Lumen Technologies' stock surged then dropped despite positive news of partnerships and growth strategy

From Nasdaq: 2024-08-01 16:55:39

Lumen Technologies’ stock surged 5.4% in Thursday’s trading, reaching a high of 33.3% early in the day. The telecom company has been on a bullish streak due to new deals and partnerships, including a recent purchasing agreement with Corning for fiber optic cable.

Lumen’s AI and data center strategy is gaining momentum, with the company signing a deal with Corning to double its fiber optic coverage in U.S. intercity markets. This agreement secures 10% of Corning’s global fiber production capacity over the next few years, boosting investor confidence.

Despite initial gains, Lumen’s stock fluctuated due to macroeconomic concerns affecting the stock market. Analysts worry about the impact of potential interest rate cuts by the Federal Reserve and recent upticks in jobless claims on Lumen’s growth strategy and investor sentiment.

Investors considering Lumen Technologies should note that it was not among the Motley Fool’s top ten stock picks. The Stock Advisor service provides a blueprint for investing success, with historical returns outperforming the S&P 500 since 2002. Consider the potential for growth in other recommended stocks for long-term gains.



Read more at Nasdaq: Why Lumen Stock Skyrocketed Again Today but Then Lost Most of Its Gains