Asset Management One Co. Ltd. Acquires 1,394 Shares of Lumentum Holdings Inc. $LITE

Key Points

• Asset Management One increased its Lumentum stake by 3.9%, purchasing 1,394 additional shares to hold 37,039 shares valued at approximately $36 million. Institutional investors and hedge funds collectively own 94.05% of the company.
• Lumentum reported quarterly EPS of $3.23, exceeding the $2.97 analyst consensus, while revenue rose 109.3% year over year to $1.01 billion. Shares opened at $913.95, near their 52-week high of $1,143.
• Analyst sentiment remains positive, with a consensus “Moderate Buy” rating and an average price target of $1,080.83, supported by AI-driven demand for optical networking products; however, premium valuation, customer concentration, capacity constraints and recent insider selling remain risks.

Asset Management One Co. Ltd. raised its stake in Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 3.9% during the 3rd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 37,039 shares of the technology company's stock after buying an additional 1,394 shares during the period. Asset Management One Co. Ltd.'s holdings in Lumentum were worth $35,974,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds also recently modified their holdings of the company. Red Spruce Capital LLC raised its holdings in shares of Lumentum by 0.4% during the third quarter. Red Spruce Capital LLC now owns 3,200 shares of the technology company's stock valued at $3,108,000 after acquiring an additional 12 shares during the period. CYBER HORNET ETFs LLC boosted its stake in Lumentum by 7.2% in the 2nd quarter. CYBER HORNET ETFs LLC now owns 209 shares of the technology company's stock worth $179,000 after purchasing an additional 14 shares during the period. Hilltop National Bank boosted its stake in Lumentum by 26.8% in the 2nd quarter. Hilltop National Bank now owns 71 shares of the technology company's stock worth $61,000 after purchasing an additional 15 shares during the period. Sachetta LLC grew its position in Lumentum by 118.8% during the 1st quarter. Sachetta LLC now owns 35 shares of the technology company's stock worth $25,000 after purchasing an additional 19 shares in the last quarter. Finally, Kieckhefer Group LLC lifted its holdings in shares of Lumentum by 0.8% in the third quarter. Kieckhefer Group LLC now owns 3,191 shares of the technology company's stock valued at $3,099,000 after purchasing an additional 25 shares in the last quarter. Institutional investors and hedge funds own 94.05% of the company's stock.

Insider Transactions at Lumentum

In other news, CFO Wajid Ali sold 24,542 shares of the company's stock in a transaction dated Thursday, October 1st. The stock was sold at an average price of $1,048.50, for a total transaction of $25,732,287.00. Following the completion of the sale, the chief financial officer owned 75,074 shares in the company, valued at approximately $78,715,089. This represents a 24.64% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Yuen Wupen sold 307 shares of the stock in a transaction dated Tuesday, September 29th. The shares were sold at an average price of $945.00, for a total value of $290,115.00. Following the transaction, the insider directly owned 108,320 shares in the company, valued at approximately $102,362,400. This represents a 0.28% decrease in their position. 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 94,496 shares of company stock valued at $85,978,498 in the last ninety days. Insiders own 0.28% of the company's stock.

Lumentum Stock Up 5.5%

Shares of Lumentum stock opened at $913.95 on Thursday. The firm has a market cap of $82.79 billion, a price-to-earnings ratio of -11.12 and a beta of 1.53. The stock has a 50-day simple moving average of $921.84 and a 200-day simple moving average of $789.65. Lumentum Holdings Inc. has a 52-week low of $184.20 and a 52-week high of $1,143.00. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.68 and a quick ratio of 1.40.

Lumentum (NASDAQ:LITE - Get Free Report) last released its quarterly earnings data on Tuesday, August 11th. The technology company reported $3.23 EPS for the quarter, topping analysts' consensus estimates 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 the consensus estimate of $987.70 million. During the same quarter in the prior year, the company posted $0.88 earnings per share. The firm'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 research analysts expect that Lumentum Holdings Inc. will post 19.79 earnings per share for the current fiscal year.

Key Lumentum News

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Potential acquisition by Marvell: Marvell International is reportedly in advanced talks to acquire Lumentum, according to Bloomberg. A transaction could create a takeover premium and strengthen Lumentum’s position in AI networking and optical components, although no deal has been finalized. Marvell in advanced talks to buy Lumentum, Bloomberg News reports
• Positive Sentiment: AI optics demand is supporting the sector: Analysts increasingly view optical components as a bottleneck in expanding AI infrastructure. Lumentum is benefiting from demand for optical networking products and pump lasers, while reports that some AI components are sold out through 2029 reinforce expectations for sustained order strength. Optical Stocks Climb as Analysts Flag AI Bottleneck
• Positive Sentiment: Favorable analyst coverage: StoneX initiated coverage with a buy or “strong-buy” rating and a $1,200 price target, implying additional upside. Recent commentary also gives Lumentum an edge over some AI-infrastructure peers because of its growth outlook and optical exposure. StoneX starts coverage with USD 1,200 target
• Neutral Sentiment: Momentum versus valuation: Lumentum’s strong performance reflects expectations for accelerating AI demand, but investors are debating whether the rally has moved ahead of the company’s underlying cash-generation potential. Lumentum Shares Jump 135% YTD
• Negative Sentiment: Key risks remain: Reports flag premium valuation, customer concentration and capacity limitations. Any slowdown in AI spending, inability to fulfill orders or disappointment in future results could pressure the shares after their substantial advance.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on LITE. Stonex Financia raised Lumentum to a "strong-buy" rating in a research report on Monday. Wolfe Research reissued an "outperform" rating on shares of Lumentum in a research report on Friday, August 21st. Rosenblatt Securities reissued a "buy" rating and issued a $1,300.00 price objective on shares of Lumentum in a research note on Monday, October 5th. UBS Group set a $820.00 price objective on Lumentum in a research note on Wednesday, August 12th. Finally, Sanford C. Bernstein started coverage on Lumentum in a research report on Wednesday, September 30th. They set an "outperform" rating and a $1,220.00 price objective for the company. One investment analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Lumentum has an average rating of "Moderate Buy" and a consensus price target of $1,080.83.

Lumentum Company Profile

Lumentum Holdings Inc is a technology company that designs and manufactures optical and photonic products for communications networks, industrial applications, and consumer electronics. Its portfolio includes optical components, modules, and subsystems used in fiber-optic networks, data centers, cloud computing infrastructure, telecommunications equipment, and high-speed connectivity systems.

The company also develops laser products for applications such as industrial processing, sensing, three-dimensional imaging, and other specialized commercial and consumer uses.

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