Lumentum (NASDAQ:LITE) Updates Q3 2026 Earnings Guidance

Lumentum (NASDAQ:LITE) updated its third quarter 2026 earnings guidance on Tuesday. The company provided EPS guidance of 2.150-2.350 for the period, compared to the consensus EPS estimate of 1.390. The company issued revenue guidance of $780.0 million-$830.0 million, compared to the consensus revenue estimate of $701.6 million.

Analysts Set New Price Targets

A number of equities analysts have commented on the company. Barclays set a $475.00 price objective on Lumentum in a research note on Thursday. Citigroup raised their price target on Lumentum from $240.00 to $450.00 and gave the stock a “buy” rating in a research report on Friday, January 23rd. Wolfe Research reaffirmed an “outperform” rating and set a $240.00 price objective on shares of Lumentum in a research report on Wednesday, November 5th. B. Riley raised shares of Lumentum from a “neutral” rating to a “buy” rating and raised their target price for the company from $147.00 to $526.00 in a report on Wednesday. Finally, Rosenblatt Securities boosted their target price on shares of Lumentum to $580.00 and gave the company a “buy” rating in a research report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Lumentum presently has a consensus rating of “Moderate Buy” and a consensus price target of $416.13.

Lumentum Trading Up 6.3%

NASDAQ:LITE traded up $29.53 during mid-day trading on Thursday, hitting $495.07. 4,435,045 shares of the company’s stock were exchanged, compared to its average volume of 5,033,980. The firm has a market capitalization of $35.10 billion, a P/E ratio of 151.68 and a beta of 1.51. The company has a 50 day simple moving average of $359.23 and a 200-day simple moving average of $232.54. The company has a current ratio of 1.37, a quick ratio of 1.02 and a debt-to-equity ratio of 2.77. Lumentum has a fifty-two week low of $45.65 and a fifty-two week high of $504.58.

Lumentum (NASDAQ:LITE) last released its quarterly earnings results on Tuesday, February 3rd. The technology company reported $1.67 EPS for the quarter, beating analysts’ consensus estimates of $1.41 by $0.26. Lumentum had a return on equity of 16.88% and a net margin of 11.95%.The firm had revenue of $665.50 million for the quarter, compared to analyst estimates of $646.74 million. During the same quarter in the previous year, the company posted $0.42 EPS. The business’s revenue was up 65.5% on a year-over-year basis. Lumentum has set its Q3 2026 guidance at 2.150-2.350 EPS. As a group, research analysts expect that Lumentum will post 0.03 earnings per share for the current year.

Insider Transactions at Lumentum

In other news, Director Pamela Fletcher sold 3,421 shares of the business’s stock in a transaction dated Wednesday, November 19th. The stock was sold at an average price of $273.53, for a total value of $935,746.13. Following the transaction, the director directly owned 10,561 shares of the company’s stock, valued at $2,888,750.33. The trade was a 24.47% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CAO Matthew Joseph Sepe sold 4,232 shares of the stock in a transaction on Friday, November 7th. The stock was sold at an average price of $239.63, for a total transaction of $1,014,114.16. Following the transaction, the chief accounting officer directly owned 43,544 shares in the company, valued at approximately $10,434,448.72. This represents a 8.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 28,612 shares of company stock worth $7,317,398. Corporate insiders own 0.43% of the company’s stock.

Lumentum News Summary

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Q2 results and outlook — Lumentum posted a large beat (revenue +65.5% Y/Y; EPS $1.67 vs. $1.41 est.) and expanded margins; management gave Q3 guidance (EPS $2.15–2.35; revenue $780–830M) well above Street expectations, which materially lifts near-term earnings visibility. Read More.
• Positive Sentiment: Analyst upgrades and price-target raises — Multiple firms raised ratings and targets (examples: Mizuho, Rosenblatt, Stifel, Bank of America reported higher targets), citing stronger results and AI/data-center demand as new growth drivers. Upgrades helped push the stock to fresh highs. Read More.
• Positive Sentiment: Zacks / B. Riley coverage — Zacks moved LITE to a #1 (Strong Buy) and B. Riley issued an upgrade, reinforcing buy-side momentum after the quarter. Read More. · Read More.
• Positive Sentiment: Institutional recognition — Fidelity highlighted Lumentum in its Growth Strategies commentary, signaling interest from fundamental growth-focused managers. Read More.
• Neutral Sentiment: Detailed disclosures and management color — Earnings-call and slide-deck transcripts provide further detail on product mix (components and systems both contributing) and AI-driven demand; these help validate the beat but require monitoring for sustainability. Read More.
• Neutral Sentiment: Mixed analyst stance — while many shops raised targets, a few (e.g., Bank of America) kept neutral ratings even while raising targets, indicating some firms see upside but remain cautious on valuation or execution risk. Read More.

Institutional Trading of Lumentum

A number of institutional investors and hedge funds have recently modified their holdings of the business. Arrowstreet Capital Limited Partnership grew its stake in Lumentum by 8,579.2% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,563,210 shares of the technology company’s stock valued at $254,350,000 after purchasing an additional 1,545,199 shares during the period. Voloridge Investment Management LLC boosted its holdings in shares of Lumentum by 107.5% in the 3rd quarter. Voloridge Investment Management LLC now owns 644,194 shares of the technology company’s stock worth $104,817,000 after buying an additional 333,734 shares during the last quarter. Freestone Grove Partners LP grew its position in Lumentum by 809.5% during the third quarter. Freestone Grove Partners LP now owns 261,224 shares of the technology company’s stock valued at $42,504,000 after buying an additional 232,503 shares during the period. Meridiem Capital Partners LP bought a new position in Lumentum during the second quarter valued at about $18,089,000. Finally, Legal & General Group Plc increased its holdings in Lumentum by 132.0% during the third quarter. Legal & General Group Plc now owns 269,820 shares of the technology company’s stock worth $43,902,000 after buying an additional 153,532 shares during the last quarter. 94.05% of the stock is owned by hedge funds and other institutional investors.

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.