Intech Investment Management LLC has significantly increased its holdings in Lumentum Holdings Inc. by 87.6% during the second quarter of 2023. According to a recent filing with the Securities & Exchange Commission, the investment firm now owns 26,428 shares of the technology company, having acquired an additional 12,338 shares during the reporting period. This stake is valued at approximately $2.51 million.
Several other institutional investors have also modified their positions in Lumentum. For instance, FNY Investment Advisers LLC entered a new position in the second quarter valued at around $38,000. Similarly, Skandinaviska Enskilda Banken AB and SVB Wealth LLC acquired new stakes of $25,000 and $40,000, respectively, in the first quarter. Notably, Hantz Financial Services Inc. raised its stake by 224.4%, owning 704 shares valued at $67,000 after purchasing an additional 487 shares. Overall, institutional investors now control 94.05% of Lumentum’s stock.
Analysts’ Ratings and Price Targets
Recent evaluations from equity analysts indicate a positive outlook for Lumentum. Citigroup initiated coverage on August 29, 2023, assigning a “buy” rating with a price target of $165.00. Mizuho followed suit by issuing an “outperform” rating with a target of $290.00. Conversely, Raymond James Financial downgraded its rating from “strong-buy” to “outperform,” with a revised price target of $220.00. On November 5, 2023, Rosenblatt Securities increased its price objective to $280.00, while Northland Securities set a target of $250.00.
MarketBeat reports that Lumentum has garnered a consensus rating of “Moderate Buy,” with an average price target of $196.88. Analysts have issued various ratings, with one Strong Buy, thirteen Buy, five Hold, and two Sell ratings assigned.
Insider Transactions and Company Performance
In related developments, insider Yuen Wupen sold 821 shares on November 17, 2023, at an average price of $234.14, totaling $192,228.94. Post-sale, Wupen holds 96,720 shares valued at approximately $22.65 million. Another insider, Julia Suzanne Johnson, sold 10,000 shares on November 10, 2023, for around $2.70 million, reducing her ownership by 45.38%.
In the last three months, insiders have sold a total of 37,965 shares worth approximately $7.81 million. Corporate insiders now hold just 0.43% of Lumentum’s stock.
On November 4, 2023, Lumentum reported quarterly earnings surpassing expectations. The company posted earnings per share (EPS) of $1.10, exceeding the consensus estimate of $1.03 by $0.07. Revenue for the quarter reached $533.80 million, compared to an estimated $525.10 million, marking a substantial 58.4% increase from the same quarter in the previous year.
Lumentum anticipates a Q2 2026 EPS guidance of $1.300 to $1.500 and analysts forecast an EPS of $0.03 for the current year.
Founded to manufacture and sell optical and photonic products, Lumentum operates across the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company has two primary segments: Optical Communications and Commercial Lasers, providing essential components for high-capacity fiber optic transmission.
As of the latest market data, Lumentum’s share price opened at $268.92. The company has a market capitalization of $19.07 billion, a quick ratio of 1.02, and a current ratio of 1.37. The firm’s stock has fluctuated between a 12-month low of $45.65 and a high of $280.22, with a price-to-earnings ratio of 180.48 and a beta of 1.48.
