Stock Analysis
Lumentum Holdings Inc. Common StockLITE
P/E 168.05×· not meaningful — TTM earnings temporarily depressed
Sector: Technology · Industry: Communications Equipment, Nec
AnalystsStrong Buy35 analystsPrice is 68% of the way from the year's low to its high.
Cash covers 2453% of debt · Q2 2026.
PMP Verdict
Mixed fundamentals, expensive valuation
Risks
- Valuation10
- Growth45
Mixed fundamentals at a demanding price.
Market context
-5.2% today· Z 1.3σ
Bull Case
- ✓Altman Z 10.0 — safe-zone balance sheet
- ✓ROE 52.0% — efficient capital deployment
- ✓Revenue CAGR 15.2% — durable top-line growth
What's happening with LITE
Profile
valuation, moat, growth and earnings quality lag behind.
How is each axis scored?
- Valuation10/100 · Weak
- P/E vs own history (75th pct)5/25
- FCF yield (0.2%)5/25
- P/S (29.8x)0/25
- EV/EBIT (308.4x)0/25
- Growth45/100 · Weak
- Revenue CAGR (15.2%)20/25
- Net income CAGR (n/a)0/25
- EPS CAGR 5Y (n/a)0/25
- Fwd implied growth (326.9%)25/25
- Profitability57/100 · Moderate
- ROIC (n/a)0/25
- ROE (52.0%)25/25
- Net margin (17.7%)20/25
- Operating margin (9.5%)12/25
- Financial Health50/100 · Moderate
- Altman Z (10.02)25/25
- Current ratio (0.61)0/25
- Interest coverage (-10.6x)0/25
- Net cash / debt (Net cash)25/25
- Quality46/100 · Weak
- Piotroski F (5/9)15/25
- Beneish M (-6.84)25/25
- FCF conversion (n/a)0/25
- Margin stability (σ 16.0%)6/25
- Moat36/100 · Weak
- ROIC >12% years (4/7 yrs)13/25
- Median gross margin (33.4%)13/25
- FCF-positive years (7/10 yrs)10/25
- Worst-year net margin (worst -230.1%)0/25
Risk Flags
- ⚠SBC 6.8% of revenue — real dilution cost
- ⚠5 loss-making years in recent history
- ⚠Interest coverage -10.6× — thin debt cushion
About Lumentum Holdings Inc. Common Stock
Lumentum Holdings Inc is a California-based technology firm. Show more
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.
Headquarters: SAN JOSE, CA · Employees: 13,757 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
10EP/E (TTM)167xC
Grade C: DistortedTTM earnings are temporarily depressed — this multiple overstates expensiveness. Forward P/E is a better guide — vs own 5Y history: 14.8x–275.6x · 75th pct
P/FCF242.8xD
Grade D: ExpensivePrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative · Elevated investment — CapEx = 75% of operating cash flow, weighing on reported FCF
FCF Yield0.2%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: -3.9%–10.9% · 57th pct · Elevated investment — CapEx = 75% of operating cash flow, weighing on reported FCF
P/S (TTM)29.83xD
Grade D: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 1.5x–40.9x · 92nd pct
EV/EBIT308.4xD
Grade D: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 20.2x–2632.0x · 54th pct
EV/Sales25.5xD
Grade D: Very expensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E39.1xD
Grade D: ExpensivePrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio87.67xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio0.32A
Grade A: CheapFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield—
TTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio—
Dividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Elevated investment: Elevated investment — CapEx = 75% of operating cash flow, weighing on reported FCF
Profitability
57CROIC—
NOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE52.0%A
Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks
ROA-116.8%D
Grade D: WeakReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin17.7%A
Grade A: HighNet Income / Revenue
Operating Margin9.5%D
Grade D: LowTTM EBIT / TTM Revenue
Gross Margin37.7%C
Grade C: AverageGross Profit / Revenue
FCF Margin4.6%D
Grade D: LowFCF / Revenue · Elevated investment — CapEx = 75% of operating cash flow, weighing on reported FCF
True FCF Margin-2.2%D
Grade D: LowTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost · Elevated investment — CapEx = 75% of operating cash flow, weighing on reported FCF
Growth
45D+Revenue CAGR15.2%A
Grade A: HighCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR—
Compound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)—
Compound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth326.9%A
Grade A: HighAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)+14.4%D
Grade D: DilutiveShare count change over 5Y
SBC / Net Income38.5%D
Grade D: HighStock-based comp/Net income. >30% = dilution risk
SBC / Revenue6.8%C
Grade C: MedTTM stock-based comp / TTM Revenue
Financial Health
50CAltman Z-Score10.02A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio0.61xD
Grade D: LowCurrent Assets/Liabilities
Quick Ratio1.31xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage-10.6xD
Grade D: RiskyEBIT/Interest. >10 Strong
Debt RepaymentNet CashA
Grade A: FastYears to repay net debt via FCF · Elevated investment — CapEx = 75% of operating cash flow, weighing on reported FCF
Net Debt/EBITNet CashA
Grade A: LowLeverage. <2x Low, >4x High
Debt/Equity0.06xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt24.53xA
Grade A: CoveredCash covers how much of total debt. >1 = could repay all debt from cash
Quality
46D+Piotroski F-Score5/9C
Grade C: AverageFinancial strength 0–9. >7 Strong
Beneish M-Score-6.84A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion—
FCF / Net Income · Elevated investment — CapEx = 75% of operating cash flow, weighing on reported FCF
Margin Stability16.0%D
Grade D: VolatileEBIT margin std deviation. Lower = stable
Capex / Revenue13.6%C
