Lumentum Holdings Stock Market Outlook
| LITE Stock | USD 583.46 9.35 1.63% |
About 68 percent of all Lumentum Holdings' shareholders are curious in acquiring. The analysis of overall sentiment of trading Lumentum Holdings stock suggests that quite a large number of investors are confidant at this time. The current market sentiment, together with Lumentum Holdings' historical and current headlines, can help investors time the market. In addition, many technical investors use Lumentum Holdings stock news signals to limit their universe of possible portfolio assets.
Comfort Level 68
Interested
Panic | Confidence |
Today, several news technology companies offer sentiment data to assist traders in manufacturing news sentiment indicators for investment decisions. We partner with these technology firms in helping retail investors build forecasting models that use Lumentum Holdings' input sentiment indicators derived from textual data and news published on major financial information outlets and social sites. These indicators can be used to analyze time-dependent numerical information representing public perception toward Lumentum Holdings.
News SentimentBullish | Hype SentimentBullish | Insider SentimentDisposing |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Lumentum Holdings is 'Hold'. Macroaxis provides Lumentum Holdings buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding LITE positions.
Execute Lumentum Holdings Advice
The Lumentum recommendation should be used to complement the investment advice compiled from the current analysts' consensus on Lumentum Holdings. Macroaxis does not own or have any residual interests in Lumentum Holdings or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Lumentum Holdings' advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | Solid | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
For the selected time horizon Lumentum Holdings has a Risk Adjusted Performance of 0.2138, Jensen Alpha of 1.44, Total Risk Alpha of 0.9966, Sortino Ratio of 0.2349 and Treynor Ratio of 1.27Macroaxis provides trade recommendations on Lumentum Holdings to complement and cross-verify current analyst consensus on Lumentum Holdings. Our advice engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Lumentum Holdings is not overpriced, please verify all Lumentum Holdings fundamentals, including its price to earning, cash per share, price to earnings to growth, as well as the relationship between the gross profit and book value per share . Given that Lumentum Holdings has a price to earning of 22.92 X, we recommend you to check Lumentum Holdings market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.
Lumentum Holdings Trading Alerts and Improvement Suggestions
| Lumentum Holdings is way too risky over 90 days horizon | |
| Lumentum Holdings appears to be risky and price may revert if volatility continues | |
| Over 99.0% of the company shares are owned by institutional investors | |
| Latest headline from simplywall.st: A Look At Lumentum Valuation After Earnings Beat And Strong Growth Guidance |
Lumentum Holdings Returns Distribution Density
The distribution of Lumentum Holdings' historical returns is an attempt to chart the uncertainty of Lumentum Holdings' future price movements. The chart of the probability distribution of Lumentum Holdings daily returns describes the distribution of returns around its average expected value. We use Lumentum Holdings price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Lumentum Holdings returns is essential to provide solid investment analysis for Lumentum Holdings.
| Mean Return | 1.54 | Value At Risk | -10.62 | Potential Upside | 10.17 | Standard Deviation | 6.08 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Lumentum Holdings historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Lumentum Stock Institutional Investors
| Shares | Geode Capital Management, Llc | 2025-06-30 | 1.3 M | Fuller & Thaler Asset Management Inc | 2025-06-30 | 1.2 M | Alliancebernstein L.p. | 2025-06-30 | 1 M | Barrow Hanley Mewhinney & Strauss Llc | 2025-06-30 | 1 M | Channing Capital Management, Llc | 2025-06-30 | 948.3 K | Analog Century Management Lp | 2025-06-30 | 908.1 K | Ubs Group Ag | 2025-06-30 | 895.6 K | Ameriprise Financial Inc | 2025-06-30 | 889.2 K | Ing Investment Management Llc | 2025-06-30 | 884.5 K | Vanguard Group Inc | 2025-06-30 | 7.4 M | Blackrock Inc | 2025-06-30 | 7.4 M |
Lumentum Holdings Cash Flow Accounts
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 (projected) | ||
| Change To Inventory | (51.8M) | (81.5M) | 73.8M | (71.3M) | (64.2M) | (61.0M) | |
| Change In Cash | 515.9M | (431.2M) | (422.3M) | 84M | 75.6M | 79.4M | |
| Free Cash Flow | 368.1M | 51.3M | (111.3M) | (104.7M) | (120.4M) | (114.4M) | |
| Depreciation | 167.1M | 255.6M | 290.3M | 256.7M | 295.2M | 151.9M | |
| Other Non Cash Items | 80.8M | 14.8M | 13.3M | (19M) | (21.9M) | (20.8M) | |
| Capital Expenditures | 91.2M | 128.5M | 136M | 231M | 265.7M | 278.9M | |
| Net Income | 198.9M | (131.6M) | (546.5M) | 25.9M | 23.3M | 12.3M | |
| End Period Cash Flow | 1.3B | 859M | 436.7M | 520.7M | 598.8M | 431.7M | |
| Investments | (141.5M) | 115.8M | (114.3M) | (84.1M) | (96.7M) | (101.6M) | |
| Net Borrowings | 852.3M | 593.5M | (323.1M) | 68.4M | 78.7M | 74.7M | |
| Change To Netincome | 117.4M | 102.6M | 90.4M | 113.4M | 130.4M | 68.1M |
Lumentum Holdings Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Lumentum Holdings or Communications Equipment sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Lumentum Holdings' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Lumentum stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 1.44 | |
β | Beta against Dow Jones | 1.21 | |
σ | Overall volatility | 6.08 | |
Ir | Information ratio | 0.24 |
Lumentum Holdings Volatility Alert
