Pinnacle Wealth Management Advisory Group LLC Makes New $3.16 Million Investment in Lumentum Holdings Inc. $LITE

Key Points

• Pinnacle Wealth Management Advisory Group disclosed a new Q1 position in Lumentum Holdings, buying 4,497 shares valued at about $3.16 million.
• Insider selling continued, with SVP Jae Kim and CFO Wajid Ali both selling shares under pre-arranged 10b5-1 plans to cover tax withholding tied to equity awards.
• Lumentum reported strong quarterly results, posting $2.37 EPS versus $2.27 expected and 90.1% year-over-year revenue growth; analysts also mostly remain constructive with a Moderate Buy consensus and a $1,021.95 target price.

Pinnacle Wealth Management Advisory Group LLC purchased a new stake in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor purchased 4,497 shares of the technology company's stock, valued at approximately $3,160,000.

Other institutional investors have also modified their holdings of the company. Louisiana State Employees Retirement System bought a new position in shares of Lumentum during the 1st quarter worth approximately $2,530,000. Silver Oak Securities Incorporated purchased a new stake in Lumentum during the first quarter valued at approximately $408,000. Kestra Private Wealth Services LLC acquired a new stake in Lumentum in the first quarter valued at approximately $835,000. Ritholtz Wealth Management boosted its stake in Lumentum by 18.1% in the first quarter. Ritholtz Wealth Management now owns 815 shares of the technology company's stock valued at $573,000 after acquiring an additional 125 shares in the last quarter. Finally, Hilton Head Capital Partners LLC acquired a new stake in Lumentum in the first quarter valued at approximately $25,000. 94.05% of the stock is currently owned by institutional investors.

Insider Activity at Lumentum

In other news, SVP Jae Kim sold 1,422 shares of the stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $953.95, for a total value of $1,356,516.90. Following the transaction, the senior vice president directly owned 32,333 shares of the company's stock, valued at approximately $30,844,065.35. This represents a 4.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. 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, CFO Wajid Ali sold 2,487 shares of the firm's stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $953.95, for a total value of $2,372,473.65. Following the completion of the transaction, the chief financial officer owned 60,951 shares of the company's stock, valued at approximately $58,144,206.45. The trade was a 3.92% 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. Insiders have sold a total of 41,260 shares of company stock worth $38,859,220 in the last quarter. 0.43% of the stock is owned by insiders.

Lumentum Trading Down 5.0%

NASDAQ LITE opened at $818.73 on Friday. The company has a fifty day simple moving average of $901.03 and a two-hundred day simple moving average of $668.39. The stock has a market cap of $63.70 billion, a P/E ratio of 151.62 and a beta of 1.47. Lumentum Holdings Inc. has a 12-month low of $88.37 and a 12-month high of $1,085.68. 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 quarterly earnings data on Tuesday, May 5th. The technology company reported $2.37 EPS for the quarter, topping the consensus estimate of $2.27 by $0.10. The business had revenue of $808.40 million during the quarter, compared to the consensus estimate of $810.21 million. Lumentum had a net margin of 17.61% and a return on equity of 24.81%. The business's revenue for the quarter was up 90.1% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.57 earnings per share. Lumentum has set its Q4 2026 guidance at 2.850-3.050 EPS. On average, analysts forecast that Lumentum Holdings Inc. will post 6.4 earnings per share for the current year.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on the company. Morgan Stanley upped their price target on Lumentum from $710.00 to $900.00 and gave the stock an "equal weight" rating in a research report on Wednesday, May 6th. BNP Paribas Exane raised their price objective on Lumentum from $1,040.00 to $1,300.00 in a research report on Wednesday, May 6th. Northland Securities boosted their target price on Lumentum from $1,000.00 to $1,200.00 and gave the stock an "outperform" rating in a research note on Wednesday, June 3rd. TD Cowen upped their target price on Lumentum from $875.00 to $995.00 and gave the company a "hold" rating in a research report on Wednesday, May 6th. Finally, Mizuho set a $1,100.00 price target on Lumentum in a research note on Wednesday, May 6th. One research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and six have issued a Hold rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,021.95.

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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