Lumen stocks recent update after earnings report

WAN CHAI, Hong Kong - March 4, 2022 - PRLog -- To stay afloat, traditional Telco companies have been forced to broaden their products into new sectors and technology. Lumen Technologies, formerly CenturyLink, a legacy Telco provider, is a good illustration of this. In order to combat landline loss, it has been shifting into data services over the past few years. As part of this change, management has invested in fiber cable assets and joined the data center market.

LUMN supplies home, commercial, wholesale and governmental clients in the United States and overseas with a variety of communications services. It provides IP and data services, such as virtual private network (VPN), Ethernet, internet protocol (IP) and content delivery. High-bandwidth optical networks, unlit optical fiber networks and related professional and management services are also available, as are private line services, which are dedicated circuits or channels for linking two or more organizational locations, as well as colocation and data center services. Affiliates of Level 3 Communications LLC, an indirect wholly owned subsidiary of Lumen, agreed to sell its Latin American company for $2.7 billion on July 25, 2021. Lumen and several of its subsidiaries agreed to sell a significant portion of their incumbent local exchange business for $7.5 billion on August 3, 2021. Both transactions are scheduled to be completed in 2022.

LUMN also has a significant debt load, which the company's management has been working to reduce over the last 2.5 years. In Q1 2019, management reduced the quarterly dividend from $0.54 to $0.25 in order to focus more cash flow on debt repayment.

LUMN just won a $1.2 billion network services contract in the United States Agriculture Department. It will provide secure remote access, managed data, a contact center and cloud connection solutions to over 10,000 USDA facilities across the country and overseas as part of this solution.

Through quarterly dividend payments and stock repurchases, LUMN returned $2.1 billion to stockholders in 2021. LUMN has a dividend yield of 9.29% at $10.77

LUMN's values have become significantly lower than its major peers after a hefty 14% price decrease post earnings. With a.92X P/Book, it has the lowest values for all of these criteria and is selling for less than book value.

Join our weekly latest newsletter in Finance, you may also visit us at Mabel Investment Company Limited through our website https://mabelinvestmentco.com/ or contact us via email.