Lumen Technologies (NYSE:LUMN) Announces Quarterly Earnings Results

Lumen Technologies (NYSE:LUMN) posted its earnings results on Tuesday. The technology company reported ($0.47) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.12) by ($0.35), FiscalAI reports. The business had revenue of $2.90 billion for the quarter, compared to analyst estimates of $2.83 billion. During the same quarter in the previous year, the company earned ($0.13) EPS. Lumen Technologies’s quarterly revenue was down 8.9% on a year-over-year basis.

Here are the key takeaways from Lumen Technologies’ conference call:

• Alkira acquisition announced ($475M, expected close Q3) — will extend Lumen Connect into east‑west cloud interconnect (cloud‑to‑cloud & data‑center) and is expected to be financed with cash, neutral to margins near‑term but accretive as the platform scales.
• Balance sheet materially strengthened after the fiber‑to‑the‑home sale to AT&T (leverage below 4x, ~ $300M annual interest savings), and management raised 2026 free cash flow guidance to $1.9B–$2.1B after reclassifying transaction proceeds to operating cash flow.
• Strong NaaS adoption and meaningful customer wins — Q1 quarter‑over‑quarter: customer adoption +25%, active ports +35%, active services +32%, nearly 2,500 NaaS customers (30%+ repeat purchasers) and large enterprise deals (600‑site bank; 300‑site logistics) that validate demand for programmable networking.
• Quarterly financials were mixed: total revenue and results were in line with expectations but adjusted EBITDA fell to $849M (YoY decline) and digital revenue remains small at $37M, with special items (net -$430M) and a one‑time $596M gain from the divestiture affecting comparability.

Lumen Technologies Stock Down 1.3%

Shares of NYSE LUMN traded down $0.13 during midday trading on Tuesday, hitting $9.21. The stock had a trading volume of 13,594,501 shares, compared to its average volume of 13,210,742. The business’s 50 day moving average is $7.41 and its 200-day moving average is $8.03. The company has a market cap of $9.48 billion, a P/E ratio of -5.29 and a beta of 1.65. Lumen Technologies has a 52 week low of $3.37 and a 52 week high of $11.95.

More Lumen Technologies News

Here are the key news stories impacting Lumen Technologies this week:

• Positive Sentiment: Q1 revenue topped estimates: Lumen reported $2.90B in revenue versus analysts’ ~$2.83B estimate, showing better‑than‑expected top‑line performance that supports the company’s service demand picture. Lumen (LUMN) Reports Q1 Loss, Tops Revenue Estimates
• Positive Sentiment: Lumen agreed to acquire Alkira for $475M in cash to bolster its cloud networking and SD‑WAN capabilities — a strategic tuck‑in that could accelerate growth in cloud‑centric networking services. Lumen beats quarterly revenue estimates, to acquire Alkira for $475 million
• Neutral Sentiment: Lumen extended the early participation date and withdrawal deadline for its exchange offers on long‑dated notes — a procedural move that gives bondholders more time but also may indicate slower participation than hoped. Monitor takeup rates for any signal on refinancing success. Lumen Technologies, Inc. and Qwest Corporation Announce Extension of Early Participation Date and Withdrawal Deadline of Previously Announced Exchange Offers
• Neutral Sentiment: After a large multi‑month run‑up (shares up substantially over the last year), some investors are debating valuation and whether upside is already priced in — adding to intraday volatility. Is It Too Late To Consider Lumen Technologies (LUMN) After A 120% One Year Surge?
• Negative Sentiment: Big EPS miss pressured the stock: Lumen reported a Q1 loss of ($0.47) per share, well below consensus (Zacks ~($0.06); MarketBeat noted ~$ (0.12)), raising concerns about margin pressure and near‑term profitability. Lumen earnings report and transcript
• Negative Sentiment: Revenue declined 8.9% year‑over‑year, highlighting ongoing headwinds in legacy services even as new initiatives scale — a reminder earnings recovery may take time. Lumen earnings report and transcript

Insider Activity at Lumen Technologies

In other news, CEO Kathleen E. Johnson bought 78,685 shares of the company’s stock in a transaction dated Thursday, February 5th. The shares were purchased at an average price of $6.35 per share, for a total transaction of $499,649.75. Following the completion of the purchase, the chief executive officer owned 8,562,582 shares in the company, valued at approximately $54,372,395.70. This represents a 0.93% increase in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Diankha Linear sold 45,000 shares of the company’s stock in a transaction that occurred on Friday, February 20th. The stock was sold at an average price of $7.89, for a total transaction of $355,050.00. Following the completion of the transaction, the director owned 198,229 shares in the company, valued at approximately $1,564,026.81. This represents a 18.50% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 2.30% of the company’s stock.

Institutional Trading of Lumen Technologies

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. JPMorgan Chase & Co. increased its holdings in Lumen Technologies by 324.7% during the fourth quarter. JPMorgan Chase & Co. now owns 22,211,742 shares of the technology company’s stock valued at $172,585,000 after buying an additional 16,981,326 shares during the last quarter. Charles Schwab Investment Management Inc. increased its holdings in Lumen Technologies by 2.6% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 18,390,473 shares of the technology company’s stock valued at $142,894,000 after buying an additional 473,242 shares during the last quarter. Front Street Capital Management Inc. increased its stake in shares of Lumen Technologies by 1.1% in the second quarter. Front Street Capital Management Inc. now owns 11,969,084 shares of the technology company’s stock worth $52,425,000 after purchasing an additional 132,131 shares in the last quarter. Man Group plc increased its stake in shares of Lumen Technologies by 3.3% in the second quarter. Man Group plc now owns 11,486,835 shares of the technology company’s stock worth $50,312,000 after purchasing an additional 364,436 shares in the last quarter. Finally, Invesco Ltd. increased its stake in shares of Lumen Technologies by 6.3% in the second quarter. Invesco Ltd. now owns 10,928,906 shares of the technology company’s stock worth $47,869,000 after purchasing an additional 652,124 shares in the last quarter. 66.19% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research firms have recently weighed in on LUMN. The Goldman Sachs Group raised their price objective on shares of Lumen Technologies from $5.50 to $7.25 and gave the company a “neutral” rating in a research report on Wednesday, February 4th. UBS Group raised their price objective on shares of Lumen Technologies from $5.00 to $6.00 and gave the company a “neutral” rating in a research report on Thursday, February 5th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Lumen Technologies in a research report on Tuesday, April 21st. Wall Street Zen upgraded shares of Lumen Technologies from a “sell” rating to a “hold” rating in a research report on Sunday. Finally, Raymond James Financial reiterated a “market perform” rating on shares of Lumen Technologies in a research report on Wednesday, February 4th. One analyst has rated the stock with a Strong Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Lumen Technologies currently has a consensus rating of “Hold” and a consensus price target of $7.25.

Lumen Technologies Company Profile

Lumen Technologies is a multinational technology company specializing in integrated network, edge cloud, security and collaboration services for enterprise and public sector clients. The company’s core offerings include high-capacity fiber and IP-based connectivity, managed edge computing solutions designed to accelerate applications and data processing closer to end users, and cybersecurity services ranging from DDoS protection to unified threat management. Through its unified portfolio, Lumen enables organizations to support digital transformation initiatives, modernize infrastructure and enhance operational resilience.

Leveraging one of the largest fiber footprints in North America, as well as infrastructure in Latin America and parts of Europe, Lumen connects customers across more than 60 countries.