In my December 31 comment (in the comments section of the title article ) I updated the revenue estimates per management’s expectations for the years preceding 2020. I also launched an interactive model where you could revise the following metrics to suit your own views:
CTL Strategic/Data growth
CTL Legacy services growth
LVLT CNS enterprise growth
LVLT Wholesale/other growth
Cap Ex % Rev.
Comm. Margins
P/Rev ratio
PE x ratio
EV/EBIDTA ratio
FCF multiple ratio
While the 2020 endpoint does not change, the picture through 1Q18 does showing declining revenue before revenue opportunities from the combination start to show and/or slowing the decline in the legacy services enough not to offset all gains in the other categories. It does stretch the FCF payout ratio in the early years as depicted below.
Other recent news from:
“…CenturyLink investors are paid a gigantic 9.09% dividend. The Merrill Lynch price target for the stock is $42…”
1/03/17 - JP Morgan – Upgrades CTL to Overweight – Target: 28.0
