Lumen TechnologiesLTS:0HVP 47 Interest Coverage is 0.03 as of Mar. 2026, which is 98% below its 10-year median of 1.77. GuruFocus rates LTS:0HVP with a GF Score™ of 47/100 and a GF Value™ of $4.28 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 284 Telecommunication Services companies, Lumen Technologies ranks worse than 352112.32% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Lumen Technologies's
Operating Income
for the
three
months ended in Mar. 2026 was $6 Mil. Lumen Technologies's Interest Expense for the
three
months ended in Mar. 2026 was $-225 Mil.
Lumen Technologies's interest coverage for the quarter that ended in Mar. 2026 was 0.03.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Lumen Technologies's Interest Coverage or its related term are showing as below:
LTS:0HVP's Interest Coverage is not ranked *
in the Telecommunication Services industry.
Industry Median: 4.685 * Ranked among companies with meaningful Interest Coverage only.
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Lumen Technologies Interest Coverage Related Terms
Lumen Technologies Interest Coverage Historical Data
* Premium members only.
The historical data trend for Lumen Technologies's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
LTS:0HVP vs GSAT, IRDM, LBRDA: Interest Coverage Comparison
For the Telecom Services subindustry, Lumen Technologies's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lumen Technologies Interest Coverage vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Lumen Technologies's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Lumen Technologies's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Lumen Technologies (LTS:0HVP) has a Interest Coverage of 0.03 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Lumen Technologies and its competitors. This is 98% below median its historical median of 1.77. According to the industry distribution chart, Lumen Technologies ranks #999999 out of 284 companies in the Telecommunication Services industry.
Is Lumen Technologies' Interest Coverage too high?
Lumen Technologies' current Interest Coverage of 0.03 is 98% below median its 10-year median of 1.77. The Telecommunication Services industry median Interest Coverage is 4.69. Lumen Technologies' value of 0.03 is 99.4% below this industry median. Based on the distribution chart, Lumen Technologies ranks #999999 out of 284 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, Lumen Technologies has a GF Score™ of 47/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Lumen Technologies' Interest Coverage compare to GSAT and IRDM?
According to the Telecommunication Services industry distribution chart, Lumen Technologies ranks #999999 out of 284 companies for Interest Coverage. This places Lumen Technologies in the lower half of its industry. The industry median Interest Coverage is 4.69. Lumen Technologies' value of 0.03 is 99.4% below this benchmark. While the company's 10-year median is 1.77 vs. the industry median of 4.69, Lumen Technologies has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Telecommunication Services company?
The median Interest Coverage among Telecommunication Services companies is 4.69, based on 284 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lumen Technologies's current Interest Coverage of 0.03 is 99.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Lumen Technologies and its competitors. For the Telecommunication Services industry, the median Interest Coverage is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lumen Technologies's current Interest Coverage is 0.03, which is 98% below median its own 10-year median of 1.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lumen Technologies stock overvalued right now?
Based on GuruFocus' analysis, Lumen Technologies (LTS:0HVP) is currently considered Significantly Overvalued. The stock's GF Value™ is $4.28, compared to a current price of $7.88 — trading 84.1% above its estimated fair value. The current Interest Coverage is 0.03, which is 98% below median its 10-year median of 1.77 and 99.4% below the Telecommunication Services industry median of 4.69. Lumen Technologies' overall GF Score™ is 47/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Lumen Technologies (LTS:0HVP), the current Interest Coverage is 0.03 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lumen Technologies (LTS:0HVP) Overvalued in 2026?
Based on GuruFocus' analysis, Lumen Technologies stock appears to be overvalued.
The current stock price of $7.88 is trading 84.1% above its estimated GF Value™ of $4.28.
GuruFocus considers Lumen Technologies to be Significantly Overvalued.
Key valuation signals for LTS:0HVP:
Interest Coverage: 0.03 (98% below median its 10-year median of 1.77)
GF Value™: $4.28 vs. price of $7.88 (84.1% above fair value)
Industry Position: 99.4% below the Telecommunication Services median (#999999 of 284)
No single metric tells the full story. See the LTS:0HVP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lumen Technologies is one of the largest telecommunications carriers serving global enterprises. The merger with Level 3 in 2017, the 2022 divestiture of much of its local phone business in rural areas, and the 2026 sale of its remaining consumer fiber network to AT&T have shifted the company's operations away from the legacy consumer business and toward enterprise services, which account for about 85%-90% of revenue. Lumen offers businesses a full suite of communications services, providing colocation and data center services, data transportation, phone service, and internet access.
47GF Score
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