EULAV Asset Management Buys 31,736 Shares of Lumentum Holdings Inc. $LITE

Key Points

• EULAV Asset Management increased its Lumentum stake by 1,175.4% in the third quarter, purchasing 31,736 additional shares for a total holding valued at approximately $33.4 million. Institutional investors collectively own 94.05% of the company.
• Lumentum reported quarterly earnings and revenue above analyst expectations, with revenue rising 109.3% year over year to $1.01 billion. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $1,080.83.
• Company insiders sold nearly $86 million of stock over the past 90 days, including a $25.7 million sale by the CFO. Shares have also pulled back amid a broader AI-optics and technology-sector selloff, despite continued optimism about AI infrastructure demand.

EULAV Asset Management boosted its stake in Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 1,175.4% during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 34,436 shares of the technology company's stock after purchasing an additional 31,736 shares during the period. EULAV Asset Management's holdings in Lumentum were worth $33,446,000 at the end of the most recent reporting period.

A number of other large investors have also bought and sold shares of the stock. Citizens Financial Group Inc. RI boosted its stake in shares of Lumentum by 26.0% during the 3rd quarter. Citizens Financial Group Inc. RI now owns 1,764 shares of the technology company's stock valued at $1,713,000 after purchasing an additional 364 shares in the last quarter. Simplicity Wealth LLC increased its position in shares of Lumentum by 53.5% during the third quarter. Simplicity Wealth LLC now owns 433 shares of the technology company's stock valued at $421,000 after buying an additional 151 shares during the period. Carolina Wealth Advisors LLC increased its position in shares of Lumentum by 49.7% during the third quarter. Carolina Wealth Advisors LLC now owns 214 shares of the technology company's stock valued at $208,000 after buying an additional 71 shares during the period. Yousif Capital Management LLC raised its stake in Lumentum by 9.9% in the third quarter. Yousif Capital Management LLC now owns 7,678 shares of the technology company's stock worth $7,457,000 after buying an additional 694 shares in the last quarter. Finally, MBL Wealth LLC bought a new position in Lumentum in the third quarter worth about $2,156,000. 94.05% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Lumentum

In related news, insider Yuen Wupen sold 307 shares of the firm's stock in a transaction that occurred on Tuesday, September 29th. The stock was sold at an average price of $945.00, for a total transaction of $290,115.00. Following the completion of the transaction, the insider owned 108,320 shares of the company's stock, valued at $102,362,400. This trade represents a 0.28% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Wajid Ali sold 24,542 shares of Lumentum stock in a transaction on Thursday, October 1st. The shares were sold at an average price of $1,048.50, for a total value of $25,732,287.00. Following the transaction, the chief financial officer owned 75,074 shares of the company's stock, valued at $78,715,089. The trade was a 24.64% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 94,496 shares of company stock worth $85,978,498 in the last 90 days. 0.28% of the stock is currently owned by company insiders.

Lumentum Stock Performance

NASDAQ:LITE opened at $756.17 on Monday. Lumentum Holdings Inc. has a one year low of $173.73 and a one year 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. The company's 50-day simple moving average is $924.34 and its 200 day simple moving average is $878.49. The firm has a market capitalization of $68.49 billion, a P/E ratio of -9.20 and a beta of 1.53.

Lumentum (NASDAQ:LITE - Get Free Report) last announced its earnings results on Tuesday, August 11th. The technology company reported $3.23 earnings per share 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 during the quarter, compared to the consensus estimate of $987.70 million. During the same quarter last year, the firm earned $0.88 earnings per share. The business's revenue for the quarter was up 109.3% on a year-over-year basis. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. As a group, analysts forecast that Lumentum Holdings Inc. will post 19.79 EPS for the current fiscal year.

Lumentum News Roundup

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Jefferies reportedly raised its price target on Lumentum to $1,250, signaling continued confidence in the company’s AI-optics growth prospects. Lumentum stock rises pre-market; Jefferies lifts target to USD 1,250
• Positive Sentiment: Brown Advisory identified Lumentum as an opportunity within AI infrastructure, reflecting institutional support for the company’s exposure to optical components used in data centers. Management has also highlighted strong AI demand through early 2029. Brown Advisory Sees AI Infrastructure Opportunity in Lumentum Holdings Inc. (LITE)
• Neutral Sentiment: Investors are looking ahead to Lumentum’s fiscal first-quarter update on November 4. The company has guided revenue above the prior quarter, while its latest reported quarter exceeded analyst expectations for both earnings and revenue, creating a potentially important catalyst but also raising expectations.
• Negative Sentiment: Lumentum shares have fallen sharply over the past week as investors reduced exposure to AI-optics stocks following a hotter-than-expected September inflation report. Higher interest-rate concerns are weighing particularly heavily on high-growth technology valuations. Lumentum Holdings (LITE) Fell In The AI Optics Selloff, Is It Still Undervalued?
• Negative Sentiment: The broader technology selloff has spread across optical-networking peers, including Coherent and Applied Optoelectronics, suggesting the recent weakness is driven more by sector-wide positioning and valuation concerns than by a new company-specific setback. Optics Stocks Tumble as Tech Selloff Deepens Ahead of Earnings
• Negative Sentiment: Lumentum’s CFO reportedly sold approximately $25.7 million of stock ahead of earnings. Although insider selling does not necessarily indicate deteriorating fundamentals, the timing may add to investor caution. Lumentum Slips Off Its $1,143 Peak as CFO Sells $25.7 Million Ahead of Earnings

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on LITE. Zacks Research downgraded Lumentum from a "strong-buy" rating to a "hold" rating in a report on Monday, October 12th. Rosenblatt Securities reissued a "buy" rating and issued a $1,300.00 target price on shares of Lumentum in a research report on Monday, October 5th. TD Cowen raised their target price on Lumentum from $800.00 to $820.00 and gave the company a "hold" rating in a research note on Wednesday, August 12th. Citigroup lifted their price target on Lumentum from $1,200.00 to $1,400.00 and gave the company a "buy" rating in a research report on Monday, September 28th. Finally, Weiss Ratings cut Lumentum from a "hold (c-)" rating to a "sell (d-)" rating in a research note on Wednesday, August 19th. Sixteen analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Lumentum currently has a consensus rating of "Moderate Buy" and a consensus price target of $1,080.83.

Lumentum 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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