LITE
Lumentum
$893.93
▲ 5.2%Updated Today 7:15 PM ET
▲ Up 860.9% over the last 12 months
Market Cap
$66.13B
P/E
151x
Forward P/E (est.)
—
ROE
30.7%
Revenue Growth
69.0%
EPS Growth
-48.2%
Profit Margin
17.7%
FCF Yield
0.1%
Debt / Equity
2.27x
ROIC
-3.0%
Interest Coverage
—
Current Ratio
1.14x
Dividend Yield
—
Implied Growth (rev. DCF)
—
Rating Score
43/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what LITE's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. LITE trades near $893.93, around its 50-day average ($905.57) and 200-day average ($512.45). Price tangled in its moving averages means there is no clear trend — the stock is ranging.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 50 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.
Volatility — ATR. Average True Range is the typical daily move. LITE's is $89.20 (~10.0% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month LITE found buyers near $776.01 (support) and sellers near $1,049.53 (resistance); its 52-week range is $86.57–$1,085.68. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 1.4× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
Lumentum (LITE) is a large-cap company in the Communications Equipment industry, part of the Information Technology sector of the S&P 500, with a market value around $66.13B.
In its latest reported year it generated about $1.65B in revenue and $25.90M in net profit.
Our model rates LITE Neutral (43/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
-1.4%
Revenue moved from $1.74B in 2021 to $1.65B in 2025, a -1.4% compound annual growth rate. The most recent year grew a strong 69.0% year over year. Consistent top-line growth is one sign of healthy demand.
Gross Margin
28.0%
Operating Margin
-10.9%
Net Margin
1.6%
ROE
30.7%
Lumentum keeps about 17.7% of each sales dollar as net profit, with a 28.0% gross margin and -10.9% operating margin. Return on equity is 30.7% and return on invested capital about -3.0%. Margins this wide usually signal pricing power or a cost advantage.
Total Debt
$2.40B
Net Debt
-$212.80M
Net cash position
Net Debt / EBITDA
—
Debt / Equity
2.27x
Leverage: debt-to-equity is 2.3x, with a current ratio of 1.1x. That is elevated leverage, which raises risk if earnings or rates move against it. It carries roughly $2.40B of total debt against $2.62B of cash.
Operating CF
$126.30M
Free Cash Flow
-$104.70M
FCF Margin
-6.4%
In the latest year Lumentum produced about $126.30M of operating cash flow but negative free cash flow as it invested heavily. That is a free-cash-flow yield of about 0.1% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.
P/E
151x
P/S
41.58x
P/B
5.68x
EV / EBITDA
—
LITE trades at 151.0x trailing earnings, 41.6x sales, and 5.7x book value. That is a rich multiple that prices in a lot of future growth.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How LITE stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.
In the Information Technology sector (72 S&P 500 companies), LITE ranks #62 of 72 by our overall rating. It trades at a premium versus the sector on earnings (151x P/E vs. 35.6x median) with a higher return on equity (30.7% vs. 25.6%) and faster revenue growth (69.0% vs. 17.4%).
P/E vs sector
151x
median 35.6x
ROE vs sector
30.7%
median 25.6%
Growth vs sector
69.0%
median 17.4%
Sector rank
#62
of 72 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 72 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$369.99 – $613.94
vs. $893.93 today · expected CAGR -16% – -7%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $2.39B | $3.46B | $5.01B | $7.27B | $10.54B |
| Net income | $71.56M | $103.76M | $150.45M | $218.15M | $316.32M |
| EPS | $0.92 | $1.33 | $1.93 | $2.80 | $4.07 |
| Share price (low) | $83.70 | $121.36 | $175.98 | $255.16 | $369.99 |
| Share price (high) | $138.88 | $201.38 | $292.00 | $423.41 | $613.94 |
| CAGR (low–high) | -91% / -84% | -63% / -53% | -42% / -31% | -27% / -17% | -16% / -7% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for LITE:
- Revenue is growing 69.0% a year, a sign of real demand.
- High net margins (17.7%) point to pricing power or efficiency.
- Strong return on equity (30.7%) shows capital is put to work well.
The case against LITE:
- Elevated leverage (debt/equity 2.3x) adds financial risk.
- A rich 151.0x earnings multiple prices in a lot of growth.
- Limited free cash flow at today's price.
Valuation risk — at 151.0x earnings, disappointing results could compress the multiple.
Balance-sheet risk — debt/equity of 2.3x magnifies the impact of higher rates or weaker earnings.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the picture is mixed: Lumentum is a large-cap information technology business still growing nicely, with solid profitability, and a heavier debt load to watch. It trades at 151.0x earnings, which our model scores Neutral (43/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.