Lumentum (NASDAQ:LITE) Shares Gap Up – Still a Buy?

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) gapped up prior to trading on Thursday . The stock had previously closed at $89.19, but opened at $94.00. Lumentum shares last traded at $91.55, with a volume of 476,306 shares traded.

Analyst Ratings Changes

LITE has been the topic of several research reports. Stifel Nicolaus raised their price target on Lumentum from $95.00 to $105.00 and gave the company a “buy” rating in a research note on Friday. Barclays raised shares of Lumentum from an “underweight” rating to an “overweight” rating and upped their price target for the stock from $80.00 to $125.00 in a research report on Friday, January 17th. B. Riley boosted their price objective on shares of Lumentum from $62.00 to $75.00 and gave the stock a “neutral” rating in a research note on Friday. UBS Group increased their target price on Lumentum from $93.00 to $96.00 and gave the company a “neutral” rating in a research report on Friday. Finally, Needham & Company LLC reissued a “buy” rating and issued a $110.00 price target on shares of Lumentum in a research report on Friday. Two research analysts have rated the stock with a sell rating, four have assigned a hold rating and nine have assigned a buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $88.07.

Lumentum Stock Down 7.3 %

The company has a debt-to-equity ratio of 2.87, a current ratio of 5.36 and a quick ratio of 4.04. The business’s 50 day moving average is $87.68 and its 200 day moving average is $71.49.

Lumentum (NASDAQ:LITE) last posted its quarterly earnings data on Thursday, February 13th. The technology company reported ($0.14) EPS for the quarter, missing the consensus estimate of $0.27 by ($0.41). Lumentum had a negative return on equity of 7.00% and a negative net margin of 36.98%. As a group, equities research analysts forecast that Lumentum Holdings Inc. will post -0.04 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Penny Herscher sold 1,625 shares of the business’s stock in a transaction that occurred on Monday, November 18th. The stock was sold at an average price of $81.09, for a total value of $131,771.25. Following the completion of the sale, the director now directly owns 6,852 shares in the company, valued at $555,628.68. The trade was a 19.17 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CFO Wajid Ali sold 29,887 shares of the stock in a transaction on Friday, November 29th. The shares were sold at an average price of $85.06, for a total transaction of $2,542,188.22. Following the transaction, the chief financial officer now directly owns 56,492 shares in the company, valued at approximately $4,805,209.52. The trade was a 34.60 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 101,797 shares of company stock valued at $8,881,428 over the last ninety days. Company insiders own 0.19% of the company’s stock.

Hedge Funds Weigh In On Lumentum

Several hedge funds and other institutional investors have recently made changes to their positions in the company. UMB Bank n.a. grew its stake in Lumentum by 301.2% during the 4th quarter. UMB Bank n.a. now owns 337 shares of the technology company’s stock valued at $28,000 after acquiring an additional 253 shares in the last quarter. Jones Financial Companies Lllp raised its position in Lumentum by 54.2% in the fourth quarter. Jones Financial Companies Lllp now owns 370 shares of the technology company’s stock valued at $31,000 after purchasing an additional 130 shares during the period. Quarry LP grew its holdings in shares of Lumentum by 85.5% during the 3rd quarter. Quarry LP now owns 436 shares of the technology company’s stock worth $28,000 after purchasing an additional 201 shares during the period. J.Safra Asset Management Corp lifted its position in Lumentum by 31.1% in the fourth quarter. J.Safra Asset Management Corp now owns 514 shares of the technology company’s stock valued at $43,000 after buying an additional 122 shares during the last quarter. Finally, Capital Performance Advisors LLP acquired a new stake in shares of Lumentum during the third quarter valued at about $33,000. Hedge funds and other institutional investors own 94.05% of the company’s stock.

Lumentum Company Profile

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.