SAN JOSE, CA—Harold L. Covert, a director at Lumentum Holdings Inc. (NASDAQ:), recently sold 5,416 shares of the company’s common stock. The transaction, which took place on November 22, 2024, was executed at an average price of $88.1114 per share, amounting to a total value of $477,211.
Following this sale, Covert holds 3,313 shares of Lumentum Holdings. The transaction was disclosed in a filing with the Securities and Exchange Commission, signed by Jae Kim as Attorney-in-Fact on November 26, 2024.
Lumentum Holdings is a leading manufacturer in the communications equipment sector, headquartered in San Jose, California.
In other recent news, Lumentum Holdings Inc. reported a successful first quarter for fiscal year 2025, with revenues reaching $336.9 million and non-GAAP earnings per share (EPS) at $0.18, surpassing its initial guidance. This increase in earnings is primarily due to a record number of Datacom laser chip orders, fueled by growing demands from cloud and AI customers. In addition, the company projects double-digit sequential revenue growth in Q2 and targets achieving $500 million in quarterly revenue by the end of 2025.
Lumentum has also announced plans to begin shipping to a new hyperscale transceiver customer in the first half of 2025, indicating a robust pipeline of cloud engagements. However, the company’s Industrial Tech segment saw a year-over-year decline of 38%. For the second quarter of fiscal 2025, Lumentum anticipates revenue to be between $380 million and $400 million, with non-GAAP operating margins projected between 5.5% to 7.5%.
In other developments, Lumentum’s stockholders approved an amendment extending the company’s 2015 Equity Incentive Plan expiration date to June 23, 2026. The company’s named executive officers’ compensation received a non-binding advisory approval, and Deloitte & Touche LLP was ratified as the independent registered public accounting firm for the fiscal year ending June 28, 2025. These are some of the recent developments surrounding Lumentum Holdings Inc.
InvestingPro Insights
In light of Harold L. Covert’s recent stock sale, it’s worth examining Lumentum Holdings Inc.’s (NASDAQ:LITE) current market position and financial health. According to InvestingPro data, Lumentum’s market capitalization stands at $5.97 billion, reflecting its significant presence in the communications equipment sector.
Despite the director’s sale, Lumentum’s stock has shown remarkable strength. InvestingPro Tips highlight that the company has delivered a strong return over the last month, with a price total return of 35.13% in the past 30 days. This short-term performance is part of a broader trend, as the stock has seen an impressive 102.23% return over the past year.
The company’s financial metrics present a mixed picture. While Lumentum’s liquid assets exceed short-term obligations, indicating solid short-term financial health, it’s important to note that the company has not been profitable over the last twelve months. However, analysts predict that Lumentum will return to profitability this year, which could explain the stock’s recent momentum.
Interestingly, 15 analysts have revised their earnings upwards for the upcoming period, suggesting growing optimism about Lumentum’s near-term prospects. This positive sentiment is reflected in the stock’s current trading price, which is near its 52-week high at 95.36% of that peak.
For investors seeking a more comprehensive analysis, InvestingPro offers 12 additional tips for Lumentum Holdings, providing deeper insights into the company’s financial position and market performance.
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