Why Lumen Technologies Stock Tanked Today
Shares of Lumen Technologies (NYSE: LUMN) have tanked today, down by 22% as of 1 p.m. EST, after getting a downgrade from Wall Street. The stock has surged in recent days along with many other heavily shorted companies, but Morgan Stanley does not believe the move is justified by fundamentals.
Analyst Simon Flannery lowered his rating on Lumen from equal weight (equivalent to a neutral) to underweight (equivalent to a sell) while maintaining a price target of $12.50. The analyst believes that the rally was "primarily driven by technical factors such as short covering."
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Source Fool.com
