Vincent Retort, who serves as Executive Vice President for Module Business Unit R&D and Product Development at Lumentum Holdings Inc. (NASDAQ: LITE), executed the sale of 2,736 shares of common stock on February 17, 2026, generating approximately $1.87 million in proceeds. According to the Form 4 filing with the Securities and Exchange Commission, the trades were completed in multiple transactions at prices ranging from $530.8035 to $557.8428.
The filing notes that the February 17 sales were carried out under a Rule 10b5-1 trading plan that Retort adopted on November 13, 2025. In a separate action two days earlier, on February 15, 2026, Retort had 3,039 shares of Lumentum common stock withheld by the company to satisfy income tax obligations tied to the vesting of restricted stock units; those withheld shares were recorded at a price of $562.74 per share for a total value of $1.71 million.
Following the combination of these transactions, Retort’s direct holdings in Lumentum total 96,280 shares. The Form 4 discloses the mechanics and timing of the trades but does not state any additional intent or future trading plans beyond the existence of the Rule 10b5-1 program.
Market-data referenced in the filing summary indicates mixed signals on valuation and momentum. InvestingPro data cited in the filing context suggests the stock appears overvalued versus its Fair Value, noting a trailing price-to-earnings ratio of 180.12. The same data source flags the stock as being in overbought territory based on its relative strength index (RSI).
Those insider transactions came against the backdrop of Lumentum’s recently reported second-quarter fiscal 2026 results, which showed earnings per share of $1.67, above the consensus estimate of $1.39. Revenue for the quarter reached $665.5 million, outpacing the projected $646.7 million. Management’s outlook for the third quarter also exceeded consensus expectations, with guidance reflecting revenue and EPS projections that are 14% and $0.65 higher than Wall Street consensus, respectively.
Following the earnings release and forward guidance, several research firms revised their price targets and ratings. Needham raised its price target to $550, Rosenblatt to $580, and Stifel to $480; each maintained a Buy rating. B.Riley upgraded Lumentum from Neutral to Buy and increased its price target to $526, citing growth opportunities such as Optical Circuit Switching and Co-Packaged Optics.
Analyst actions and company guidance underline Lumentum’s positioning in AI infrastructure markets. The filing and associated commentary state that the company’s technology is utilized across major AI data centers, a factor referenced by the firms that adjusted their targets.
Summary of transactions and context:
- Feb. 17, 2026: Retort sold 2,736 shares for approximately $1.87 million at prices between $530.8035 and $557.8428 under a Rule 10b5-1 plan adopted Nov. 13, 2025.
- Feb. 15, 2026: 3,039 shares were withheld by Lumentum to cover taxes from RSU vesting, recorded at $562.74 per share for $1.71 million.
- Post-transactions direct ownership: 96,280 shares.
- Company performance: Q2 FY2026 EPS $1.67 vs. $1.39 forecast; revenue $665.5 million vs. $646.7 million estimate; Q3 guidance above consensus.
- Analyst moves: Needham, Rosenblatt, Stifel raised targets and kept Buy; B.Riley upgraded to Buy and raised target to $526.
The regulatory disclosure, market-valuation notes and the timing of analyst adjustments provide a concise record of insider activity set against a backdrop of stronger-than-expected financial results and positive analyst commentary. The Form 4 filing documents the sales and confirms the Rule 10b5-1 plan adoption date; it does not provide additional commentary on the executive’s motives or future trading intentions.