Lumen Technologies Valuation
| LUMN Stock | USD 7.88 0.03 0.38% |
At this time, the firm appears to be overvalued. Lumen Technologies secures a last-minute Real Value of $4.4 per share. The latest price of the firm is $7.88. Our model forecasts the value of Lumen Technologies from analyzing the firm fundamentals such as Profit Margin of (0.16) %, current valuation of 24.18 B, and Return On Equity of -1.67 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Lumen Technologies' valuation include:
Price Book 23.3822 | Enterprise Value 24.2 B | Enterprise Value Ebitda 12.0823 | Price Sales 0.6014 | Forward PE 20.4918 |
Overvalued
Today
Please note that Lumen Technologies' price fluctuation is risky at this time. Calculation of the real value of Lumen Technologies is based on 3 months time horizon. Increasing Lumen Technologies' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Lumen Technologies is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Lumen Stock. However, Lumen Technologies' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 7.88 | Real 4.4 | Target 2.34 | Hype 8.07 | Naive 5.94 |
The intrinsic value of Lumen Technologies' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Lumen Technologies' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Lumen Technologies helps investors to forecast how Lumen stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Lumen Technologies more accurately as focusing exclusively on Lumen Technologies' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Lumen Technologies' intrinsic value based on its ongoing forecasts of Lumen Technologies' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Lumen Technologies' closest peers.
Lumen Technologies Cash |
|
Lumen Valuation Trend
Knowing Lumen Technologies' actual value is paramount for traders when making sound investment determinations. Using both Lumen Technologies' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Lumen Revenue by Product
Lumen Technologies Total Value Analysis
Lumen Technologies is now expected to have valuation of 24.18 B with market capitalization of 8 B, debt of 20.26 B, and cash on hands of 360 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Lumen Technologies fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
24.18 B | 8 B | 20.26 B | 360 M |
Lumen Technologies Investor Information
About 65.0% of the company shares are owned by institutional investors. The company recorded a loss per share of 2.17. Lumen Technologies last dividend was issued on the 29th of August 2022. The entity had 3:2 split on the 1st of April 1999. Based on the key indicators related to Lumen Technologies' liquidity, profitability, solvency, and operating efficiency, Lumen Technologies is not in a good financial situation at this time. It has a very high probability of going through financial hardship in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Total Cash From Operating Activities | 2.6 B | 2.2 B |
|
|
Lumen Technologies Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The recent return on assets of Lumen suggests not a very effective usage of assets in November.Lumen Technologies Ownership Allocation
Lumen Technologies maintains a total of 1.01 Billion outstanding shares. Over half of Lumen Technologies' outstanding shares are owned by institutional investors. These institutional investors are typically referred to as corporate investors that shop for positions in a given instrument to benefit from reduced trade commissions. On February 10, 2021, Representative Billy Long of US Congress acquired $15k to $50k worth of Lumen Technologies's common stock.Lumen Technologies Profitability Analysis
The company reported the previous year's revenue of 14.56 B. Net Loss for the year was (10.3 B) with profit before overhead, payroll, taxes, and interest of 9.61 B.About Lumen Technologies Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Lumen Technologies. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Lumen Technologies based exclusively on its fundamental and basic technical indicators. By analyzing Lumen Technologies's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Lumen Technologies's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Lumen Technologies. We calculate exposure to Lumen Technologies's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Lumen Technologies's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 7.4 B | 4.6 B | |
| Pretax Profit Margin | (0.70) | (0.67) | |
| Operating Profit Margin | (0.66) | (0.63) | |
| Net Loss | (0.71) | (0.67) | |
| Gross Profit Margin | 0.51 | 0.44 |
Lumen Technologies Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 983.1 M | |
| Quarterly Earnings Growth Y O Y | -0.889 | |
| Forward Price Earnings | 20.4918 |
Lumen Technologies Current Valuation Indicators
Lumen Technologies' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Lumen Technologies' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Lumen Technologies, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Lumen Technologies' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Lumen Technologies' worth.When determining whether Lumen Technologies offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Lumen Technologies' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Lumen Technologies Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Lumen Technologies Stock: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Lumen Technologies. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population. To learn how to invest in Lumen Stock, please use our How to Invest in Lumen Technologies guide.You can also try the Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
Is Diversified Telecommunication Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lumen Technologies. If investors know Lumen will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lumen Technologies listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.89) | Earnings Share (2.17) | Revenue Per Share 13.483 | Quarterly Revenue Growth (0.12) | Return On Assets 0.0066 |
The market value of Lumen Technologies is measured differently than its book value, which is the value of Lumen that is recorded on the company's balance sheet. Investors also form their own opinion of Lumen Technologies' value that differs from its market value or its book value, called intrinsic value, which is Lumen Technologies' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lumen Technologies' market value can be influenced by many factors that don't directly affect Lumen Technologies' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Lumen Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if Lumen Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lumen Technologies' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.