Lumentum (LITE) Competitors

Flex (NASDAQ:FLEX) and Lumentum (NASDAQ:LITE) are both computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, community ranking, valuation, profitability, dividends, media sentiment, risk and earnings.

Does the MarketBeat Community favor FLEX or LITE?

Lumentum received 358 more outperform votes than Flex when rated by MarketBeat users. Likewise, 71.66% of users gave Lumentum an outperform vote while only 62.64% of users gave Flex an outperform vote.

Company	Underperform	Outperform
Flex	Outperform Votes 555 62.64%	Underperform Votes 331 37.36%
Lumentum	Outperform Votes 913 71.66%	Underperform Votes 361 28.34%

Is FLEX or LITE more profitable?

Flex has a net margin of 3.95% compared to Lumentum's net margin of -36.98%. Flex's return on equity of 17.93% beat Lumentum's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Flex	3.95%	17.93%	5.00%
Lumentum	-36.98%	-7.25%	-1.76%

Do institutionals and insiders believe in FLEX or LITE?

94.3% of Flex shares are owned by institutional investors. Comparatively, 94.1% of Lumentum shares are owned by institutional investors. 0.8% of Flex shares are owned by company insiders. Comparatively, 0.2% of Lumentum shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Do analysts recommend FLEX or LITE?

Flex presently has a consensus target price of $43.67, suggesting a potential upside of 39.20%. Lumentum has a consensus target price of $87.40, suggesting a potential upside of 65.88%. Given Lumentum's higher possible upside, analysts clearly believe Lumentum is more favorable than Flex.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Flex	0 Sell rating(s)	0 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	3.00
Lumentum	1 Sell rating(s)	3 Hold rating(s)	10 Buy rating(s)	2 Strong Buy rating(s)	2.81

Does the media favor FLEX or LITE?

In the previous week, Flex had 17 more articles in the media than Lumentum. MarketBeat recorded 30 mentions for Flex and 13 mentions for Lumentum. Lumentum's average media sentiment score of 1.14 beat Flex's score of 0.64 indicating that Lumentum is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Flex	11 Very Positive mention(s)	3 Positive mention(s)	11 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive
Lumentum	7 Very Positive mention(s)	2 Positive mention(s)	1 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has stronger valuation & earnings, FLEX or LITE?

Flex has higher revenue and earnings than Lumentum. Lumentum is trading at a lower price-to-earnings ratio than Flex, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Flex	$25.58B	0.47	$1.01B	$2.48	12.65
Lumentum	$1.41B	2.58	-$546.50M	-$7.69	-6.85

Which has more risk & volatility, FLEX or LITE?

Flex has a beta of 0.99, meaning that its share price is 1% less volatile than the S&P 500. Comparatively, Lumentum has a beta of 1.14, meaning that its share price is 14% more volatile than the S&P 500.

Summary

Flex beats Lumentum on 11 of the 19 factors compared between the two stocks.