Barclays Forecasts Strong Price Appreciation for Lumentum (NASDAQ:LITE) Stock

Key Points

• Barclays has raised its price target for Lumentum from $135.00 to $165.00, indicating a potential upside of 10.44% from the current stock price and maintaining an "overweight" rating.
• Several investment firms, including Citigroup and Wall Street Zen, have recently issued "buy" ratings on Lumentum, reflecting overall positive sentiment towards the company's stock.
• Lumentum reported a quarterly earnings per share (EPS) of $0.88, surpassing analysts' expectations and showing a 55.9% increase in revenue compared to the same quarter last year.

Lumentum (NASDAQ:LITE - Free Report) had its price target upped by Barclays from $135.00 to $165.00 in a research report sent to investors on Tuesday, MarketBeat reports. They currently have an overweight rating on the technology company's stock.

LITE has been the topic of a number of other research reports. Wolfe Research began coverage on Lumentum in a report on Tuesday, August 12th. They set an "outperform" rating on the stock. Stifel Nicolaus boosted their price target on Lumentum from $100.00 to $132.00 and gave the company a "buy" rating in a report on Wednesday, August 13th. JPMorgan Chase & Co. boosted their price target on Lumentum from $123.00 to $145.00 and gave the company an "overweight" rating in a report on Thursday, August 14th. B. Riley boosted their price target on Lumentum from $73.00 to $83.00 and gave the company a "neutral" rating in a report on Wednesday, August 13th. Finally, Susquehanna boosted their price target on Lumentum to $125.00 and gave the company a "positive" rating in a report on Tuesday, August 12th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and four have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $128.00.

Lumentum Trading Down 1.1%

Shares of NASDAQ LITE traded down $1.86 during midday trading on Tuesday, reaching $163.02. The company had a trading volume of 2,953,391 shares, compared to its average volume of 3,671,019. Lumentum has a one year low of $45.65 and a one year high of $168.01. The company has a quick ratio of 3.18, a current ratio of 4.37 and a debt-to-equity ratio of 2.26. The firm's fifty day moving average price is $117.36 and its 200-day moving average price is $86.58. The stock has a market cap of $11.40 billion, a PE ratio of 708.78 and a beta of 1.42.

Lumentum (NASDAQ:LITE - Get Free Report) last released its earnings results on Tuesday, August 12th. The technology company reported $0.88 earnings per share for the quarter, beating analysts' consensus estimates of $0.79 by $0.09. Lumentum had a negative return on equity of 3.02% and a net margin of 1.57%.The company had revenue of $480.70 million during the quarter, compared to analyst estimates of $465.27 million. During the same quarter in the previous year, the company posted $0.06 EPS. Lumentum's revenue for the quarter was up 55.9% on a year-over-year basis. Lumentum has set its Q1 2026 guidance at 0.950-1.100 EPS. On average, equities research analysts anticipate that Lumentum will post 0.03 earnings per share for the current year.

Insider Activity

In other Lumentum news, insider Vincent Retort sold 22,719 shares of the company's stock in a transaction that occurred on Tuesday, July 29th. The stock was sold at an average price of $110.00, for a total transaction of $2,499,090.00. Following the transaction, the insider owned 121,747 shares in the company, valued at approximately $13,392,170. This represents a 15.73% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Jae Kim sold 4,507 shares of the company's stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $116.88, for a total value of $526,778.16. Following the transaction, the senior vice president owned 33,465 shares in the company, valued at $3,911,389.20. This trade represents a 11.87% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 81,687 shares of company stock worth $8,398,352. Company insiders own 0.19% of the company's stock.

Institutional Trading of Lumentum

Several hedge funds and other institutional investors have recently made changes to their positions in LITE. Skandinaviska Enskilda Banken AB publ purchased a new stake in shares of Lumentum in the 1st quarter worth approximately $25,000. Rakuten Securities Inc. grew its stake in shares of Lumentum by 164.4% in the 1st quarter. Rakuten Securities Inc. now owns 476 shares of the technology company's stock worth $30,000 after buying an additional 296 shares during the last quarter. Golden State Wealth Management LLC grew its stake in shares of Lumentum by 103.2% in the 1st quarter. Golden State Wealth Management LLC now owns 512 shares of the technology company's stock worth $32,000 after buying an additional 260 shares during the last quarter. CoreCap Advisors LLC grew its stake in shares of Lumentum by 2,235.3% in the 4th quarter. CoreCap Advisors LLC now owns 397 shares of the technology company's stock worth $33,000 after buying an additional 380 shares during the last quarter. Finally, FNY Investment Advisers LLC purchased a new stake in shares of Lumentum in the 2nd quarter worth approximately $38,000. Hedge funds and other institutional investors own 94.05% of the company's stock.

About Lumentum

Lumentum Holdings Inc manufactures and sells optical and photonic products in the Americas, the Asia-Pacific, Europe, the Middle East, and Africa. The company operates through two segments: Optical Communications (OpComms) and Commercial Lasers (Lasers). The OpComms segment offers components, modules, and subsystems that enable the transmission and transport of video, audio, and data over high-capacity fiber optic cables.