Lumentum (NASDAQ:LITE) Trading Down 6.2% – Here’s Why

Lumentum Holdings Inc. (NASDAQ:LITE)’s share price was down 6.2% during trading on Thursday . The stock traded as low as $60.21 and last traded at $60.02. Approximately 263,867 shares were traded during trading, a decline of 84% from the average daily volume of 1,645,061 shares. The stock had previously closed at $64.02.

Analysts Set New Price Targets

Several equities analysts have recently commented on LITE shares. Needham & Company LLC reiterated a “buy” rating and set a $110.00 price objective on shares of Lumentum in a research report on Friday, February 7th. Rosenblatt Securities reiterated a “buy” rating and set a $110.00 price objective on shares of Lumentum in a research report on Friday, February 7th. BNP Paribas upgraded Lumentum from a “neutral” rating to an “outperform” rating and set a $92.00 price objective on the stock in a research report on Tuesday. Barclays upgraded Lumentum from an “underweight” rating to an “overweight” rating and increased their target price for the company from $80.00 to $125.00 in a report on Friday, January 17th. Finally, B. Riley increased their target price on Lumentum from $62.00 to $75.00 and gave the company a “neutral” rating in a report on Friday, February 7th. Two equities research analysts have rated the stock with a sell rating, four have given a hold rating and ten have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $88.33.

Lumentum Trading Up 5.5 %

The company has a current ratio of 4.76, a quick ratio of 3.60 and a debt-to-equity ratio of 2.94. The firm has a fifty day simple moving average of $79.77 and a two-hundred day simple moving average of $75.07. The firm has a market cap of $4.40 billion, a PE ratio of -8.27 and a beta of 1.03.

Lumentum (NASDAQ:LITE) last released its earnings results on Thursday, February 13th. The technology company reported ($0.14) EPS for the quarter, missing analysts’ consensus estimates of $0.27 by ($0.41). Lumentum had a negative net margin of 36.98% and a negative return on equity of 7.25%. Equities analysts forecast that Lumentum Holdings Inc. will post 0.03 EPS for the current year.

Insider Activity

In other news, CFO Wajid Ali sold 2,172 shares of the firm’s stock in a transaction that occurred on Tuesday, February 18th. The stock was sold at an average price of $78.34, for a total value of $170,154.48. Following the completion of the transaction, the chief financial officer now owns 51,976 shares in the company, valued at $4,071,799.84. This trade represents a 4.01 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.19% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Virtue Capital Management LLC bought a new position in Lumentum during the 4th quarter valued at approximately $899,000. Woodline Partners LP increased its position in Lumentum by 377.7% during the 4th quarter. Woodline Partners LP now owns 282,055 shares of the technology company’s stock valued at $23,679,000 after buying an additional 223,011 shares in the last quarter. Two Sigma Advisers LP increased its position in Lumentum by 30.5% during the 4th quarter. Two Sigma Advisers LP now owns 243,600 shares of the technology company’s stock valued at $20,450,000 after buying an additional 57,000 shares in the last quarter. Tairen Capital Ltd increased its position in Lumentum by 1,510.5% during the 4th quarter. Tairen Capital Ltd now owns 191,646 shares of the technology company’s stock valued at $16,089,000 after buying an additional 179,746 shares in the last quarter. Finally, Tidal Investments LLC increased its position in Lumentum by 3.1% during the 4th quarter. Tidal Investments LLC now owns 19,243 shares of the technology company’s stock valued at $1,615,000 after buying an additional 574 shares in the last quarter. 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.