Lumentum's (LITE) "Buy" Rating Reaffirmed at Rosenblatt Securities

Key Points

• Rosenblatt Securities reaffirmed its “Buy” rating on Lumentum and set a $1,300 price target, implying 37.47% upside from the prior close. Analysts overall rate the stock “Moderate Buy,” with an average target of $1,053.83.
• Lumentum reported quarterly EPS of $3.23, beating estimates of $2.97, while revenue reached $1.01 billion, up 109.3% year over year and above expectations.
• The stock opened at $945.67, down 0.9%, while insiders sold $58.1 million of shares over the past three months; institutional investors and hedge funds own 94.05% of the company.

Lumentum (NASDAQ:LITE - Get Free Report)'s stock had its "buy" rating reissued by research analysts at Rosenblatt Securities in a research note issued on Wednesday, Benzinga reports. They currently have a $1,300.00 price target on the technology company's stock. Rosenblatt Securities' target price would suggest a potential upside of 37.47% from the stock's previous close.

A number of other analysts also recently weighed in on the stock. Mizuho increased their price target on shares of Lumentum from $1,100.00 to $1,140.00 and gave the company an "outperform" rating in a research report on Wednesday, August 12th. Deutsche Bank Aktiengesellschaft began coverage on shares of Lumentum in a research note on Monday, August 31st. They issued a "buy" rating and a $1,200.00 target price for the company. Weiss Ratings lowered shares of Lumentum from a "hold (c-)" rating to a "sell (d-)" rating in a report on Wednesday, August 19th. Wolfe Research reissued an "outperform" rating on shares of Lumentum in a research report on Friday, August 21st. Finally, UBS Group set a $820.00 price objective on Lumentum in a research report on Wednesday, August 12th. One equities research 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 assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $1,053.83.

Lumentum Stock Down 0.9%

Shares of Lumentum stock opened at $945.67 on Wednesday. The company has a quick ratio of 1.40, a current ratio of 1.68 and a debt-to-equity ratio of 0.01. Lumentum has a 12 month low of $144.52 and a 12 month high of $1,085.68. The business has a fifty day simple moving average of $849.70 and a 200 day simple moving average of $838.01. The stock has a market cap of $84.83 billion, a PE ratio of -11.50 and a beta of 1.53.

Lumentum (NASDAQ:LITE - Get Free Report) last released its earnings results 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 positive return on equity of 26.34% and a negative net margin of 230.15%.The firm had revenue of $1.01 billion for the quarter, compared to analyst estimates of $987.70 million. During the same quarter in the prior year, the firm posted $0.88 earnings per share. The company's quarterly revenue was up 109.3% on a year-over-year basis. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Research analysts predict that Lumentum will post 19.78 EPS for the current year.

Insider Buying and Selling at Lumentum

In other news, insider Yuen Wupen sold 1,500 shares of the stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $827.82, for a total transaction of $1,241,730.00. Following the completion of the transaction, the insider directly owned 100,434 shares in the company, valued at $83,141,273.88. This represents a 1.47% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at 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 Vincent Retort sold 38,663 shares of the stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $852.59, for a total transaction of $32,963,687.17. Following the transaction, the insider owned 78,440 shares of the company's stock, valued at approximately $66,877,159.60. This represents a 33.02% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 67,647 shares of company stock worth $58,061,056 in the last three months. 0.43% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Hilton Head Capital Partners LLC acquired a new position in Lumentum in the first quarter valued at $25,000. Sachetta LLC boosted its position in Lumentum by 118.8% during 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 during the last quarter. Harbour Investments Inc. grew its holdings in Lumentum by 675.0% during the 4th quarter. Harbour Investments Inc. now owns 93 shares of the technology company's stock worth $34,000 after acquiring an additional 81 shares during the period. Meeder Asset Management Inc. acquired a new stake in Lumentum during the 2nd quarter worth about $40,000. Finally, Keating Financial Advisory Services Inc. bought a new position in shares of Lumentum in the 2nd quarter worth about $41,000. 94.05% of the stock is owned by institutional investors and hedge funds.

Lumentum Company Profile

Lumentum Holdings Inc NASDAQ: LITE designs and manufactures optical and photonic products used to transmit, process and control light. Its portfolio includes optical components, modules, subsystems, lasers and photonic integrated circuits that support communications networks, data centers, cloud infrastructure and industrial applications.

The company also supplies technologies for consumer electronics and 3D sensing, including laser-based products used in applications such as depth sensing and facial recognition.

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