Wall Street Zen Downgrades Lumentum (NASDAQ:LITE) to Hold

by · The Markets Daily

Lumentum (NASDAQ:LITE – Get Free Report) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research note issued to investors on Monday.

A number of other research firms have also recently commented on LITE. Citigroup assumed coverage on shares of Lumentum in a research note on Friday, August 29th. They issued a “buy” rating and a $165.00 target price for the company. Susquehanna lifted their target price on shares of Lumentum to $125.00 and gave the stock a “positive” rating in a research note on Tuesday, August 12th. Raymond James Financial lifted their target price on shares of Lumentum from $125.00 to $145.00 and gave the stock a “strong-buy” rating in a research note on Wednesday, August 13th. Rosenblatt Securities reiterated a “buy” rating and issued a $150.00 target price on shares of Lumentum in a research note on Thursday, August 14th. Finally, Wolfe Research started coverage on shares of Lumentum in a research note on Tuesday, August 12th. They issued an “outperform” rating for the company. Two research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Lumentum currently has an average rating of “Moderate Buy” and an average target price of $128.00.

Check Out Our Latest Stock Report on LITE

Lumentum Stock Up 1.3%

NASDAQ:LITE opened at $170.90 on Monday. Lumentum has a fifty-two week low of $45.65 and a fifty-two week high of $171.87. The stock has a market capitalization of $11.95 billion, a P/E ratio of 743.04 and a beta of 1.42. The company has a debt-to-equity ratio of 2.26, a quick ratio of 3.18 and a current ratio of 4.37. The company’s 50-day simple moving average is $120.51 and its 200-day simple moving average is $87.96.

Lumentum (NASDAQ:LITE – Get Free Report) last released its earnings results on Tuesday, August 12th. The technology company reported $0.88 EPS for the quarter, topping analysts’ consensus estimates of $0.79 by $0.09. The company had revenue of $480.70 million during the quarter, compared to analysts’ expectations of $465.27 million. Lumentum had a net margin of 1.57% and a negative return on equity of 3.02%. Lumentum’s revenue for the quarter was up 55.9% on a year-over-year basis. During the same period last year, the business earned $0.06 EPS. Lumentum has set its Q1 2026 guidance at 0.950-1.100 EPS. On average, equities analysts anticipate that Lumentum will post 0.03 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Yuen Wupen sold 3,282 shares of Lumentum stock in a transaction that occurred on Monday, August 25th. The shares were sold at an average price of $119.25, for a total transaction of $391,378.50. Following the completion of the transaction, the insider directly owned 104,554 shares of the company’s stock, valued at $12,468,064.50. The trade was a 3.04% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Alan S. Lowe sold 20,000 shares of Lumentum stock in a transaction that occurred on Thursday, June 26th. The shares were sold at an average price of $93.47, for a total transaction of $1,869,400.00. Following the transaction, the director directly owned 230,471 shares of the company’s stock, valued at approximately $21,542,124.37. This trade represents a 7.98% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 61,687 shares of company stock worth $6,628,952. 0.19% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Lumentum

Several institutional investors have recently made changes to their positions in the company. MAI Capital Management increased its holdings in shares of Lumentum by 27.0% during the 2nd quarter. MAI Capital Management now owns 452 shares of the technology company’s stock valued at $43,000 after purchasing an additional 96 shares in the last quarter. Louisiana State Employees Retirement System increased its holdings in Lumentum by 0.5% in the 2nd quarter. Louisiana State Employees Retirement System now owns 19,500 shares of the technology company’s stock worth $1,854,000 after acquiring an additional 100 shares in the last quarter. Thrivent Financial for Lutherans increased its holdings in Lumentum by 0.7% in the 2nd quarter. Thrivent Financial for Lutherans now owns 16,340 shares of the technology company’s stock worth $1,553,000 after acquiring an additional 115 shares in the last quarter. Bessemer Group Inc. increased its holdings in Lumentum by 5.8% in the 2nd quarter. Bessemer Group Inc. now owns 2,473 shares of the technology company’s stock worth $234,000 after acquiring an additional 136 shares in the last quarter. Finally, Keynote Financial Services LLC increased its holdings in Lumentum by 1.8% in the 2nd quarter. Keynote Financial Services LLC now owns 8,396 shares of the technology company’s stock worth $798,000 after acquiring an additional 148 shares in the last quarter. 94.05% of the stock is owned by hedge funds and other institutional investors.

About Lumentum

(Get Free Report)

Lumentum Holdings Inc manufactures and sells optical and photonic products in the Americas, the Asia-Pacific, Europe, the Middle East, and Africa. The company operates through two segments: Optical Communications (OpComms) and Commercial Lasers (Lasers). The OpComms segment offers components, modules, and subsystems that enable the transmission and transport of video, audio, and data over high-capacity fiber optic cables.

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