Is It Too Late To Consider Lumen Technologies (LUMN) After Its Strong Multi Year Rally

Simply Wall St.02-18

If you are wondering whether Lumen Technologies' current share price gives you value or risk, this article will walk through what the numbers actually say about the stock. The share price closed at US...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2612145495?lang=en_US&edition=fundamental","thumbnail":"https://images.simplywall.st/asset/company-cover/260149-main-header/1585187100893","is_english":true,"pubTime":"2026-02-18 05:25","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2612145495","market":"us","top_or_hot":-1,"title":"Is It Too Late To Consider Lumen Technologies (LUMN) After Its Strong Multi Year Rally","media":"Simply Wall St.","content":"<div>\n<p>If you are wondering whether Lumen Technologies' current share price gives you value or risk, this article will walk through what the numbers actually say about the stock. The share price closed at US...</p>\n\n<a href=\"https://simplywall.st/stocks/us/telecom/nyse-lumn/lumen-technologies/news/is-it-too-late-to-consider-lumen-technologies-lumn-after-its\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Is It Too Late To Consider Lumen Technologies (LUMN) After Its Strong Multi Year Rally</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIs It Too Late To Consider Lumen Technologies (LUMN) After Its Strong Multi Year Rally\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-02-18 05:25 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/telecom/nyse-lumn/lumen-technologies/news/is-it-too-late-to-consider-lumen-technologies-lumn-after-its><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>If you are wondering whether Lumen Technologies' current share price gives you value or risk, this article will walk through what the numbers actually say about the stock. The share price closed at US...</p>\n\n<a href=\"https://simplywall.st/stocks/us/telecom/nyse-lumn/lumen-technologies/news/is-it-too-late-to-consider-lumen-technologies-lumn-after-its\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4089","symbol_name":"非传统电信运营商","start_time":0,"source_url":"https://simplywall.st/stocks/us/telecom/nyse-lumn/lumen-technologies/news/is-it-too-late-to-consider-lumen-technologies-lumn-after-its","article_id":"2612145495","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/company-cover/260149-main-header/1585187100893"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/telecom/nyse-lumn/lumen-technologies/news/is-it-too-late-to-consider-lumen-technologies-lumn-after-its","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2612145495","pubTimestamp":1771363542,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"If you are wondering whether Lumen Technologies' current share price gives you value or risk, this article will walk through what the numbers actually say about the stock.\nThe share price closed at US$8.39, with returns of 7.8% over the last 7 days, a 0.7% decline over 30 days, 9.1% year to date, 70.2% over 1 year and 129.9% over 3 years, while the 5 year return sits at a 20.5% decline.\nThis mix of short term pullback and strong multi year returns has made valuation a key question for many...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4089":"非传统电信运营商","DCF":"Dreyfus Alcentra Global Credit Income 2024 Target Term Fund, Inc","BK4585":"ETF&股票定投概念","BK4588":"碎股","LU0149725797.USD":"汇丰美国股市经济规模基金","BK4554":"元宇宙及AR概念","BK4535":"淡马锡持仓","LUMN":"Lumen Technologies"},"translate_title":"在Lumen Technologies(LUMN)多年强劲反弹之后，现在考虑它是否为时已晚","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"LUMN":1.5,"DCF":1},"content_text":"If you are wondering whether Lumen Technologies' current share price gives you value or risk, this article will walk through what the numbers actually say about the stock. The share price closed at US$8.39, with returns of 7.8% over the last 7 days, a 0.7% decline over 30 days, 9.1% year to date, 70.2% over 1 year and 129.9% over 3 years, while the 5 year return sits at a 20.5% decline. This mix of short term pullback and strong multi year returns has made valuation a key question for many investors trying to understand whether the recent gains still leave room for upside or signal increased risk. With that context, it is useful to step back from the share price chart and rely on structured valuation checks rather than headlines alone. On Simply Wall St's 6 point valuation checklist, Lumen Technologies scores a 3 out of 6. Next, we will look at what different valuation approaches say about that score and point to a more complete way to judge value later in the article.  Lumen Technologies delivered 70.2% returns over the last year. See how this stacks up to the rest of the Telecom industry. AdvertisementApproach 1: Lumen Technologies Discounted Cash Flow (DCF) Analysis A DCF model takes expected future cash flows, discounts them back to today using a required return, and adds them up to estimate what the whole business might be worth right now. For Lumen Technologies, the model used is a 2 Stage Free Cash Flow to Equity approach based on cash flow projections. The latest twelve month free cash flow is about $1.43b. Analyst projections and extrapolated estimates produce a path of cash flows that moves through both positive and negative years, with projected free cash flow of $49 million in 2030, all expressed in $. When all of those future cash flows are discounted back, Simply