Plato Investment Management Ltd Buys Shares of 1,118 Lumentum Holdings Inc. $LITE

Plato Investment Management Ltd bought a new position in Lumentum Holdings Inc. (NASDAQ:LITE) in the 2nd quarter, Holdings Channel reports. The firm bought 1,118 shares of the technology company’s stock, valued at approximately $954,000.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Roman Butler Fullerton & Co. purchased a new position in shares of Lumentum during the second quarter valued at $701,000. Simplicity Wealth LLC purchased a new stake in Lumentum in the second quarter worth about $242,000. HBK Sorce Advisory LLC purchased a new stake in Lumentum in the second quarter worth about $232,000. Global Retirement Partners LLC bought a new position in Lumentum during the 2nd quarter worth about $4,192,000. Finally, 1ST Source Bank bought a new position in Lumentum during the 2nd quarter worth about $203,000. Institutional investors own 94.05% of the company’s stock.

Insider Activity

In related news, Director Isaac Hosojiro Harris sold 4,000 shares of the stock in a transaction that occurred on Friday, May 29th. The shares were sold at an average price of $860.00, for a total transaction of $3,440,000.00. Following the completion of the sale, the director owned 8,400 shares of the company’s stock, valued at $7,224,000. This represents a 32.26% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Vincent Retort sold 3,183 shares of the firm’s stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $909.43, for a total transaction of $2,894,715.69. Following the completion of the sale, the insider owned 114,495 shares of the company’s stock, valued at approximately $104,125,187.85. This trade represents a 2.70% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 14,919 shares of company stock worth $13,293,529 in the last quarter. 0.43% of the stock is currently owned by corporate insiders.

Key Lumentum News

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: AI-driven growth remains the bullish case. Lumentum’s exposure to optical components used in AI data-center networks, along with expectations for rising margins and stronger fiscal 2027 earnings, continues to support the long-term growth narrative. Lumentum Stock Is Overvalued at 11.4X P/S: Should You Still Buy It?
• Positive Sentiment: Broker sentiment remains constructive. Analysts collectively assign Lumentum an average “Moderate Buy” rating, providing ongoing support despite the recent volatility. Lumentum Receives Average Rating of Moderate Buy
• Neutral Sentiment: Valuation is a central debate. At approximately 11.4 times sales, Lumentum trades at a demanding multiple after substantial multi-year gains. While a discounted-cash-flow analysis indicates potential upside, market-based valuation measures suggest the stock may already reflect considerable optimism. Lumentum Stock Looks Fully Priced Despite Cash Flow Upside
• Negative Sentiment: Risk aversion is weighing on optics stocks. Reports concerning Anthropic and a Wall Street Journal article have triggered a selloff across AI hardware names, with Lumentum among the affected optics companies. The move indicates investors are taking profits and questioning near-term AI spending or demand expectations. Optics Stocks Drop on Anthropic News
• Negative Sentiment: The recent rally has increased downside sensitivity. Lumentum had rallied alongside Coherent and AXT after indium phosphide price hikes, but the reversal shows how quickly sentiment can change when sector-wide AI concerns emerge. Optics Stocks Rally on Indium Phosphide Price Hikes

Lumentum Price Performance

LITE opened at $873.31 on Wednesday. The business’s 50-day moving average is $811.58 and its two-hundred day moving average is $783.10. Lumentum Holdings Inc. has a 1 year low of $111.20 and a 1 year high of $1,085.68. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.68 and a quick ratio of 1.40. The firm has a market capitalization of $67.94 billion, a PE ratio of -10.62 and a beta of 1.50.

Lumentum (NASDAQ:LITE) last announced its earnings results on Tuesday, August 11th. The technology company reported $3.23 EPS for the quarter, topping 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 negative net margin of 230.15% and a positive return on equity of 26.34%. The firm’s revenue was up 109.3% on a year-over-year basis. During the same period in the previous year, the company posted $0.88 earnings per share. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Research analysts anticipate that Lumentum Holdings Inc. will post 16.97 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of research analysts have commented on the stock. Rosenblatt Securities reissued a “buy” rating and set a $1,300.00 target price on shares of Lumentum in a research report on Wednesday, August 12th. Loop Capital upped their price target on shares of Lumentum from $900.00 to $1,400.00 and gave the stock a “buy” rating in a research report on Tuesday, May 5th. UBS Group set a $820.00 price objective on shares of Lumentum in a research note on Wednesday, August 12th. Bank of America cut their price objective on shares of Lumentum from $1,100.00 to $1,000.00 and set a “neutral” rating on the stock in a report on Wednesday, August 12th. Finally, Northland Securities boosted their price objective on shares of Lumentum from $1,000.00 to $1,200.00 and gave the stock an “outperform” rating in a research note on Wednesday, June 3rd. Thirteen investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $1,044.67.

Lumentum 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.