Lumentum HoldingsLITE -5.22%61 EV-to-FCF is 558.79 as of Jun. 27, 2026, which is 3985% above its 10-year median of 13.68. GuruFocus rates LITE with a GF Score™ of 61/100 and a GF Value™ of $94.65 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,327 Hardware companies, Lumentum Holdings ranks worse than 96.46% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Lumentum Holdings's Enterprise Value is $63,702 Mil.
Lumentum Holdings's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was $114 Mil. Therefore, Lumentum Holdings's EV-to-FCF for today is 558.79.
The historical rank and industry rank for Lumentum Holdings's EV-to-FCF or its related term are showing as below:
LITE'
s EV-to-FCF Range Over the Past 10 Years
Min: -2175.76 Med: 13.68 Max: 820.37
Current: 558.79
During the past 13 years, the highest EV-to-FCF of Lumentum Holdings was 820.37. The lowest was -2175.76. And the median was 13.68.
LITE's EV-to-FCF is ranked worse than 96.46% of 1327
companies
in the Hardware industry
Industry Median: 24.02
vs LITE: 558.79
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Lumentum Holdings's PE Ratio (TTM) for today is calculated as:
Lumentum Holdings's share price for today is $816.98.
Lumentum Holdings's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $5.400.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Lumentum Holdings EV-to-FCF Related Terms
Lumentum Holdings EV-to-FCF Historical Data
* Premium members only.
The historical data trend for Lumentum Holdings's EV-to-FCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Communication Equipment subindustry, Lumentum Holdings's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lumentum Holdings EV-to-FCF vs Hardware Industry
For the Hardware industry and Technology sector, Lumentum Holdings's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Lumentum Holdings's EV-to-FCF falls into.
Lumentum Holdings's current Enterprise Value is $63,702 Mil.
Lumentum Holdings's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $114 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Lumentum Holdings (LITE) has a EV-to-FCF of 558.79 as of Jun. 27, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Lumentum Holdings and its competitors. This is 3985% above median its historical median of 13.68. According to the industry distribution chart, Lumentum Holdings ranks #1280 out of 1327 companies in the Hardware industry, placing it in the top 96.5%.
Is Lumentum Holdings' EV-to-FCF too high?
Lumentum Holdings' current EV-to-FCF of 558.79 is 3985% above median its 10-year median of 13.68. The Hardware industry median EV-to-FCF is 24.02. Lumentum Holdings' value of 558.79 is 2226.4% above this industry median. Based on the distribution chart, Lumentum Holdings ranks #1280 out of 1327 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Lumentum Holdings has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lumentum Holdings' EV-to-FCF compare to MSI and HPE?
According to the Hardware industry distribution chart, Lumentum Holdings ranks #1280 out of 1327 companies for EV-to-FCF. This places Lumentum Holdings in the lower half of its industry. The industry median EV-to-FCF is 24.02. Lumentum Holdings' value of 558.79 is 2226.4% above this benchmark. While the company's 10-year median is 13.68 vs. the industry median of 24.02, Lumentum Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Hardware company?
The median EV-to-FCF among Hardware companies is 24.02, based on 1,327 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lumentum Holdings's current EV-to-FCF of 558.79 is 2226.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Lumentum Holdings and its competitors. For the Hardware industry, the median EV-to-FCF is 24.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lumentum Holdings's current EV-to-FCF is 558.79, which is 3985% above median its own 10-year median of 13.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lumentum Holdings stock overvalued right now?
Based on GuruFocus' analysis, Lumentum Holdings (LITE) is currently considered Significantly Overvalued. The stock's GF Value™ is $94.65, compared to a current price of $816.98 — trading 763.2% above its estimated fair value. The current EV-to-FCF is 558.79, which is 3985% above median its 10-year median of 13.68 and 2226.4% above the Hardware industry median of 24.02. Lumentum Holdings' overall GF Score™ is 61/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Lumentum Holdings (LITE), the current EV-to-FCF is 558.79 as of Jun. 27, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lumentum Holdings (LITE) Overvalued in 2026?
Based on GuruFocus' analysis, Lumentum Holdings stock appears to be overvalued.
The current stock price of $816.98 is trading 763.2% above its estimated GF Value™ of $94.65.
GuruFocus considers Lumentum Holdings to be Significantly Overvalued.
Key valuation signals for LITE:
EV-to-FCF: 558.79 (3985% above median its 10-year median of 13.68)
GF Value™: $94.65 vs. price of $816.98 (763.2% above fair value)
Industry Position: 2226.4% above the Hardware median (#1280 of 1327)
No single metric tells the full story. See the LITE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
61GF Score
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