3 Shares With Over 5 % Dividends-Part 2- Lumen Technologies (NYSE: LUMN)

   

Lumen Technologies (NYSE: LUMN)

-Chevron (NYSE: CVX) - Lumen Technologies (NYSE: LUMN) - Omega Healthcare Advisors (NYSE: OHI) 2- Lumen Technologies (NYSE: LUMN) Major changes in telecom technology once jeopardized the future of Lumen Technologies (NYSE: LUMN), which was formerly CenturyLink. Although Lumen has more than 450,000 miles of fiber for broadband communications worldwide, it is slowly losing its customer base as it cuts its one-time subscribers and fixed line phones in favor of cable TV services or cordless telephony. The company redesigned this fiber to provide customers with cloud services, security solutions, and collaboration tools. Fiber now connects cells in 5G wireless networks. The company's revenue increased before the pandemic, mostly in broadband, IP data services, and transportation and infrastructure. This gives Lumen the hope of maintaining an annual dividend of $ 1 per share at current prices, while the dividend provides cash returns of over 8 %.

Lumen Technologies (NYSE: LUMN)

It may be hard to believe that Lumen paid an annual dividend of $ 2.16 until 2018. Small payments gave Lumen financing and debt reduction flexibility, reducing the long-term debt level by $ 3 billion. Despite this, the long-term debt of the company is 29,4 billion. Interest expenses exceeded 350 billion dollars and fell below 1,7 billion dollars. This decline is expected to continue in 2021 and fall below 1,6 billion dollars. It is estimated that Lumen will increase its cash flow even more thanks to these decreases. Lumen's offerings such as cloud, security and 5G will reach double-digit growth rates by 2027, according to analysts. If the company's cash flows reach $ 2,8-3 billion in 2021 as hoped, it could settle its increased financial stability and future payment increases.

 

Source: The Motley Fool

 

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