directly owned 108,320 shares in the company, valued at approximately $102,362,400. This trade represents a 0.28% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Wajid Ali sold 24,542 shares of the business’s stock in a transaction on Thursday, October 1st. The stock was sold at an average price of $1,048.50, for a total value of $25,732,287.00. Following the transaction, the chief financial officer directly owned 75,074 shares of the company’s stock, valued at $78,715,089. The trade was a 24.64% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 94,496 shares of company stock worth $85,978,498. Insiders own 0.28% of the company’s stock.

Key Lumentum News

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Lumentum beat fiscal Q1 earnings expectations, reporting $4.57 per share versus the $4.22 consensus, on $1.26 billion in revenue. Its Q2 guidance was also stronger than expected: $1.6 billion in revenue and EPS of $5.90–$6.20, versus analyst estimates of $1.5 billion and $4.98, respectively. Lumentum beats Q1 earnings and revenue estimates
• Positive Sentiment: The Marvell transaction could combine Lumentum’s optical components with Marvell’s chips and networking technology, positioning the companies to compete for growing AI data-center connectivity demand. A report also says Nvidia’s CEO approved the deal, potentially signaling strategic support from a major AI player. Marvell’s proposed Lumentum buyout and the AI infrastructure boom Nvidia CEO reportedly gave approval
• Neutral Sentiment: The proposed deal exchanges each Lumentum share for 4.5 Marvell shares. Because the consideration is stock, its value can fluctuate with Marvell’s share price, adding uncertainty while the transaction proceeds. Marvell and Lumentum transaction announcement
• Negative Sentiment: Deal skepticism is weighing on the shares: investors have criticized the offer, and the selloff in both companies has reduced the stock-based offer’s value. Investors also worry about valuation, dilution and whether Lumentum shareholders receive enough upside from the combined company. Shareholders criticize the merger offer
• Negative Sentiment: Analyst caution adds pressure: TD Cowen cut its price target to $685 and kept a Hold rating, while B. Riley downgraded Lumentum to Neutral and sharply reduced its target. Law firms are also investigating whether the proposed sale is fair to shareholders, though the announcements do not establish wrongdoing. Merger doubts and risks

About Lumentum

Lumentum Holdings Inc is a technology company that designs and manufactures optical and photonic products for communications networks, industrial applications, and consumer electronics. Its portfolio includes optical components, modules, and subsystems used in fiber-optic networks, data centers, cloud computing infrastructure, telecommunications equipment, and high-speed connectivity systems.

The company also develops laser products for applications such as industrial processing, sensing, three-dimensional imaging, and other specialized commercial and consumer uses.