1. Lumen Technologies, Inc. (NYSE:LUMN)
Hawkins’ Stake Value: $837.9 million
Percentage of Mason Hawkins’ 13F Portfolio: 16.84%
Number of Hedge Fund Holders: 33
Lumen Technologies, Inc. (NYSE:LUMN) is a Louisiana-based technology and communications firm that provides communications, security and cloud solutions, among other services. The company has a market capitalization of $13.69 billion, and ranks first on the list of the top 10 stocks in Mason Hawkins’ portfolio.
On August 3, Lumen Technologies, Inc. (NYSE:LUMN) posted its earnings report for the second quarter of 2021. The company declared earnings per share of $0.48, missing the estimates by $0.07. On the other hand, the company reported revenues of $4.92 billion, which fell short of the estimates by $65.79 million.
According to the recent 13F Filings, Mason Hawkins’ hedge fund owns 61.65 million shares of Lumen Technologies, Inc. (NYSE:LUMN), amounting to over $837.9 million in worth, representing 16.84% of the fund’s total portfolio value. At the end of the second quarter of 2021, 33 hedge funds in the database of Insider Monkey held stakes worth $1.05 billion in Lumen Technologies, Inc. (NYSE:LUMN). This is compared to 32 hedge funds in the preceding quarter that held stakes worth approximately $1 billion.
On July 13, Wells Fargo analyst Eric Luebchow kept an Overweight rating on Lumen Technologies, Inc. (NYSE:LUMN) with a $15 price target.
In its Q1 2021 investor letter, Longleaf Partners Fund, an asset management firm, highlighted a few stocks and Lumen Technologies, Inc. (NYSE:LUMN) was one of them. Here is what the fund said:
“Lumen (40%, 3.33%), the global fiber company, was the top contributor. While COVID fallout still weighed on fourth quarter results, the company benefitted from positive business mix improvements. Early in the quarter, Lumen appreciated 38% in a few short days amidst the “Game Stop / Reddit” short cover phenomenon. After this shortterm bounce, Lumen’s stock price appreciated more steadily over the last six weeks of the quarter with improved results. Many of last year’s worst-case fears have not materialized and the outlook is improving for the core business. We continue to believe that the company has multiple ways within its control to both grow and realize value per share, and we have a 13D filed to allow us to discuss these options with the company. Lumen’s board, which includes Southeastern-nominated Chairman Mike Glenn from FedEx and Director Hal Jones from Graham Holdings, is doing good work to realize Lumen’s hidden value and return the business to FCF/share growth. Despite its appreciation, the stock trades at less than half of our appraisal.”
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