Meiji Yasuda Asset Management Co Ltd. Makes New Investment in Lumentum Holdings Inc. $LITE

Key Points

• Meiji Yasuda bought a new position of 1,622 shares in Lumentum (NASDAQ:LITE) in Q3, valued at about $264,000, and institutional investors now own roughly 94.05% of the company.
• Recent momentum is being driven by catalysts including an upcoming S&P 500 inclusion, reported NVIDIA strategic ties and several analyst upgrades, which have pushed volume and price sharply higher.
• Offsetting the optimism, Lumentum trades at a premium (P/E ~206x, market cap ~$48B) and insiders have been selling—including the CFO’s 5,302‑share sale and 65,775 shares sold (~$38.9M) over the last 90 days—raising pullback risk if execution or flows disappoint.

Meiji Yasuda Asset Management Co Ltd. purchased a new position in Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) during the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 1,622 shares of the technology company's stock, valued at approximately $264,000.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. EverSource Wealth Advisors LLC grew its holdings in shares of Lumentum by 363.9% during the 3rd quarter. EverSource Wealth Advisors LLC now owns 167 shares of the technology company's stock worth $27,000 after purchasing an additional 131 shares during the period. Steigerwald Gordon & Koch Inc. purchased a new stake in Lumentum during the third quarter worth about $49,000. Cullen Frost Bankers Inc. acquired a new stake in shares of Lumentum during the third quarter worth about $49,000. Huntington National Bank grew its holdings in shares of Lumentum by 4,125.0% in the third quarter. Huntington National Bank now owns 338 shares of the technology company's stock valued at $55,000 after purchasing an additional 330 shares in the last quarter. Finally, Rossby Financial LCC purchased a new stake in Lumentum during the 3rd quarter worth approximately $77,000. Institutional investors and hedge funds own 94.05% of the company's stock.

Key Lumentum News

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: S&P 500 inclusion creates a predictable institutional bid (passive funds must buy shares ahead of the effective date), helping explain the recent surge in volume and price. These 2 AI Stocks Just Got a Massive S&P 500 Catalyst (LITE)
• Positive Sentiment: NVIDIA relationship/backing (reports of strategic partnership and capital) is reframing Lumentum as a critical supplier to AI data‑center buildouts, driving investor confidence in its addressable market. How The Lumentum (LITE) Story Is Shifting With Nvidia Ties And New Analyst Targets
• Positive Sentiment: Rosenblatt upgraded Lumentum’s outlook (price target raised substantially), citing higher earnings expectations tied to NVIDIA’s involvement — an analyst endorsement that supports more upside and institutional interest. Rosenblatt is Bullish on Lumentum Holdings Inc. (LITE)
• Positive Sentiment: Short‑term momentum: optics/photonic peers are ripping higher and S&P rebalancing headlines have triggered front‑running and momentum flows (several outlets reported double‑digit moves in the sector), amplifying the price move. Lumentum Soars After S&P Rebalance Ahead of Vertiv, EchoStar, and Coherent
• Neutral Sentiment: Broader thesis: analysts and sector commentary highlight photonics as a long‑term AI infrastructure play (optical switch/transceiver demand), which supports higher structural growth but is more of a multi‑quarter story than an immediate catalyst. De-Clogging the Future: Why Photonics is AI's Ultimate Growth Engine
• Negative Sentiment: Valuation risk: several pieces note Lumentum trades at a premium (e.g., elevated P/S and P/E multiples), which raises the risk of pullbacks if near‑term execution or macro flows disappoint. Should Investors Buy LITE Stock Despite 9.58x P/S Premium Valuation?

Lumentum Stock Performance

Shares of LITE stock opened at $672.00 on Wednesday. The stock's 50-day moving average is $494.27 and its two-hundred day moving average is $321.03. The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.45 and a current ratio of 0.61. Lumentum Holdings Inc. has a 1 year low of $45.65 and a 1 year high of $783.80. The firm has a market cap of $47.98 billion, a price-to-earnings ratio of 206.13 and a beta of 1.38.

Lumentum (NASDAQ:LITE - Get Free Report) last announced its earnings results on Tuesday, February 3rd. The technology company reported $1.67 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.41 by $0.26. The firm had revenue of $665.50 million during the quarter, compared to analysts' expectations of $646.74 million. Lumentum had a return on equity of 17.27% and a net margin of 11.95%.The business's revenue was up 65.5% on a year-over-year basis. During the same period in the prior year, the firm earned $0.42 EPS. Lumentum has set its Q3 2026 guidance at 2.150-2.350 EPS. Analysts predict that Lumentum Holdings Inc. will post 0.03 earnings per share for the current year.

Wall Street Analyst Weigh In

Several equities analysts have commented on the stock. Bank of America boosted their price target on shares of Lumentum to $520.00 and gave the stock a "neutral" rating in a research note on Wednesday, February 4th. Stifel Nicolaus upped their target price on shares of Lumentum to $800.00 and gave the stock a "buy" rating in a research note on Monday, March 2nd. JPMorgan Chase & Co. lifted their price target on shares of Lumentum to $565.00 and gave the stock an "overweight" rating in a research note on Wednesday, February 4th. Rosenblatt Securities lifted their price objective on shares of Lumentum to $580.00 and gave the stock a "buy" rating in a research report on Wednesday, February 4th. Finally, Northland Securities set a $350.00 price target on Lumentum in a research note on Wednesday, December 3rd. Two investment analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat.com, Lumentum currently has an average rating of "Moderate Buy" and an average target price of $542.07.

Insider Transactions at Lumentum

In other Lumentum news, CFO Wajid Ali sold 5,302 shares of the firm's stock in a transaction on Friday, February 27th. The shares were sold at an average price of $691.13, for a total transaction of $3,664,371.26. Following the transaction, the chief financial officer directly owned 66,287 shares of the company's stock, valued at approximately $45,812,934.31. This trade represents a 7.41% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Penny Herscher sold 4,000 shares of Lumentum stock in a transaction on Thursday, February 12th. The shares were sold at an average price of $597.29, for a total transaction of $2,389,160.00. Following the completion of the transaction, the director owned 2,057 shares in the company, valued at approximately $1,228,625.53. This represents a 66.04% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 65,775 shares of company stock valued at $38,851,343 over the last ninety days. 0.43% of the stock is owned by insiders.

Lumentum Company 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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