Centurylink (NYSE:CTL) Downgraded by Zacks Investment Research

Centurylink (NYSE:CTL) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a note issued to investors on Monday, February 19th.

According to Zacks, “CenturyLink posted weak fourth-quarter 2017 financial results. The company continues to suffer from declining access lines and broadband subscriber losses. High debt levels and decreasing cash flows are likely to affect the company's margins. Technological changes compel large investments, which can dilute cash flow. Over the past six months, the stock price declined 1.4% as against the industry's 3.1% loss. On the flip side, CenturyLink remains focused on establishing itself as a global leader in cloud infrastructure and hosted IT solutions arena for enterprise customers. The company unveiled a beta version of its OTT TV services. CenturyLink invests in fiber-to-the-tower expansion and has expanded its fiber-based backhaul services. Acquisition of Level 3 Communications will increase CenturyLink's network by 200,000 route miles of fiber.”

Other equities analysts have also issued research reports about the company. JPMorgan Chase & Co. reissued a “buy” rating and set a $26.00 target price on shares of Centurylink in a research note on Thursday, November 9th. Barclays reaffirmed a “hold” rating and issued a $17.00 price target on shares of Centurylink in a research report on Friday, February 16th. Oppenheimer reaffirmed a “buy” rating and issued a $20.00 price target on shares of Centurylink in a research report on Tuesday, January 9th. ValuEngine upgraded Centurylink from a “hold” rating to a “buy” rating in a report on Friday, December 1st. Finally, Bank of America dropped their price objective on Centurylink from $42.00 to $27.00 and set a “buy” rating on the stock in a report on Friday, November 10th. Three equities research analysts have rated the stock with a sell rating, seven have given a hold rating, six have given a buy rating and two have given a strong buy rating to the stock. The stock has a consensus rating of “Hold” and a consensus price target of $21.65.

Shares of Centurylink (NYSE:CTL) traded down $0.37 during trading hours on Monday, reaching $17.33. The company’s stock had a trading volume of 10,262,702 shares, compared to its average volume of 12,590,000. Centurylink has a 12 month low of $13.16 and a 12 month high of $27.61. The stock has a market cap of $18,540.00, a PE ratio of 33.33, a P/E/G ratio of -10.47 and a beta of 0.79. The company has a current ratio of 0.86, a quick ratio of 0.86 and a debt-to-equity ratio of 1.59.

Centurylink (NYSE:CTL) last announced its quarterly earnings results on Wednesday, February 14th. The technology company reported $0.18 EPS for the quarter, missing the Thomson Reuters’ consensus estimate of $0.32 by ($0.14). Centurylink had a net margin of 7.87% and a return on equity of 5.88%. The business had revenue of $5.32 billion during the quarter, compared to analyst estimates of $5.69 billion. During the same period last year, the company earned $0.54 EPS. analysts predict that Centurylink will post 0.86 EPS for the current year.

A number of institutional investors have recently added to or reduced their stakes in CTL. Bessemer Group Inc. increased its position in Centurylink by 132.3% during the fourth quarter. Bessemer Group Inc. now owns 6,264 shares of the technology company’s stock worth $104,000 after buying an additional 3,568 shares in the last quarter. Citizens Financial Group Inc RI purchased a new stake in shares of Centurylink in the fourth quarter valued at $111,000. Bronfman E.L. Rothschild L.P. grew its position in shares of Centurylink by 250.8% in the fourth quarter. Bronfman E.L. Rothschild L.P. now owns 6,753 shares of the technology company’s stock valued at $113,000 after purchasing an additional 4,828 shares during the period. Fieldpoint Private Securities LLC purchased a new stake in shares of Centurylink in the third quarter valued at $115,000. Finally, Patriot Financial Group Insurance Agency LLC grew its position in shares of Centurylink by 178.6% in the third quarter. Patriot Financial Group Insurance Agency LLC now owns 6,684 shares of the technology company’s stock valued at $134,000 after purchasing an additional 4,285 shares during the period. 86.09% of the stock is owned by institutional investors.

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About Centurylink

CenturyLink, Inc is an integrated communications company. The Company is engaged in providing an array of communications services to its residential and business customers. Its segments include Enterprise, which provides strategic, legacy and data integration products and services to small, medium and enterprise business, wholesale and governmental customers, including other communication providers, and Consumer, which provides strategic and legacy products and services to residential customers.

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