Telephone and Data Systems (NYSE:TDS) Trading Up 6.9% – Here’s What Happened

Telephone and Data Systems, Inc. (NYSE:TDS)’s share price was up 6.9% on Wednesday . The company traded as high as $36.13 and last traded at $35.9340. 265,494 shares traded hands during mid-day trading, a decline of 74% from the average daily volume of 1,013,081 shares. The stock had previously closed at $33.62.

Analyst Ratings Changes

Several research firms have issued reports on TDS. 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. JPMorgan Chase & Co. decreased their target price on shares of Telephone and Data Systems from $51.00 to $48.00 and set an “overweight” rating on the stock in a research report on Wednesday, August 19th. Weiss Ratings raised shares of Telephone and Data Systems from a “hold (c-)” rating to a “hold (c+)” rating in a research note on Tuesday, August 11th. Citigroup cut their price target on shares of Telephone and Data Systems from $50.00 to $47.00 and set a “buy” rating for the company in a report on Thursday, August 13th. Finally, Zacks Research upgraded shares of Telephone and Data Systems from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $47.50.

Telephone and Data Systems Price Performance

The company has a market cap of $4.14 billion, a price-to-earnings ratio of 11.98 and a beta of 0.34. The company has a fifty day simple moving average of $34.63 and a two-hundred day simple moving average of $40.07. The company has a quick ratio of 3.81, a current ratio of 3.82 and a debt-to-equity ratio of 0.15.

Telephone and Data Systems (NYSE:TDS) last released its quarterly earnings results on Friday, August 7th. The Wireless communications provider reported $2.24 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.09 by $2.15. The business had revenue of $309.28 million during the quarter, compared to the consensus estimate of $315.78 million. Telephone and Data Systems had a return on equity of 11.97% and a net margin of 33.20%.The business’s revenue was up 3.6% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.05) EPS. On average, equities research analysts anticipate that Telephone and Data Systems, Inc. will post -0.24 earnings per share for the current fiscal year.

Telephone and Data Systems Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th will be issued a $0.04 dividend. This represents a $0.16 annualized dividend and a dividend yield of 0.4%. The ex-dividend date of this dividend is Tuesday, September 15th. Telephone and Data Systems’s dividend payout ratio is 5.33%.

Institutional Trading of Telephone and Data Systems

Several large investors have recently modified their holdings of the business. Dimensional Fund Advisors LP raised its position in shares of Telephone and Data Systems by 1.4% during the 1st quarter. Dimensional Fund Advisors LP now owns 6,482,147 shares of the Wireless communications provider’s stock worth $272,898,000 after purchasing an additional 90,097 shares during the last quarter. Carronade Capital Management LP grew its holdings in Telephone and Data Systems by 10.0% during the 1st quarter. Carronade Capital Management LP now owns 4,623,934 shares of the Wireless communications provider’s stock valued at $194,668,000 after buying an additional 420,340 shares during the last quarter. California State Teachers Retirement System grew its holdings in Telephone and Data Systems by 3,506.0% during the 2nd quarter. California State Teachers Retirement System now owns 4,495,457 shares of the Wireless communications provider’s stock valued at $166,377,000 after buying an additional 4,370,792 shares during the last quarter. Oaktree Capital Management LP increased its position in Telephone and Data Systems by 16.4% during the first quarter. Oaktree Capital Management LP now owns 4,292,243 shares of the Wireless communications provider’s stock worth $180,703,000 after buying an additional 603,857 shares in the last quarter. Finally, State Street Corp increased its position in Telephone and Data Systems by 1.5% during the fourth quarter. State Street Corp now owns 4,049,385 shares of the Wireless communications provider’s stock worth $166,025,000 after buying an additional 58,439 shares in the last quarter. 80.00% of the stock is currently owned by institutional investors and hedge funds.

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.