Royal London Asset Management Ltd. Increases Stock Position in Lumentum Holdings Inc. $LITE

Key Points

• Royal London Asset Management increased its Lumentum position by 38.6% in the second quarter, bringing its holdings to 77,287 shares valued at approximately $66.3 million. Institutional investors and hedge funds own 94.05% of the company.
• Lumentum exceeded quarterly expectations, reporting $3.23 in EPS versus the $2.97 consensus and $1.01 billion in revenue, up 109.3% year over year. The company issued Q1 fiscal 2027 EPS guidance of $4.05–$4.35.
• Analysts maintain a broadly positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $1,044.67, although insiders have sold shares worth about $55.4 million over the past 90 days.

Royal London Asset Management Ltd. boosted its position in Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) by 38.6% in the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 77,287 shares of the technology company's stock after purchasing an additional 21,537 shares during the quarter. Royal London Asset Management Ltd. owned about 0.10% of Lumentum worth $66,317,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds also recently modified their holdings of the company. Toth Financial Advisory Corp grew its holdings in shares of Lumentum by 127.3% during the second quarter. Toth Financial Advisory Corp now owns 50 shares of the technology company's stock worth $43,000 after buying an additional 28 shares in the last quarter. Mufg Securities Americas Inc. raised its holdings in Lumentum by 18.6% in the 2nd quarter. Mufg Securities Americas Inc. now owns 2,343 shares of the technology company's stock valued at $2,010,000 after acquiring an additional 367 shares during the last quarter. Van ECK Associates Corp lifted its stake in shares of Lumentum by 469.7% during the 2nd quarter. Van ECK Associates Corp now owns 678 shares of the technology company's stock worth $582,000 after purchasing an additional 559 shares during the period. Nissay Asset Management Corp Japan boosted its holdings in shares of Lumentum by 268.4% during the second quarter. Nissay Asset Management Corp Japan now owns 33,924 shares of the technology company's stock worth $29,109,000 after purchasing an additional 24,716 shares during the last quarter. Finally, SPX Gestao de Recursos Ltda purchased a new stake in shares of Lumentum in the second quarter valued at $6,435,000. 94.05% of the stock is owned by institutional investors and hedge funds.

Lumentum Stock Performance

Shares of LITE opened at $895.00 on Friday. The stock has a market capitalization of $80.28 billion, a PE ratio of -10.89 and a beta of 1.50. The business's fifty day moving average price is $811.83 and its 200 day moving average price is $805.08. The company has a debt-to-equity ratio of 0.01, a current ratio of 1.68 and a quick ratio of 1.40. Lumentum Holdings Inc. has a 12-month low of $125.00 and a 12-month high of $1,085.68.

Lumentum (NASDAQ:LITE - Get Free Report) last issued its earnings results on Tuesday, August 11th. The technology company reported $3.23 earnings per share for the quarter, topping analysts' consensus estimates of $2.97 by $0.26. Lumentum had a negative net margin of 230.15% and a positive return on equity of 26.34%. The company had revenue of $1.01 billion for the quarter, compared to analysts' expectations of $987.70 million. During the same period in the prior year, the company earned $0.88 earnings per share. The firm's revenue was up 109.3% compared to the same quarter last year. Lumentum has set its Q1 2027 guidance at 4.050-4.350 EPS. Equities research analysts forecast that Lumentum Holdings Inc. will post 19.76 EPS for the current year.

Analyst Ratings Changes

A number of research firms have recently commented on LITE. Needham & Company LLC reaffirmed a "buy" rating and set a $1,040.00 price objective on shares of Lumentum in a research note on Wednesday, August 12th. Loop Capital lifted their price target on shares of Lumentum from $900.00 to $1,400.00 and gave the company a "buy" rating in a report on Tuesday, May 5th. Mizuho upped their price objective on Lumentum from $1,100.00 to $1,140.00 and gave the stock an "outperform" rating in a report on Wednesday, August 12th. BNP Paribas Exane lifted their target price on Lumentum from $1,040.00 to $1,300.00 in a report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. upped their price target on Lumentum from $1,165.00 to $1,280.00 and gave the stock an "overweight" rating in a research note on Wednesday, August 12th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $1,044.67.

Insider Buying and Selling at Lumentum

In other Lumentum news, CEO Michael E. Hurlston sold 548 shares of the firm's stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $958.66, for a total value of $525,345.68. Following the transaction, the chief executive officer owned 186,951 shares of the company's stock, valued at $179,222,445.66. This trade represents a 0.29% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, SVP Jae Kim sold 12,000 shares of the company's stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $852.58, for a total value of $10,230,960.00. Following the transaction, the senior vice president directly owned 37,804 shares of the company's stock, valued at $32,230,934.32. This trade represents a 24.09% 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 64,563 shares of company stock worth $55,448,750 in the last ninety days. Insiders own 0.43% of the company's stock.

Trending Headlines about Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: AI infrastructure demand remains the core bullish driver. Lumentum supplies optical components used in high-speed data-center networks, and investors continue to view its 1.6T transceivers and 200G lasers as beneficiaries of accelerating AI-networking demand.
• Positive Sentiment: Recent operating results provide support. Lumentum’s latest quarter exceeded expectations, with $3.23 in adjusted earnings per share versus a $2.97 consensus estimate and revenue of $1.01 billion, up 109.3% year over year. Q1 fiscal 2027 EPS guidance of $4.05–$4.35 also remains encouraging.
• Neutral Sentiment: Management’s technology-conference appearance offered no clearly new catalyst. Lumentum presented at the Deutsche Bank 2026 Technology Conference, where investors focused on its AI-product outlook, capacity expansion and execution. The supplied transcript did not identify a specific new forecast or announcement. Lumentum Deutsche Bank Technology Conference Transcript
• Negative Sentiment: Sector-wide risk-off trading pressured the stock. Applied Optoelectronics and Lumentum reportedly fell about 6%, while Coherent declined about 5%, as the optics stocks that led the August rally pulled back together. A Barron’s report suggested the declines reflected peer-related sympathy selling rather than company-specific news. Optics Stocks Slide as AI Hardware Trade Cools
• Negative Sentiment: Several insiders sold shares. SVP Jae Kim sold 12,000 shares for approximately $10.2 million, while Vincent Retort sold 38,663 shares for about $33.0 million. CEO Michael Hurlston sold 548 shares for roughly $525,000. The transactions were conducted under pre-arranged Rule 10b5-1 plans, limiting their value as a discretionary bearish signal, but they add a modest overhang after the stock’s substantial rally. SEC CEO Insider Trading Filing
• Negative Sentiment: Valuation and competition heighten volatility. With LITE trading near its 52-week high, investors may be particularly sensitive to profit-taking, execution problems or competition from Cisco and NVIDIA in AI connectivity.

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.

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.

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