Lumentum (NASDAQ:LITE) Shares Up 6.2% After Analyst Upgrade

Lumentum Holdings Inc. (NASDAQ:LITE)’s stock price shot up 6.2% during mid-day trading on Thursday after JPMorgan Chase & Co. raised their price target on the stock from $145.00 to $185.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. Lumentum traded as high as $165.52 and last traded at $166.25. 575,269 shares traded hands during mid-day trading, a decline of 79% from the average session volume of 2,766,199 shares. The stock had previously closed at $156.57.

Several other research analysts have also issued reports on LITE. Susquehanna increased their price target on shares of Lumentum to $125.00 and gave the stock a “positive” rating in a research report on Tuesday, August 12th. Barclays increased their price target on shares of Lumentum from $135.00 to $165.00 and gave the stock an “overweight” rating in a research report on Tuesday, September 9th. Morgan Stanley increased their price target on shares of Lumentum from $100.00 to $145.00 and gave the stock an “equal weight” rating in a research report on Friday, October 10th. KGI Securities started coverage on shares of Lumentum in a report on Monday, August 18th. They set an “outperform” rating for the company. Finally, Bank of America raised shares of Lumentum from an “underperform” rating to a “neutral” rating and raised their price objective for the stock from $78.00 to $135.00 in a report on Wednesday, August 13th. Two research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $139.43.

Insider Buying and Selling at Lumentum

In other news, insider Yuen Wupen sold 3,281 shares of the stock in a transaction that occurred on Wednesday, August 27th. The shares were sold at an average price of $124.86, for a total transaction of $409,665.66. Following the sale, the insider directly owned 101,273 shares of the company’s stock, valued at $12,644,946.78. This represents a 3.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Vincent Retort sold 22,719 shares of the stock in a transaction that occurred on Tuesday, July 29th. The shares were sold at an average price of $110.00, for a total transaction of $2,499,090.00. Following the sale, the insider directly owned 121,747 shares in the company, valued at $13,392,170. This trade represents a 15.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 41,687 shares of company stock valued at $4,759,552 over the last three months. Insiders own 0.43% of the company’s stock.

Institutional Trading of Lumentum

Hedge funds have recently modified their holdings of the stock. PointState Capital LP bought a new position in Lumentum in the first quarter valued at approximately $213,503,000. Hood River Capital Management LLC boosted its stake in Lumentum by 82.1% in the second quarter. Hood River Capital Management LLC now owns 2,206,453 shares of the technology company’s stock valued at $209,745,000 after acquiring an additional 994,551 shares during the last quarter. Analog Century Management LP bought a new position in Lumentum in the first quarter valued at approximately $60,348,000. Norges Bank bought a new position in Lumentum in the second quarter valued at approximately $82,983,000. Finally, Channing Capital Management LLC bought a new position in Lumentum in the first quarter valued at approximately $36,715,000. 94.05% of the stock is owned by institutional investors.

Lumentum Trading Up 4.3%

The stock has a market capitalization of $11.57 billion, a P/E ratio of 709.70 and a beta of 1.42. The company has a debt-to-equity ratio of 2.26, a current ratio of 4.37 and a quick ratio of 3.18. The business’s 50 day simple moving average is $146.41 and its 200-day simple moving average is $102.51.

Lumentum (NASDAQ:LITE) last announced its quarterly earnings data on Tuesday, August 12th. The technology company reported $0.88 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.79 by $0.09. Lumentum had a net margin of 1.57% and a negative return on equity of 3.02%. The firm had revenue of $480.70 million for the quarter, compared to analysts’ expectations of $465.27 million. During the same period last year, the firm earned $0.06 earnings per share. The business’s revenue for the quarter was up 55.9% on a year-over-year basis. Lumentum has set its Q1 2026 guidance at 0.950-1.100 EPS. As a group, analysts forecast that Lumentum Holdings Inc. will post 0.03 EPS for the current year.

About Lumentum

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.