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LUMENTUM HOLDINGS INC (LITE) Stock Fundamental Analysis

USA - Nasdaq - NASDAQ:LITE - US55024U1097 - Common Stock

372.61 USD
-18.16 (-4.65%)
Last: 12/29/2025, 8:01:59 PM
374.4 USD
+1.79 (+0.48%)
Pre-Market: 12/30/2025, 4:31:31 AM
Fundamental Rating

4

Taking everything into account, LITE scores 4 out of 10 in our fundamental rating. LITE was compared to 48 industry peers in the Communications Equipment industry. Both the profitability and financial health of LITE have multiple concerns. LITE is valued quite expensive, but it does show an excellent growth.


Dividend Valuation Growth Profitability Health

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3

1. Profitability

1.1 Basic Checks

In the past year LITE was profitable.
LITE had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: LITE reported negative net income in multiple years.
In the past 5 years LITE always reported a positive cash flow from operatings.
LITE Yearly Net Income VS EBIT VS OCF VS FCFLITE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 200M -200M 400M -400M 600M

1.2 Ratios

Looking at the Return On Assets, with a value of 2.44%, LITE is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
Looking at the Return On Equity, with a value of 14.41%, LITE belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
Industry RankSector Rank
ROA 2.44%
ROE 14.41%
ROIC N/A
ROA(3y)-5.38%
ROA(5y)-0.03%
ROE(3y)-21.5%
ROE(5y)-6.75%
ROIC(3y)N/A
ROIC(5y)N/A
LITE Yearly ROA, ROE, ROICLITE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 -40

1.3 Margins

With a decent Profit Margin value of 6.11%, LITE is doing good in the industry, outperforming 72.92% of the companies in the same industry.
LITE's Profit Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 30.59%, LITE is doing worse than 77.08% of the companies in the same industry.
In the last couple of years the Gross Margin of LITE has declined.
Industry RankSector Rank
OM N/A
PM (TTM) 6.11%
GM 30.59%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-48.63%
PM growth 5Y-27.88%
GM growth 3Y-15.32%
GM growth 5Y-6.31%
LITE Yearly Profit, Operating, Gross MarginsLITE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40 -40

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3

2. Health

2.1 Basic Checks

LITE does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, LITE has more shares outstanding
The number of shares outstanding for LITE has been reduced compared to 5 years ago.
LITE has a better debt/assets ratio than last year.
LITE Yearly Shares OutstandingLITE Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M
LITE Yearly Total Debt VS Total AssetsLITE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.2 Solvency

LITE has an Altman-Z score of 4.35. This indicates that LITE is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of LITE (4.35) is better than 77.08% of its industry peers.
A Debt/Equity ratio of 2.77 is on the high side and indicates that LITE has dependencies on debt financing.
With a Debt to Equity ratio value of 2.77, LITE is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 2.77
Debt/FCF N/A
Altman-Z 4.35
ROIC/WACCN/A
WACC9.33%
LITE Yearly LT Debt VS Equity VS FCFLITE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M 1B 1.5B 2B 2.5B

2.3 Liquidity

A Current Ratio of 1.37 indicates that LITE should not have too much problems paying its short term obligations.
LITE has a worse Current ratio (1.37) than 79.17% of its industry peers.
A Quick Ratio of 1.02 indicates that LITE should not have too much problems paying its short term obligations.
LITE's Quick ratio of 1.02 is on the low side compared to the rest of the industry. LITE is outperformed by 75.00% of its industry peers.
Industry RankSector Rank
Current Ratio 1.37
Quick Ratio 1.02
LITE Yearly Current Assets VS Current LiabilitesLITE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

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7

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 249.41% over the past year.
Measured over the past years, LITE shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -17.64% on average per year.
Looking at the last year, LITE shows a very strong growth in Revenue. The Revenue has grown by 33.62%.
LITE shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.40% yearly.
EPS 1Y (TTM)249.41%
EPS 3Y-30.28%
EPS 5Y-17.64%
EPS Q2Q%511.11%
Revenue 1Y (TTM)33.62%
Revenue growth 3Y-1.33%
Revenue growth 5Y-0.4%
Sales Q2Q%58.44%

3.2 Future

LITE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 68.51% yearly.
Based on estimates for the next years, LITE will show a very strong growth in Revenue. The Revenue will grow by 34.34% on average per year.
EPS Next Y184.57%
EPS Next 2Y103.74%
EPS Next 3Y68.51%
EPS Next 5YN/A
Revenue Next Year60.02%
Revenue Next 2Y45.26%
Revenue Next 3Y34.34%
Revenue Next 5YN/A

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
LITE Yearly Revenue VS EstimatesLITE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1B 2B 3B 4B
LITE Yearly EPS VS EstimatesLITE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6 8

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2

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 125.46, LITE can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of LITE is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.84. LITE is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 43.79, the valuation of LITE can be described as expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as LITE.
The average S&P500 Price/Forward Earnings ratio is at 23.40. LITE is valued rather expensively when compared to this.
Industry RankSector Rank
PE 125.46
Fwd PE 43.79
LITE Price Earnings VS Forward Price EarningsLITE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, LITE is valued a bit more expensive than 60.42% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 196.04
LITE Per share dataLITE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 -10 20

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as LITE's earnings are expected to grow with 68.51% in the coming years.
PEG (NY)0.68
PEG (5Y)N/A
EPS Next 2Y103.74%
EPS Next 3Y68.51%

