Lumentum Holdings Inc. $LITE Stock Holdings Lifted by China Universal Asset Management Co. Ltd.

Key Points

• China Universal Asset Management increased its Lumentum stake by 23% in the third quarter to 14,455 shares valued at approximately $14.1 million. Institutional investors collectively own 94.05% of the company.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and an average price target of $1,080.83, although Zacks downgraded the stock to “Hold.”
• Lumentum reported quarterly earnings of $3.23 per share and $1.01 billion in revenue, beating estimates and marking 109.3% year-over-year revenue growth. However, insiders sold roughly $86 million of shares over the past three months, while potential acquisition talks with Marvell introduce both upside and deal-execution risks.

China Universal Asset Management Co. Ltd. lifted its position in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 23.0% in the 3rd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 14,455 shares of the technology company's stock after buying an additional 2,703 shares during the quarter. China Universal Asset Management Co. Ltd.'s holdings in Lumentum were worth $14,061,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Financiere des Professionnels Fonds d investissement inc. acquired a new position in Lumentum during the first quarter worth about $2,046,000. Styrax Capital LP lifted its holdings in shares of Lumentum by 3.6% in the first quarter. Styrax Capital LP now owns 140,000 shares of the technology company's stock valued at $98,386,000 after purchasing an additional 4,837 shares in the last quarter. Whittier Trust Co. grew its position in shares of Lumentum by 21,806.5% in the first quarter. Whittier Trust Co. now owns 74,044 shares of the technology company's stock valued at $57,183,000 after purchasing an additional 73,706 shares during the last quarter. Swiss National Bank grew its position in shares of Lumentum by 47.2% in the first quarter. Swiss National Bank now owns 208,015 shares of the technology company's stock valued at $146,185,000 after purchasing an additional 66,700 shares during the last quarter. Finally, Whittier Trust Co. of Nevada Inc. increased its stake in shares of Lumentum by 335,933.3% during the 1st quarter. Whittier Trust Co. of Nevada Inc. now owns 30,243 shares of the technology company's stock worth $23,356,000 after purchasing an additional 30,234 shares in the last quarter. Institutional investors and hedge funds own 94.05% of the company's stock.

Analysts Set New Price Targets

Several research analysts recently issued reports on the company. UBS Group set a $820.00 price objective on Lumentum in a research report on Wednesday, August 12th. Raymond James Financial reiterated an "outperform" rating and set a $1,036.00 target price on shares of Lumentum in a report on Wednesday, August 12th. Needham & Company LLC reiterated a "buy" rating and set a $1,040.00 target price on shares of Lumentum in a report on Wednesday, August 12th. Zacks Research downgraded Lumentum from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 12th. Finally, JPMorgan Chase & Co. boosted their price target on Lumentum from $1,165.00 to $1,280.00 and gave the stock an "overweight" rating in a report on Wednesday, August 12th. One research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Lumentum presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,080.83.

Insider Buying and Selling at Lumentum

In other news, CFO Wajid Ali sold 24,542 shares of the company's stock in a transaction on Thursday, October 1st. The stock was sold at an average price of $1,048.50, for a total transaction of $25,732,287.00. Following the completion of the sale, the chief financial officer directly owned 75,074 shares in the company, valued at $78,715,089. This represents a 24.64% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Yuen Wupen sold 307 shares of the stock in a transaction on Tuesday, September 29th. The stock was sold at an average price of $945.00, for a total value of $290,115.00. Following the completion of the transaction, the insider directly owned 108,320 shares in the company, valued at $102,362,400. This trade represents a 0.28% 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. Insiders have sold a total of 94,496 shares of company stock valued at $85,978,498 over the last three months. Corporate insiders own 0.28% of the company's stock.

Lumentum Price Performance

Lumentum stock opened at $919.53 on Friday. Lumentum Holdings Inc. has a 1 year low of $184.20 and a 1 year high of $1,143.00. The firm has a 50 day moving average price of $923.68 and a 200 day moving average price of $792.49. The company has a market cap of $83.29 billion, a price-to-earnings ratio of -11.19 and a beta of 1.53. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.40 and a current ratio of 1.68.

Lumentum (NASDAQ:LITE - Get Free Report) last issued its quarterly earnings results on Tuesday, August 11th. The technology company reported $3.23 EPS for the quarter, topping the consensus estimate 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 for the quarter was up 109.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.88 earnings per share. 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 year.

More Lumentum News

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

About Lumentum

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.

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.