Lumentum (NASDAQ:LITE) Shares Down 2% – Here’s Why

Lumentum Holdings Inc. (NASDAQ:LITE) dropped 2% on Wednesday. The company traded as low as $1,082.44 and last traded at $1,111.07. Approximately 3,367,625 shares were traded during trading, a decline of 39% from the average session volume of 5,494,736 shares. The stock had previously closed at $1,133.40.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on LITE shares. Bank of America reduced 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. Rosenblatt Securities reiterated a “buy” rating and set a $1,300.00 price target on shares of Lumentum in a research report on Monday. Wolfe Research reissued an “outperform” rating on shares of Lumentum in a research note on Friday, August 21st. Weiss Ratings lowered shares of Lumentum from a “hold (c-)” rating to a “sell (d-)” rating in a report on Wednesday, August 19th. Finally, UBS Group set a $820.00 price objective on shares of Lumentum in a research report on Wednesday, August 12th. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, five have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $1,078.75.

Lumentum Stock Down 2.0%

The company has a market capitalization of $99.66 billion, a PE ratio of -13.52 and a beta of 1.53. The company has a current ratio of 1.68, a quick ratio of 1.40 and a debt-to-equity ratio of 0.01. The business has a fifty day moving average of $898.61 and a 200 day moving average of $863.51.

Lumentum (NASDAQ:LITE) last issued its quarterly earnings results on Tuesday, August 11th. The technology company reported $3.23 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.97 by $0.26. Lumentum had a negative net margin of 230.15% and a positive return on equity of 26.34%. The company had revenue of $1.01 billion for the quarter, compared to analyst estimates of $987.70 million. During the same period in the prior year, the firm earned $0.88 earnings per share. The business’s revenue for the quarter was up 109.3% compared to the same quarter last year. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Equities research analysts anticipate that Lumentum Holdings Inc. will post 19.78 EPS for the current year.

Insider Buying and Selling

In other Lumentum news, CFO Wajid Ali sold 24,542 shares of the firm’s stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $1,048.50, for a total value of $25,732,287.00. Following the completion of the transaction, the chief financial officer owned 75,074 shares of the company’s stock, valued at $78,715,089. This trade represents a 24.64% decrease in their position. The sale was disclosed in a 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 Yuen Wupen sold 307 shares of the firm’s stock in a transaction that occurred on Tuesday, September 29th. The shares were sold at an average price of $945.00, for a total transaction of $290,115.00. Following the completion of the transaction, the insider directly owned 108,320 shares of the company’s stock, valued at $102,362,400. This represents a 0.28% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 94,496 shares of company stock worth $85,978,498. 0.43% of the stock is owned by company insiders.

Institutional Investors Weigh In On Lumentum

Several institutional investors have recently modified their holdings of LITE. Financiere des Professionnels Fonds d investissement inc. acquired a new stake in Lumentum in the first quarter valued at about $2,046,000. Styrax Capital LP increased its position in Lumentum by 3.6% during the 1st quarter. Styrax Capital LP now owns 140,000 shares of the technology company’s stock worth $98,386,000 after purchasing an additional 4,837 shares during the period. Whittier Trust Co. raised its stake in shares of Lumentum by 21,806.5% during the 1st quarter. Whittier Trust Co. now owns 74,044 shares of the technology company’s stock worth $57,183,000 after buying an additional 73,706 shares in the last quarter. Swiss National Bank raised its stake in shares of Lumentum by 47.2% during the 1st quarter. Swiss National Bank now owns 208,015 shares of the technology company’s stock worth $146,185,000 after buying an additional 66,700 shares in the last quarter. Finally, Patton Fund Management Inc. purchased a new position in shares of Lumentum during the 1st quarter worth approximately $5,201,000. 94.05% of the stock is owned by hedge funds and other institutional investors.

Lumentum Company Profile

Lumentum Holdings Inc is a photonics and optical technology company that develops and manufactures products used to transmit, process and manage light. Its solutions support communications networks, data centers, cloud computing infrastructure, industrial applications, and other technology markets that rely on high-speed optical connectivity and precision lasers.

The company’s product portfolio includes optical components and modules for telecommunications and networking, lasers and laser systems, optical amplifiers, wavelength-management products, and photonic subsystems.