Lumentum (NASDAQ:LITE) Cut to “Hold” at Zacks Investment Research

Zacks Investment Research lowered shares of Lumentum (NASDAQ:LITE) from a buy rating to a hold rating in a research report report published on Thursday, Zacks.com reports.

According to Zacks, “Lumentum Holdings Inc. is a manufacturer of innovative optical and photonic products. The Company’s operating segment consists of Optical Communications and Commercial Lasers. Optical Communications segment portfolio includes products used by Telecom and Datacom nanoelectromechanical systems and traditional as well as cloud/data center service providers. Commercial Lasers segment products serve its customers in markets and applications, such as manufacturing, biotechnology, graphics and imaging, remote sensing and precision machining. Lumentum Holdings Inc. is headquartered in Milpitas, California. “

LITE has been the subject of several other reports. Needham & Company LLC set a $70.00 target price on shares of Lumentum and gave the stock a buy rating in a research note on Monday, September 23rd. Northland Securities reaffirmed a buy rating and issued a $71.25 target price on shares of Lumentum in a research note on Monday, July 1st. Barclays lifted their target price on shares of Lumentum from $60.00 to $65.00 and gave the stock an overweight rating in a research note on Friday, August 9th. Rosenblatt Securities reaffirmed a buy rating and issued a $80.00 target price on shares of Lumentum in a research note on Tuesday, September 24th. Finally, Piper Jaffray Companies lifted their target price on shares of Lumentum from $68.00 to $72.00 and gave the stock an overweight rating in a research note on Friday, August 9th. Three analysts have rated the stock with a hold rating, fifteen have issued a buy rating and one has issued a strong buy rating to the company’s stock. The stock currently has a consensus rating of Buy and a consensus price target of $69.84.



LITE stock traded up $1.91 during midday trading on Thursday, hitting $53.82. The stock had a trading volume of 66,622 shares, compared to its average volume of 1,313,894. The firm has a market cap of $3.99 billion, a PE ratio of 16.31, a price-to-earnings-growth ratio of 1.39 and a beta of 1.35. The company has a debt-to-equity ratio of 0.56, a current ratio of 4.53 and a quick ratio of 3.76. Lumentum has a 12-month low of $37.00 and a 12-month high of $63.95. The company’s 50-day moving average price is $55.79 and its 200 day moving average price is $54.57.

Lumentum (NASDAQ:LITE) last released its earnings results on Thursday, August 8th. The technology company reported $0.74 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.53 by $0.21. The firm had revenue of $404.60 million during the quarter, compared to analysts’ expectations of $383.54 million. Lumentum had a negative net margin of 2.33% and a positive return on equity of 18.19%. Lumentum’s revenue for the quarter was up 34.4% on a year-over-year basis. During the same period in the previous year, the company earned $0.95 EPS. As a group, sell-side analysts anticipate that Lumentum will post 3.7 EPS for the current year.

In related news, SVP Judy G. Hamel sold 637 shares of Lumentum stock in a transaction on Monday, August 19th. The shares were sold at an average price of $59.89, for a total transaction of $38,149.93. Following the transaction, the senior vice president now owns 42,386 shares in the company, valued at approximately $2,538,497.54. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Alan S. Lowe sold 10,779 shares of Lumentum stock in a transaction on Monday, August 19th. The shares were sold at an average price of $59.87, for a total transaction of $645,338.73. Following the transaction, the chief executive officer now owns 192,132 shares in the company, valued at approximately $11,502,942.84. The disclosure for this sale can be found here. Insiders have sold a total of 124,403 shares of company stock valued at $7,092,182 over the last three months. Corporate insiders own 0.48% of the company’s stock.

Large investors have recently bought and sold shares of the stock. Private Capital Group LLC lifted its holdings in shares of Lumentum by 5,481.8% during the 2nd quarter. Private Capital Group LLC now owns 614 shares of the technology company’s stock valued at $36,000 after acquiring an additional 603 shares in the last quarter. Advisory Services Network LLC lifted its holdings in Lumentum by 83.6% in the 2nd quarter. Advisory Services Network LLC now owns 953 shares of the technology company’s stock worth $51,000 after buying an additional 434 shares in the last quarter. Tower Research Capital LLC TRC lifted its holdings in Lumentum by 31.0% in the 2nd quarter. Tower Research Capital LLC TRC now owns 1,633 shares of the technology company’s stock worth $87,000 after buying an additional 386 shares in the last quarter. First Manhattan Co. lifted its holdings in Lumentum by 150.0% in the 2nd quarter. First Manhattan Co. now owns 2,500 shares of the technology company’s stock worth $133,000 after buying an additional 1,500 shares in the last quarter. Finally, DekaBank Deutsche Girozentrale lifted its holdings in Lumentum by 95.0% in the 2nd quarter. DekaBank Deutsche Girozentrale now owns 2,919 shares of the technology company’s stock worth $153,000 after buying an additional 1,422 shares in the last quarter. Institutional investors and hedge funds own 95.30% 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 and Commercial Lasers. The Optical Communications segment offers components, modules, and subsystems that enable the transmission and transport of video, audio, and text data over high-capacity fiber optic cables.

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