Wupen Yuen, president of global business units at Lumentum Holdings Inc. (NASDAQ: LITE), sold 1,500 shares of the company for approximately $1.28 million in transactions executed between Aug. 24 and Aug. 26 under a pre-arranged Rule 10b5-1 trading plan adopted on May 19, 2026.
The disposal prices ranged from $824.24 to $882.15 per share, according to the filings. After the sale, Yuen retains direct ownership of 91,729 Lumentum shares.
Lumentum’s stock has surged to $939.03, a gain of 646% over the past 12 months, as demand for AI-related optical components tightens supply and supports earnings growth. The company reported fiscal fourth-quarter revenue that exceeded consensus by 2% and adjusted earnings per share that beat estimates by $0.26. First-quarter guidance also topped expectations, with revenue projected 8% above consensus and EPS $0.51 higher, driven by increased AI capital expenditures.
Analysts remain divided on valuation. Wolfe Research maintained an Outperform rating, citing potential for mergers and acquisitions. TD Cowen raised its price target to $820 but kept a Hold rating, citing lingering business cycle risks. Needham reiterated its Buy rating with a $1,040 target, citing growth in AI optics. Mizuho lifted its target to $1,140, emphasizing strong AI infrastructure demand and tight transceiver supply. BofA Securities reduced its target to $1,000 on valuation concerns but raised 2027 and 2028 EPS estimates by 19% each, noting June quarter sales and profit per share that exceeded consensus by 2% and 9%, respectively, with September quarter guidance also surpassing expectations.
