What the Options Market Tells Us About Lumentum Holdings

Investors with a lot of money to spend have taken a bullish stance on Lumentum Holdings (NASDAQ:LITE).

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don’t know. But when something this big happens with LITE, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga‘s options scanner spotted 46 uncommon options trades for Lumentum Holdings.

This isn’t normal.

The overall sentiment of these big-money traders is split between 58% bullish and 26%, bearish.

Out of all of the special options we uncovered, 6 are puts, for a total amount of $334,552, and 40 are calls, for a total amount of $2,208,440.

Projected Price Targets

After evaluating the trading volumes and Open Interest, it’s evident that the major market movers are focusing on a price band between $170.0 and $450.0 for Lumentum Holdings, spanning the last three months.

Volume & Open Interest Trends

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Lumentum Holdings’s options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Lumentum Holdings’s significant trades, within a strike price range of $170.0 to $450.0, over the past month.

Lumentum Holdings Option Activity Analysis: Last 30 Days

Biggest Options Spotted:

Symbol	PUT/CALL	Trade Type	Sentiment	Exp. Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
LITE	CALL	TRADE	BEARISH	02/13/26	$43.0	$42.0	$42.0	$355.00	$210.0K	99	50
LITE	CALL	SWEEP	NEUTRAL	02/20/26	$16.0	$16.0	$16.0	$450.00	$160.0K	151	100
LITE	CALL	SWEEP	BULLISH	03/20/26	$183.2	$183.2	$183.2	$170.00	$146.5K	707	10
LITE	CALL	SWEEP	BULLISH	01/23/26	$19.8	$19.7	$19.8	$340.00	$145.6K	48	89
LITE	CALL	TRADE	BULLISH	01/21/28	$143.2	$142.5	$143.2	$410.00	$100.2K	7	19

About Lumentum Holdings

Lumentum Holdings Inc is a California-based technology firm. 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.

Having examined the options trading patterns of Lumentum Holdings, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Current Position of Lumentum Holdings

• Trading volume stands at 1,821,584, with LITE’s price up by 0.98%, positioned at $334.87.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 19 days.

Expert Opinions on Lumentum Holdings

Over the past month, 2 industry analysts have shared their insights on this stock, proposing an average target price of $387.0.

• An analyst from Needham has decided to maintain their Buy rating on Lumentum Holdings, which currently sits at a price target of $470.
• Consistent in their evaluation, an analyst from Morgan Stanley keeps a Equal-Weight rating on Lumentum Holdings with a target price of $304.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics.