Penn Capital Management Company LLC reduced its stake in Lumentum Holdings Inc. (NASDAQ:LITE – Free Report) by 65.2% during the 2nd quarter, HoldingsChannel.com reports. The fund owned 1,023 shares of the technology company’s stock after selling 1,919 shares during the quarter. Penn Capital Management Company LLC’s holdings in Lumentum were worth $878,000 at the end of the most recent quarter.
Other hedge funds have also recently made changes to their positions in the company. Jupiter Topco LLC purchased a new stake in Lumentum in the second quarter valued at approximately $1,621,396,000. Arrowstreet Capital Limited Partnership boosted its position in shares of Lumentum by 8,579.2% during the third quarter. Arrowstreet Capital Limited Partnership now owns 1,563,210 shares of the technology company’s stock worth $254,350,000 after buying an additional 1,545,199 shares during the period. Norges Bank purchased a new position in shares of Lumentum during the fourth quarter worth $474,495,000. Value Aligned Research Advisors LLC acquired a new stake in shares of Lumentum in the fourth quarter valued at $432,062,000. Finally, Situational Awareness LP grew its stake in shares of Lumentum by 210.9% in the fourth quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company’s stock valued at $478,577,000 after buying an additional 880,800 shares in the last quarter. Hedge funds and other institutional investors own 94.05% of the company’s stock.
Analysts Set New Price Targets
Several research firms recently issued reports on LITE. Zacks Research raised Lumentum from a “hold” rating to a “strong-buy” rating in a research note on Thursday, August 20th. UBS Group set a $820.00 target price on Lumentum in a research report on Wednesday, August 12th. Raymond James Financial reiterated an “outperform” rating and set a $1,036.00 price target on shares of Lumentum in a research note on Wednesday, August 12th. Craig Hallum increased their price target on shares of Lumentum from $900.00 to $1,150.00 in a research report on Wednesday, May 6th. Finally, Weiss Ratings lowered shares of Lumentum from a “hold (c-)” rating to a “sell (d-)” rating in a research note on Wednesday, August 19th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $1,044.67.
Insider Activity at Lumentum
In other news, insider Vincent Retort sold 38,663 shares of the business’s stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $852.59, for a total value of $32,963,687.17. Following the completion of the sale, the insider directly owned 78,440 shares of the company’s stock, valued at approximately $66,877,159.60. The trade was a 33.02% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Yuen Wupen sold 1,500 shares of the company’s stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $827.82, for a total value of $1,241,730.00. Following the completion of the sale, the insider directly owned 100,434 shares of the company’s stock, valued at approximately $83,141,273.88. This trade represents a 1.47% decrease in their ownership of the stock. 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. In the last 90 days, insiders have sold 64,563 shares of company stock valued at $55,448,750. Corporate insiders own 0.43% of the company’s stock.
Lumentum News Roundup
Here are the key news stories impacting Lumentum this week:
- Positive Sentiment: AI infrastructure demand remains the core bullish driver. Lumentum supplies optical components used in high-speed data-center networks, and investors continue to view its 1.6T transceivers and 200G lasers as beneficiaries of accelerating AI-networking demand.
- Positive Sentiment: Recent operating results provide support. Lumentum’s latest quarter exceeded expectations, with $3.23 in adjusted earnings per share versus a $2.97 consensus estimate and revenue of $1.01 billion, up 109.3% year over year. Q1 fiscal 2027 EPS guidance of $4.05–$4.35 also remains encouraging.
- Neutral Sentiment: Management’s technology-conference appearance offered no clearly new catalyst. Lumentum presented at the Deutsche Bank 2026 Technology Conference, where investors focused on its AI-product outlook, capacity expansion and execution. The supplied transcript did not identify a specific new forecast or announcement. Lumentum Deutsche Bank Technology Conference Transcript
- Negative Sentiment: Sector-wide risk-off trading pressured the stock. Applied Optoelectronics and Lumentum reportedly fell about 6%, while Coherent declined about 5%, as the optics stocks that led the August rally pulled back together. A Barron’s report suggested the declines reflected peer-related sympathy selling rather than company-specific news. Optics Stocks Slide as AI Hardware Trade Cools
- Negative Sentiment: Several insiders sold shares. SVP Jae Kim sold 12,000 shares for approximately $10.2 million, while Vincent Retort sold 38,663 shares for about $33.0 million. CEO Michael Hurlston sold 548 shares for roughly $525,000. The transactions were conducted under pre-arranged Rule 10b5-1 plans, limiting their value as a discretionary bearish signal, but they add a modest overhang after the stock’s substantial rally. SEC CEO Insider Trading Filing
- Negative Sentiment: Valuation and competition heighten volatility. With LITE trading near its 52-week high, investors may be particularly sensitive to profit-taking, execution problems or competition from Cisco and NVIDIA in AI connectivity.
Lumentum Stock Down 6.4%
Shares of NASDAQ:LITE opened at $895.00 on Friday. The firm has a 50 day simple moving average of $811.83 and a 200-day simple moving average of $805.08. Lumentum Holdings Inc. has a twelve month low of $125.00 and a twelve month high of $1,085.68. The company has a current ratio of 1.68, a quick ratio of 1.40 and a debt-to-equity ratio of 0.01. The company has a market capitalization of $80.28 billion, a PE ratio of -10.89 and a beta of 1.50.
Lumentum (NASDAQ:LITE – Get Free Report) last posted 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 negative net margin of 230.15% and a positive return on equity of 26.34%. The firm had revenue of $1.01 billion for the quarter, compared to the consensus estimate of $987.70 million. During the same period last year, the firm posted $0.88 EPS. The company’s revenue was up 109.3% on a year-over-year basis. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. On average, equities analysts predict that Lumentum Holdings Inc. will post 19.76 EPS for the current fiscal year.
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.
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