Highland Capital Management LLC Sells 7,387 Shares of Lumentum Holdings Inc. $LITE

Key Points

• Lumentum beat expectations, reporting $2.37 EPS and ~90% year-over-year revenue growth for the quarter, and management raised Q4 FY2026 EPS guidance to $2.85–$3.05, signaling continued AI/data-center momentum.
• Analysts sharply raised targets and ratings — notable lifts include Loop Capital to a $1,400 target and Susquehanna/Citigroup/Stifel to $1,100 — leaving an average price target near $813 and a consensus of "Moderate Buy."
• Ownership flows are mixed: Highland Capital cut its stake by 51.6% to 6,942 shares ($2.56M), big funds like Arrowstreet and Assenagon massively increased positions, and insiders have sold ~65,775 shares (~$38.85M) in the past 90 days.

Highland Capital Management LLC lessened its position in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 51.6% in the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 6,942 shares of the technology company's stock after selling 7,387 shares during the period. Highland Capital Management LLC's holdings in Lumentum were worth $2,559,000 at the end of the most recent reporting period.

A number of other hedge funds have also bought and sold shares of LITE. Arrowstreet Capital Limited Partnership raised its stake in Lumentum by 8,579.2% during 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. increased its stake in Lumentum by 707.0% in the fourth quarter. Assenagon Asset Management S.A. now owns 994,478 shares of the technology company's stock valued at $366,555,000 after purchasing an additional 871,249 shares in the last quarter. Holocene Advisors LP bought a new stake in Lumentum in the third quarter valued at $136,401,000. WT Asset Management Ltd increased its stake in Lumentum by 170.0% in the third quarter. WT Asset Management Ltd now owns 710,208 shares of the technology company's stock valued at $115,558,000 after purchasing an additional 447,208 shares in the last quarter. Finally, FengHe Fund Management Pte. Ltd. bought a new stake in Lumentum in the third quarter valued at $71,771,000. Institutional investors own 94.05% of the company's stock.

Insider Buying and Selling at Lumentum

In other news, insider Vincent Retort sold 3,441 shares of the business's stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $545.78, for a total transaction of $1,878,028.98. Following the completion of the sale, the insider directly owned 95,975 shares of the company's stock, valued at $52,381,235.50. The trade was a 3.46% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Yuen Wupen sold 3,157 shares of the business's stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $538.00, for a total transaction of $1,698,466.00. Following the sale, the insider directly owned 88,439 shares of the company's stock, valued at approximately $47,580,182. The trade was a 3.45% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 65,775 shares of company stock valued at $38,851,343. Insiders own 0.43% of the company's stock.

Analysts Set New Price Targets

Several equities research analysts have weighed in on LITE shares. Susquehanna lifted their price target on shares of Lumentum from $550.00 to $1,100.00 and gave the company a "positive" rating in a research note on Monday, April 20th. Mizuho lifted their price target on shares of Lumentum from $750.00 to $930.00 and gave the company an "outperform" rating in a research note on Wednesday, April 8th. Citigroup lifted their price target on shares of Lumentum from $800.00 to $1,100.00 and gave the company a "buy" rating in a research note on Tuesday, April 21st. Loop Capital lifted their price target on shares of Lumentum from $900.00 to $1,400.00 and gave the company a "buy" rating in a research note on Tuesday. Finally, Stifel Nicolaus lifted their price target on shares of Lumentum from $800.00 to $1,100.00 and gave the company a "buy" rating in a research note on Tuesday. Twelve investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average price target of $812.71.

Lumentum News Roundup

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Earnings beat and big y/y profit improvement — Lumentum reported $2.37 EPS vs. the $2.24 consensus and compared with $0.57 a year ago, driven by 90% revenue growth; this confirms stronger AI/data-center demand. Lumentum (LITE) Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: Raised guidance — Lumentum updated Q4 FY2026 EPS guidance to $2.85–$3.05 versus a consensus of $2.59, signaling management expects continued momentum. Know When To Hold 'Em And When To Fold 'Em
• Positive Sentiment: Analyst price-target increases — Stifel raised its PT to $1,100 (buy) and Loop Capital boosted its PT to $1,400 (buy), providing fresh analyst support that can attract demand. Stifel adjusts price target on Lumentum Loop Capital adjusts PT on Lumentum
• Positive Sentiment: Bullish media/celebrity endorsement — Jim Cramer named Lumentum among stocks he'd buy ahead of earnings, which can spur retail interest. Jim Cramer Shows Bullish Sentiment as He Says He Would “Buy Lumentum”
• Neutral Sentiment: Revenue slightly below consensus — revenue was $808.4M vs. consensus $810.05M; underlying demand signals remain strong but this small miss tempers the beat. Lumentum quarterly report and call
• Neutral Sentiment: High prior run and market attention — pieces noting Lumentum’s ~1,444% YTD surge and positioning ahead of earnings highlight elevated expectations and greater volatility going forward. Does Lumentum’s 1,444% Surge Come to an End Tomorrow?
• Neutral Sentiment: Institutional/strategic interest signals — copy-trading/hedge-fund activity has surfaced in coverage, which can add flows but also follow-on volatility. This copy-trading portfolio soared 60% in two months

Lumentum Trading Up 1.9%

NASDAQ:LITE opened at $994.56 on Wednesday. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.61 and a quick ratio of 0.45. The firm has a 50-day moving average of $766.66 and a 200-day moving average of $492.31. The company has a market cap of $71.01 billion, a PE ratio of 305.08 and a beta of 1.53. Lumentum Holdings Inc. has a one year low of $60.38 and a one year high of $1,021.00.

Lumentum (NASDAQ:LITE - Get Free Report) last posted its earnings results on Tuesday, May 5th. The technology company reported $2.37 EPS for the quarter, topping the consensus estimate of $2.27 by $0.10. The company had revenue of $808.40 million during the quarter, compared to the consensus estimate of $810.05 million. Lumentum had a net margin of 11.95% and a return on equity of 17.27%. The firm's revenue for the quarter was up 90.1% on a year-over-year basis. During the same period in the previous year, the firm posted $0.57 earnings per share. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. As a group, equities research analysts expect that Lumentum Holdings Inc. will post 5.87 EPS for the current fiscal year.

Lumentum Profile

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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