Empowered Funds LLC purchased a new stake in Lumentum Holdings Inc. (NASDAQ:LITE – Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor purchased 4,399 shares of the technology company’s stock, valued at approximately $3,775,000.
A number of other hedge funds also recently made changes to their positions in LITE. Hilton Head Capital Partners LLC acquired a new position in shares of Lumentum in the first quarter worth approximately $25,000. Sachetta LLC increased its position in Lumentum by 118.8% during the 1st quarter. Sachetta LLC now owns 35 shares of the technology company’s stock valued at $25,000 after purchasing an additional 19 shares during the period. Meeder Asset Management Inc. acquired a new stake in Lumentum during the 2nd quarter valued at approximately $40,000. Keating Financial Advisory Services Inc. bought a new position in Lumentum during the 2nd quarter worth approximately $41,000. Finally, Fiduciary Financial Advisors bought a new position in Lumentum during the 2nd quarter worth approximately $42,000. 94.05% of the stock is currently owned by institutional investors.
Analysts Set New Price Targets
LITE has been the topic of a number of analyst reports. Wolfe Research reaffirmed an “outperform” rating on shares of Lumentum in a research note on Friday, August 21st. Weiss Ratings downgraded shares of Lumentum from a “hold (c-)” rating to a “sell (d-)” rating in a research note on Wednesday, August 19th. UBS Group set a $820.00 target price on shares of Lumentum in a report on Wednesday, August 12th. BNP Paribas Exane upped their price target on shares of Lumentum from $1,040.00 to $1,300.00 in a research report on Wednesday, May 6th. Finally, Deutsche Bank Aktiengesellschaft began coverage on Lumentum in a report on Monday. They set a “buy” rating and a $1,200.00 price target for the company. One analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $1,053.83.
Insider Activity at Lumentum
In other news, CEO Michael E. Hurlston sold 548 shares of the stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $958.66, for a total transaction of $525,345.68. Following the transaction, the chief executive officer owned 186,951 shares of the company’s stock, valued at $179,222,445.66. This represents a 0.29% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Yuen Wupen sold 500 shares of the business’s stock in a transaction dated Monday, August 31st. The shares were sold at an average price of $895.00, for a total value of $447,500.00. Following the completion of the sale, the insider directly owned 118,127 shares of the company’s stock, valued at $105,723,665. The trade was a 0.42% decrease in their ownership of the stock. 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 ninety days, insiders sold 64,147 shares of company stock valued at $54,950,611. 0.43% of the stock is currently owned by company insiders.
Lumentum News Summary
Here are the key news stories impacting Lumentum this week:
- Positive Sentiment: New bullish analyst coverage: Evercore initiated coverage with an “Outperform” rating and a $1,100 price target, implying substantial upside from the referenced share price. This adds to a favorable analyst backdrop, including a broader Moderate Buy consensus. Lumentum Analyst Coverage
- Positive Sentiment: AI optical demand supports growth: Lumentum is benefiting from rising demand for high-speed optical interconnects used in AI data centers. Its focus on optical circuit switching, co-packaged optics and near-package optics could expand its addressable market, although Marvell and NVIDIA remain important competitors. Lumentum AI Optics Growth
- Positive Sentiment: Strategic investment and manufacturing expansion: A multibillion-dollar AI-related investment, including a sizeable NVIDIA stake, and plans for a U.S. fabrication facility targeting 800-gigabit and 1.6-terabit optical interconnects reinforce Lumentum’s role in AI infrastructure. Lumentum AI Investment and Fab
- Neutral Sentiment: Technical setup remains constructive but demanding: After a roughly 140% gain in 2025, Lumentum is consolidating for about 15 weeks below its record high. Investors are watching for a breakout above that level as a potential new buy point. Lumentum Technical Setup
- Negative Sentiment: Competition and elevated expectations are risks: The strong AI-driven rally has increased valuation and execution expectations, while NVIDIA and Marvell are expanding in adjacent optical and connectivity markets. Any slowdown in AI infrastructure spending or difficulty scaling new products could pressure the shares.
Lumentum Price Performance
Lumentum stock opened at $868.95 on Wednesday. The stock has a market capitalization of $77.94 billion, a price-to-earnings ratio of -10.57 and a beta of 1.50. Lumentum Holdings Inc. has a 52-week low of $125.00 and a 52-week high of $1,085.68. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.40 and a current ratio of 1.68. The stock’s 50 day moving average price is $813.06 and its two-hundred day moving average price is $811.25.
Lumentum (NASDAQ:LITE – Get Free Report) last released its quarterly earnings data 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. Lumentum had a negative net margin of 230.15% and a positive return on equity of 26.34%. The company had revenue of $1.01 billion during the quarter, compared to analyst estimates of $987.70 million. During the same quarter in the previous year, the business posted $0.88 EPS. Lumentum’s revenue for the quarter was up 109.3% compared to the same quarter last year. 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 earnings per share for the current year.
Lumentum 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.
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