Telephone and Data Systems (NYSE:TDS) Hits New 12-Month High – Still a Buy?

Shares of Telephone and Data Systems, Inc. (NYSE:TDS) hit a new 52-week high during trading on Thursday . The company traded as high as $47.03 and last traded at $46.58, with a volume of 1368040 shares changing hands. The stock had previously closed at $46.10.

Wall Street Analysts Forecast Growth

TDS has been the topic of several analyst reports. Zacks Research cut shares of Telephone and Data Systems from a “strong-buy” rating to a “hold” rating in a research note on Thursday, January 1st. Wall Street Zen cut Telephone and Data Systems from a “hold” rating to a “sell” rating in a report on Saturday, November 15th. Weiss Ratings reissued a “sell (d)” rating on shares of Telephone and Data Systems in a report on Monday, December 29th. Finally, Citigroup upped their price target on Telephone and Data Systems from $45.00 to $51.00 and gave the stock a “buy” rating in a research report on Wednesday, January 7th. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Telephone and Data Systems presently has an average rating of “Hold” and an average price target of $51.67.

Telephone and Data Systems Stock Performance

The company has a current ratio of 1.89, a quick ratio of 1.88 and a debt-to-equity ratio of 0.20. The company has a market cap of $5.36 billion, a PE ratio of -43.13 and a beta of 0.32. The business’s 50 day moving average is $41.39 and its two-hundred day moving average is $39.69.

Telephone and Data Systems (NYSE:TDS) last posted its quarterly earnings results on Friday, November 7th. The Wireless communications provider reported $0.07 EPS for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.13. Telephone and Data Systems had a positive return on equity of 1.15% and a negative net margin of 1.46%.The business had revenue of $308.52 million for the quarter, compared to analysts’ expectations of $1.16 billion. During the same period last year, the firm earned ($0.73) earnings per share. The business’s quarterly revenue was down 5.8% on a year-over-year basis. On average, equities research analysts anticipate that Telephone and Data Systems, Inc. will post -0.31 EPS for the current year.

Telephone and Data Systems Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 30th. Shareholders of record on Monday, December 15th were paid a $0.04 dividend. This represents a $0.16 annualized dividend and a yield of 0.3%. The ex-dividend date was Monday, December 15th. Telephone and Data Systems’s dividend payout ratio is presently -14.81%.

Insider Transactions at Telephone and Data Systems

In other news, CAO Anita J. Kroll sold 870 shares of Telephone and Data Systems stock in a transaction that occurred on Tuesday, November 11th. The shares were sold at an average price of $39.16, for a total transaction of $34,069.20. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. 14.97% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Telephone and Data Systems

A number of hedge funds and other institutional investors have recently modified their holdings of TDS. Salomon & Ludwin LLC increased 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 valued at $28,000 after acquiring an additional 231 shares during the last quarter. Bessemer Group Inc. increased its holdings in shares of Telephone and Data Systems by 65.6% in the third quarter. Bessemer Group Inc. now owns 699 shares of the Wireless communications provider’s stock worth $28,000 after purchasing an additional 277 shares during the last quarter. Jones Financial Companies Lllp increased its holdings in shares of Telephone and Data Systems by 121.3% in the third quarter. Jones Financial Companies Lllp now owns 830 shares of the Wireless communications provider’s stock worth $31,000 after purchasing an additional 455 shares during the last quarter. JPL Wealth Management LLC purchased a new stake in shares of Telephone and Data Systems in the third quarter worth about $33,000. Finally, Assetmark Inc. boosted its stake in Telephone and Data Systems by 53.1% during the second quarter. Assetmark Inc. now owns 1,297 shares of the Wireless communications provider’s stock valued at $46,000 after buying an additional 450 shares during the last quarter. Institutional investors 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.