Lumentum (NASDAQ:LITE) Stock Price Down 4.7% – Should You Sell?

Shares of Lumentum Holdings Inc. (NASDAQ:LITE) fell 4.7% during mid-day trading on Tuesday . The stock traded as low as $70.99 and last traded at $70.18. 153,508 shares traded hands during mid-day trading, a decline of 91% from the average session volume of 1,693,850 shares. The stock had previously closed at $73.63.

Analysts Set New Price Targets

LITE has been the topic of a number of research analyst reports. Northland Securities boosted their target price on Lumentum from $60.00 to $70.00 and gave the stock a “market perform” rating in a research report on Friday, February 7th. Jefferies Financial Group assumed coverage on Lumentum in a research report on Friday, February 21st. They set a “buy” rating for the company. Rosenblatt Securities restated a “buy” rating and issued a $110.00 price target on shares of Lumentum in a research report on Friday, February 7th. BNP Paribas upgraded shares of Lumentum from a “neutral” rating to an “outperform” rating and set a $92.00 price objective for the company in a research report on Tuesday, March 11th. Finally, Morgan Stanley decreased 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 analysts have rated the stock with a sell rating, four have given a hold rating, nine have given a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $87.40.

Lumentum Price Performance

The stock has a 50 day moving average of $77.15 and a 200-day moving average of $75.90. 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 stock has a market capitalization of $4.93 billion, a P/E ratio of -9.31 and a beta of 1.03.

Lumentum (NASDAQ:LITE) last released its earnings results on Thursday, February 13th. The technology company reported ($0.14) earnings per share 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%. On average, equities research analysts anticipate that Lumentum Holdings Inc. will post 0.03 earnings per share for the current fiscal year.

Insider Buying and Selling at Lumentum

In other Lumentum news, CFO Wajid Ali sold 2,172 shares of the firm’s stock in a transaction on Tuesday, February 18th. The stock was sold at an average price of $78.34, for a total transaction of $170,154.48. Following the transaction, the chief financial officer now directly owns 51,976 shares in the company, valued at $4,071,799.84. This trade represents a 4.01 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. 0.19% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Lumentum

Institutional investors have recently made changes to their positions in the company. Quarry LP grew its holdings in Lumentum by 85.5% during the 3rd quarter. Quarry LP now owns 436 shares of the technology company’s stock worth $28,000 after acquiring an additional 201 shares in the last quarter. UMB Bank n.a. boosted its stake in shares of Lumentum by 301.2% during the fourth quarter. UMB Bank n.a. now owns 337 shares of the technology company’s stock valued at $28,000 after purchasing an additional 253 shares in the last quarter. Jones Financial Companies Lllp increased its holdings in Lumentum by 54.2% during the fourth quarter. Jones Financial Companies Lllp now owns 370 shares of the technology company’s stock valued at $31,000 after buying an additional 130 shares during the period. CoreCap Advisors LLC raised its stake in Lumentum by 2,235.3% in the fourth quarter. CoreCap Advisors LLC now owns 397 shares of the technology company’s stock worth $33,000 after buying an additional 380 shares in the last quarter. Finally, Nomura Asset Management Co. Ltd. lifted its holdings in 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 period. 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.