LUMEN TECHNOLOGIES INC (LUMN) Stock Fundamental Analysis
USA - NYSE:LUMN - US5502411037 - Common Stock
10.86 USD
+0.32 (+3.04%)
10.96 USD
+0.1 (+0.92%)
LUMN gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 36 industry peers in the Diversified Telecommunication Services industry. While LUMN seems to be doing ok healthwise, there are quite some concerns on its profitability. LUMN does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
LUMN had negative earnings in the past year.
LUMN had a positive operating cash flow in the past year.
In the past 5 years LUMN reported 4 times negative net income.
LUMN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -4.82%, LUMN is not doing good in the industry: 72.22% of the companies in the same industry are doing better.
LUMN's Return On Invested Capital of 0.44% is on the low side compared to the rest of the industry. LUMN is outperformed by 63.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LUMN is below the industry average of 6.55%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.82% | ||
| ROE | N/A | ||
| ROIC | 0.44% |
ROA(3y)-11.28%
ROA(5y)-6.48%
ROE(3y)-832.11%
ROE(5y)-498.04%
ROIC(3y)3.61%
ROIC(5y)4.58%
1.3 Margins
Looking at the Operating Margin, with a value of 1.34%, LUMN is doing worse than 63.89% of the companies in the same industry.
In the last couple of years the Operating Margin of LUMN has declined.
With a Gross Margin value of 47.07%, LUMN is not doing good in the industry: 61.11% of the companies in the same industry are doing better.
LUMN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.34% | ||
| PM (TTM) | N/A | ||
| GM | 47.07% |
OM growth 3Y-44.91%
OM growth 5Y-27.05%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.94%
GM growth 5Y-3.18%
2. Health
2.1 Basic Checks
LUMN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for LUMN has been increased compared to 1 year ago.
LUMN has less shares outstanding than it did 5 years ago.
The debt/assets ratio for LUMN has been reduced compared to a year ago.
2.2 Solvency
LUMN has an Altman-Z score of -0.07. This is a bad value and indicates that LUMN is not financially healthy and even has some risk of bankruptcy.
LUMN's Altman-Z score of -0.07 is on the low side compared to the rest of the industry. LUMN is outperformed by 83.33% of its industry peers.
The Debt to FCF ratio of LUMN is 14.41, which is on the high side as it means it would take LUMN, 14.41 years of fcf income to pay off all of its debts.
LUMN has a Debt to FCF ratio of 14.41. This is in the better half of the industry: LUMN outperforms 61.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 14.41 | ||
| Altman-Z | -0.07 |
ROIC/WACC0.07
WACC6.5%
2.3 Liquidity
LUMN has a Current Ratio of 2.21. This indicates that LUMN is financially healthy and has no problem in meeting its short term obligations.
LUMN has a Current ratio of 2.21. This is amongst the best in the industry. LUMN outperforms 83.33% of its industry peers.
A Quick Ratio of 2.17 indicates that LUMN has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 2.17, LUMN belongs to the best of the industry, outperforming 86.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.21 | ||
| Quick Ratio | 2.17 |
3. Growth
3.1 Past
LUMN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.73%.
Looking at the last year, LUMN shows a decrease in Revenue. The Revenue has decreased by -4.56% in the last year.
LUMN shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -9.39% yearly.
EPS 1Y (TTM)-22.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-53.85%
Revenue 1Y (TTM)-4.56%
Revenue growth 3Y-12.68%
Revenue growth 5Y-9.39%
Sales Q2Q%-4.16%
3.2 Future
The Earnings Per Share is expected to grow by 18.04% on average over the next years. This is quite good.
Based on estimates for the next years, LUMN will show a decrease in Revenue. The Revenue will decrease by -3.84% on average per year.
EPS Next Y-220.63%
EPS Next 2Y-65.27%
EPS Next 3Y-12.74%
EPS Next 5Y18.04%
Revenue Next Year-4.73%
Revenue Next 2Y-5.64%
Revenue Next 3Y-4.34%
Revenue Next 5Y-3.84%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
LUMN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year LUMN is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as LUMN.
