Styrax Capital LP Invests $49.82 Million in Lumentum Holdings Inc. $LITE

Key Points

• Styrax Capital LP opened a new position in Lumentum Holdings, buying 135,163 shares worth about $49.82 million. The stake represents roughly 3.8% of Styrax’s portfolio and about 0.19% of Lumentum.
• Other big institutional investors also boosted their Lumentum holdings, including Vanguard, Arrowstreet, Geode, Situational Awareness LP, and Norges Bank. Overall, institutional investors own 94.05% of the company.
• Analysts remain broadly constructive on the stock, with a consensus rating of “Moderate Buy” and an average target price of $1,021.95. Lumentum also reported strong quarterly earnings, beating EPS estimates and posting revenue up 90.1% year over year.

Styrax Capital LP purchased a new position in shares of Lumentum Holdings Inc. (NASDAQ:LITE - Free Report) in the 4th quarter, according to the company in its most recent filing with the SEC. The institutional investor purchased 135,163 shares of the technology company's stock, valued at approximately $49,820,000. Lumentum accounts for approximately 3.8% of Styrax Capital LP's portfolio, making the stock its 10th biggest holding. Styrax Capital LP owned approximately 0.19% of Lumentum at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently made changes to their positions in the company. Vanguard Group Inc. grew its stake in shares of Lumentum by 0.6% during the 3rd quarter. Vanguard Group Inc. now owns 7,485,282 shares of the technology company's stock worth $1,217,930,000 after acquiring an additional 41,975 shares during the period. Arrowstreet Capital Limited Partnership grew its stake in shares of Lumentum by 18.7% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 1,854,801 shares of the technology company's stock worth $683,661,000 after acquiring an additional 291,591 shares during the period. Geode Capital Management LLC grew its stake in shares of Lumentum by 9.6% during the 4th quarter. Geode Capital Management LLC now owns 1,412,213 shares of the technology company's stock worth $521,563,000 after acquiring an additional 123,265 shares during the period. Situational Awareness LP grew its stake in shares of Lumentum by 210.9% during the 4th quarter. Situational Awareness LP now owns 1,298,400 shares of the technology company's stock worth $478,577,000 after acquiring an additional 880,800 shares during the period. Finally, Norges Bank bought a new position in shares of Lumentum during the 4th quarter worth $474,495,000. Institutional investors own 94.05% of the company's stock.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on the company. TD Cowen increased their price target on Lumentum from $875.00 to $995.00 and gave the stock a "hold" rating in a research note on Wednesday, May 6th. Susquehanna increased their price target on Lumentum from $550.00 to $1,100.00 and gave the stock a "positive" rating in a research note on Monday, April 20th. Loop Capital raised their target price on Lumentum from $900.00 to $1,400.00 and gave the stock a "buy" rating in a research note on Tuesday, May 5th. Morgan Stanley raised their target price on Lumentum from $710.00 to $900.00 and gave the stock an "equal weight" rating in a research note on Wednesday, May 6th. Finally, UBS Group raised their target price on Lumentum from $455.00 to $960.00 and gave the stock a "neutral" rating 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 assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $1,021.95.

Lumentum Stock Down 8.6%

Shares of NASDAQ LITE opened at $875.36 on Wednesday. Lumentum Holdings Inc. has a 52 week low of $83.59 and a 52 week high of $1,085.68. The business has a 50-day simple moving average of $901.22 and a two-hundred day simple moving average of $640.73. The company has a quick ratio of 0.97, a current ratio of 1.14 and a debt-to-equity ratio of 0.01. The company has a market cap of $68.10 billion, a P/E ratio of 162.10 and a beta of 1.47.

Lumentum (NASDAQ:LITE - Get Free Report) last issued its earnings results on Tuesday, May 5th. The technology company reported $2.37 EPS for the quarter, topping 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 business had revenue of $808.40 million during the quarter, compared to the consensus estimate of $810.21 million. During the same quarter last year, the company earned $0.57 EPS. The firm's revenue 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 anticipate that Lumentum Holdings Inc. will post 6.49 earnings per share for the current fiscal year.

Key Headlines Impacting Lumentum

Here are the key news stories impacting Lumentum this week:

• Positive Sentiment: Analysts and market commentary continue to highlight Lumentum as a strong AI infrastructure play, citing expanding margins, improving demand visibility, and growth in optical networking as reasons the stock still has runway. Article Title
• Positive Sentiment: A separate note said Lumentum tops Broadcom as an AI infrastructure stock, pointing to faster near-term upside from AI-driven optical networking demand and margin expansion. Article Title
• Positive Sentiment: Fund commentary from Columbia Threadneedle highlighted Lumentum as a contributor to performance in the first quarter, reinforcing investor interest in the name after its strong operating results. Article Title
• Neutral Sentiment: Lumentum’s chair and CEO are scheduled to participate in a Rome conference on AI, ethics, and governance, which may support visibility but does not appear to be a major near-term business catalyst. Article Title
• Negative Sentiment: Despite the bullish AI narrative, broader market coverage noted Lumentum as one of the day’s weaker movers, suggesting traders may be taking profits after a strong run-up and reacting to valuation concerns. Article Title

Insider Activity

In other news, SVP Jae Kim sold 1,422 shares of Lumentum stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $953.95, for a total transaction of $1,356,516.90. Following the completion of the sale, the senior vice president owned 32,333 shares in the company, valued at approximately $30,844,065.35. This trade represents a 4.21% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 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, insider Vincent Retort sold 3,183 shares of Lumentum stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $953.95, for a total value of $3,036,422.85. Following the sale, the insider owned 89,563 shares of the company's stock, valued at approximately $85,438,623.85. This trade represents a 3.43% decrease in their position. 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 quarter, insiders have sold 41,260 shares of company stock worth $38,859,220. Company insiders own 0.43% of the company's stock.

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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