CenturyLink, Inc., a facilities-based communications company, provides various integrated services under ‘CenturyLink’ name to business and residential customers in the United States and internationally.
Fair value with moderate growth potential.
Share Price & News
How has CenturyLink's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CTL's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: CTL underperformed the US Telecom industry which returned -11.5% over the past year.
Return vs Market: CTL underperformed the US Market which returned -15.9% over the past year.
Price Volatility Vs. Market
How volatile is CenturyLink's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StInsider Buying: The CenturyLink, Inc. (NYSE:CTL) Executive VP & CFO Just Bought US$270k Worth Of Shares
4 weeks ago | Simply Wall StThese 4 Measures Indicate That CenturyLink (NYSE:CTL) Is Using Debt Extensively
1 month ago | Simply Wall StHere's What Analysts Are Forecasting For CenturyLink, Inc. After Its Yearly Results
Is CenturyLink undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CTL ($9.11) is trading below our estimate of fair value ($38.79)
Significantly Below Fair Value: CTL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CTL is unprofitable, so we can't compare its PE Ratio to the Telecom industry average.
PE vs Market: CTL is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate CTL's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: CTL is good value based on its PB Ratio (0.7x) compared to the US Telecom industry average (1x).
How is CenturyLink forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CTL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).
Earnings vs Market: CTL is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: CTL's is expected to become profitable in the next 3 years.
Revenue vs Market: CTL's revenue is expected to decline over the next 3 years (-2.5% per year).
High Growth Revenue: CTL's revenue is forecast to decline over the next 3 years (-2.5% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CTL's Return on Equity is forecast to be low in 3 years time (9.5%).
How has CenturyLink performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CTL is currently unprofitable.
Growing Profit Margin: CTL is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: CTL is unprofitable, and losses have increased over the past 5 years at a rate of -65.9% per year.
Accelerating Growth: Unable to compare CTL's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: CTL is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (4.8%).
Return on Equity
High ROE: CTL has a negative Return on Equity (-39.12%), as it is currently unprofitable.
How is CenturyLink's financial position?
Financial Position Analysis
Short Term Liabilities: CTL's short term assets ($4.8B) do not cover its short term liabilities ($7.3B).
Long Term Liabilities: CTL's short term assets ($4.8B) do not cover its long term liabilities ($44.0B).
Debt to Equity History and Analysis
Debt Level: CTL's debt to equity ratio (255.9%) is considered high.
Reducing Debt: CTL's debt to equity ratio has increased from 136.5% to 255.9% over the past 5 years.
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable CTL has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: CTL is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 5.3% per year.
What is CenturyLink's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CTL's dividend (10.98%) is higher than the bottom 25% of dividend payers in the US market (2.07%).
High Dividend: CTL's dividend (10.98%) is in the top 25% of dividend payers in the US market (5.82%)
Stability and Growth of Payments
Stable Dividend: CTL's dividend payments have been volatile in the past 10 years.
Growing Dividend: CTL's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: CTL is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: CTL's dividends in 3 years are forecast to be covered by earnings (72.7% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jeff Storey (58yo)
Mr. Jeffrey K. Storey, also known as Jeff, has been Chief Executive Officer of CenturyLink Inc. since May 2018. Mr. Storey serves as Chief Executive Officer and President of Qwest Corporation. Mr. Storey h ...
CEO Compensation Analysis
Compensation vs Market: Jeff's total compensation ($USD35.66M) is above average for companies of similar size in the US market ($USD12.09M).
Compensation vs Earnings: Jeff's compensation has increased whilst the company is unprofitable.
|Executive VP & CFO||1.58yrs||US$2.73m||0.072% $7.3m|
|Executive VP||20.25yrs||US$3.58m||0.062% $6.4m|
|Executive Vice President of Human Resources||6.67yrs||US$1.86m||0.025% $2.5m|
|Principal Accounting Officer||2yrs||no data||0.020% $2.1m|
|Chief Technology Officer||no data||no data||no data|
|Vice President of Investor Relations||no data||no data||no data|
|Senior Director of Investor Relations||1.83yrs||no data||no data|
|Vice President of Corporate Development||13.75yrs||no data||no data|
|Executive VP & Chief Marketing Officer||1.25yrs||no data||0.018% $1.9m|
Experienced Management: CTL's management team is not considered experienced ( 2 years average tenure), which suggests a new team.
|Independent Director||10.75yrs||US$276.69k||0.0049% $505.5k|
|Vice Chairman & Lead Independent Director||2.92yrs||US$413.62k||0.0094% $963.7k|
|Chairman of the Board||2.92yrs||US$475.91k||0.013% $1.3m|
|Independent Director||25.25yrs||US$295.44k||0.0061% $627.8k|
|Independent Director||10.75yrs||US$321.51k||0.0054% $560.0k|
|Independent Director||9yrs||US$303.44k||0.0045% $464.4k|
|Independent Director||2.42yrs||US$301.69k||0.0062% $637.0k|
|Independent Director||4.42yrs||US$276.44k||0.0031% $322.6k|
Experienced Board: CTL's board of directors are considered experienced (6.7 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CTL insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
CenturyLink, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: CenturyLink, Inc.
- Ticker: CTL
- Exchange: NYSE
- Founded: 1968
- Industry: Alternative Carriers
- Sector: Telecom
- Market Cap: US$10.274b
- Shares outstanding: 1.09b
- Website: https://www.centurylink.com
Number of Employees
- CenturyLink, Inc.
- 100 CenturyLink Drive
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|CTL||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Dec 1972|
|CYT||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Dec 1972|
|CTL *||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||Dec 1972|
|0HVP||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Dec 1972|
|CYT||BRSE (Berne Stock Exchange)||Yes||Common Stock||CH||CHF||Dec 1972|
|CYT||ETLX (Eurotlx)||Yes||Common Stock||IT||EUR||Dec 1972|
|C1TL34||BOVESPA (Bolsa de Valores de Sao Paulo)||BDR EACH REPR 1 COM||BR||BRL||Dec 2019|
CenturyLink, Inc., a facilities-based communications company, provides various integrated services under ‘CenturyLink’ name to business and residential customers in the United States and internationally. The company operates through five segments: International and Global Accounts Management, Enterprise, Small and Medium Business, Wholesale, and Consumer. It offers IP and data services, including VPN data network, Ethernet, internet protocol (IP), and content delivery services. CenturyLink, Inc. also offers transport and infrastructure services comprising high bandwidth optical networks; unlit optical fiber networks, and related professional and management services; private line services, a direct circuit or channel specifically dedicated for connecting two or more organizational sites; colocation and data center services; and consulting services, which include network management, installation and maintenance of data equipment, and building of proprietary fiber-optic broadband networks for government and business customers. In addition, the company provides voice and collaboration services, including primary rate interface service, local inbound service, switched one-plus, toll free, long distance, and international services; and voice over internet protocol services, as well as satellite television services under DIRECTV name. Further, it offers IT and managed service that include network, hosting, public and private cloud, and other IT services, as well as intuitive management tools. Additionally, the company is involved in leasing and subleasing of space. As of December 31, 2019, it served approximately 4.7 million broadband subscribers. CenturyLink, Inc. was founded in 1968 and is headquartered in Monroe, Louisiana.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/07 01:30|
|End of Day Share Price||2020/04/06 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.