Weiss Ratings Reaffirms "Hold (C-)" Rating for Lumentum (NASDAQ:LITE)

Key Points

• Weiss Ratings has reaffirmed a "Hold (C-)" rating for Lumentum (NASDAQ:LITE) in a recent research report, signaling a cautious outlook for the stock.
• Various brokerages have recently upgraded their price targets for Lumentum, with estimates ranging from $83.00 to $165.00, indicating a positive sentiment in the market.
• In its last quarterly earnings report, Lumentum exceeded expectations with $0.88 EPS compared to an estimated $0.79, reflecting a strong revenue growth of 55.9% year-over-year.

Lumentum (NASDAQ:LITE - Get Free Report)'s stock had its "hold (c-)" rating reiterated by Weiss Ratings in a research report issued to clients and investors on Wednesday,Weiss Ratings reports.

A number of other brokerages have also issued reports on LITE. B. Riley boosted their price target on Lumentum from $73.00 to $83.00 and gave the company a "neutral" rating in a report on Wednesday, August 13th. Wall Street Zen upgraded Lumentum from a "hold" rating to a "buy" rating in a report on Friday, September 26th. Stifel Nicolaus boosted their price objective on shares of Lumentum from $100.00 to $132.00 and gave the stock a "buy" rating in a research note on Wednesday, August 13th. JPMorgan Chase & Co. boosted their price objective on shares of Lumentum from $123.00 to $145.00 and gave the stock an "overweight" rating in a research note on Thursday, August 14th. Finally, Citigroup started coverage on shares of Lumentum in a research note on Friday, August 29th. They issued a "buy" rating and a $165.00 price objective for the company. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and five have given a Hold rating to the company's stock. According to MarketBeat, Lumentum presently has an average rating of "Moderate Buy" and a consensus target price of $133.36.

Lumentum Stock Up 3.8%

Shares of NASDAQ:LITE opened at $163.09 on Wednesday. Lumentum has a 1 year low of $45.65 and a 1 year high of $178.49. The business has a 50 day simple moving average of $140.62 and a two-hundred day simple moving average of $98.74. The firm has a market capitalization of $11.40 billion, a PE ratio of 709.09 and a beta of 1.42. 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 announced its earnings results on Tuesday, August 12th. The technology company reported $0.88 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.79 by $0.09. The business had revenue of $480.70 million during the quarter, compared to analyst estimates of $465.27 million. Lumentum had a negative return on equity of 3.02% and a net margin of 1.57%.The company's revenue for the quarter was up 55.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.06 earnings per share. Lumentum has set its Q1 2026 guidance at 0.950-1.100 EPS. On average, equities analysts predict that Lumentum will post 0.03 EPS for the current year.

Insiders Place Their Bets

In other Lumentum news, insider Yuen Wupen sold 3,282 shares of Lumentum stock in a transaction on Monday, August 25th. The shares were sold at an average price of $119.25, for a total value of $391,378.50. Following the transaction, the insider directly owned 104,554 shares of the company's stock, valued at approximately $12,468,064.50. The trade was a 3.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Julia Suzanne Johnson sold 1,250 shares of Lumentum stock in a transaction on Monday, August 18th. The stock was sold at an average price of $119.06, for a total transaction of $148,825.00. Following the completion of the transaction, the director directly owned 22,037 shares in the company, valued at $2,623,725.22. This represents a 5.37% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 41,687 shares of company stock valued at $4,759,552. 0.19% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Lumentum

Several hedge funds have recently added to or reduced their stakes in LITE. UMB Bank n.a. boosted its holdings in Lumentum by 132.9% in the first quarter. UMB Bank n.a. now owns 785 shares of the technology company's stock valued at $49,000 after purchasing an additional 448 shares during the last quarter. Farther Finance Advisors LLC boosted its holdings in Lumentum by 1,913.2% in the first quarter. Farther Finance Advisors LLC now owns 1,067 shares of the technology company's stock valued at $68,000 after purchasing an additional 1,014 shares during the last quarter. GAMMA Investing LLC boosted its holdings in Lumentum by 72.1% in the first quarter. GAMMA Investing LLC now owns 2,051 shares of the technology company's stock valued at $128,000 after purchasing an additional 859 shares during the last quarter. Assenagon Asset Management S.A. boosted its holdings in Lumentum by 27.4% in the first quarter. Assenagon Asset Management S.A. now owns 41,334 shares of the technology company's stock valued at $2,577,000 after purchasing an additional 8,901 shares during the last quarter. Finally, Rakuten Securities Inc. boosted its holdings in Lumentum by 164.4% in the first quarter. Rakuten Securities Inc. now owns 476 shares of the technology company's stock valued at $30,000 after purchasing an additional 296 shares during the last quarter. 94.05% of the stock is owned by hedge funds and other institutional investors.

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.

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