AustralianSuper Pty Ltd Buys New Stake in Lumentum Holdings Inc. $LITE

Key Points

• AustralianSuper Pty Ltd initiated a new position in Lumentum Holdings, buying 64,000 shares valued at about $23.6 million in the fourth quarter.
• Lumentum has been getting a wave of bullish analyst and investor attention, including upgrades to Strong Buy and reports that its AI optics-related components business is sold out through 2028, with plans to expand capacity.
• The company reported strong quarterly results, with EPS of $2.37 beating estimates and revenue up 90.1% year over year, while several insiders also sold shares over the last quarter.

AustralianSuper Pty Ltd bought a new stake in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) in the fourth quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund bought 64,000 shares of the technology company's stock, valued at approximately $23,590,000. AustralianSuper Pty Ltd owned 0.09% of Lumentum at the end of the most recent reporting period.

A number of other hedge funds have also recently modified their holdings of LITE. Arrowstreet Capital Limited Partnership boosted its stake in shares of Lumentum by 8,579.2% in the third quarter. Arrowstreet Capital Limited Partnership now owns 1,563,210 shares of the technology company's stock worth $254,350,000 after buying an additional 1,545,199 shares during the last quarter. Assenagon Asset Management S.A. boosted its stake in shares of Lumentum by 707.0% in the fourth quarter. Assenagon Asset Management S.A. now owns 994,478 shares of the technology company's stock worth $366,555,000 after buying an additional 871,249 shares during the last quarter. Holocene Advisors LP purchased a new stake in shares of Lumentum in the third quarter worth about $136,401,000. WT Asset Management Ltd boosted its stake in shares of Lumentum by 170.0% in the third quarter. WT Asset Management Ltd now owns 710,208 shares of the technology company's stock worth $115,558,000 after buying an additional 447,208 shares during the last quarter. Finally, Federated Hermes Inc. grew its stake in shares of Lumentum by 7,168.8% during the 3rd quarter. Federated Hermes Inc. now owns 362,352 shares of the technology company's stock worth $58,958,000 after purchasing an additional 357,367 shares during the period. Hedge funds and other institutional investors own 94.05% of the company's stock.

Key Headlines Impacting Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Zacks Research upgraded Lumentum (LITE) from hold to strong-buy, signaling improved earnings outlook and stronger near-term sentiment. Tickerreport.com
• Positive Sentiment: Investors are reacting to reports of surging AI optics demand, with Lumentum’s components business reportedly sold out through 2028 and the company planning to expand manufacturing capacity, which supports a higher valuation. Lumentum’s AI Optics Demand And NVIDIA Deal Reshape Valuation Debate
• Positive Sentiment: The stock also benefited from broader momentum-stock and analyst coverage that placed LITE on Zacks’ Rank #1 Strong Buy list, adding to bullish trading sentiment. Best Momentum Stocks to Buy for May 14th
• Positive Sentiment: Multiple articles highlighted accelerating growth in Lumentum’s components business, particularly around AI optics and hyperscale data-center demand, reinforcing expectations for continued revenue strength. Lumentum's Components Business Accelerates: More Upside Ahead?
• Neutral Sentiment: Investor attention is also building around an upcoming May 18 event, but the articles provided do not specify a concrete new catalyst yet. Dear Lumentum stock fans, mark your calendars for May 18

Insiders Place Their Bets

In other Lumentum news, Director Ian Small sold 3,500 shares of the business's stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $911.17, for a total transaction of $3,189,095.00. Following the completion of the sale, the director directly owned 25,962 shares in the company, valued at approximately $23,655,795.54. The trade was a 11.88% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Brian Lillie sold 11,951 shares of the business's stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $981.64, for a total value of $11,731,579.64. Following the sale, the director owned 13,959 shares of the company's stock, valued at approximately $13,702,712.76. This trade represents a 46.13% 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. Over the last quarter, insiders have sold 32,488 shares of company stock valued at $27,115,961. 0.43% of the stock is owned by company insiders.

Lumentum Trading Down 3.1%

Shares of NASDAQ:LITE opened at $970.70 on Friday. Lumentum Holdings Inc. has a 1 year low of $71.04 and a 1 year high of $1,085.68. The firm has a market capitalization of $75.52 billion, a price-to-earnings ratio of 179.76 and a beta of 1.53. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.14 and a quick ratio of 0.97. The business's 50 day moving average price is $809.96 and its 200-day moving average price is $535.23.

Lumentum (NASDAQ:LITE - Get Free Report) last announced its earnings results on Tuesday, May 5th. The technology company reported $2.37 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.27 by $0.10. Lumentum had a return on equity of 24.81% and a net margin of 17.61%.The firm had revenue of $808.40 million for the quarter, compared to analyst estimates of $810.21 million. During the same quarter last year, the firm posted $0.57 EPS. The business's revenue was up 90.1% on a year-over-year basis. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. On average, equities research analysts forecast that Lumentum Holdings Inc. will post 6.49 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on LITE shares. Barclays raised their price objective on shares of Lumentum from $750.00 to $1,000.00 and gave the stock an "equal weight" rating in a research note on Wednesday, May 6th. UBS Group raised their price objective on shares of Lumentum from $455.00 to $960.00 and gave the stock a "neutral" rating in a research note on Wednesday, May 6th. Craig Hallum lifted their price objective on shares of Lumentum from $900.00 to $1,150.00 in a report on Wednesday, May 6th. Needham & Company LLC lifted their price objective on shares of Lumentum from $880.00 to $1,040.00 and gave the company a "buy" rating in a report on Tuesday, April 21st. Finally, Jefferies Financial Group reaffirmed a "buy" rating and issued a $1,200.00 price objective on shares of Lumentum in a report on Wednesday, May 6th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $1,012.43.

About Lumentum

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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