LUMN's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LUMN is cheaper than 61.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.09 | ||
| EV/EBITDA | 8.69 |
4.3 Compensation for Growth
A cheap valuation may be justified as LUMN's earnings are expected to decrease with -12.74% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-65.27%
EPS Next 3Y-12.74%
5. Dividend
5.1 Amount
LUMN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
10.86
+0.32 (+3.04%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners71.63%
Inst Owner Change-0.8%
Ins Owners7.81%
Ins Owner Change3.63%
Market Cap11.14B
Revenue(TTM)12.69B
Net Income(TTM)-1652000000
Analysts69
Price Target5.16 (-52.49%)
Short Float %5.86%
Short Ratio3.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)-68.79%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)57.52%
Min EPS beat(2)26.21%
Max EPS beat(2)88.84%
EPS beat(4)4
Avg EPS beat(4)109.8%
Min EPS beat(4)26.21%
Max EPS beat(4)272.03%
EPS beat(8)5
Avg EPS beat(8)-32.55%
EPS beat(12)8
Avg EPS beat(12)-15.53%
EPS beat(16)9
Avg EPS beat(16)-15.24%
Revenue beat(2)0
Avg Revenue beat(2)-1.5%
Min Revenue beat(2)-2.58%
Max Revenue beat(2)-0.42%
Revenue beat(4)1
Avg Revenue beat(4)-0.28%
Min Revenue beat(4)-2.58%
Max Revenue beat(4)1.96%
Revenue beat(8)1
Avg Revenue beat(8)-1.07%
Revenue beat(12)1
Avg Revenue beat(12)-1.22%
Revenue beat(16)1
Avg Revenue beat(16)-1.41%
PT rev (1m)-2.21%
PT rev (3m)4.35%
EPS NQ rev (1m)-1.09%
EPS NQ rev (3m)19.42%
EPS NY rev (1m)0.19%
EPS NY rev (3m)33.12%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)-0.74%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.88 | ||
| P/FCF | 9.09 | ||
| P/OCF | 2.29 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.69 |
EPS(TTM)-0.27
EYN/A
EPS(NY)-0.57
Fwd EYN/A
FCF(TTM)1.19
FCFY11%
OCF(TTM)4.74
OCFY43.65%
SpS12.37
BVpS-1.14
TBVpS-5.44
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.82% | ||
| ROE | N/A | ||
| ROCE | 0.56% | ||
| ROIC | 0.44% | ||
| ROICexc | 0.48% | ||
| ROICexgc | 0.57% | ||
| OM | 1.34% | ||
| PM (TTM) | N/A | ||
| GM | 47.07% | ||
| FCFM | 9.66% |
ROA(3y)-11.28%
ROA(5y)-6.48%
ROE(3y)-832.11%
ROE(5y)-498.04%
ROIC(3y)3.61%
ROIC(5y)4.58%
ROICexc(3y)3.79%
ROICexc(5y)4.7%
ROICexgc(3y)6.35%
ROICexgc(5y)8.52%
ROCE(3y)4.57%
ROCE(5y)5.8%
ROICexgc growth 3Y-47.53%
ROICexgc growth 5Y-31.85%
ROICexc growth 3Y-41.43%
ROICexc growth 5Y-24.11%
OM growth 3Y-44.91%
OM growth 5Y-27.05%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.94%
GM growth 5Y-3.18%
F-Score5
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 14.41 | ||
| Debt/EBITDA | 5.85 | ||
| Cap/Depr | 128.42% | ||
| Cap/Sales | 28.67% | ||
| Interest Coverage | 0.13 | ||
| Cash Conversion | 161.97% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.21 | ||
| Quick Ratio | 2.17 | ||
| Altman-Z | -0.07 |
F-Score5
WACC6.5%
ROIC/WACC0.07
Cap/Depr(3y)102.09%
Cap/Depr(5y)91.52%
Cap/Sales(3y)21.07%
Cap/Sales(5y)19.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-22.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-53.85%
EPS Next Y-220.63%
EPS Next 2Y-65.27%
EPS Next 3Y-12.74%
EPS Next 5Y18.04%
Revenue 1Y (TTM)-4.56%
Revenue growth 3Y-12.68%
Revenue growth 5Y-9.39%
Sales Q2Q%-4.16%
Revenue Next Year-4.73%
Revenue Next 2Y-5.64%
Revenue Next 3Y-4.34%
Revenue Next 5Y-3.84%
EBIT growth 1Y-62.72%
EBIT growth 3Y-51.9%
EBIT growth 5Y-33.9%
EBIT Next Year399.42%
EBIT Next 3Y75.15%
EBIT Next 5Y38.48%
FCF growth 1Y236.98%
FCF growth 3Y-32.61%
FCF growth 5Y-18.43%
OCF growth 1Y119.4%
OCF growth 3Y-12.65%
OCF growth 5Y-8.29%
LUMEN TECHNOLOGIES INC / LUMN FAQ
Can you provide the ChartMill fundamental rating for LUMEN TECHNOLOGIES INC?
ChartMill assigns a fundamental rating of 2 / 10 to LUMN.
What is the valuation status of LUMEN TECHNOLOGIES INC (LUMN) stock?
ChartMill assigns a valuation rating of 1 / 10 to LUMEN TECHNOLOGIES INC (LUMN). This can be considered as Overvalued.
Can you provide the profitability details for LUMEN TECHNOLOGIES INC?
LUMEN TECHNOLOGIES INC (LUMN) has a profitability rating of 1 / 10.
How financially healthy is LUMEN TECHNOLOGIES INC?
The financial health rating of LUMEN TECHNOLOGIES INC (LUMN) is 5 / 10.
What is the earnings growth outlook for LUMEN TECHNOLOGIES INC?
The Earnings per Share (EPS) of LUMEN TECHNOLOGIES INC (LUMN) is expected to decline by -220.63% in the next year.