Lumen Technologies (NYSE: LUMN) Stock Price Prediction and Forecast 2025-2030 (April 2025)

Concerns about the future prospects for Lumen Technologies Inc. (NYSE: LUMN) have lingered. However, its fourth-quarter results suggested a positive shift in its financial health due to a focus on strengthening its balance sheet and improving liquidity by reducing debt. It also has focused on improving customer satisfaction. However, it still faces challenges with declining revenue and with free cash flow.

The Louisiana-based telecommunications company has been around a long time, so it was a surprise to some that stock was at risk of being delisted from the New York Stock Exchange when in 2023, its price per share briefly dipped under $1.00. Those struggles continued into 2024, but by mid-summer, the stock surged when demand for its high-speed fiber-network solutions began to grow. The company secured deals with Microsoft Corp. (NASDAQ: MSFT) and other leading tech companies that are requiring increased connectivity between their data centers because of the explosive growth of artificial intelligence (AI).

More recently Lumen partnered with Google Cloud to provide advanced cloud and network solutions to meet the growing demands of AI workloads. It strengthened its financial position and freed up capital for long-term growth by refinancing its term loans.

24/7 Wall St. has performed analysis to determine if the company is fundamentally flawed, or if AI demand and strategic partnerships will be enough to see its stock continue on its bull run.

Lumen’s Recent Success

From July 1, 2024, to Sept. 30, 2024, the shares went on a tear. The stock, which was trading at just $1.11 at the start of the third quarter of 2024, surged 540% by the end of the third quarter. That was quite the reversal, given how the stock has slid 92.8% since hitting its all-time high of $49.45 on June 1, 2007. But market drivers are far different today than they were then, and with the emphasis on AI development, Lumen stock is struggling to hold on to that bounce back after falling 65.5% over the past five years.

*Revenue and net income in $billions

Over the past decade, Lumen’s revenue decreased by more than 19% while net income gained by over 761.81%. As the company battled through its dated infrastructure and a significant debt load,  shares fell significantly from $39.70 in 2014 to $1.83 in 2023. However, Lumen has been able to better balance its books, with total assets and total liabilities nearly aligned in 2023 to the tune of $34.02 billion and $33.57 billion, respectively.

Three Key Drivers of Lumen Stock Performance

As the 56-year-old tech company looks forward to the second half of the decade, 24/7 Wall St. has identified three key drivers that are likely to positively impact Lumen Technologies’ growth metrics and stock performance through 2030.

1. Strategic Partnerships With Tech Giants: The aforementioned strategic partnerships with Microsoft, the second-largest publicly traded company by market cap at $3.096 trillion, and Corning with its $36.16 billion market cap, should position Lumen for increased revenues and earnings for the foreseeable future. The partnership, announced in early August 2024, will result in Lumen more than doubling its total intercity network miles in order to unlock the next phases and capabilities of AI for cloud data centers (like Microsoft’s), enterprises and public agencies. According to the company’s press release, Lumen expects the deal with Microsoft to improve its cash flow by more than $20 million over the next 12 months.

2. Debt Restructuring: In March 2024, the company announced it had successfully extended its debt maturities, closing an approximately $1 billion revolving credit line maturing in June 2028 and completing the private placement of $1.325 billion due in November 2029. These efforts should free up funds and allow the company to address capital expenditures that will enable it to address the demands of the previously discussed strategic partnerships with Microsoft and Corning.

3. Insider Activity: While insider trading is never an absolute indication of growth, following the money can suggest what company executives’ sentiment is. And over the past 12 months, Lumen Technologies’ insiders have been doing far more buying than they have been selling. In fact, inside buyers have purchased a total of 12,924,936 million shares versus insider sellers offloading just 2,913,990. Put differently, the leadership at Lumen has out out-purchased sellers by more than 343% over the past year.

Lumen Stock Price Prediction for 2025

Analysts currently have a consensus median one-year price target for Lumen stock of $4.86, which represents more than 40.3% upside potential over the next 12 months from the current price. Of 12 analysts covering the stock, only three recommend buying shares.

By the end of 2025, 24/7 Wall St.’s forecast for Lumen shares is higher at $6.30, which represents an upside potential of 81.8%, based on an annualized EPS of −46 cents.

How Lumen Technologies’ Next Five Years Could Play Out

However, beginning in 2027 and continuing through 2030, we expect Lumen to post positive EPS growing from 5 cents to 59 cents based on revenue growth from $12.369 billion in 2027 to $13.070 billion in 2030.

*Revenue in $billions

By the conclusion of 2030, 24/7 Wall St. estimates that Lumen Technologies stock will be trading for $7.40 per share.

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