The two are said to have had an amicable split, reported People magazine.
"They aren't together anymore but they are still friendly. She's really focused on her work right now," the source added.
Lautner, 25, was recently spotted partying at The h.Wood Group's Bootsy Bellows "Red, White and Bootsy" Fourth of July pop up event at Nobu in Malibu without Lourd.
While, the 24-year-old actress is gearing up for the next season of Ryan Murphy's "American Horror Story".
Lautner last posted a picture with Lourd on Instagram in May, saying he was "feelin' lucky every day.