Traders Purchase High Volume of Call Options on Telephone and Data Systems (NYSE:TDS)

Telephone and Data Systems, Inc. (NYSE:TDS) saw some unusual options trading activity on Monday. Investors purchased 3,992 call options on the stock. This is an increase of approximately 50% compared to the typical volume of 2,664 call options.

Telephone and Data Systems Trading Up 7.9 %

Shares of NYSE:TDS traded up $1.14 during mid-day trading on Monday, reaching $15.50. 792,334 shares of the company’s stock were exchanged, compared to its average volume of 950,715. The firm has a market capitalization of $1.75 billion, a price-to-earnings ratio of -3.24 and a beta of 0.81. The company has a debt-to-equity ratio of 0.84, a quick ratio of 1.40 and a current ratio of 1.58. Telephone and Data Systems has a twelve month low of $6.43 and a twelve month high of $21.75. The business’s fifty day moving average price is $15.61 and its 200-day moving average price is $17.38.

Telephone and Data Systems (NYSE:TDS) last released its earnings results on Friday, May 3rd. The Wireless communications provider reported $0.10 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.05) by $0.15. The firm had revenue of $1.26 billion for the quarter, compared to analysts’ expectations of $1.26 billion. Telephone and Data Systems had a negative net margin of 9.36% and a positive return on equity of 0.62%. The company’s quarterly revenue was down 3.1% on a year-over-year basis. During the same period in the previous year, the company earned ($0.08) earnings per share. On average, research analysts predict that Telephone and Data Systems will post -1 EPS for the current fiscal year.

Telephone and Data Systems Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, March 28th. Investors of record on Friday, March 15th were paid a dividend of $0.19 per share. This is a boost from Telephone and Data Systems’s previous quarterly dividend of $0.19. This represents a $0.76 dividend on an annualized basis and a dividend yield of 4.90%. The ex-dividend date of this dividend was Thursday, March 14th. Telephone and Data Systems’s dividend payout ratio is presently -15.61%.

Wall Street Analysts Forecast Growth

Separately, StockNews.com cut shares of Telephone and Data Systems from a “hold” rating to a “sell” rating in a report on Tuesday, March 26th.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the company. Texas Permanent School Fund Corp grew its position in Telephone and Data Systems by 1.4% during the first quarter. Texas Permanent School Fund Corp now owns 86,276 shares of the Wireless communications provider’s stock worth $1,382,000 after buying an additional 1,154 shares in the last quarter. Central Pacific Bank Trust Division purchased a new position in shares of Telephone and Data Systems in the 1st quarter worth about $423,000. BNP Paribas Financial Markets boosted its holdings in shares of Telephone and Data Systems by 26.1% in the 1st quarter. BNP Paribas Financial Markets now owns 86,106 shares of the Wireless communications provider’s stock worth $1,379,000 after purchasing an additional 17,825 shares in the last quarter. Krilogy Financial LLC increased its position in Telephone and Data Systems by 5.3% during the 1st quarter. Krilogy Financial LLC now owns 346,758 shares of the Wireless communications provider’s stock valued at $5,555,000 after buying an additional 17,536 shares in the last quarter. Finally, Diversified Trust Co increased its position in Telephone and Data Systems by 4.5% during the 1st quarter. Diversified Trust Co now owns 29,359 shares of the Wireless communications provider’s stock valued at $470,000 after buying an additional 1,277 shares in the last quarter. 80.00% of the stock is currently owned by hedge funds and other institutional investors.

Telephone and Data Systems Company Profile

Telephone and Data Systems, Inc, a telecommunications company, provides communications services in the United States. It operates through two segments: UScellular and TDS Telecom. The company offers wireless solutions to consumers, and business and government customers, including a suite of connected Internet of things (IoT) solutions, and software applications for monitor and control, business automation/operations, communication, fleet and asset management, smart water solutions, private cellular networks and custom, and end-to-end IoT solutions; wireless priority services and quality priority and preemption options; smartphones and other handsets, tablets, wearables, mobile hotspots, fixed wireless home internet, and IoT devices; and accessories, such as cases, screen protectors, chargers, and memory cards, as well as consumer electronics, including audio, home automation and networking products.