Wall St’s model arrives at an estimated intrinsic value of about $1.31 per share. Compared with the current share price of $8.39, the DCF output suggests the stock is very expensive. The model implies it is very substantially overvalued, described as a 539.0% premium to the DCF estimate. Result: OVERVALUED Our Discounted Cash Flow (DCF) analysis suggests Lumen Technologies may be overvalued by 539.0%. Discover 55 high quality undervalued stocks or create your own screener to find better value opportunities. LUMN Discounted Cash Flow as at Feb 2026 Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Lumen Technologies. Approach 2: Lumen Technologies Price vs Sales For companies where earnings can be volatile or negative, the P/S ratio is often a more practical yardstick because it focuses on revenue, which tends to be more stable than profits. Investors usually accept a higher or lower P/S depending on what they expect for future growth and how risky they think those cash flows are. Higher expected growth and lower perceived risk can justify paying a higher multiple, while slower growth or higher risk usually call for a lower one. Lumen Technologies currently trades on a P/S of 0.69x. That sits below the Telecom industry average P/S of 1.22x and also below the peer group average of 8.24x. Simply Wall St’s Fair Ratio for Lumen Technologies, which is 1.57x, estimates what a reasonable P/S might be after factoring in items like earnings growth, industry, profit margins, market size and specific risks. This is more tailored than a simple comparison with peers or the broad industry, which treats very different businesses as if they were identical. Comparing the current 0.69x P/S with the 1.57x Fair Ratio suggests the shares trade at a discount to that model based estimate. Result: UNDERVALUED NYSE:LUMN P/S Ratio as at Feb 2026 P/S ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 23 top founder-led companies. Upgrade Your Decision Making: Choose your Lumen Technologies Narrative Earlier we mentioned that there is an even better way to understand valuation. Narratives on Simply Wall St let you connect your view of Lumen Technologies to the numbers by turning your story about its future revenue, earnings and margins into a forecast, linking that forecast to a fair value, then comparing it with the current price. All of this happens inside an accessible tool on the Community page that updates automatically when new news or earnings arrive. You can see, for example, how one Lumen Narrative built around a US$10.00 fair value and higher future P/E assumptions differs from another that anchors closer to US$2.00, and decide for yourself which story and valuation line up with your own reasons to buy, hold or sell. For Lumen Technologies however, we'll make it really easy for you with previews of two leading Lumen Technologies Narratives: 🐂 Lumen Technologies Bull Case Fair value in this bullish narrative: US$10.00 per share Current price vs this fair value: about 16% below the narrative fair value Revenue growth assumption: 5.71% annual decline  Backers of this view are focused on balance sheet repair, cost cuts and asset sale proceeds freeing up cash for reinvestment or returns, with the aim of supporting higher long term earnings. The thesis leans on Lumen's fiber and digital platform footprint benefiting from demand tied to cloud, edge computing and AI, with recurring, higher margin services playing a larger role over time. Even in this upbeat scenario, the narrative flags risks from technological shifts, ongoing legacy revenue declines, competition and high debt that could challenge revenue, margins and financial stability.  🐻 Lumen Technologies Bear Case Fair value in this consensus style narrative: US$7.23 per share Current price vs this fair value: about 16% above the narrative fair value Revenue growth assumption: 5.09% annual decline  This view accepts that modernization, AI driven network contracts and balance sheet work can support the business, but treats them as offset by persistent pressure in older product lines and execution risks. Analysts behind this narrative assume that, even with cost savings and enterprise focused growth efforts, declines in legacy Ethernet, VPN, voice and copper services keep overall revenue under strain. High debt, ongoing capital needs and strong competition from cable, wireless and alternative technologies feature heavily as concerns, with the fair value set closer to where they see the shares as roughly fairly priced on their assumptions.  If you want to see how these two stories compare in full and where other community members land between them, Curious how numbers become stories that shape markets? Explore Community Narratives Do you think there's more to the story for Lumen Technologies? Head over to our Community to see what others are saying! NYSE:LUMN 1-Year Stock Price Chart  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.New: AI Stock Screener & AlertsOur new AI Stock Screener scans the market every day to uncover opportunities.• Dividend Powerhouses (3%+ Yield)• Undervalued Small Caps with Insider Buying• High growth Tech and AI CompaniesOr build your own from over 50 metrics.Explore Now for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"tenantId":"TBGLOBAL","deviceId":"web-server-community-laohu8-v3","version":"4.36.2","shortVersion":"4.36.2","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2612145495","isCrawlerRequest":true}