Deep Dive Into Lumentum Holdings Stock: Analyst Perspectives (9 Ratings)

Lumentum Holdings LITE has been analyzed by 9 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $85.22, a high estimate of $105.00, and a low estimate of $70.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 15.06%.

Decoding Analyst Ratings: A Detailed Look

A clear picture of Lumentum Holdings's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Lumentum Holdings. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Lumentum Holdings compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Lumentum Holdings's stock. This comparison reveals trends in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Lumentum Holdings's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Lumentum Holdings analyst ratings.

All You Need to Know About Lumentum Holdings

Lumentum Holdings Inc is a California-based technology firm. The company provides two types of optical and photonic products: optical components that are used in telecommunications networking equipment, and commercial lasers for manufacturing, inspection, and life-science lab uses. Its segments are Optical Communications and Commercial Lasers. The firm is also expanding into new optical applications, such as 3-D sensing laser diode for consumer electronics. It generates maximum revenue from the OpComms segment. The OpComms segment products include a wide range of components, modules, and subsystems to support customers including carrier networks for access (local), metro (intracity), long-haul, and submarine (undersea) applications.

Unraveling the Financial Story of Lumentum Holdings

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Over the 3M period, Lumentum Holdings showcased positive performance, achieving a revenue growth rate of 16.02% as of 31 March, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -10.37%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Lumentum Holdings's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -5.03%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Lumentum Holdings's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -1.11%, the company may face hurdles in achieving optimal financial performance.

Debt Management: With a high debt-to-equity ratio of 2.97, Lumentum Holdings faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Basics of Analyst Ratings

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.