Lumentum (NASDAQ:LITE) Trading Down 7.8% – Here’s What Happened

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) were down 7.8% during mid-day trading on Tuesday . The stock traded as low as $892.00 and last traded at $882.7310. Approximately 1,335,888 shares were traded during trading, a decline of 78% from the average daily volume of 5,959,113 shares. The stock had previously closed at $957.24.

Analyst Ratings Changes

Several equities research analysts have issued reports on LITE shares. JPMorgan Chase & Co. lifted their price objective on Lumentum from $950.00 to $1,130.00 and gave the stock an “overweight” rating in a report on Wednesday, May 6th. Jefferies Financial Group reiterated a “buy” rating and issued a $1,200.00 target price on shares of Lumentum in a research report on Wednesday, May 6th. Loop Capital lifted their target price on Lumentum from $900.00 to $1,400.00 and gave the stock a “buy” rating in a research report on Tuesday, May 5th. Needham & Company LLC reiterated a “buy” rating and issued a $1,040.00 target price on shares of Lumentum in a research report on Tuesday, June 9th. Finally, BNP Paribas Exane raised their target price on Lumentum from $1,040.00 to $1,300.00 in a research note 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 given a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $1,021.95.

Lumentum Stock Down 0.6%

The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.97 and a current ratio of 1.14. The stock has a 50 day moving average price of $903.17 and a 200 day moving average price of $644.68. The company has a market cap of $67.68 billion, a P/E ratio of 161.11 and a beta of 1.47.

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

Insider Activity

In related news, insider Yuen Wupen sold 3,210 shares of the company’s stock in a transaction on Monday, May 18th. The stock was sold at an average price of $953.95, for a total transaction of $3,062,179.50. Following the transaction, the insider directly owned 81,488 shares of the company’s stock, valued at approximately $77,735,477.60. The trade was a 3.79% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 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. Also, Director Brian Lillie sold 11,951 shares of the company’s stock in a transaction on Monday, May 11th. The shares were sold at an average price of $981.64, for a total value of $11,731,579.64. Following the transaction, the director directly owned 13,959 shares in the company, valued at $13,702,712.76. The trade was a 46.13% decrease in their ownership of the stock. 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. Insiders sold 41,260 shares of company stock valued at $38,859,220 in the last ninety days. Corporate insiders own 0.43% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of LITE. Advisors Asset Management Inc. boosted its stake in shares of Lumentum by 36.8% during the 1st quarter. Advisors Asset Management Inc. now owns 945 shares of the technology company’s stock worth $59,000 after acquiring an additional 254 shares in the last quarter. NewEdge Advisors LLC boosted its stake in Lumentum by 109.9% during the 1st quarter. NewEdge Advisors LLC now owns 11,986 shares of the technology company’s stock valued at $747,000 after purchasing an additional 6,275 shares during the period. Empowered Funds LLC boosted its stake in Lumentum by 9.1% during the 1st quarter. Empowered Funds LLC now owns 8,139 shares of the technology company’s stock valued at $507,000 after purchasing an additional 680 shares during the period. Hsbc Holdings PLC bought a new stake in Lumentum during the 2nd quarter valued at approximately $298,000. Finally, Arrowstreet Capital Limited Partnership bought a new stake in Lumentum during the 2nd quarter valued at approximately $1,712,000. Hedge funds and other institutional investors own 94.05% of the company’s stock.

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.