Lumentum (NASDAQ:LITE) Price Target Raised to $595.00 at Morgan Stanley

Lumentum (NASDAQ:LITE) had its price target increased by Morgan Stanley to $595.00 in a report released on Wednesday,Benzinga reports. They currently have an equal weight rating on the technology company’s stock.

A number of other research firms also recently issued reports on LITE. Needham & Company LLC boosted their target price on shares of Lumentum to $850.00 and gave the company a “buy” rating in a research report on Wednesday, March 4th. Northland Securities set a $350.00 price target on shares of Lumentum in a report on Wednesday, December 3rd. Susquehanna lifted their price target on shares of Lumentum to $550.00 and gave the company a “positive” rating in a research note on Wednesday, February 4th. Mizuho upped their price objective on shares of Lumentum to $645.00 and gave the company an “outperform” rating in a report on Tuesday, February 17th. Finally, TD Cowen started coverage on shares of Lumentum in a research report on Thursday, March 12th. They set a “hold” rating and a $675.00 price objective on the stock. Two analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and six have given a Hold rating to the company. According to MarketBeat, Lumentum presently has a consensus rating of “Moderate Buy” and a consensus price target of $575.06.

Lumentum Trading Up 7.9%

NASDAQ LITE opened at $700.81 on Wednesday. The business has a 50 day simple moving average of $526.57 and a 200 day simple moving average of $341.46. Lumentum has a one year low of $45.65 and a one year high of $783.80. The stock has a market capitalization of $50.04 billion, a P/E ratio of 214.97 and a beta of 1.38. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.61 and a quick ratio of 0.45.

Lumentum (NASDAQ:LITE) last issued its earnings results on Tuesday, February 3rd. The technology company reported $1.67 earnings per share for the quarter, topping analysts’ consensus estimates of $1.41 by $0.26. The business had revenue of $665.50 million during the quarter, compared to the consensus estimate of $646.74 million. Lumentum had a return on equity of 17.27% and a net margin of 11.95%.The firm’s revenue for the quarter was up 65.5% on a year-over-year basis. During the same period in the previous year, the company posted $0.42 earnings per share. Lumentum has set its Q3 2026 guidance at 2.150-2.350 EPS. Research analysts expect that Lumentum will post 0.03 earnings per share for the current year.

Insider Buying and Selling at Lumentum

In other news, insider Yuen Wupen sold 3,157 shares of the business’s stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $538.00, for a total transaction of $1,698,466.00. Following the completion of the sale, the insider directly owned 88,439 shares of the company’s stock, valued at $47,580,182. The trade was a 3.45% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Wajid Ali sold 5,302 shares of the company’s stock in a transaction dated Friday, February 27th. The stock was sold at an average price of $691.13, for a total transaction of $3,664,371.26. Following the completion of the sale, the chief financial officer owned 66,287 shares in the company, valued at $45,812,934.31. This represents a 7.41% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 65,775 shares of company stock worth $38,851,343. Corporate insiders own 0.43% of the company’s stock.

Institutional Trading of Lumentum

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. EverSource Wealth Advisors LLC lifted its holdings in shares of Lumentum by 363.9% in the third quarter. EverSource Wealth Advisors LLC now owns 167 shares of the technology company’s stock valued at $27,000 after purchasing an additional 131 shares in the last quarter. V Square Quantitative Management LLC purchased a new stake in Lumentum in the 4th quarter valued at $28,000. Truvestments Capital LLC lifted its stake in Lumentum by 300.0% during the 4th quarter. Truvestments Capital LLC now owns 76 shares of the technology company’s stock valued at $28,000 after acquiring an additional 57 shares in the last quarter. Triumph Capital Management bought a new position in Lumentum during the 4th quarter valued at $30,000. Finally, Danske Bank A S purchased a new position in Lumentum during the 3rd quarter worth $33,000. 94.05% of the stock is owned by institutional investors.

Trending Headlines about Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Lumentum disclosed a long‑term quarterly revenue run‑rate target of $2B and highlighted OFC demonstrations that show scale‑up/scale‑out networking traction, a key growth signal for AI data‑center spending. Lumentum leaps after revealing long‑term quarterly revenue run‑rate of $2B at OFC: Stifel
• Positive Sentiment: Analyst write‑ups highlight new products shown at OFC — a 1.6T DR4 OSFP transceiver and high‑power lasers — and link Lumentum’s roadmap to Nvidia’s multi‑billion optical spend; Seeking Alpha’s piece calls LITE a buy based on upgraded long‑term outlook and strong momentum. Why Lumentum Is A Buy Despite The Run‑Up
• Positive Sentiment: Rosenblatt reaffirmed a “buy” rating and set a $900 price target, signaling upside potential from continued AI/data‑center demand and product execution. Benzinga Rosenblatt note
• Positive Sentiment: Partnership/product integrations: Marvell and Lumentum demonstrated AI‑optimized optical circuit switching integration, reinforcing commercial pathways into hyperscale networking builds. Marvell, Lumentum showcase AI‑optimized optical circuit switching
• Positive Sentiment: Asset managers and industry commentators warn of multi‑year shortages for optical components as AI capex scales, a structural tailwind for suppliers like Lumentum. Multi‑year shortages coming for optical suppliers (T. Rowe Price)
• Neutral Sentiment: Company press releases detail multiple OFC demonstrations (VCSEL scale‑up and other showcases) that support technical credibility but will require customer conversions to fully materialize. Lumentum showcases VCSEL scale‑up demo at OFC
• Neutral Sentiment: Coverage pieces and transcript/slideshow summaries provide color on strategy and product demos but do not add new financials; useful for parsing roadmap execution risk. Lumentum transcript: Illuminating the Networks of Tomorrow
• Negative Sentiment: Morgan Stanley moved LITE to an “equal weight” with a $595 price target, implying downside from current levels and signalling some analyst caution despite product momentum. Benzinga — Morgan Stanley update

Lumentum Company Profile

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.