Why Did Lumen Technologies Inc. (LUMN) Jump Yesterday? - InvestingChannel

Why Did Lumen Technologies Inc. (LUMN) Jump Yesterday?

We recently published an article entitled Why These 10 Stocks Jumped Yesterday. In this article, we are going to take a look at where Lumen Technologies Inc. (NYSE:LUMN) stands against the other stocks that jumped yesterday.

Broader indices haven’t been performing very well since the Fed’s not so surprise revelation about the number of expected cuts in 2025. Nevertheless, several stocks on Thursday posted notable gains.

Lumen Technologies, Inc. (LUMN) Partners with Prometheus Hyperscale to Enhance Sustainable AI Infrastructure Close-up of a technician’s hands adjusting a communication router.

Lumen Technologies Inc. (NYSE:LUMN)

Telecommunications firm Lumen Technologies (LUMN) saw its share price increase by 4.66 percent on Thursday amid news that it was selling its consumer fiber operations to switch its focus on AI boom to power its near-term growth.

The move also forms part of the company’s strategy to phase out its legacy mass market business and reduce its sizable debt pile.

Based in Monroe, Louisiana, Lumen (LUMN) is working with investment bankers at Goldman Sachs to gauge interest in the business from potential buyers, including industry competitors.

According to reports citing sources who requested not to be identified, Lumen might also consider only selling a stake in its fiber unit or entering a joint venture agreement. The company’s decision is still uncertain as discussions remain in the early phases.

Overall LUMN ranks 3rd on our list of the stocks that jumped yesterday. While we acknowledge the potential of LUMN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than LUMN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

 

READ ALSO 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock

 

Disclosure: None. This article is originally published at Insider Monkey.

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