Lumen Technologies (NYSE:LUMN) Trading Up 4.6% - Still a Buy?

Key Points

• Lumen Technologies shares rose 4.6% to close at $6.16, although trading volume decreased by 55% compared to average levels.
• Analyst ratings are mixed, with Citigroup upgrading the stock to a "buy" with a target price of $7.50, while the consensus rating remains a "hold" with an average target price of $5.31.
• Insider purchasing activity was noted, with both the CFO and CEO acquiring shares at prices below the current trading price, suggesting confidence in the company's future.

Lumen Technologies, Inc. (NYSE:LUMN - Get Free Report) shares were up 4.6% on Tuesday . The company traded as high as $6.13 and last traded at $6.16. Approximately 5,869,677 shares traded hands during trading, a decline of 55% from the average daily volume of 13,058,440 shares. The stock had previously closed at $5.89.

Analyst Ratings Changes

Several research analysts have weighed in on LUMN shares. Citigroup raised their price objective on shares of Lumen Technologies from $6.00 to $7.50 and gave the stock a "buy" rating in a report on Thursday, September 25th. BNP Paribas raised shares of Lumen Technologies to a "hold" rating in a report on Wednesday, June 25th. The Goldman Sachs Group started coverage on shares of Lumen Technologies in a report on Tuesday, September 2nd. They set a "neutral" rating and a $4.10 price objective for the company. Raymond James Financial raised their price objective on shares of Lumen Technologies from $4.50 to $5.00 and gave the stock an "outperform" rating in a report on Friday, August 1st. Finally, Wall Street Zen raised shares of Lumen Technologies from a "sell" rating to a "hold" rating in a report on Sunday, August 3rd. Two research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average target price of $5.31.

Lumen Technologies Price Performance

The company has a market capitalization of $6.26 billion, a P/E ratio of -5.17 and a beta of 1.42. The business's 50-day simple moving average is $4.87 and its 200 day simple moving average is $4.33. The company has a current ratio of 2.13, a quick ratio of 2.13 and a debt-to-equity ratio of 59.98.

Lumen Technologies (NYSE:LUMN - Get Free Report) last released its earnings results on Thursday, July 31st. The technology company reported ($0.03) EPS for the quarter, topping analysts' consensus estimates of ($0.24) by $0.21. Lumen Technologies had a negative net margin of 9.19% and a negative return on equity of 158.40%. The business had revenue of $3.09 billion for the quarter, compared to the consensus estimate of $3.11 billion. During the same period in the previous year, the firm earned ($0.13) EPS. The business's revenue for the quarter was down 5.4% on a year-over-year basis. As a group, sell-side analysts anticipate that Lumen Technologies, Inc. will post -0.87 EPS for the current year.

Insider Buying and Selling

In other Lumen Technologies news, CFO Christopher Stansbury bought 42,000 shares of the firm's stock in a transaction on Thursday, August 14th. The stock was bought at an average cost of $4.29 per share, with a total value of $180,180.00. Following the completion of the transaction, the chief financial officer directly owned 518,000 shares of the company's stock, valued at approximately $2,222,220. The trade was a 8.82% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Kathleen E. Johnson acquired 135,870 shares of Lumen Technologies stock in a transaction dated Tuesday, August 5th. The stock was purchased at an average price of $3.69 per share, with a total value of $501,360.30. Following the completion of the purchase, the chief executive officer directly owned 9,616,947 shares of the company's stock, valued at $35,486,534.43. The trade was a 1.43% increase in their position. The disclosure for this purchase can be found here. Insiders have purchased 217,870 shares of company stock worth $859,140 over the last ninety days. 2.30% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Lumen Technologies

A number of hedge funds have recently made changes to their positions in LUMN. Farther Finance Advisors LLC increased its position in shares of Lumen Technologies by 132.3% during the 2nd quarter. Farther Finance Advisors LLC now owns 5,954 shares of the technology company's stock worth $26,000 after purchasing an additional 3,391 shares in the last quarter. MRP Capital Investments LLC grew its holdings in Lumen Technologies by 160.0% during the 2nd quarter. MRP Capital Investments LLC now owns 6,500 shares of the technology company's stock worth $28,000 after acquiring an additional 4,000 shares during the last quarter. Caitong International Asset Management Co. Ltd grew its holdings in Lumen Technologies by 3,527.9% during the 2nd quarter. Caitong International Asset Management Co. Ltd now owns 6,639 shares of the technology company's stock worth $29,000 after acquiring an additional 6,456 shares during the last quarter. Conning Inc. bought a new stake in Lumen Technologies during the 1st quarter worth about $39,000. Finally, OneDigital Investment Advisors LLC bought a new stake in Lumen Technologies during the 1st quarter worth about $41,000. Institutional investors and hedge funds own 66.19% of the company's stock.

Lumen Technologies Company Profile

Lumen Technologies, Inc, a facilities-based technology and communications company, provides various integrated products and services to business and residential customers in the United States and internationally. The company operates in two segments, Business and Mass Markets. It offers dark fiber, edge cloud services, internet protocol, managed security, software-defined wide area networks, secure access service edge, unified communications and collaboration, and optical wavelengths services; ethernet and VPN data networks services; and legacy services to manage cash flow, including time division multiplexing voice, private line, and other legacy services, as well as sells communication equipment, and IT solutions.

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