Lumentum Holdings Inc. $LITE Shares Sold by California Public Employees Retirement System

Key Points

• California Public Employees Retirement System cut its Lumentum stake by 2.8% in the first quarter, though it still owned 114,392 shares valued at about $80.4 million.
• Lumentum reported strong quarterly results, posting EPS of $2.37 versus estimates of $2.27 and 90.1% year-over-year revenue growth to $808.4 million. The company also guided Q4 2026 EPS to a range of 2.85 to 3.05.
• Market sentiment remains broadly positive: several analysts raised price targets, the stock carries a Moderate Buy consensus, and recent coverage has emphasized Lumentum’s AI-driven optical demand and capacity expansion.

California Public Employees Retirement System trimmed its position in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 2.8% in the 1st quarter, according to its most recent disclosure with the SEC. The institutional investor owned 114,392 shares of the technology company's stock after selling 3,253 shares during the quarter. California Public Employees Retirement System owned approximately 0.16% of Lumentum worth $80,390,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Arrowstreet Capital Limited Partnership boosted its stake in Lumentum by 8,579.2% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,563,210 shares of the technology company's stock worth $254,350,000 after purchasing an additional 1,545,199 shares during the last quarter. Norges Bank acquired a new stake in shares of Lumentum in the fourth quarter valued at about $474,495,000. Value Aligned Research Advisors LLC acquired a new stake in shares of Lumentum in the fourth quarter valued at about $432,062,000. Situational Awareness LP lifted its stake in shares of Lumentum by 210.9% in the fourth quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company's stock worth $478,577,000 after buying an additional 880,800 shares in the last quarter. Finally, Assenagon Asset Management S.A. lifted 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 in the last quarter. Hedge funds and other institutional investors own 94.05% of the company's stock.

Lumentum Price Performance

Shares of NASDAQ:LITE opened at $732.82 on Monday. The company has a market capitalization of $57.01 billion, a price-to-earnings ratio of 135.71 and a beta of 1.48. Lumentum Holdings Inc. has a 12-month low of $97.55 and a 12-month high of $1,085.68. The business has a 50-day moving average price of $865.06 and a 200 day moving average price of $713.14. The company has a current ratio of 1.14, a quick ratio of 0.97 and a debt-to-equity ratio of 0.01.

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, beating analysts' consensus estimates of $2.27 by $0.10. Lumentum had a net margin of 17.61% and a return on equity of 24.81%. The company had revenue of $808.40 million for the quarter, compared to analysts' expectations of $810.21 million. During the same quarter in the prior year, the company posted $0.57 earnings per share. Lumentum's revenue for the quarter was up 90.1% compared to the same quarter last year. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. Sell-side analysts expect that Lumentum Holdings Inc. will post 6.42 EPS for the current year.

Key Lumentum News

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.

Insiders Place Their Bets

In other news, CFO Wajid Ali sold 2,487 shares of the company'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 value of $2,372,473.65. Following the transaction, the chief financial officer directly owned 60,951 shares in the company, valued at approximately $58,144,206.45. This represents a 3.92% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 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. Also, Director Isaac Hosojiro Harris sold 1,416 shares of the company's stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $1,000.08, for a total transaction of $1,416,113.28. Following the completion of the transaction, the director owned 6,984 shares in the company, valued at approximately $6,984,558.72. This represents a 16.86% decrease in their ownership of the stock. 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. In the last ninety days, insiders sold 41,260 shares of company stock worth $38,859,220. Insiders own 0.43% of the company's stock.

Analyst Ratings Changes

A number of equities analysts recently weighed in on LITE shares. Morgan Stanley boosted their price target on shares of Lumentum from $710.00 to $900.00 and gave the stock an "equal weight" rating in a research report on Wednesday, May 6th. Susquehanna raised their target price on shares of Lumentum from $550.00 to $1,100.00 and gave the stock a "positive" rating in a research note on Monday, April 20th. Weiss Ratings reissued a "hold (c)" rating on shares of Lumentum in a research note on Tuesday, April 21st. Barclays raised their price target on shares of Lumentum from $750.00 to $1,000.00 and gave the stock an "equal weight" rating in a report on Wednesday, May 6th. Finally, Jefferies Financial Group reaffirmed a "buy" rating and set a $1,200.00 price target on shares of Lumentum in a research report on Wednesday, May 6th. Fourteen equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $1,012.67.

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.

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.