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0

5. Dividend

5.1 Amount

LITE does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

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LUMENTUM HOLDINGS INC

NASDAQ:LITE (12/29/2025, 8:01:59 PM)

Premarket: 374.4 +1.79 (+0.48%)

372.61

-18.16 (-4.65%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)11-04 2025-11-04/amc
Earnings (Next)02-04 2026-02-04/bmo
Inst Owners113.65%
Inst Owner Change-4.51%
Ins Owners0.49%
Ins Owner Change0.75%
Market Cap26.42B
Revenue(TTM)1.84B
Net Income(TTM)112.50M
Analysts80.71
Price Target269.91 (-27.56%)
Short Float %18.13%
Short Ratio2.84
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.31%
Min EPS beat(2)4.9%
Max EPS beat(2)7.73%
EPS beat(4)4
Avg EPS beat(4)9.79%
Min EPS beat(4)4.9%
Max EPS beat(4)15.02%
EPS beat(8)8
Avg EPS beat(8)22.05%
EPS beat(12)11
Avg EPS beat(12)17.67%
EPS beat(16)14
Avg EPS beat(16)14.43%
Revenue beat(2)1
Avg Revenue beat(2)0.44%
Min Revenue beat(2)-0.17%
Max Revenue beat(2)1.05%
Revenue beat(4)2
Avg Revenue beat(4)0.43%
Min Revenue beat(4)-0.34%
Max Revenue beat(4)1.17%
Revenue beat(8)4
Avg Revenue beat(8)0.14%
Revenue beat(12)4
Avg Revenue beat(12)-0.33%
Revenue beat(16)4
Avg Revenue beat(16)-0.61%
PT rev (1m)15.86%
PT rev (3m)88.62%
EPS NQ rev (1m)2.47%
EPS NQ rev (3m)18.83%
EPS NY rev (1m)16.84%
EPS NY rev (3m)17.25%
Revenue NQ rev (1m)1.75%
Revenue NQ rev (3m)15.98%
Revenue NY rev (1m)13.15%
Revenue NY rev (3m)13.69%
Valuation
Industry RankSector Rank
PE 125.46
Fwd PE 43.79
P/S 14.34
P/FCF N/A
P/OCF 182.7
P/B 33.83
P/tB N/A
EV/EBITDA 196.04
EPS(TTM)2.97
EY0.8%
EPS(NY)8.51
Fwd EY2.28%
FCF(TTM)-1.25
FCFYN/A
OCF(TTM)2.04
OCFY0.55%
SpS25.98
BVpS11.01
TBVpS-10.03
PEG (NY)0.68
PEG (5Y)N/A
Graham Number27.13
Profitability
Industry RankSector Rank
ROA 2.44%
ROE 14.41%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) 6.11%
GM 30.59%
FCFM N/A
ROA(3y)-5.38%
ROA(5y)-0.03%
ROE(3y)-21.5%
ROE(5y)-6.75%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-48.63%
PM growth 5Y-27.88%
GM growth 3Y-15.32%
GM growth 5Y-6.31%
F-Score8
Asset Turnover0.4
Health
Industry RankSector Rank
Debt/Equity 2.77
Debt/FCF N/A
Debt/EBITDA 15.05
Cap/Depr 93.88%
Cap/Sales 12.66%
Interest Coverage N/A
Cash Conversion 100.56%
Profit Quality N/A
Current Ratio 1.37
Quick Ratio 1.02
Altman-Z 4.35
F-Score8
WACC9.33%
ROIC/WACCN/A
Cap/Depr(3y)62.48%
Cap/Depr(5y)59.11%
Cap/Sales(3y)10.46%
Cap/Sales(5y)8.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)249.41%
EPS 3Y-30.28%
EPS 5Y-17.64%
EPS Q2Q%511.11%
EPS Next Y184.57%
EPS Next 2Y103.74%
EPS Next 3Y68.51%
EPS Next 5YN/A
Revenue 1Y (TTM)33.62%
Revenue growth 3Y-1.33%
Revenue growth 5Y-0.4%
Sales Q2Q%58.44%
Revenue Next Year60.02%
Revenue Next 2Y45.26%
Revenue Next 3Y34.34%
Revenue Next 5YN/A
EBIT growth 1Y71.31%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year355.18%
EBIT Next 3Y96.96%
EBIT Next 5YN/A
FCF growth 1Y-812.37%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-7.72%
OCF growth 3Y-34.97%
OCF growth 5Y-24.77%

LUMENTUM HOLDINGS INC / LITE FAQ

What is the fundamental rating for LITE stock?

ChartMill assigns a fundamental rating of 4 / 10 to LITE.


What is the valuation status for LITE stock?

ChartMill assigns a valuation rating of 2 / 10 to LUMENTUM HOLDINGS INC (LITE). This can be considered as Overvalued.


How profitable is LUMENTUM HOLDINGS INC (LITE) stock?

LUMENTUM HOLDINGS INC (LITE) has a profitability rating of 3 / 10.


What are the PE and PB ratios of LUMENTUM HOLDINGS INC (LITE) stock?

The Price/Earnings (PE) ratio for LUMENTUM HOLDINGS INC (LITE) is 125.46 and the Price/Book (PB) ratio is 33.83.


Is the dividend of LUMENTUM HOLDINGS INC sustainable?

The dividend rating of LUMENTUM HOLDINGS INC (LITE) is 0 / 10 and the dividend payout ratio is 0%.