Lumentum (NASDAQ:LITE) Stock Price Expected to Rise, Rosenblatt Securities Analyst Says

Key Points

• Rosenblatt Securities has raised its target price for Lumentum from $150 to $225, indicating a potential upside of 33.35%.
• Lumentum recently reported a quarterly earnings of $0.88 EPS, surpassing analyst expectations, and showed significant year-over-year revenue growth of 55.9%.
• Insider transactions have seen significant sales, with insiders selling shares totaling approximately $6.6 million in the last quarter, which has decreased their ownership in the company.

Lumentum (NASDAQ:LITE - Free Report) had its price target raised by Rosenblatt Securities from $150.00 to $225.00 in a report published on Monday morning,Benzinga reports. Rosenblatt Securities currently has a buy rating on the technology company's stock.

Other analysts have also issued reports about the company. Citigroup initiated coverage on Lumentum in a research report on Friday, August 29th. They issued a "buy" rating and a $165.00 price objective for the company. Raymond James Financial boosted their price objective on Lumentum from $125.00 to $145.00 and gave the company a "strong-buy" rating in a research report on Wednesday, August 13th. UBS Group boosted their price objective on Lumentum from $78.00 to $130.00 and gave the company a "neutral" rating in a research report on Wednesday, August 13th. KGI Securities began coverage on Lumentum in a research report on Monday, August 18th. They set an "outperform" rating for the company. Finally, Bank of America upgraded Lumentum from an "underperform" rating to a "neutral" rating and upped their price objective for the stock from $78.00 to $135.00 in a research note on Wednesday, August 13th. Two analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $133.36.

Lumentum Stock Performance

Shares of Lumentum stock traded down $4.02 during midday trading on Monday, hitting $164.71. The company had a trading volume of 4,079,221 shares, compared to its average volume of 3,942,846. The stock has a market cap of $11.51 billion, a PE ratio of 716.13 and a beta of 1.42. Lumentum has a 1-year low of $45.65 and a 1-year high of $173.38. The business's 50 day simple moving average is $126.51 and its two-hundred day simple moving average is $91.00. The company has a debt-to-equity ratio of 2.26, a current ratio of 4.37 and a quick ratio of 3.18.

Lumentum (NASDAQ:LITE - Get Free Report) last issued its earnings results on Tuesday, August 12th. The technology company reported $0.88 EPS for the quarter, topping the consensus estimate of $0.79 by $0.09. The firm had revenue of $480.70 million during the quarter, compared to analysts' expectations of $465.27 million. Lumentum had a negative return on equity of 3.02% and a net margin of 1.57%.Lumentum's quarterly revenue was up 55.9% compared to the same quarter last year. During the same period last year, the business earned $0.06 earnings per share. Lumentum has set its Q1 2026 guidance at 0.950-1.100 EPS. As a group, equities analysts predict that Lumentum will post 0.03 EPS for the current fiscal year.

Insider Buying and Selling

In related news, SVP Jae Kim sold 4,507 shares of Lumentum stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $116.88, for a total value of $526,778.16. Following the transaction, the senior vice president directly owned 33,465 shares of the company's stock, valued at $3,911,389.20. The trade was a 11.87% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Alan S. Lowe sold 20,000 shares of the business's stock in a transaction that occurred on Thursday, June 26th. The shares were sold at an average price of $93.47, for a total value of $1,869,400.00. Following the completion of the transaction, the director directly owned 230,471 shares in the company, valued at approximately $21,542,124.37. This trade represents a 7.98% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 61,687 shares of company stock valued at $6,628,952 over the last 90 days. 0.19% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. ProShare Advisors LLC bought a new position in Lumentum in the 4th quarter worth about $270,000. Virtue Capital Management LLC purchased a new stake in Lumentum during the 4th quarter valued at about $899,000. CWC Advisors LLC. purchased a new stake in Lumentum in the 4th quarter worth approximately $201,000. California State Teachers Retirement System lifted its holdings in Lumentum by 0.4% in the 4th quarter. California State Teachers Retirement System now owns 64,170 shares of the technology company's stock worth $5,387,000 after buying an additional 251 shares during the period. Finally, GAMMA Investing LLC lifted its holdings in Lumentum by 10,626.4% in the 1st quarter. GAMMA Investing LLC now owns 127,859 shares of the technology company's stock worth $7,971,000 after buying an additional 126,667 shares during the period. Hedge funds and other institutional investors own 94.05% of the company's stock.

About Lumentum

Lumentum Holdings Inc manufactures and sells optical and photonic products in the Americas, the Asia-Pacific, Europe, the Middle East, and Africa. The company operates through two segments: Optical Communications (OpComms) and Commercial Lasers (Lasers). The OpComms segment offers components, modules, and subsystems that enable the transmission and transport of video, audio, and data over high-capacity fiber optic cables.