Lumentum (NASDAQ:LITE) Stock Price Down 6.5% – Should You Sell?

Lumentum Holdings Inc. (NASDAQ:LITE)’s stock price traded down 6.5% during trading on Monday . The company traded as low as $373.00 and last traded at $365.3480. 625,635 shares were traded during trading, a decline of 80% from the average session volume of 3,130,541 shares. The stock had previously closed at $390.77.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on LITE. Needham & Company LLC raised their target price on Lumentum to $290.00 and gave the stock a “buy” rating in a research report on Monday, November 24th. Raymond James Financial downgraded Lumentum from a “strong-buy” rating to an “outperform” rating and set a $220.00 price objective for the company. in a research report on Friday, October 31st. Wall Street Zen cut Lumentum from a “buy” rating to a “hold” rating in a report on Saturday, November 1st. Wolfe Research restated an “outperform” rating and set a $240.00 price target on shares of Lumentum in a report on Wednesday, November 5th. Finally, Mizuho boosted their price target on shares of Lumentum to $325.00 and gave the stock an “outperform” rating in a research report on Tuesday, November 25th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat, Lumentum has a consensus rating of “Moderate Buy” and an average price target of $222.13.

Lumentum Trading Down 4.2%

The firm’s 50-day moving average price is $278.69 and its 200 day moving average price is $178.88. The company has a market cap of $26.53 billion, a price-to-earnings ratio of 250.96 and a beta of 1.52. The company has a current ratio of 1.37, a quick ratio of 1.02 and a debt-to-equity ratio of 2.77.

Lumentum (NASDAQ:LITE) last issued its earnings results on Tuesday, November 4th. The technology company reported $1.10 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.03 by $0.07. Lumentum had a net margin of 6.11% and a return on equity of 4.62%. The business had revenue of $533.80 million for the quarter, compared to analyst estimates of $525.10 million. During the same period in the prior year, the firm earned $0.18 earnings per share. Lumentum’s revenue was up 58.4% on a year-over-year basis. Lumentum has set its Q2 2026 guidance at 1.300-1.500 EPS. As a group, equities analysts expect that Lumentum Holdings Inc. will post 0.03 EPS for the current year.

Insiders Place Their Bets

In other news, Director Julia Suzanne Johnson sold 10,000 shares of the business’s stock in a transaction that occurred on Monday, November 10th. The stock was sold at an average price of $270.39, for a total transaction of $2,703,900.00. Following the completion of the sale, the director owned 12,037 shares in the company, valued at $3,254,684.43. The trade was a 45.38% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Pamela Fletcher sold 3,421 shares of the company’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $273.53, for a total value of $935,746.13. Following the transaction, the director directly owned 10,561 shares in the company, valued at $2,888,750.33. The trade was a 24.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 28,612 shares of company stock worth $7,317,398 over the last three months. Insiders own 0.43% of the company’s stock.

Institutional Trading of Lumentum

Several hedge funds have recently bought and sold shares of the business. Leeward Investments LLC MA lifted its stake in shares of Lumentum by 14.8% in the second quarter. Leeward Investments LLC MA now owns 516,431 shares of the technology company’s stock valued at $49,092,000 after buying an additional 66,541 shares in the last quarter. Schroder Investment Management Group increased its position in shares of Lumentum by 1.9% during the second quarter. Schroder Investment Management Group now owns 881,813 shares of the technology company’s stock worth $83,825,000 after acquiring an additional 16,200 shares in the last quarter. Assenagon Asset Management S.A. raised its holdings in shares of Lumentum by 198.2% in the 3rd quarter. Assenagon Asset Management S.A. now owns 123,229 shares of the technology company’s stock worth $20,051,000 after acquiring an additional 81,906 shares during the last quarter. Northwest & Ethical Investments L.P. lifted its position in Lumentum by 45.7% in the 2nd quarter. Northwest & Ethical Investments L.P. now owns 10,200 shares of the technology company’s stock valued at $966,000 after acquiring an additional 3,200 shares in the last quarter. Finally, Corton Capital Inc. acquired a new position in Lumentum during the 2nd quarter valued at about $272,000. Institutional investors and hedge funds 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.