Analysts Reboot Lumen Stock Price Target After Earnings

Price as of August 8, 2024, 4:00 PM: $4.00

Lumen Technologies (NYSE: LUMN) missed earnings expectations in the second quarter, reporting a loss of 13 cents per share compared to earnings of 10 cents per share in the prior-year period. Revenue also declined by 5% to $5.5 billion.

Despite the disappointing results, analysts remain bullish on Lumen's long-term prospects. WEB TD Cowen raised its price target on the stock to $7 from $2.50, citing the company's strong cash flow and its progress in reducing its debt.

What Could Happen Next

Analysts are divided on what will happen next to Lumen's stock. Some believe that the stock is undervalued and could rally in the coming months. Others believe that the stock is fairly valued and could trade sideways in the near term.

Ultimately, the direction of Lumen's stock will depend on the company's ability to execute its turnaround plan and deliver on its growth targets.

Conclusion

Lumen Technologies is a major player in the telecommunications industry, with a strong customer base and a nationwide network. The company has faced some challenges in recent years, but analysts believe that it is well-positioned to succeed in the long term. Investors should keep an eye on Lumen's progress in the coming months, as it could provide valuable insights into the future direction of the stock.