Lumentum Holdings Inc. $LITE Shares Acquired by North Dakota State Investment Board

Key Points

• North Dakota State Investment Board increased its Lumentum stake by 65.9% in the third quarter to 3,473 shares valued at approximately $3.37 million. Institutional investors collectively own 94.05% of Lumentum’s stock.
• Lumentum reported quarterly EPS of $3.23, exceeding estimates of $2.97, while revenue rose 109.3% year over year to $1.01 billion. The company issued first-quarter fiscal 2027 EPS guidance of $4.05–$4.35.
• Shares are benefiting from reports of potential acquisition interest from Marvell and strong AI-infrastructure demand, but investors face risks including Lumentum’s premium valuation, customer concentration, capacity constraints and possible deal uncertainty.

North Dakota State Investment Board lifted its holdings in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 65.9% in the third quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 3,473 shares of the technology company's stock after buying an additional 1,379 shares during the period. North Dakota State Investment Board's holdings in Lumentum were worth $3,373,000 at the end of the most recent reporting period.

A number of other institutional investors have also modified their holdings of LITE. Jupiter Topco LLC acquired a new position in Lumentum in the second quarter valued at approximately $1,621,396,000. Amundi grew its holdings in shares of Lumentum by 188.7% during the second quarter. Amundi now owns 658,427 shares of the technology company's stock valued at $564,970,000 after purchasing an additional 430,355 shares during the last quarter. WT Asset Management Ltd acquired a new stake in shares of Lumentum during the 2nd quarter worth approximately $494,688,000. Janus Henderson Group PLC lifted its holdings in shares of Lumentum by 163.2% in the 1st quarter. Janus Henderson Group PLC now owns 567,182 shares of the technology company's stock worth $398,590,000 after purchasing an additional 351,676 shares during the last quarter. Finally, Legal & General Group Plc bought a new stake in shares of Lumentum in the 2nd quarter worth approximately $376,539,000. Institutional investors own 94.05% of the company's stock.

Lumentum Stock Performance

LITE stock opened at $919.53 on Friday. The company has a market capitalization of $83.29 billion, a P/E ratio of -11.19 and a beta of 1.53. The company has a 50-day simple moving average of $923.68 and a 200 day simple moving average of $792.49. Lumentum Holdings Inc. has a fifty-two week low of $184.20 and a fifty-two week high of $1,143.00. The company has a quick ratio of 1.40, a current ratio of 1.68 and a debt-to-equity ratio of 0.01.

Lumentum (NASDAQ:LITE - Get Free Report) last announced its earnings results on Tuesday, August 11th. The technology company reported $3.23 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.97 by $0.26. The firm had revenue of $1.01 billion during the quarter, compared to analyst estimates of $987.70 million. Lumentum had a negative net margin of 230.15% and a positive return on equity of 26.34%. Lumentum's revenue was up 109.3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.88 EPS. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Sell-side analysts predict that Lumentum Holdings Inc. will post 19.79 earnings per share for the current fiscal year.

Lumentum News Roundup

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Potential acquisition premium: Lumentum’s reported status as the target is supporting its shares, with the company’s approximately $83 billion market value putting a substantial takeover premium and possible deal value in focus. Lumentum Stock Rises as Marvell Takeover Talks Put $83 Billion Market Value in Focus
• Positive Sentiment: Strategic value in AI infrastructure: Marvell could gain Lumentum’s optical networking products, indium phosphide laser manufacturing capacity and exposure to rapidly growing data-center demand. Optical connections are becoming increasingly important as AI clusters require faster, higher-capacity links than copper can provide. Marvell in advanced talks to buy Lumentum
• Positive Sentiment: Underlying operating momentum is attracting interest independently of the takeover speculation. Lumentum has reported record cloud-transceiver shipments and is expanding its 1.6T product rollout, benefiting from AI infrastructure investment; its latest reported revenue increased 109% year over year and earnings exceeded expectations. LITE’s Transceivers Gain From AI Infrastructure Demand
• Neutral Sentiment: The reported transaction could strengthen the relationship between Marvell, Lumentum and NVIDIA, which has invested in both companies and relies on advanced optical components for AI systems. However, reports indicate discussions are ongoing rather than a completed deal. Nvidia-Backed Marvell, Lumentum Could Be Nearing Deal
• Negative Sentiment: Valuation and execution risks could limit the benefit to LITE investors if negotiations fail or the terms disappoint. Analysts have flagged Lumentum’s premium valuation, customer concentration, capacity constraints and the difficulty of integrating the businesses. An all-stock transaction would also create significant dilution for Marvell shareholders, potentially complicating deal approval. Marvell-Lumentum Deal: Analysts See Strategic Logic but Flag Price and Integration Risk

Insider Buying and Selling

In other news, CFO Wajid Ali sold 24,542 shares of the stock in a transaction that occurred 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 completion of the transaction, the chief financial officer directly owned 75,074 shares in the company, valued at $78,715,089. This trade represents a 24.64% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Yuen Wupen sold 307 shares of the firm's stock in a transaction that occurred on Tuesday, September 29th. The shares were sold at an average price of $945.00, for a total transaction of $290,115.00. Following the transaction, the insider owned 108,320 shares in the company, valued at $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. Over the last ninety days, insiders sold 94,496 shares of company stock valued at $85,978,498. Company insiders own 0.28% of the company's stock.

Analyst Ratings Changes

A number of brokerages recently commented on LITE. Rosenblatt Securities restated a "buy" rating and set a $1,300.00 price objective on shares of Lumentum in a research note on Monday, October 5th. Wolfe Research reaffirmed an "outperform" rating on shares of Lumentum in a research report on Friday, August 21st. Evercore began coverage on Lumentum in a research note on Monday, August 31st. They issued an "outperform" rating and a $1,100.00 target price on the stock. Deutsche Bank Aktiengesellschaft assumed coverage on shares of Lumentum in a report on Monday, August 31st. They set a "buy" rating and a $1,200.00 price target for the company. Finally, JPMorgan Chase & Co. upped their price target on shares of Lumentum from $1,165.00 to $1,280.00 and gave the stock an "overweight" rating in a research report on Wednesday, August 12th. One research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price 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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