Penn Capital Management Company LLC Sells 3,138 Shares of Lumentum Holdings Inc. $LITE

Key Points

• Penn Capital Management reduced its Lumentum stake by 37.1% in the fourth quarter, selling 3,138 shares and leaving it with 5,330 shares valued at about $1.99 million.
• Insider selling has been notable, with Director Ian Small and insider Yuen Wupen both selling shares recently; over the last 90 days, insiders sold 41,146 shares worth about $37.7 million.
• Analysts remain constructive on Lumentum, with multiple firms raising price targets and the consensus rating at “Moderate Buy” with an average target price of $1,012.43.

Penn Capital Management Company LLC cut its stake in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 37.1% during the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 5,330 shares of the technology company's stock after selling 3,138 shares during the period. Penn Capital Management Company LLC's holdings in Lumentum were worth $1,991,000 at the end of the most recent reporting period.

Other institutional investors also recently modified their holdings of the company. V Square Quantitative Management LLC bought a new position in shares of Lumentum in the fourth quarter worth approximately $28,000. Harbour Investments Inc. boosted its stake in shares of Lumentum by 675.0% during the fourth quarter. Harbour Investments Inc. now owns 93 shares of the technology company's stock valued at $34,000 after purchasing an additional 81 shares during the period. Chesapeake Asset Management LLC purchased a new stake in shares of Lumentum during the fourth quarter valued at approximately $37,000. BOCHK Asset Management Ltd purchased a new stake in shares of Lumentum during the fourth quarter valued at approximately $37,000. Finally, Pilgrim Partners Asia Pte Ltd purchased a new stake in shares of Lumentum during the fourth quarter valued at approximately $55,000. 94.05% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In other Lumentum news, Director Ian Small sold 4,954 shares of the company's stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $868.07, for a total value of $4,300,418.78. Following the completion of the sale, the director directly owned 21,008 shares in the company, valued at approximately $18,236,414.56. This represents a 19.08% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Yuen Wupen sold 3,210 shares of the company's stock in a transaction on Monday, May 18th. The stock was sold at an average price of $953.95, for a total value of $3,062,179.50. Following the completion of the sale, the insider owned 81,488 shares of the company's stock, valued at $77,735,477.60. This represents a 3.79% 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. In the last ninety days, insiders sold 41,146 shares of company stock worth $37,667,478. 0.43% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of analysts have recently weighed in on LITE shares. BNP Paribas Exane increased their price objective on Lumentum from $1,040.00 to $1,300.00 in a research note on Wednesday, May 6th. Northland Securities set a $1,000.00 price target on Lumentum in a research note on Monday, April 20th. Citigroup increased their price objective on Lumentum from $800.00 to $1,100.00 and gave the stock a "buy" rating in a report on Tuesday, April 21st. Barclays increased their price objective on 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 restated a "buy" rating and set a $1,200.00 price target on shares of Lumentum in a report on Wednesday, May 6th. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $1,012.43.

Lumentum Stock Down 3.8%

NASDAQ LITE opened at $910.81 on Wednesday. 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 Holdings Inc. has a 12 month low of $71.04 and a 12 month high of $1,085.68. The stock's 50 day moving average is $849.55 and its 200 day moving average is $572.68. The stock has a market cap of $70.86 billion, a PE ratio of 168.67 and a beta of 1.53.

Lumentum (NASDAQ:LITE - Get Free Report) last released its 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 firm had revenue of $808.40 million for the quarter, compared to the consensus estimate of $810.21 million. During the same quarter in the previous year, the company posted $0.57 EPS. The company'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. Research analysts predict that Lumentum Holdings Inc. will post 6.49 EPS for the current fiscal year.

Lumentum 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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