Lumentum Holdings Inc. (NASDAQ:LITE) Stock Has Consensus Target Price of $1,078.75 According to Analysts

Key Points

• Analysts are broadly bullish: Lumentum has a “Moderate Buy” consensus from 23 analysts, with an average 12-month price target of $1,078.75. Recent targets range from $1,100 to $1,400.
• Operating results showed strong momentum: Quarterly revenue rose 109.3% year over year to about $1.01 billion, while EPS of $3.23 exceeded estimates of $2.97. Fiscal Q1 2027 EPS guidance is $4.05–$4.35.
• Risks include valuation and insider selling: The stock was trading near its 52-week high, while insiders sold 94,496 shares worth approximately $86 million during the quarter under pre-arranged trading plans.

Shares of Lumentum Holdings Inc. (NASDAQ:LITE - Get Free Report) have earned a consensus rating of "Moderate Buy" from the twenty-three analysts that are presently covering the firm, Marketbeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, five have given a hold recommendation, sixteen have given a buy recommendation and one has given a strong buy recommendation to the company. The average 1 year price objective among analysts that have issued ratings on the stock in the last year is $1,078.75.

LITE has been the topic of several research reports. UBS Group set a $820.00 price objective on Lumentum in a research report on Wednesday, August 12th. Evercore began coverage on Lumentum in a research note on Monday, August 31st. They issued an "outperform" rating and a $1,100.00 target price for the company. Stifel Nicolaus raised their target price on Lumentum from $1,100.00 to $1,232.00 and gave the company a "buy" rating in a report on Monday. Rosenblatt Securities reissued a "buy" rating and set a $1,300.00 price target on shares of Lumentum in a research report on Monday. Finally, Citigroup upped their price target on Lumentum from $1,200.00 to $1,400.00 and gave the stock a "buy" rating in a report on Monday, September 28th.

Lumentum Price Performance

Lumentum stock opened at $1,133.40 on Wednesday. Lumentum has a 52-week low of $147.81 and a 52-week high of $1,137.20. The firm has a fifty day moving average of $898.61 and a 200-day moving average of $863.51. The firm has a market capitalization of $101.67 billion, a P/E ratio of -13.79 and a beta of 1.53. 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 (NASDAQ:LITE - Get Free Report) last issued 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 business had revenue of $1.01 billion for the quarter, compared to the consensus estimate of $987.70 million. During the same quarter last year, the firm posted $0.88 EPS. The business'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. As a group, analysts predict that Lumentum will post 19.78 EPS for the current year.

Insider Buying and Selling at Lumentum

In other news, SVP Jae Kim sold 12,000 shares of the company's stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $852.58, for a total value of $10,230,960.00. Following the completion of the transaction, the senior vice president directly owned 37,804 shares in the company, valued at approximately $32,230,934.32. This represents a 24.09% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Vincent Retort sold 38,663 shares of the firm's stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $852.59, for a total transaction of $32,963,687.17. Following 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 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 quarter, insiders sold 94,496 shares of company stock valued at $85,978,498. 0.43% of the stock is owned by company insiders.

Institutional Trading of Lumentum

Large investors have recently modified their holdings of the business. Financiere des Professionnels Fonds d investissement inc. acquired a new position in Lumentum in the first quarter worth $2,046,000. Styrax Capital LP raised its holdings in shares of Lumentum by 3.6% during the first quarter. Styrax Capital LP now owns 140,000 shares of the technology company's stock worth $98,386,000 after purchasing an additional 4,837 shares during the period. Whittier Trust Co. lifted its position in shares of Lumentum by 21,806.5% in the 1st quarter. Whittier Trust Co. now owns 74,044 shares of the technology company's stock worth $57,183,000 after buying an additional 73,706 shares during the last quarter. Swiss National Bank boosted its holdings in shares of Lumentum by 47.2% in the 1st quarter. Swiss National Bank now owns 208,015 shares of the technology company's stock valued at $146,185,000 after buying an additional 66,700 shares during the period. Finally, Patton Fund Management Inc. acquired a new position in shares of Lumentum in the 1st quarter valued at about $5,201,000. 94.05% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Analysts remain bullish: Rosenblatt reaffirmed a Buy rating with a $1,300 price target, while Stifel raised its target to $1,232 from $1,100 and maintained a Buy rating. These targets imply additional upside and reinforce optimism surrounding Lumentum’s growth outlook. Lumentum Given Buy Rating at Rosenblatt Securities
• Positive Sentiment: Strong operating momentum: Lumentum recently reported quarterly revenue of approximately $1.01 billion, up 109.3% year over year, and earnings above analyst expectations. Its fiscal first-quarter 2027 EPS guidance of $4.05 to $4.35 further supports the bullish narrative. Lumentum Stock Draws Higher Targets After Revenue Doubles
• Positive Sentiment: Institutional demand is substantial: JPMorgan, Invesco, BlackRock and other large investors increased their Lumentum holdings in the latest reporting period, signaling continued institutional interest in the optical-components and AI infrastructure story.
• Neutral Sentiment: Upcoming earnings are a near-term catalyst: Lumentum has announced the reporting date for its fiscal first-quarter 2027 results. Investors will look for evidence that AI-driven demand and recent revenue growth are sustainable. Lumentum Announces Reporting Date for Fiscal First Quarter 2027 Results
• Neutral Sentiment: Technical momentum is strong: The stock has reached new highs and cleared a reported buy point, although commentary also identifies resistance levels that could lead to volatility if the rally pauses. Lumentum Hits Buy Point and New High
• Negative Sentiment: Insider selling remains a risk signal: Company insiders reported 77 open-market sales and no purchases over the past six months, including sales by senior executives. Additionally, the estimated 2026 CEO compensation declined sharply, though the compensation figure itself is not a direct earnings impact.
• Negative Sentiment: Valuation expectations are demanding: The reported median analyst price target of $1,040 is below the current trading level, suggesting some analysts see limited near-term upside after the stock’s substantial rally.

About Lumentum

Lumentum Holdings Inc is a photonics and optical technology company that develops and manufactures products used to transmit, process and manage light. Its solutions support communications networks, data centers, cloud computing infrastructure, industrial applications, and other technology markets that rely on high-speed optical connectivity and precision lasers.

The company's product portfolio includes optical components and modules for telecommunications and networking, lasers and laser systems, optical amplifiers, wavelength-management products, and photonic subsystems.

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