Lumentum (NASDAQ:LITE) Stock Price Down 3.8% – Should You Sell?

Lumentum Holdings Inc. (NASDAQ:LITE)’s stock price fell 3.8% on Friday . The stock traded as low as $50.63 and last traded at $52.38. 2,637,665 shares were traded during mid-day trading, an increase of 43% from the average session volume of 1,845,181 shares. The stock had previously closed at $54.47.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on LITE shares. Stifel Nicolaus lifted their price target on Lumentum from $95.00 to $105.00 and gave the stock a “buy” rating in a report on Friday, February 7th. Jefferies Financial Group began coverage on Lumentum in a research note on Friday, February 21st. They set a “buy” rating for the company. Rosenblatt Securities reiterated a “buy” rating and issued a $110.00 price target on shares of Lumentum in a research note on Friday, February 7th. BNP Paribas upgraded shares of Lumentum from a “neutral” rating to an “outperform” rating and set a $92.00 target price for the company in a report on Tuesday, March 11th. Finally, Morgan Stanley dropped their target price on shares of Lumentum from $83.00 to $81.00 and set an “equal weight” rating on the stock in a research report on Friday, January 31st. Two research analysts have rated the stock with a sell rating, three have assigned a hold rating, ten have issued a buy rating and two have given a strong buy rating to the company. According to data from MarketBeat.com, Lumentum has an average rating of “Moderate Buy” and an average target price of $87.40.

Lumentum Stock Down 5.9 %

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 50 day simple moving average of $68.32 and a two-hundred day simple moving average of $75.89. The company has a market capitalization of $3.55 billion, a PE ratio of -6.67 and a beta of 1.14.

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

Insider Transactions at Lumentum

In other Lumentum news, CFO Wajid Ali sold 2,172 shares of the company’s stock in a transaction dated Tuesday, February 18th. The stock was sold at an average price of $78.34, for a total transaction of $170,154.48. Following the completion of the sale, the chief financial officer now directly owns 51,976 shares in the company, valued at $4,071,799.84. This represents a 4.01 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Insiders own 0.19% of the company’s stock.

Institutional Trading of Lumentum

A number of institutional investors have recently modified their holdings of LITE. GAMMA Investing LLC increased its position in shares of Lumentum by 10,626.4% in the first quarter. GAMMA Investing LLC now owns 127,859 shares of the technology company’s stock worth $7,971,000 after acquiring an additional 126,667 shares in the last quarter. California State Teachers Retirement System increased 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 valued at $5,387,000 after purchasing an additional 251 shares in the last quarter. CWC Advisors LLC. purchased a new position in Lumentum in the fourth quarter valued at about $201,000. Virtue Capital Management LLC purchased a new position in Lumentum in the fourth quarter valued at about $899,000. Finally, Woodline Partners LP lifted its stake in shares of Lumentum by 377.7% during the fourth quarter. Woodline Partners LP now owns 282,055 shares of the technology company’s stock worth $23,679,000 after purchasing an additional 223,011 shares in the last quarter. 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.