Lumentum (NASDAQ:LITE) Stock Price Up 5.7% – Time to Buy?

Lumentum Holdings Inc. (NASDAQ:LITE) shares shot up 5.7% during trading on Tuesday. The stock traded as high as $998.88 and last traded at $973.49. Approximately 6,016,155 shares changed hands during mid-day trading, an increase of 9% from the average daily volume of 5,529,987 shares. The stock had previously closed at $921.32.

Analyst Ratings Changes

LITE has been the topic of a number of recent analyst reports. Deutsche Bank Aktiengesellschaft initiated coverage on Lumentum in a report on Monday, August 31st. They set a “buy” rating and a $1,200.00 price objective on the stock. Wolfe Research reissued an “outperform” rating on shares of Lumentum in a report on Friday, August 21st. Zacks Research upgraded shares of Lumentum from a “hold” rating to a “strong-buy” rating in a research report on Thursday, August 20th. JPMorgan Chase & Co. upped their price target on shares of Lumentum from $1,165.00 to $1,280.00 and gave the stock an “overweight” rating in a research note on Wednesday, August 12th. Finally, Mizuho increased their price target on shares of Lumentum from $1,100.00 to $1,140.00 and gave the company an “outperform” rating in a report on Wednesday, August 12th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $1,066.87.

Lumentum Stock Up 5.7%

The stock has a market capitalization of $87.32 billion, a PE ratio of -11.84 and a beta of 1.53. The firm has a 50 day moving average of $865.15 and a two-hundred day moving average of $846.51. The company has a current ratio of 1.68, a quick ratio of 1.40 and a debt-to-equity ratio of 0.01.

Lumentum (NASDAQ:LITE) last issued its quarterly earnings data on Tuesday, August 11th. The technology company reported $3.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.97 by $0.26. Lumentum had a positive return on equity of 26.34% and a negative net margin of 230.15%.The firm had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $987.70 million. During the same period in the previous year, the firm posted $0.88 earnings per share. Lumentum’s revenue was up 109.3% on a year-over-year basis. 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 earnings per share for the current year.

Insider Activity

In related news, insider Yuen Wupen sold 500 shares of the stock in a transaction on Friday, September 25th. The stock was sold at an average price of $935.75, for a total transaction of $467,875.00. Following the sale, the insider owned 109,127 shares of the company’s stock, valued at $102,115,590.25. This trade represents a 0.46% 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. Insiders sold 69,147 shares of company stock valued at $59,481,846 in the last quarter. 0.43% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Lumentum

A number of institutional investors have recently modified their holdings of the company. Envestnet Portfolio Solutions Inc. purchased a new position in shares of Lumentum during the second quarter valued at approximately $337,000. Andra AP fonden acquired a new position in Lumentum in the 2nd quarter valued at $17,504,000. Silicon Valley Capital Partners raised its holdings in Lumentum by 800.0% in the 2nd quarter. Silicon Valley Capital Partners now owns 450 shares of the technology company’s stock valued at $386,000 after acquiring an additional 400 shares during the last quarter. Sequoia Financial Advisors LLC lifted its stake in shares of Lumentum by 36.9% during the 2nd quarter. Sequoia Financial Advisors LLC now owns 2,272 shares of the technology company’s stock worth $1,950,000 after purchasing an additional 612 shares during the period. Finally, Van Hulzen Asset Management LLC purchased a new position in shares of Lumentum during the 2nd quarter worth $644,000. Institutional investors and hedge funds own 94.05% of the company’s stock.

About Lumentum

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.