Lumentum (NASDAQ:LITE) Stock Price Down 4.4% – Here’s Why

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) traded down 4.4% during trading on Tuesday . The stock traded as low as $680.43 and last traded at $698.91. Approximately 3,655,151 shares were traded during trading, a decline of 38% from the average session volume of 5,939,536 shares. The stock had previously closed at $731.25.

Analyst Ratings Changes

LITE has been the topic of several recent analyst reports. Mizuho set a $1,100.00 target price on shares of Lumentum in a research note on Wednesday, May 6th. Susquehanna lifted their target price on Lumentum from $550.00 to $1,100.00 and gave the company a “positive” rating in a research note on Monday, April 20th. Loop Capital upped their target price on Lumentum from $900.00 to $1,400.00 and gave the company a “buy” rating in a report on Tuesday, May 5th. Barclays increased their price target on shares of Lumentum from $750.00 to $1,000.00 and gave the stock an “equal weight” rating in a research report on Wednesday, May 6th. Finally, TD Cowen boosted their price objective on shares of Lumentum from $875.00 to $995.00 and gave the company a “hold” rating in a research report on Wednesday, May 6th. One research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $1,021.95.

Lumentum Stock Performance

The company has a market cap of $54.38 billion, a P/E ratio of 129.43 and a beta of 1.48. 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 stock’s 50-day moving average price is $890.24 and its 200 day moving average price is $689.17.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings data on Tuesday, May 5th. The technology company reported $2.37 earnings per share for the quarter, topping the consensus estimate of $2.27 by $0.10. The business had revenue of $808.40 million during the quarter, compared to analysts’ expectations of $810.21 million. Lumentum had a return on equity of 24.81% and a net margin of 17.61%.The firm’s revenue was up 90.1% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.57 EPS. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. As a group, research analysts expect that Lumentum Holdings Inc. will post 6.4 EPS for the current fiscal year.

Insider Activity at Lumentum

In related news, Director Isaac Hosojiro Harris sold 4,000 shares of the firm’s stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $860.00, for a total value of $3,440,000.00. Following the transaction, the director owned 8,400 shares in the company, valued at $7,224,000. This trade represents a 32.26% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Brian Lillie sold 11,951 shares of Lumentum stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $981.64, for a total value of $11,731,579.64. Following the completion of the sale, the director owned 13,959 shares of the company’s stock, valued at approximately $13,702,712.76. The trade was a 46.13% 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. Insiders sold 41,260 shares of company stock valued at $38,859,220 in the last three months. 0.43% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Lumentum

Institutional investors and hedge funds have recently modified their holdings of the business. Hilton Head Capital Partners LLC bought a new position in Lumentum in the first quarter valued at approximately $25,000. Sachetta LLC lifted its stake in shares of Lumentum by 118.8% in the 1st 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 bought a new position in shares of Lumentum in the 4th quarter worth $28,000. Truvestments Capital LLC increased its holdings in Lumentum by 300.0% in the fourth quarter. Truvestments Capital LLC now owns 76 shares of the technology company’s stock valued at $28,000 after purchasing an additional 57 shares during the last quarter. Finally, Triumph Capital Management bought a new stake in Lumentum in the fourth quarter valued at about $30,000. 94.05% of the stock is owned by 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.