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Lumen Technologies (STU:CYTH) Intrinsic Value: Projected FCF : €20.45 (As of May. 01, 2024)


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What is Lumen Technologies Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-05-01), Lumen Technologies's Intrinsic Value: Projected FCF is €20.45. The stock price of Lumen Technologies is €1.0664. Therefore, Lumen Technologies's Price-to-Intrinsic-Value-Projected-FCF of today is 0.1.

The historical rank and industry rank for Lumen Technologies's Intrinsic Value: Projected FCF or its related term are showing as below:

STU:CYTH' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.05   Med: 0.41   Max: 0.75
Current: 0.05

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Lumen Technologies was 0.75. The lowest was 0.05. And the median was 0.41.

STU:CYTH's Price-to-Projected-FCF is ranked better than
98.92% of 278 companies
in the Telecommunication Services industry
Industry Median: 0.98 vs STU:CYTH: 0.05

Lumen Technologies Intrinsic Value: Projected FCF Historical Data

The historical data trend for Lumen Technologies's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Lumen Technologies Intrinsic Value: Projected FCF Chart

Lumen Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 26.94 23.61 29.59 30.82 20.51

Lumen Technologies Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.82 30.73 21.95 24.32 20.51

Competitive Comparison of Lumen Technologies's Intrinsic Value: Projected FCF

For the Telecom Services subindustry, Lumen Technologies's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lumen Technologies's Price-to-Projected-FCF Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Lumen Technologies's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Lumen Technologies's Price-to-Projected-FCF falls into.



Lumen Technologies Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Lumen Technologies's Free Cash Flow(6 year avg) = €2,015.06.

Lumen Technologies's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*2015.05728+382.389*0.8)/983.765
=19.81

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Lumen Technologies  (STU:CYTH) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Lumen Technologies's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=1.0664/19.811606421868
=0.05

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Lumen Technologies Intrinsic Value: Projected FCF Related Terms

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Lumen Technologies (STU:CYTH) Business Description

Traded in Other Exchanges
Address
100 CenturyLink Drive, Monroe, LA, USA, 71203
With 450,000 route miles of fiber, including over 35,000 route miles of subsea fiber connecting Europe, Asia, and Latin America, Lumen Technologies is one of the United States' largest telecommunications carriers serving global enterprises. Its merger with Level 3 in 2017 and divestiture of much of its incumbent local exchange carrier, or ILEC, business in 2022 has shifted the company's operations away from its legacy consumer business and toward enterprises (now nearly 80% of revenue). Lumen offers businesses a full menu of communications services, providing colocation and data center services, data transportation, and end-user phone and internet service. On the consumer side, Lumen provides broadband and phone service across 37 states, where it has 4.5 million broadband customers.

Lumen Technologies (STU:CYTH) Headlines

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