Key Points
- Lumentum SVP Jae Kim sold 1,904 shares for approximately $1.58 million at an average price of $827.82. The Rule 10b5-1 transaction was intended to cover tax withholding on vested equity awards, reducing Kim’s stake by 4.33%.
- Lumentum reported a strong quarter, with $3.23 in EPS and $1.01 billion in revenue, exceeding estimates. Revenue rose 109.3% year over year, and the company issued first-quarter fiscal 2027 EPS guidance of $4.05 to $4.35.
- Analyst sentiment remains favorable, with a “Moderate Buy” consensus rating and an average price target of $1,044.67, though some analysts cite valuation concerns after the stock’s sharp rally and proximity to its 52-week high.
Lumentum Holdings Inc. (NASDAQ:LITE - Get Free Report) insider Yuen Wupen sold 500 shares of the business's stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $898.15, for a total transaction of $449,075.00. Following the completion of the transaction, the insider directly owned 93,229 shares of the company's stock, valued at approximately $83,733,626.35. This represents a 0.53% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 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.
Yuen Wupen also recently made the following trade(s):
- On Thursday, August 20th, Yuen Wupen sold 1,500 shares of Lumentum stock. The stock was sold at an average price of $827.82, for a total transaction of $1,241,730.00.
Lumentum Trading Down 1.4%
Shares of Lumentum stock opened at $866.71 on Friday. Lumentum Holdings Inc. has a fifty-two week low of $115.89 and a fifty-two week high of $1,085.68. The business's fifty day moving average is $809.76 and its two-hundred day moving average is $790.21. The company has a quick ratio of 1.40, a current ratio of 1.68 and a debt-to-equity ratio of 0.01. The firm has a market cap of $77.74 billion, a PE ratio of -10.54 and a beta of 1.50.
Lumentum (NASDAQ:LITE - Get Free Report) last announced its quarterly earnings data on Tuesday, August 11th. The technology company reported $3.23 EPS for the quarter, beating analysts' consensus estimates of $2.97 by $0.26. The business had revenue of $1.01 billion during the quarter, compared to the consensus estimate of $987.70 million. Lumentum had a positive return on equity of 26.34% and a negative net margin of 230.15%.The business's revenue for the quarter was up 109.3% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.88 earnings per share. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Analysts anticipate that Lumentum Holdings Inc. will post 19.76 earnings per share for the current year.
Wall Street Analysts Forecast Growth
LITE has been the topic of several research analyst reports. Weiss Ratings cut shares of Lumentum from a "hold (c-)" rating to a "sell (d-)" rating in a research report on Wednesday. Citigroup reaffirmed a "buy" rating on shares of Lumentum in a research note on Wednesday, August 12th. Jefferies Financial Group reissued a "buy" rating and set a $1,200.00 price objective on shares of Lumentum in a research note on Wednesday, May 6th. Needham & Company LLC reaffirmed a "buy" rating and issued a $1,040.00 target price on shares of Lumentum in a research report on Wednesday, August 12th. Finally, Stifel Nicolaus boosted their price target on Lumentum from $800.00 to $1,100.00 and gave the company a "buy" rating in a research report on Tuesday, May 5th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $1,044.67.
Check Out Our Latest Stock Analysis on LITE
More Lumentum News
Here are the key news stories impacting Lumentum this week:
- Positive Sentiment: Northland Securities raised its Lumentum earnings forecasts substantially. The firm lifted its FY2027 EPS estimate to $19.81 from $14.97, with quarterly estimates now ranging from $3.81 in Q1 to $6.20 in Q4. Northland maintained an “Outperform” rating and a $1,200 price target, supporting the bullish case for continued earnings growth. Northland Securities analyst estimate report
- Positive Sentiment: Lumentum is being highlighted as an AI-infrastructure beneficiary. Analysts and financial publications point to rising demand for optical networking equipment as data centers expand to support artificial intelligence workloads. Lumentum is positioned across the optics and networking portions of that buildout. Beyond Chipmakers: 4 Stocks to Buy That Power AI Data Center Expansion
- Positive Sentiment: LITE was added to Zacks’ Rank #1 momentum-stock list. The designation may attract momentum-oriented investors and reinforces the stock’s strong recent performance. Best Momentum Stocks to Buy for August 21st
- Neutral Sentiment: A report on data-center construction emphasized the enormous fiber requirements of new AI facilities, a potential long-term demand driver for optical-component suppliers such as Lumentum. However, the article provided limited company-specific financial updates. A Single Meta Data Center Will Require “8 Million Miles of Fiber”
- Negative Sentiment: Valuation concerns could be limiting further upside. A Seeking Alpha analysis characterized Lumentum as increasingly expensive after its sharp rally. With the shares near their 52-week high and the company still reporting a negative net margin, some investors may be taking profits despite the favorable growth outlook. Lumentum: It’s Getting Expensive
Hedge Funds Weigh In On Lumentum
Hedge funds and other institutional investors have recently made changes to their positions in the business. Three Seasons Wealth LLC boosted its position in Lumentum by 251.2% during the 2nd quarter. Three Seasons Wealth LLC now owns 4,502 shares of the technology company's stock worth $3,863,000 after purchasing an additional 3,220 shares during the period. SMART Wealth LLC lifted its stake in shares of Lumentum by 74.0% during the second quarter. SMART Wealth LLC now owns 3,258 shares of the technology company's stock worth $2,796,000 after purchasing an additional 1,386 shares in the last quarter. TD Waterhouse Canada Inc. lifted its stake in shares of Lumentum by 150.4% during the second quarter. TD Waterhouse Canada Inc. now owns 27,429 shares of the technology company's stock worth $21,978,000 after purchasing an additional 16,477 shares in the last quarter. Concurrent Investment Advisors LLC boosted its position in shares of Lumentum by 6.6% in the second quarter. Concurrent Investment Advisors LLC now owns 4,388 shares of the technology company's stock worth $3,765,000 after buying an additional 270 shares during the period. Finally, NEOS Investment Management LLC grew its stake in shares of Lumentum by 416.9% in the second quarter. NEOS Investment Management LLC now owns 53,187 shares of the technology company's stock valued at $45,638,000 after buying an additional 42,897 shares in the last quarter. Institutional investors and hedge funds own 94.05% of the company's stock.
About Lumentum
(
Get Free Report)
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.
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