Lumentum (NASDAQ:LITE) Shares Up 15.1% – Still a Buy?

Lumentum Holdings Inc. (NASDAQ:LITE) shares rose 15.1% on Thursday . The company traded as high as $698.28 and last traded at $693.24. 5,485,023 shares changed hands during mid-day trading, a decline of 5% from the average daily volume of 5,757,249 shares. The stock had previously closed at $602.35.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on LITE shares. Jefferies Financial Group restated a “buy” rating and issued a $1,200.00 price target on shares of Lumentum in a research report on Wednesday, May 6th. Weiss Ratings reissued a “hold (c)” rating on shares of Lumentum in a research note on Friday, July 17th. Morgan Stanley boosted their price objective on Lumentum from $710.00 to $900.00 and gave the stock an “equal weight” rating in a research note on Wednesday, May 6th. TD Cowen cut their target price on Lumentum from $995.00 to $800.00 and set a “hold” rating for the company in a research note on Monday, July 13th. Finally, Citic Securities lifted their price target on Lumentum from $620.00 to $1,186.00 in a report on Monday, May 11th. Fourteen analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. According to data from MarketBeat, Lumentum has a consensus rating of “Moderate Buy” and a consensus price target of $1,012.67.

Lumentum Stock Up 15.1%

The firm has a 50-day moving average of $831.15 and a two-hundred day moving average of $734.30. The company has a quick ratio of 0.97, a current ratio of 1.14 and a debt-to-equity ratio of 0.01. The company has a market capitalization of $53.93 billion, a PE ratio of 128.38 and a beta of 1.48.

Lumentum (NASDAQ:LITE) last posted its earnings results on Tuesday, May 5th. The technology company reported $2.37 EPS for the quarter, beating analysts’ consensus estimates of $2.27 by $0.10. Lumentum had a return on equity of 24.81% and a net margin of 17.61%.The company had revenue of $808.40 million for the quarter, compared to the consensus estimate of $810.21 million. During the same quarter in the previous year, the business earned $0.57 earnings per share. The company’s revenue for the quarter was up 90.1% on a year-over-year basis. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. Equities research analysts predict that Lumentum Holdings Inc. will post 6.42 earnings per share for the current fiscal year.

Insider Transactions at Lumentum

In related news, Director Isaac Hosojiro Harris sold 1,416 shares of the business’s stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $1,000.08, for a total value of $1,416,113.28. Following the sale, the director directly owned 6,984 shares in the company, valued at approximately $6,984,558.72. The trade was a 16.86% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Wajid Ali sold 2,487 shares of the company’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $953.95, for a total transaction of $2,372,473.65. Following the completion of the transaction, the chief financial officer directly owned 60,951 shares in the company, valued at $58,144,206.45. The trade was a 3.92% decrease in their position. The SEC filing for this sale provides additional information. 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. Insiders sold 41,260 shares of company stock worth $38,859,220 in the last 90 days. Insiders own 0.43% of the company’s stock.

Hedge Funds Weigh In On Lumentum

Several large investors have recently made changes to their positions in LITE. Hilton Head Capital Partners LLC purchased a new position in shares of Lumentum during the 1st quarter worth approximately $25,000. Sachetta LLC raised its position in Lumentum by 118.8% in the first quarter. Sachetta LLC now owns 35 shares of the technology company’s stock valued at $25,000 after purchasing an additional 19 shares during the period. V Square Quantitative Management LLC acquired a new position in Lumentum during the fourth quarter worth $28,000. Truvestments Capital LLC lifted its stake in Lumentum by 300.0% during the fourth quarter. Truvestments Capital LLC now owns 76 shares of the technology company’s stock worth $28,000 after purchasing an additional 57 shares in the last quarter. Finally, Triumph Capital Management acquired a new position in Lumentum during the fourth quarter worth $30,000. 94.05% of the stock is currently owned by institutional investors and hedge funds.

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.