IMA Advisory Services Inc. Cuts Stake in Lumentum Holdings Inc. $LITE

Key Points

• IMA Advisory Services cut its stake in Lumentum Holdings by 27.1% in the first quarter, selling 3,452 shares and leaving it with 9,283 shares worth about $6.5 million.
• Institutional ownership in Lumentum remains very high at 94.05%, and several large investors recently made major additions to their positions, including Arrowstreet Capital and Norges Bank.
• Analyst sentiment is broadly positive: multiple firms reiterated or raised buy ratings and price targets, while Lumentum also beat quarterly EPS estimates and posted revenue growth of 90.1% year over year.

IMA Advisory Services Inc. lowered its stake in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 27.1% in the 1st quarter, according to the company in its most recent disclosure with the SEC. The firm owned 9,283 shares of the technology company's stock after selling 3,452 shares during the quarter. IMA Advisory Services Inc.'s holdings in Lumentum were worth $6,524,000 as of its most recent SEC filing.

A number of other large investors have also added to or reduced their stakes in LITE. Arrowstreet Capital Limited Partnership boosted its stake in 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 valued at $254,350,000 after acquiring an additional 1,545,199 shares during the last quarter. Norges Bank purchased a new stake in shares of Lumentum during the 4th quarter worth approximately $474,495,000. Value Aligned Research Advisors LLC purchased a new stake in shares of Lumentum during the 4th quarter worth approximately $432,062,000. Situational Awareness LP raised its holdings in shares of Lumentum by 210.9% in the 4th quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company's stock worth $478,577,000 after purchasing an additional 880,800 shares during the period. Finally, Assenagon Asset Management S.A. lifted 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 during the last quarter. 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: Analysts highlighted Lumentum’s record laser-chip shipments and capacity expansion, suggesting the company is well positioned to benefit from surging AI networking demand. Can Lumentum's AI Laser Chip Demand Accelerate Revenue Growth?
• Positive Sentiment: Lumentum was upgraded to Zacks Rank #2 (Buy) after earnings estimates were raised, which signals improving sentiment around near-term earnings prospects. Lumentum (LITE) Upgraded to Buy: What Does It Mean for the Stock?
• Positive Sentiment: Coverage comparing Lumentum with Applied Digital favored Lumentum’s stronger execution, AI-driven growth, and lower valuation, reinforcing the stock’s appeal to growth investors. LITE vs. APLD: Which AI Infrastructure Stock Offers Better Growth?
• Neutral Sentiment: UBS reaffirmed its Hold rating, which may temper enthusiasm even as the broader AI-demand story remains constructive. UBS Reaffirms Their Hold Rating on Lumentum Holdings (LITE)
• Neutral Sentiment: Citi’s addition of Lumentum to a 90-day catalyst watch suggests traders are watching for near-term catalysts, but it does not by itself change the fundamental outlook. Lumentum in focus as Citi adds 90-day catalyst watch
• Negative Sentiment: Some articles point to valuation and analyst-watch attention rather than confirmed new financial results, so the stock could be vulnerable if AI demand growth or execution does not continue to meet high expectations.

Analysts Set New Price Targets

LITE has been the topic of several research reports. Needham & Company LLC restated a "buy" rating and issued a $1,040.00 target price on shares of Lumentum in a research note on Tuesday, June 9th. Citigroup reiterated a "buy" rating on shares of Lumentum in a research note on Thursday. Rosenblatt Securities lifted their price objective on Lumentum from $900.00 to $1,300.00 and gave the stock a "buy" rating in a report on Wednesday, May 6th. Weiss Ratings restated a "hold (c)" rating on shares of Lumentum in a research note on Tuesday, April 21st. Finally, JPMorgan Chase & Co. upped their price objective on shares of Lumentum from $950.00 to $1,130.00 and gave the company an "overweight" rating in a report on Wednesday, May 6th. Fourteen equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $1,012.67.

Lumentum Trading Up 3.8%

Shares of LITE stock opened at $732.82 on Friday. The stock has a market capitalization of $57.01 billion, a price-to-earnings ratio of 135.71 and a beta of 1.48. The company's fifty day simple moving average is $865.06 and its two-hundred day simple moving average is $710.76. Lumentum Holdings Inc. has a 1 year low of $97.55 and a 1 year high of $1,085.68. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.14 and a quick ratio of 0.97.

Lumentum (NASDAQ:LITE - Get Free Report) last announced its quarterly earnings results on Tuesday, May 5th. The technology company reported $2.37 earnings per share for the quarter, beating the consensus estimate of $2.27 by $0.10. Lumentum had a return on equity of 24.81% and a net margin of 17.61%.The company had revenue of $808.40 million during the quarter, compared to analysts' expectations of $810.21 million. During the same period in the previous year, the business earned $0.57 earnings per share. The firm's quarterly revenue was up 90.1% compared to the same quarter last year. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. As a group, analysts anticipate that Lumentum Holdings Inc. will post 6.4 earnings per share for the current year.

Insider Buying and Selling at Lumentum

In other news, Director Ian Small sold 4,954 shares of the firm's stock in a transaction that occurred on Thursday, May 21st. The shares were sold at an average price of $868.07, for a total value of $4,300,418.78. Following the completion of the transaction, the director directly owned 21,008 shares in the company, valued at approximately $18,236,414.56. This trade represents a 19.08% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Vincent Retort sold 3,183 shares of the firm's stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $953.95, for a total transaction of $3,036,422.85. Following the completion of the transaction, the insider owned 89,563 shares of the company's stock, valued at $85,438,623.85. This trade represents a 3.43% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 41,260 shares of company stock worth $38,859,220. 0.43% of the stock is owned by corporate insiders.

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.

Want to see what other hedge funds are holding LITE? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Lumentum Holdings Inc. (NASDAQ:LITE - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.