Telecommunications infrastructure company Lumen Technologies (NYSE:LUMN) will be announcing earnings results this Wednesday after market hours. Here’s what you need to know.
Lumen beat analysts’ revenue expectations last quarter, reporting revenues of $2.81 billion, down 9.3% year on year. It was an exceptional quarter for the company, with a beat of analysts’ EPS estimates.
Is Lumen a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Lumen’s revenue to decline 11.7% year on year, a further deceleration from the 4.2% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Lumen has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Lumen’s peers in the telecommunication services segment, only Iridium has reported results so far. It exceeded analysts’ revenue estimates, delivering year-on-year sales growth of 8.3%. The stock price was unchanged following the results.
Read our full analysis of Iridium’s earnings results here.Investors in the telecommunication services segment have had steady hands going into earnings, with share prices up 1.7% on average over the last month. Lumen is down 14% during the same time and is heading into earnings with an average analyst price target of $7.49 (compared to the current share price of $4.83).
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