Millicom International Cellular SA Declares Special Dividend of $1.25 (NASDAQ:TIGO)

Millicom International Cellular SA (NASDAQ:TIGO) announced a special dividend on Wednesday, May 21st. Shareholders of record on Wednesday, October 8th will be given a dividend of 1.25 per share by the technology company on Wednesday, October 15th. This represents a yield of 620.0%. The ex-dividend date is Wednesday, October 8th.

Millicom International Cellular has a dividend payout ratio of 86.2% meaning its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Research analysts expect Millicom International Cellular to earn $2.84 per share next year, which means the company may not be able to cover its $3.00 annual dividend with an expected future payout ratio of 105.6%.

Millicom International Cellular Stock Up 0.9%

TIGO opened at $48.15 on Monday. Millicom International Cellular has a fifty-two week low of $23.61 and a fifty-two week high of $50.78. The company has a debt-to-equity ratio of 1.59, a current ratio of 0.89 and a quick ratio of 0.87. The firm’s fifty day moving average price is $45.93 and its two-hundred day moving average price is $38.69. The company has a market capitalization of $8.29 billion, a P/E ratio of 8.49 and a beta of 1.11.

Millicom International Cellular (NASDAQ:TIGO) last issued its earnings results on Thursday, August 7th. The technology company reported $0.51 EPS for the quarter, missing the consensus estimate of $0.54 by ($0.03). Millicom International Cellular had a net margin of 16.97% and a return on equity of 10.32%. The firm had revenue of $1.37 billion during the quarter, compared to analyst estimates of $1.40 billion. On average, analysts anticipate that Millicom International Cellular will post 1.91 EPS for the current year.

Analyst Ratings Changes

Several brokerages have recently commented on TIGO. JPMorgan Chase & Co. boosted their target price on shares of Millicom International Cellular from $50.00 to $55.00 and gave the company an “overweight” rating in a research note on Thursday, August 14th. Zacks Research raised Millicom International Cellular from a “hold” rating to a “strong-buy” rating in a report on Friday, August 15th. Scotiabank lifted their price target on Millicom International Cellular from $37.00 to $46.10 and gave the company a “sector perform” rating in a report on Tuesday, August 19th. Wall Street Zen cut Millicom International Cellular from a “strong-buy” rating to a “buy” rating in a report on Friday. Finally, Weiss Ratings reaffirmed a “buy (b)” rating on shares of Millicom International Cellular in a report on Saturday, September 27th. Two equities research analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $42.02.

Millicom International Cellular Company Profile

Millicom International Cellular SA provides cable and mobile services in Latin America. It offers mobile services, including mobile data and voice, and short message services; and mobile financial services, such as payments, money transfers, international remittances, savings, real-time loans, and micro-insurance.