Telephone and Data Systems (NYSE:TDS) Reaches New 1-Year Low – Should You Sell?

Telephone and Data Systems, Inc. (NYSE:TDS) reached a new 52-week low on Monday . The company traded as low as $33.89 and last traded at $34.26, with a volume of 1008446 shares changing hands. The stock had previously closed at $34.14.

Wall Street Analysts Forecast Growth

TDS has been the subject of several analyst reports. Raymond James Financial cut Telephone and Data Systems from an “outperform” rating to a “market perform” rating in a report on Monday, May 11th. Weiss Ratings cut Telephone and Data Systems from a “hold (c)” rating to a “hold (c-)” rating in a research note on Thursday, June 18th. Finally, Wall Street Zen upgraded Telephone and Data Systems from a “sell” rating to a “hold” rating in a research report on Saturday, May 30th. Two analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $53.33.

Telephone and Data Systems Price Performance

The company has a debt-to-equity ratio of 0.16, a quick ratio of 3.42 and a current ratio of 3.43. The business has a 50-day simple moving average of $39.68 and a 200 day simple moving average of $42.46. The firm has a market cap of $3.90 billion, a P/E ratio of 64.59 and a beta of 0.30.

Telephone and Data Systems (NYSE:TDS) last issued its quarterly earnings data on Friday, May 8th. The Wireless communications provider reported $1.11 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.87) by $1.98. Telephone and Data Systems had a return on equity of 5.54% and a net margin of 6.15%.The firm had revenue of $309.45 million for the quarter, compared to analyst estimates of $313.27 million. During the same period last year, the company earned ($0.09) EPS. The business’s quarterly revenue was up 6.5% compared to the same quarter last year. On average, analysts anticipate that Telephone and Data Systems, Inc. will post 0.94 earnings per share for the current fiscal year.

Telephone and Data Systems Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Tuesday, June 16th were issued a $0.04 dividend. The ex-dividend date was Tuesday, June 16th. This represents a $0.16 annualized dividend and a yield of 0.5%. Telephone and Data Systems’s payout ratio is 30.19%.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in TDS. Salomon & Ludwin LLC raised its holdings in Telephone and Data Systems by 51.3% in the 4th quarter. Salomon & Ludwin LLC now owns 681 shares of the Wireless communications provider’s stock worth $28,000 after purchasing an additional 231 shares in the last quarter. JPL Wealth Management LLC bought a new stake in shares of Telephone and Data Systems during the 3rd quarter valued at about $33,000. EverSource Wealth Advisors LLC increased its position in shares of Telephone and Data Systems by 29.2% during the first quarter. EverSource Wealth Advisors LLC now owns 1,085 shares of the Wireless communications provider’s stock valued at $46,000 after buying an additional 245 shares during the period. Caitong International Asset Management Co. Ltd increased its position in shares of Telephone and Data Systems by 2,779.5% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,123 shares of the Wireless communications provider’s stock valued at $46,000 after buying an additional 1,084 shares during the period. Finally, Ameliora Wealth Management Ltd. purchased a new position in shares of Telephone and Data Systems during the first quarter valued at about $90,000. 80.00% of the stock is owned by hedge funds and other institutional investors.

Telephone and Data Systems Company Profile

Telephone and Data Systems, Inc (NYSE: TDS) is a diversified telecommunications company headquartered in Chicago, Illinois. Through its subsidiaries, the company provides a broad array of communications services, including wireless voice and data, wireline broadband and voice, cable television, and managed IT and cloud solutions. Its two primary operating units—TDS Telecom and U.S. Cellular—serve residential, business and wholesale customers across the United States.

TDS Telecom focuses on delivering broadband internet, digital voice, video and data communications services in primarily rural and suburban markets.