Grade C: AverageTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.51xC
Grade C: AverageRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Ali Wajid Filed | Ali Wajid | SellOpen market sale | -24542 | |
Wupen Yuen Filed | Wupen Yuen | SellOpen market sale | -500 | |
Wupen Yuen Filed | Wupen Yuen | SellOpen market sale | -500 | |
Wupen Yuen Filed | Wupen Yuen | SellOpen market sale | -500 | |
Wupen Yuen Filed | Wupen Yuen | SellOpen market sale | -500 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Wupen Yuen Filed | Wupen Yuen | SellOpen market sale | -500 | |
Wupen Yuen Filed | Wupen Yuen | SellOpen market sale | -500 | |
Wupen Yuen Filed | Wupen Yuen | SellOpen market sale | -500 |
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
36DROIC >12% Years4/7 yrsC
Grade C: ModerateShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)33.4%C
Grade C: ModerateMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years7/10 yrsD
Grade D: WeakShare of completed fiscal years with positive free cash flow
Net Margin Floor-230.1%D
Grade D: WeakWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$4.90
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$30.91
Cash & short-term investments per share (Finnhub)
Book Value / Share$52.41
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$47.10M
Total debt obligations (short + long term)
Cash & Equiv.$1.16B
Cash and short-term investments
Net Debt$-1.11BA
Grade A: Net CashTotal Debt minus Cash. Negative = Net Cash position
Total Equity$846.60M
Shareholders' equity (book value)
Asset / Liability1.21xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$74.22B
Current Market Capitalization
Beta1.62C
Grade C: VolatilePrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 17, 2026
Key Insights: Lumentum Holdings Inc. Common Stock (LITE)
LITE is down 5.22% at the last close. Piotroski F-Score of 5/9 indicates mixed fundamentals for Lumentum Holdings Inc. Common Stock. Altman Z-Score of 10.02 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -6.84 suggests a low likelihood of earnings manipulation. Revenue has compounded at roughly 15% annually — a strong growth profile.
- Company is effectively debt-free after netting cash.
- Interest coverage of -10.6× leaves little room for earnings shocks.
- Lumentum Holdings Inc. Common Stock posted a net loss in 5 of 10 available completed fiscal years (2017–2026).
- At a valuation score of 10/100, LITE trades at a premium to its historical multiples (P/E 167.1).
- Return on equity of 52.0% is well above the market average.
See how LITE ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all LITE moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 14 | Regular | 901.13 | -8.79% | -2.37 |
| Oct 14 | After-hours | 875.00 | -11.44% | -3.09 |
| Oct 12 | Regular | 993.11 | -9.99% | -3.20 |
| Oct 12 | After-hours | 982.00 | -11.00% | -3.50 |
Frequently Asked Questions about LITE
What is the current Lumentum Holdings Inc. Common Stock (LITE) stock price?
LITE is trading at $824.13 at the last market close, down 5.22% on the session. PreMarketPrice tracks LITE pre-market, intraday and after-hours prices.
Is LITE stock a buy right now?
PreMarketPrice's quantitative model rates Lumentum Holdings Inc. Common Stock's financial health at 50/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is LITE stock overvalued?
Lumentum Holdings Inc. Common Stock trades at a trailing P/E of 167.1 and our valuation score rates it 10/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does Lumentum Holdings Inc. Common Stock report earnings?
No confirmed earnings date is currently scheduled for LITE. The Earnings section lists recent reports and updates as dates are announced.
What sector does Lumentum Holdings Inc. Common Stock operate in?
Lumentum Holdings Inc. Common Stock operates in the Technology sector, within the Communications Equipment, Nec industry. The Related Stocks section lists sector peers for comparison.
What does Lumentum Holdings Inc. Common Stock do?
Lumentum Holdings Inc is a California-based technology firm.
About Lumentum Holdings Inc. Common Stock (LITE) Stock
Lumentum Holdings Inc. Common Stock (LITE) is a US-listed stock operating in the Technology sector, specifically the Communications Equipment, Nec industry. As of the latest update, Lumentum Holdings Inc. Common Stock is trading at $824.13, down 5.22% on the day with a market capitalization of $74.2 billion. The financial health score for LITE is 50/100, which indicates moderate financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for LITE stock.
LITE Stock Analysis & Key Metrics
On PreMarketPrice, you can track Lumentum Holdings Inc. Common Stock (LITE) across multiple dimensions:
- Pre-market price & movement: Real-time LITE stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for LITE with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for Lumentum Holdings Inc. Common Stock across multiple reporting periods.
- Financial health score: A composite score of 50/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for LITE.
- Sector peers: Compare LITE against 4 other technology stocks on key financial metrics.
Is LITE a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate Lumentum Holdings Inc. Common Stock (LITE) as an investment. The financial health score of 50/100 suggests moderate financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Lumentum Holdings Inc. Common Stock (LITE) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.