LUMEN TECHNOLOGIES INC (LUMN) Stock Fundamental Analysis
USA - NYSE:LUMN - US5502411037 - Common Stock
10.34 USD
-0.66 (-6%)
10.75 USD
+0.41 (+3.97%)
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. LUMN scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. 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.
In the past year LUMN had a positive cash flow from operations.
In the past 5 years LUMN reported 4 times negative net income.
Each year in the past 5 years LUMN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -3.58%, LUMN is doing worse than 66.67% of the companies in the same industry.
LUMN has a worse Return On Invested Capital (1.11%) than 61.11% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LUMN is below the industry average of 5.86%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.58% | ||
| ROE | N/A | ||
| ROIC | 1.11% |
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
With a Operating Margin value of 3.21%, LUMN is not doing good in the industry: 63.89% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of LUMN has declined.
With a Gross Margin value of 47.68%, LUMN is not doing good in the industry: 61.11% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of LUMN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.21% | ||
| PM (TTM) | N/A | ||
| GM | 47.68% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), LUMN is destroying value.
LUMN has more shares outstanding than it did 1 year ago.
The number of shares outstanding for LUMN has been reduced compared to 5 years ago.
LUMN has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.03, we must say that LUMN is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -0.03, LUMN is doing worse than 83.33% of the companies in the same industry.
LUMN has a debt to FCF ratio of 19.08. This is a negative value and a sign of low solvency as LUMN would need 19.08 years to pay back of all of its debts.
LUMN has a Debt to FCF ratio (19.08) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 19.08 | ||
| Altman-Z | -0.03 |
ROIC/WACC0.17
WACC6.47%
2.3 Liquidity
LUMN has a Current Ratio of 2.13. This indicates that LUMN is financially healthy and has no problem in meeting its short term obligations.
LUMN has a better Current ratio (2.13) than 83.33% of its industry peers.
A Quick Ratio of 2.10 indicates that LUMN has no problem at all paying its short term obligations.
LUMN's Quick ratio of 2.10 is amongst the best of the industry. LUMN outperforms 86.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.13 | ||
| Quick Ratio | 2.1 |
3. Growth
3.1 Past
The earnings per share for LUMN have decreased strongly by -11.11% in the last year.
The Revenue has decreased by -6.50% in the past year.
Measured over the past years, LUMN shows a decrease in Revenue. The Revenue has been decreasing by -9.39% on average per year.
EPS 1Y (TTM)-11.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%76.92%
Revenue 1Y (TTM)-6.5%
Revenue growth 3Y-12.68%
Revenue growth 5Y-9.39%
Sales Q2Q%-5.39%
3.2 Future
LUMN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.71% yearly.
Based on estimates for the next years, LUMN will show a decrease in Revenue. The Revenue will decrease by -2.87% on average per year.
EPS Next Y-222.88%
EPS Next 2Y-65.55%
EPS Next 3Y-12.84%
EPS Next 5Y5.71%
Revenue Next Year-4.82%
Revenue Next 2Y-5.17%
Revenue Next 3Y-4.24%
Revenue Next 5Y-2.87%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
LUMN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for LUMN. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LUMN is on the same level as its industry peers.
LUMN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.31 | ||
| EV/EBITDA | 8.42 |
4.3 Compensation for Growth
LUMN's earnings are expected to decrease with -12.84% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-65.55%
EPS Next 3Y-12.84%
5. Dividend
5.1 Amount
No dividends for LUMN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
10.34
-0.66 (-6%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners71.63%
Inst Owner Change-0.53%
Ins Owners7.81%
Ins Owner Change3.63%
Market Cap10.61B
Revenue(TTM)12.82B
Net Income(TTM)-1179000000
Analysts71
Price Target5.41 (-47.68%)
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)70.47%
Min EPS beat(2)52.11%
Max EPS beat(2)88.84%
EPS beat(4)3
Avg EPS beat(4)91.86%
Min EPS beat(4)-45.54%
Max EPS beat(4)272.03%
EPS beat(8)4
Avg EPS beat(8)-65.72%
EPS beat(12)7
Avg EPS beat(12)-22.95%
EPS beat(16)9
Avg EPS beat(16)-14.81%
Revenue beat(2)0
Avg Revenue beat(2)-1.34%
Min Revenue beat(2)-2.58%
Max Revenue beat(2)-0.09%
Revenue beat(4)1
Avg Revenue beat(4)-0.64%
Min Revenue beat(4)-2.58%
Max Revenue beat(4)1.96%
Revenue beat(8)1
Avg Revenue beat(8)-1.16%
Revenue beat(12)1
Avg Revenue beat(12)-1.38%
Revenue beat(16)1
Avg Revenue beat(16)-1.51%
PT rev (1m)2.64%
PT rev (3m)9.52%
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)-0.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.83 | ||
| P/FCF | 11.31 | ||
| P/OCF | 2.42 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.42 |
EPS(TTM)-0.2
EYN/A
EPS(NY)-0.58
Fwd EYN/A
FCF(TTM)0.91
FCFY8.84%
OCF(TTM)4.27
OCFY41.33%
SpS12.5
BVpS-0.58
TBVpS-4.99
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.58% | ||
| ROE | N/A | ||
| ROCE | 1.4% | ||
| ROIC | 1.11% | ||
| ROICexc | 1.17% | ||
| ROICexgc | 1.4% | ||
| OM | 3.21% | ||
| PM (TTM) | N/A | ||
| GM | 47.68% | ||
| FCFM | 7.31% |
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 Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 19.08 | ||
| Debt/EBITDA | 5.36 | ||
| Cap/Depr | 120.27% | ||
| Cap/Sales | 26.88% | ||
| Interest Coverage | 0.31 | ||
| Cash Conversion | 133.77% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.13 | ||
| Quick Ratio | 2.1 | ||
| Altman-Z | -0.03 |
F-Score5
WACC6.47%
ROIC/WACC0.17
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)-11.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%76.92%
EPS Next Y-222.88%
EPS Next 2Y-65.55%
EPS Next 3Y-12.84%
EPS Next 5Y5.71%
Revenue 1Y (TTM)-6.5%
Revenue growth 3Y-12.68%
Revenue growth 5Y-9.39%
Sales Q2Q%-5.39%
Revenue Next Year-4.82%
Revenue Next 2Y-5.17%
Revenue Next 3Y-4.24%
Revenue Next 5Y-2.87%
EBIT growth 1Y-28.35%
EBIT growth 3Y-51.9%
EBIT growth 5Y-33.9%
EBIT Next Year399.42%
EBIT Next 3Y75.15%
EBIT Next 5Y39.88%
FCF growth 1Y243.21%
FCF growth 3Y-32.61%
FCF growth 5Y-18.43%
OCF growth 1Y78.32%
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 -222.88% in the next year.