Will Expanded AI Partnerships and Infrastructure Moves Change Lumen Technologies' (LUMN) Narrative?

In the past week, Lumen Technologies announced key advancements including expanded AI infrastructure partnerships with leading firms such as Palantir, Commvault, and QTS Data Centers, and reaffirmed its growth outlook despite third-quarter financial losses and year-over-year revenue declines. These developments signal a concerted focus on AI-driven network solutions, operational modernization, and multi-industry collaborations that may reposition Lumen for future digital transformation leadership. We'll look at how Lumen's expanded AI partnerships and infrastructure initiatives may influence the company's broader investment case moving forward.

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Lumen Technologies Investment Narrative Recap

To be a shareholder in Lumen Technologies right now, you need to believe that the company’s big investments in AI networking, digital modernization, and ecosystem partnerships can drive a turnaround despite deep losses and ongoing revenue declines. The recent news mainly reiterates previously known risks: persistent legacy revenue erosion and a challenging transition to next-generation offerings, which remain the most immediate catalysts and risks, with little change to the overall thesis in the near term.

Among the latest announcements, Lumen’s expanded partnership with QTS Data Centers stands out, connecting its AI-ready infrastructure to 16 new campuses across major US markets. This aims to solidify Lumen’s position in high-growth segments, but revenue pressure from legacy declines and heavy capital expenditures continues to weigh on its ability to scale quickly. Yet, while innovation and partnerships open promising doors, investors must weigh...

Read the full narrative on Lumen Technologies (it's free!)

Lumen Technologies' narrative projects $11.8 billion revenue and $1.5 billion earnings by 2028. This requires a 2.7% annual revenue decline and a $2.7 billion earnings increase from current earnings of -$1.2 billion.

Uncover how Lumen Technologies' forecasts yield a $5.28 fair value, a 50% downside to its current price.

Exploring Other PerspectivesLUMN Community Fair Values as at Nov 2025

Simply Wall St Community members valued Lumen Technologies between US$1.31 and US$18.35, based on 12 individual fair value analyses. Many point to continued double-digit declines in legacy services as a critical risk shaping future earnings power and share price trajectory, explore how these contrasting views might reshape your outlook.

Explore 12 other fair value estimates on Lumen Technologies - why the stock might be worth less than half the current price!

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Build Your Own Lumen Technologies Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

A great starting point for your Lumen Technologies research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision. Our free Lumen Technologies research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Lumen Technologies' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include LUMN.

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