Lumen Technologies Sees Unusually Large Options Volume (NYSE:LUMN)

Key Points

• Unusual options activity: Traders bought 30,776 Lumen Technologies call options, 58% above the average volume of 19,470 calls.
• Stock and earnings performance: LUMN rose to $7.13, while its latest quarterly loss of $0.07 per share beat estimates and revenue of $2.81 billion exceeded expectations, though revenue declined 9.3% year over year.
• Investor and analyst sentiment remains cautious: CEO Kathleen Johnson purchased 100,000 shares, and institutional ownership stands at 66.19%; however, analysts maintain a consensus “Reduce” rating with an average price target of $7.86.

Lumen Technologies, Inc. (NYSE:LUMN - Get Free Report) was the target of some unusual options trading on Friday. Traders acquired 30,776 call options on the stock. This is an increase of 58% compared to the average volume of 19,470 call options.

Lumen Technologies Price Performance

NYSE:LUMN traded up $0.33 during midday trading on Friday, reaching $7.13. 9,317,124 shares of the company traded hands, compared to its average volume of 13,492,508. Lumen Technologies has a twelve month low of $5.45 and a twelve month high of $11.95. The company has a fifty day moving average price of $6.40 and a 200 day moving average price of $7.51. The firm has a market capitalization of $7.36 billion, a price-to-earnings ratio of -7.02 and a beta of 1.78.

Lumen Technologies (NYSE:LUMN - Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The technology company reported ($0.07) EPS for the quarter, beating the consensus estimate of ($0.13) by $0.06. The firm had revenue of $2.81 billion during the quarter, compared to analysts' expectations of $2.74 billion. During the same quarter last year, the company posted ($0.03) EPS. The firm's revenue was down 9.3% compared to the same quarter last year. On average, equities research analysts forecast that Lumen Technologies will post -0.52 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Kathleen Johnson purchased 100,000 shares of Lumen Technologies stock in a transaction that occurred on Thursday, August 6th. The stock was bought at an average price of $6.13 per share, with a total value of $613,000.00. Following the completion of the transaction, the chief executive officer directly owned 100,000 shares of the company's stock, valued at approximately $613,000. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 2.30% of the company's stock.

Institutional Investors Weigh In On Lumen Technologies

Several large investors have recently made changes to their positions in LUMN. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of Lumen Technologies by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 602,705 shares of the technology company's stock worth $2,363,000 after purchasing an additional 26,305 shares in the last quarter. Empowered Funds LLC boosted its stake in Lumen Technologies by 26.8% during the 1st quarter. Empowered Funds LLC now owns 272,031 shares of the technology company's stock valued at $1,066,000 after purchasing an additional 57,522 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in Lumen Technologies by 11.2% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,985,216 shares of the technology company's stock valued at $11,702,000 after purchasing an additional 300,328 shares during the period. Cetera Investment Advisers boosted its position in Lumen Technologies by 15.8% during the second quarter. Cetera Investment Advisers now owns 119,673 shares of the technology company's stock worth $524,000 after purchasing an additional 16,332 shares during the period. Finally, Invesco Ltd. grew its stake in Lumen Technologies by 6.3% during the second quarter. Invesco Ltd. now owns 10,928,906 shares of the technology company's stock valued at $47,869,000 after acquiring an additional 652,124 shares in the last quarter. Institutional investors and hedge funds own 66.19% of the company's stock.

Wall Street Analyst Weigh In

LUMN has been the topic of several analyst reports. Wall Street Zen raised Lumen Technologies from a "sell" rating to a "hold" rating in a research report on Sunday, August 9th. The Goldman Sachs Group cut their target price on shares of Lumen Technologies from $8.50 to $7.25 and set a "neutral" rating for the company in a report on Wednesday, August 5th. Weiss Ratings reissued a "sell (d-)" rating on shares of Lumen Technologies in a research note on Friday, July 17th. Wells Fargo & Company reduced their target price on shares of Lumen Technologies from $9.00 to $7.50 and set an "equal weight" rating on the stock in a report on Wednesday, August 5th. Finally, Citigroup cut their price target on shares of Lumen Technologies from $10.00 to $8.25 and set a "neutral" rating on the stock in a research note on Tuesday, August 11th. Nine equities research analysts have rated the stock with 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 "Reduce" and a consensus target price of $7.86.

About Lumen Technologies

Lumen Technologies, Inc NYSE: LUMN is a communications and technology company that provides connectivity, networking and digital services to businesses, government organizations and other institutions. Its offerings include fiber-based internet access, wide-area networking, ethernet, software-defined networking, managed network services, cloud connectivity, cybersecurity and unified communications.

The company operates one of the largest fiber networks in the United States and also provides international connectivity through its global network infrastructure.

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