How Lumen Technologies Stock Gained 35% Last Month
Shares of Lumen Technologies (NYSE: LUMN) rose 35.2% in September 2024, according to data from S&P Global Market Intelligence. The increase followed a 66.7% jump in the previous month and a 186.4% gain in July. Lumen kept the trend going by refinancing a large chunk of its corporate debt.
Part of the story here is that Lumen (formerly known as CenturyLink) was on a long losing streak before these summer jumps. Looking back from the end of June, the stock had fallen 91.9% in three years. It doesn't take much of a business improvement to inspire a strong rebound from a market dip of that caliber.
The company's only significant news in September was the aforementioned refinancing. Lumen retired $1.03 billion of debt notes in its own name and another $350 million of debt from Level 3 (which the company acquired in 2017). The debt holders accepted a payoff of less than the full value. The discounts ranged from 2.5% to 30% for the Lumen notes and held steady at 2% for the Level 3 notes.
Source Fool.com
