Lumentum (NASDAQ:LITE) SVP Jae Kim Sells 1,366 Shares

Lumentum Holdings Inc. (NASDAQ:LITE) SVP Jae Kim sold 1,366 shares of the company’s stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $909.43, for a total transaction of $1,242,281.38. Following the completion of the sale, the senior vice president directly owned 45,973 shares of the company’s stock, valued at $41,809,225.39. This trade represents a 2.89% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. 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.

Lumentum Trading Down 9.9%

Shares of NASDAQ:LITE traded down $95.59 on Tuesday, reaching $873.31. 5,992,989 shares of the company traded hands, compared to its average volume of 5,176,457. The stock has a market capitalization of $67.94 billion, a P/E ratio of -10.62 and a beta of 1.50. The business’s 50-day simple moving average is $811.58 and its 200 day simple moving average is $783.10. 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 Holdings Inc. has a 52 week low of $111.20 and a 52 week high of $1,085.68.

Lumentum (NASDAQ:LITE) last issued its earnings results on Tuesday, August 11th. The technology company reported $3.23 earnings per share for the quarter, beating the consensus estimate of $2.97 by $0.26. The company had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $987.70 million. Lumentum had a positive return on equity of 26.34% and a negative net margin of 230.15%.Lumentum’s quarterly revenue was up 109.3% compared to the same quarter last year. During the same period in the prior year, the business posted $0.88 EPS. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. As a group, equities analysts anticipate that Lumentum Holdings Inc. will post 16.97 EPS for the current fiscal year.

Key Stories Impacting Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: AI-driven growth remains the bullish case. Lumentum’s exposure to optical components used in AI data-center networks, along with expectations for rising margins and stronger fiscal 2027 earnings, continues to support the long-term growth narrative. Lumentum Stock Is Overvalued at 11.4X P/S: Should You Still Buy It?
• Positive Sentiment: Broker sentiment remains constructive. Analysts collectively assign Lumentum an average “Moderate Buy” rating, providing ongoing support despite the recent volatility. Lumentum Receives Average Rating of Moderate Buy
• Neutral Sentiment: Valuation is a central debate. At approximately 11.4 times sales, Lumentum trades at a demanding multiple after substantial multi-year gains. While a discounted-cash-flow analysis indicates potential upside, market-based valuation measures suggest the stock may already reflect considerable optimism. Lumentum Stock Looks Fully Priced Despite Cash Flow Upside
• Negative Sentiment: Risk aversion is weighing on optics stocks. Reports concerning Anthropic and a Wall Street Journal article have triggered a selloff across AI hardware names, with Lumentum among the affected optics companies. The move indicates investors are taking profits and questioning near-term AI spending or demand expectations. Optics Stocks Drop on Anthropic News
• Negative Sentiment: The recent rally has increased downside sensitivity. Lumentum had rallied alongside Coherent and AXT after indium phosphide price hikes, but the reversal shows how quickly sentiment can change when sector-wide AI concerns emerge. Optics Stocks Rally on Indium Phosphide Price Hikes

Analyst Upgrades and Downgrades

A number of research firms have commented on LITE. Stifel Nicolaus upped their price target on Lumentum from $800.00 to $1,100.00 and gave the company a “buy” rating in a research report on Tuesday, May 5th. BNP Paribas Exane lifted their price objective on Lumentum from $1,040.00 to $1,300.00 in a research report on Wednesday, May 6th. B. Riley Financial reissued a “buy” rating on shares of Lumentum in a research note on Friday, May 1st. Craig Hallum upped their target price on Lumentum from $900.00 to $1,150.00 in a report on Wednesday, May 6th. Finally, TD Cowen raised their price target on Lumentum from $800.00 to $820.00 and gave the stock a “hold” rating in a research note on Wednesday, August 12th. Thirteen research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $1,044.67.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. Hilton Head Capital Partners LLC bought a new position in shares of Lumentum in the 1st quarter worth approximately $25,000. Sachetta LLC grew its stake in Lumentum by 118.8% in the first quarter. Sachetta LLC now owns 35 shares of the technology company’s stock worth $25,000 after purchasing an additional 19 shares during the period. Truvestments Capital LLC grew its stake in Lumentum by 300.0% in the fourth quarter. Truvestments Capital LLC now owns 76 shares of the technology company’s stock worth $28,000 after purchasing an additional 57 shares during the period. Triumph Capital Management bought a new position in Lumentum in the fourth quarter worth $30,000. Finally, Danske Bank A S bought a new position in Lumentum in the third quarter worth $33,000. 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.