Lumentum (NASDAQ:LITE) Shares Gap Up – Should You Buy?

Posted by Stanley Muller on Jul 22nd, 2026

Lumentum Holdings Inc. (NASDAQ:LITE – Get Free Report)’s stock price gapped up prior to trading on Monday . The stock had previously closed at $732.82, but opened at $764.13. Lumentum shares last traded at $793.6880, with a volume of 935,286 shares traded.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on LITE shares. Needham & Company LLC reiterated a “buy” rating and set a $1,040.00 price objective on shares of Lumentum in a research note on Tuesday, June 9th. Craig Hallum boosted their target price on shares of Lumentum from $900.00 to $1,150.00 in a research report on Wednesday, May 6th. BNP Paribas Exane upped their target price on shares of Lumentum from $1,040.00 to $1,300.00 in a research note on Wednesday, May 6th. Raymond James Financial restated an “outperform” rating and issued a $1,014.00 target price on shares of Lumentum in a research note on Wednesday, May 6th. Finally, TD Cowen reduced their price target on shares of Lumentum from $995.00 to $800.00 and set a “hold” rating on the stock in a research report on Monday, July 13th. Fourteen analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, Lumentum has a consensus rating of “Moderate Buy” and an average target price of $1,012.67.

Get Our Latest Research Report on LITE

Lumentum Price Performance

The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.97 and a current ratio of 1.14. The company’s fifty day moving average price is $856.21 and its 200 day moving average price is $719.22. The firm has a market capitalization of $65.16 billion, a price-to-earnings ratio of 155.10 and a beta of 1.48.

Lumentum (NASDAQ:LITE – Get Free Report) last released its quarterly earnings data on Tuesday, May 5th. The technology company reported $2.37 earnings per share for the quarter, topping the consensus estimate of $2.27 by $0.10. Lumentum had a net margin of 17.61% and a return on equity of 24.81%. The firm had revenue of $808.40 million for the quarter, compared to analyst estimates of $810.21 million. During the same quarter in the prior year, the business earned $0.57 earnings per share. Lumentum’s quarterly revenue was up 90.1% on a year-over-year basis. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. Equities research analysts expect that Lumentum Holdings Inc. will post 6.42 earnings per share for the current year.

Insider Activity at Lumentum

In other news, insider Yuen Wupen sold 3,210 shares of the stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $953.95, for a total transaction of $3,062,179.50. Following the sale, the insider directly owned 81,488 shares in the company, valued at approximately $77,735,477.60. This represents a 3.79% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed 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, Director Isaac Hosojiro Harris sold 4,000 shares of the firm’s stock in a transaction that occurred on Friday, May 29th. The stock was sold at an average price of $860.00, for a total value of $3,440,000.00. Following the completion of the sale, the director directly owned 8,400 shares in the company, valued at approximately $7,224,000. This trade represents a 32.26% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 41,260 shares of company stock valued at $38,859,220. 0.43% of the stock is owned by insiders.

Institutional Investors Weigh In On Lumentum

A number of hedge funds have recently added to or reduced their stakes in LITE. Hilltop National Bank raised its position in shares of Lumentum by 26.8% during the 2nd quarter. Hilltop National Bank now owns 71 shares of the technology company’s stock worth $61,000 after buying an additional 15 shares in the last quarter. Sachetta LLC boosted its holdings in shares of Lumentum by 118.8% in the first quarter. Sachetta LLC now owns 35 shares of the technology company’s stock valued at $25,000 after acquiring an additional 19 shares in the last quarter. Versant Capital Management Inc boosted its holdings in shares of Lumentum by 39.5% in the second quarter. Versant Capital Management Inc now owns 106 shares of the technology company’s stock valued at $91,000 after acquiring an additional 30 shares in the last quarter. Hilton Head Capital Partners LLC acquired a new position in shares of Lumentum during the first quarter valued at approximately $25,000. Finally, Abel Hall LLC increased its stake in shares of Lumentum by 5.5% during the first quarter. Abel Hall LLC now owns 693 shares of the technology company’s stock valued at $487,000 after acquiring an additional 36 shares during the period. 94.05% of the stock is currently owned by institutional investors.

Lumentum Company Profile

(Get Free Report)

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.