Lumentum (NASDAQ:LITE) Sets New 52-Week High – Should You Buy?

Lumentum Holdings Inc. (NASDAQ:LITE) hit a new 52-week high during trading on Friday . The stock traded as high as $96.25 and last traded at $94.85, with a volume of 249090 shares trading hands. The stock had previously closed at $90.75.

Analysts Set New Price Targets

A number of research firms recently weighed in on LITE. Morgan Stanley increased their price target on Lumentum from $61.00 to $76.00 and gave the company an “equal weight” rating in a research report on Thursday, November 14th. Barclays lifted their target price on shares of Lumentum from $40.00 to $80.00 and gave the stock an “underweight” rating in a research report on Monday, November 11th. Raymond James boosted their price target on shares of Lumentum from $70.00 to $100.00 and gave the company an “outperform” rating in a report on Friday, November 8th. Rosenblatt Securities lifted their price objective on shares of Lumentum from $69.00 to $110.00 and gave the stock a “buy” rating in a research report on Friday, November 8th. Finally, Northland Securities boosted their target price on shares of Lumentum from $45.00 to $60.00 and gave the company a “market perform” rating in a research note on Friday, November 8th. Three investment analysts have rated the stock with a sell rating, three have issued a hold rating and eight have issued a buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $74.85.

Lumentum Stock Performance

The company has a quick ratio of 4.04, a current ratio of 5.36 and a debt-to-equity ratio of 2.87. The stock has a market cap of $6.38 billion, a P/E ratio of -11.22 and a beta of 0.95. The firm’s 50-day moving average is $77.43 and its two-hundred day moving average is $61.46.

Insider Activity

In other Lumentum news, insider Vincent Retort sold 41,710 shares of the company’s stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $89.52, for a total transaction of $3,733,879.20. Following the completion of the sale, the insider now owns 147,515 shares of the company’s stock, valued at $13,205,542.80. This represents a 22.04 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Wajid Ali sold 29,887 shares of Lumentum stock in a transaction that occurred 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 completion of the transaction, the chief financial officer now directly owns 56,492 shares in the company, valued at approximately $4,805,209.52. This represents a 34.60 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 101,797 shares of company stock worth $8,881,428. 0.19% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Quarry LP boosted its holdings in Lumentum by 85.5% during the third quarter. Quarry LP now owns 436 shares of the technology company’s stock valued at $28,000 after acquiring an additional 201 shares during the period. Capital Performance Advisors LLP bought a new stake in Lumentum during the 3rd quarter valued at approximately $33,000. Point72 DIFC Ltd acquired a new stake in Lumentum in the 2nd quarter valued at approximately $36,000. Nomura Asset Management Co. Ltd. lifted its holdings in shares of Lumentum by 67.5% during the third quarter. Nomura Asset Management Co. Ltd. now owns 670 shares of the technology company’s stock worth $42,000 after buying an additional 270 shares during the last quarter. Finally, GAMMA Investing LLC lifted its holdings in shares of Lumentum by 141.6% during the third quarter. GAMMA Investing LLC now owns 894 shares of the technology company’s stock worth $57,000 after buying an additional 524 shares during the last quarter. 94.05% of the stock is currently owned by institutional investors and hedge funds.

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.