Is Lumentum Holdings, Inc. overvalued or undervalued?
As of September 8, 2025, Lumentum Holdings, Inc. is considered overvalued with a Price to Book Value of 6.43 and negative EV multiples, despite a strong year-to-date return of 104.29%, especially when compared to Generac Holdings' EV to EBITDA of 18.40 and Acuity Brands' 24.96.
As of 8 September 2025, Lumentum Holdings, Inc. has moved from an attractive to an expensive valuation grade. The company is currently overvalued, with a Price to Book Value of 6.43, an EV to EBIT of -26.73, and an EV to EBITDA of -566.97, indicating significant losses and high valuation multiples compared to its peers. In comparison, Generac Holdings, Inc. has a more reasonable EV to EBITDA of 18.40, while Acuity Brands, Inc. shows a fair valuation with an EV to EBITDA of 24.96. Lumentum's recent stock performance has been impressive, with a year-to-date return of 104.29% compared to the S&P 500's 12.22%, but this does not mitigate the concerns regarding its current high valuation.
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