Lumen Technologies (NYSE:LUMN) Shares Down 6.2% – Here’s Why

Lumen Technologies, Inc. (NYSE:LUMN)’s share price dropped 6.2% on Wednesday . The company traded as low as $6.97 and last traded at $6.9870. Approximately 13,257,680 shares changed hands during mid-day trading, a decline of 5% from the average daily volume of 14,017,945 shares. The stock had previously closed at $7.45.

Analyst Ratings Changes

Several brokerages recently issued reports on LUMN. The Goldman Sachs Group upped their target price on Lumen Technologies from $5.50 to $7.25 and gave the company a “neutral” rating in a research report on Wednesday, February 4th. Raymond James Financial restated a “market perform” rating on shares of Lumen Technologies in a research note on Wednesday, February 4th. Royal Bank Of Canada increased their price objective on shares of Lumen Technologies from $4.25 to $8.00 and gave the company a “sector perform” rating in a research report on Tuesday, November 25th. Citigroup lowered their target price on shares of Lumen Technologies from $11.00 to $10.00 and set a “neutral” rating for the company in a research note on Thursday, February 5th. Finally, Zacks Research upgraded shares of Lumen Technologies from a “hold” rating to a “strong-buy” rating in a research note on Thursday, January 8th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $7.25.

Lumen Technologies Stock Performance

The firm’s 50 day simple moving average is $8.01 and its 200 day simple moving average is $7.42. The firm has a market capitalization of $7.26 billion, a price-to-earnings ratio of -4.07 and a beta of 1.51.

Lumen Technologies (NYSE:LUMN) last issued its earnings results on Tuesday, February 3rd. The technology company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.21) by $0.44. The firm had revenue of $3.04 billion during the quarter, compared to analysts’ expectations of $3.04 billion. Lumen Technologies had a negative net margin of 14.02% and a negative return on equity of 158.40%. The firm’s revenue was down 8.7% compared to the same quarter last year. During the same quarter last year, the company posted $0.09 earnings per share. As a group, sell-side analysts forecast that Lumen Technologies, Inc. will post -0.87 earnings per share for the current year.

Insider Activity

In other news, Director Diankha Linear sold 45,000 shares of the company’s stock in a transaction dated Friday, February 20th. The stock was sold at an average price of $7.89, for a total value of $355,050.00. Following the sale, the director owned 198,229 shares in the company, valued at $1,564,026.81. This represents a 18.50% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Kathleen E. Johnson bought 78,685 shares of the company’s stock in a transaction that occurred on Thursday, February 5th. The shares were bought at an average cost of $6.35 per share, for a total transaction of $499,649.75. Following the completion of the acquisition, the chief executive officer owned 8,562,582 shares of the company’s stock, valued at $54,372,395.70. This trade represents a 0.93% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders own 2.30% of the company’s stock.

Hedge Funds Weigh In On Lumen Technologies

A number of hedge funds have recently bought and sold shares of the business. Kemnay Advisory Services Inc. purchased a new stake in shares of Lumen Technologies in the fourth quarter valued at approximately $25,000. International Assets Investment Management LLC acquired a new stake in Lumen Technologies in the 4th quarter valued at $30,000. UMB Bank n.a. increased its holdings in Lumen Technologies by 49.1% in the 3rd quarter. UMB Bank n.a. now owns 4,105 shares of the technology company’s stock worth $25,000 after acquiring an additional 1,351 shares in the last quarter. Los Angeles Capital Management LLC acquired a new position in Lumen Technologies during the fourth quarter worth $35,000. Finally, Fifth Third Bancorp raised its position in Lumen Technologies by 24.5% during the third quarter. Fifth Third Bancorp now owns 5,343 shares of the technology company’s stock worth $33,000 after acquiring an additional 1,051 shares during the period. Hedge funds and other institutional investors own 66.19% of the company’s stock.

About Lumen Technologies

Lumen Technologies is a multinational technology company specializing in integrated network, edge cloud, security and collaboration services for enterprise and public sector clients. The company’s core offerings include high-capacity fiber and IP-based connectivity, managed edge computing solutions designed to accelerate applications and data processing closer to end users, and cybersecurity services ranging from DDoS protection to unified threat management. Through its unified portfolio, Lumen enables organizations to support digital transformation initiatives, modernize infrastructure and enhance operational resilience.

Leveraging one of the largest fiber footprints in North America, as well as infrastructure in Latin America and parts of Europe, Lumen connects customers across more than 60 countries.