6 Analysts Have This To Say About Lumentum Holdings
6 analysts have expressed a variety of opinions on Lumentum Holdings (NASDAQ:LITE) over the past quarter, offering a diverse set of opinions from bullish to bearish.
In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 2 | 1 | 1 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 1 | 1 | 0 |
| 2M Ago | 1 | 2 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $51.67, a high estimate of $62.00, and a low estimate of $38.00. A decline of 2.05% from the prior average price target is evident in the current average.
Exploring Analyst Ratings: An In-Depth Overview
A comprehensive examination of how financial experts perceive Lumentum Holdings is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Alex Henderson | Needham | Lowers | Buy | $55.00 | $60.00 |
| Dave Kang | B. Riley Securities | Lowers | Neutral | $40.00 | $41.00 |
| Tom O'Malley | Barclays | Lowers | Underweight | $38.00 | $40.00 |
| Samik Chatterjee | JP Morgan | Lowers | Overweight | $57.00 | $62.00 |
| Simon Leopold | Raymond James | Raises | Outperform | $58.00 | $51.50 |
| Ruben Roy | Stifel | Maintains | Buy | $62.00 | $62.00 |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Lumentum Holdings. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Lumentum Holdings compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for Lumentum Holdings's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Lumentum Holdings's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on Lumentum Holdings analyst ratings.
Get to Know Lumentum Holdings Better
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 OpComms and 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.
Understanding the Numbers: Lumentum Holdings's Finances
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Challenges: Lumentum Holdings's revenue growth over 3 months faced difficulties. As of 31 March, 2024, the company experienced a decline of approximately -4.41%. This indicates a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.
Net Margin: Lumentum Holdings's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -34.65%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Lumentum Holdings's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -10.35%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): Lumentum Holdings's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -2.87%, the company may face hurdles in achieving optimal financial returns.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 2.18.
Understanding the Relevance of Analyst Ratings
Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.