Lumentum Holdings is displaying above-average volatility over the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Lumentum Holdings' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Lumentum Holdings' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Lumentum Holdings Fundamentals Vs Peers
Comparing Lumentum Holdings' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Lumentum Holdings' direct or indirect competition across all of the common fundamentals between Lumentum Holdings and the related equities. This way, we can detect undervalued stocks with similar characteristics as Lumentum Holdings or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Lumentum Holdings' fundamental indicators could also be used in its relative valuation, which is a method of valuing Lumentum Holdings by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Lumentum Holdings to competition |
| Fundamentals | Lumentum Holdings | Peer Average |
| Return On Equity | 0.29 | -0.31 |
| Return On Asset | 0.0029 | -0.14 |
| Profit Margin | 0.12 % | (1.27) % |
| Operating Margin | 0.11 % | (5.51) % |
| Current Valuation | 43.16 B | 16.62 B |
| Shares Outstanding | 71.4 M | 571.82 M |
| Shares Owned By Insiders | 0.65 % | 10.09 % |
| Shares Owned By Institutions | 99.35 % | 39.21 % |
| Number Of Shares Shorted | 10.61 M | 4.71 M |
| Price To Earning | 22.92 X | 28.72 X |
| Price To Book | 48.42 X | 9.51 X |
| Price To Sales | 19.47 X | 11.42 X |
| Revenue | 1.65 B | 9.43 B |
| Gross Profit | 781.4 M | 27.38 B |
| EBITDA | 106.8 M | 3.9 B |
| Net Income | 25.9 M | 570.98 M |
| Cash And Equivalents | 2.55 B | 2.7 B |
| Cash Per Share | 37.43 X | 5.01 X |
| Total Debt | 2.61 B | 5.32 B |
| Debt To Equity | 1.03 % | 48.70 % |
| Current Ratio | 4.38 X | 2.16 X |
| Book Value Per Share | 11.86 X | 1.93 K |
| Cash Flow From Operations | 126.3 M | 971.22 M |
| Short Ratio | 2.48 X | 4.00 X |
| Earnings Per Share | 3.44 X | 3.12 X |
| Price To Earnings To Growth | 0.97 X | 4.89 X |
| Target Price | 539.38 | |
| Number Of Employees | 10.56 K | 18.84 K |
| Beta | 1.53 | -0.15 |
| Market Capitalization | 40.99 B | 19.03 B |
| Total Asset | 4.22 B | 29.47 B |
| Retained Earnings | (861.2 M) | 9.33 B |
| Working Capital | 1.32 B | 1.48 B |
Note: Disposition of 579 shares by Fletcher Pamela of Lumentum Holdings at 250.0 subject to Rule 16b-3 [view details]
Lumentum Holdings Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Lumentum . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 271147.0 | |||
| Daily Balance Of Power | 0.2624 | |||
| Rate Of Daily Change | 1.02 | |||
| Day Median Price | 586.02 | |||
| Day Typical Price | 585.16 | |||
| Price Action Indicator | 2.12 | |||
| Period Momentum Indicator | 9.35 |
Lumentum Holdings Target Price Consensus
Lumentum target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Lumentum Holdings' target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 16 | Strong Buy |
Most Lumentum analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Lumentum stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Lumentum Holdings, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationLumentum Holdings Target Price Projection
Lumentum Holdings' current and average target prices are 583.46 and 539.38, respectively. The current price of Lumentum Holdings is the price at which Lumentum Holdings is currently trading. On the other hand, Lumentum Holdings' target price is what analysts think the stock is worth. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Lumentum Holdings Market Quote on 13th of February 2026
Target Price
Analyst Consensus On Lumentum Holdings Target Price
Lumentum Holdings Analyst Ratings
Lumentum Holdings' analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Lumentum Holdings stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Lumentum Holdings' financials, market performance, and future outlook by experienced professionals. Lumentum Holdings' historical ratings below, therefore, can serve as a valuable tool for investors.Analyst Consensus Breakdown
Average Consensus Estimates
About Lumentum Holdings Buy or Sell Advice
When is the right time to buy or sell Lumentum Holdings? Buying financial instruments such as Lumentum Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
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Check out Lumentum Holdings Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Lumentum Stock refer to our How to Trade Lumentum Stock guide.You can also try the Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Will Communications Equipment sector continue expanding? Could Lumentum diversify its offerings? Factors like these will boost the valuation of Lumentum Holdings. Expected growth trajectory for Lumentum significantly influences the price investors are willing to assign. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Lumentum Holdings data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth 0.711 | Earnings Share 3.44 | Revenue Per Share | Quarterly Revenue Growth 0.655 | Return On Assets |
The market value of Lumentum Holdings is measured differently than its book value, which is the value of Lumentum that is recorded on the company's balance sheet. Investors also form their own opinion of Lumentum Holdings' value that differs from its market value or its book value, called intrinsic value, which is Lumentum Holdings' true underlying value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Because Lumentum Holdings' market value can be influenced by many factors that don't directly affect Lumentum Holdings' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Understanding that Lumentum Holdings' value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Lumentum Holdings represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. Meanwhile, Lumentum Holdings' quoted price indicates the marketplace figure where supply meets demand through bilateral consent.