Telephone and Data Systems (NYSE:TDS) Sets New 12-Month Low – Should You Sell?

Telephone and Data Systems, Inc. (NYSE:TDS)’s stock price hit a new 52-week low during mid-day trading on Saturday . The company traded as low as $31.51 and last traded at $32.9540, with a volume of 3332612 shares traded. The stock had previously closed at $36.00.

Analyst Ratings Changes

Several analysts recently commented on the company. Raymond James Financial cut Telephone and Data Systems from an “outperform” rating to a “market perform” rating in a research report on Monday, May 11th. Wall Street Zen raised shares of Telephone and Data Systems from a “sell” rating to a “hold” rating in a report on Saturday, May 30th. Finally, Weiss Ratings cut shares of Telephone and Data Systems from a “hold (c)” rating to a “hold (c-)” rating in a research report on Thursday, June 18th. Two investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, Telephone and Data Systems currently has an average rating of “Hold” and a consensus price target of $53.33.

Telephone and Data Systems Stock Performance

The company has a debt-to-equity ratio of 0.16, a current ratio of 3.43 and a quick ratio of 3.42. The stock has a market cap of $3.75 billion, a price-to-earnings ratio of 62.18 and a beta of 0.32. The firm has a fifty day moving average of $36.53 and a 200 day moving average of $41.42.

Telephone and Data Systems (NYSE:TDS) last announced its quarterly earnings data on Friday, August 7th. The Wireless communications provider reported $2.24 EPS for the quarter, topping analysts’ consensus estimates of $0.09 by $2.15. The firm had revenue of $309.28 million for the quarter, compared to the consensus estimate of $315.78 million. Telephone and Data Systems had a return on equity of 5.54% and a net margin of 6.15%.The firm’s revenue was up 3.6% compared to the same quarter last year. During the same quarter last year, the business posted ($0.05) earnings per share. As a group, sell-side analysts forecast that Telephone and Data Systems, Inc. will post 0.94 EPS for the current year.

Telephone and Data Systems Dividend Announcement

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

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Salomon & Ludwin LLC grew its holdings in shares of Telephone and Data Systems by 51.3% in the fourth quarter. Salomon & Ludwin LLC now owns 681 shares of the Wireless communications provider’s stock valued at $28,000 after purchasing an additional 231 shares during the period. JPL Wealth Management LLC purchased a new position in Telephone and Data Systems during the third quarter worth about $33,000. Caitong International Asset Management Co. Ltd raised its stake in 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 worth $46,000 after purchasing an additional 1,084 shares during the period. EverSource Wealth Advisors LLC boosted its holdings in Telephone and Data Systems by 29.2% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,085 shares of the Wireless communications provider’s stock valued at $46,000 after purchasing an additional 245 shares during the last quarter. Finally, Ameliora Wealth Management Ltd. purchased a new stake in shares of Telephone and Data Systems in the 1st quarter valued at approximately $90,000. Institutional investors and hedge funds own 80.00% of the company’s stock.

About Telephone and Data Systems

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.