Lumentum Holdings Inc. (NASDAQ:LITE) Receives $1,044.67 Consensus Target Price from Analysts

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) have been given a consensus rating of “Moderate Buy” by the twenty research firms that are presently covering the stock, MarketBeat Ratings reports. One research analyst has rated the stock with a sell rating, five have assigned a hold rating, thirteen have issued a buy rating and one has assigned a strong buy rating to the company. The average 12-month target price among brokers that have covered the stock in the last year is $1,044.6667.

LITE has been the subject of several research reports. Bank of America dropped their price objective on shares of Lumentum from $1,100.00 to $1,000.00 and set a “neutral” rating for the company in a research note on Wednesday, August 12th. Craig Hallum raised their price objective on Lumentum from $900.00 to $1,150.00 in a research report on Wednesday, May 6th. Wolfe Research reissued an “outperform” rating on shares of Lumentum in a research report on Friday. Citic Securities boosted their price target on shares of Lumentum from $620.00 to $1,186.00 in a research note on Monday, May 11th. Finally, UBS Group set a $820.00 price objective on Lumentum in a research note on Wednesday, August 12th.

Insider Activity

In related news, insider Vincent Retort sold 2,483 shares of the business’s stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $827.82, for a total transaction of $2,055,477.06. Following the completion of the transaction, the insider owned 109,438 shares in the company, valued at approximately $90,594,965.16. The trade was a 2.22% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, 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, insider Yuen Wupen sold 500 shares of the stock in a transaction on Friday, August 21st. The shares were sold at an average price of $898.15, for a total value of $449,075.00. Following the completion of the transaction, the insider directly owned 93,229 shares in the company, valued at $83,733,626.35. This trade represents a 0.53% decrease in their position. The SEC filing for this sale provides additional information. 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. Insiders sold a total of 16,352 shares of company stock valued at $14,315,562 in the last 90 days. Company insiders own 0.43% of the company’s stock.

Hedge Funds Weigh In On Lumentum

Several hedge funds have recently made changes to their positions in the company. Hilton Head Capital Partners LLC purchased a new position in Lumentum during the 1st quarter worth approximately $25,000. Sachetta LLC grew its position in Lumentum by 118.8% in the 1st quarter. Sachetta LLC now owns 35 shares of the technology company’s stock valued at $25,000 after buying an additional 19 shares during the last quarter. Meeder Asset Management Inc. acquired a new position in shares of Lumentum during the second quarter worth about $40,000. Keating Financial Advisory Services Inc. acquired a new position in Lumentum during the 2nd quarter worth approximately $41,000. Finally, Fiduciary Financial Advisors acquired a new position in Lumentum during the second quarter worth $42,000. Hedge funds and other institutional investors own 94.05% of the company’s stock.

Lumentum Stock Down 1.4%

LITE stock opened at $866.71 on Tuesday. Lumentum has a 52 week low of $115.89 and a 52 week high of $1,085.68. The firm has a 50-day simple moving average of $809.76 and a 200-day simple moving average of $790.21. The company has a quick ratio of 1.40, a current ratio of 1.68 and a debt-to-equity ratio of 0.01. The stock has a market capitalization of $77.74 billion, a P/E ratio of -10.54 and a beta of 1.50.

Lumentum (NASDAQ:LITE) last announced its earnings results on Tuesday, August 11th. The technology company reported $3.23 EPS for the quarter, beating analysts’ consensus estimates of $2.97 by $0.26. Lumentum had a positive return on equity of 26.34% and a negative net margin of 230.15%.The business had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $987.70 million. During the same quarter in the prior year, the firm earned $0.88 earnings per share. The business’s revenue was up 109.3% compared to the same quarter last year. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Equities analysts forecast that Lumentum will post 19.76 earnings per share for the current fiscal year.

Key Headlines Impacting Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Northland Securities raised its Lumentum earnings forecasts substantially. The firm lifted its FY2027 EPS estimate to $19.81 from $14.97, with quarterly estimates now ranging from $3.81 in Q1 to $6.20 in Q4. Northland maintained an “Outperform” rating and a $1,200 price target, supporting the bullish case for continued earnings growth. Northland Securities analyst estimate report
• Positive Sentiment: Lumentum is being highlighted as an AI-infrastructure beneficiary. Analysts and financial publications point to rising demand for optical networking equipment as data centers expand to support artificial intelligence workloads. Lumentum is positioned across the optics and networking portions of that buildout. Beyond Chipmakers: 4 Stocks to Buy That Power AI Data Center Expansion
• Positive Sentiment: LITE was added to Zacks’ Rank #1 momentum-stock list. The designation may attract momentum-oriented investors and reinforces the stock’s strong recent performance. Best Momentum Stocks to Buy for August 21st
• Neutral Sentiment: A report on data-center construction emphasized the enormous fiber requirements of new AI facilities, a potential long-term demand driver for optical-component suppliers such as Lumentum. However, the article provided limited company-specific financial updates. A Single Meta Data Center Will Require “8 Million Miles of Fiber”
• Negative Sentiment: Valuation concerns could be limiting further upside. A Seeking Alpha analysis characterized Lumentum as increasingly expensive after its sharp rally. With the shares near their 52-week high and the company still reporting a negative net margin, some investors may be taking profits despite the favorable growth outlook. Lumentum: It’s Getting Expensive

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.