Telephone and Data Systems (NYSE:TDS) Announces Earnings Results, Beats Estimates By $0.13 EPS

Telephone and Data Systems (NYSE:TDS) released its quarterly earnings results on Friday. The Wireless communications provider reported $0.07 EPS for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.13, Zacks reports. The firm had revenue of $308.52 million during the quarter, compared to analyst estimates of $1.16 billion. Telephone and Data Systems had a negative net margin of 0.85% and a positive return on equity of 0.92%. The business’s revenue for the quarter was down 5.8% on a year-over-year basis. During the same period in the previous year, the business earned ($0.73) EPS.

Telephone and Data Systems Stock Down 1.9%

Shares of NYSE TDS traded down $0.72 during midday trading on Friday, hitting $37.78. The company’s stock had a trading volume of 1,415,280 shares, compared to its average volume of 1,035,253. The company has a debt-to-equity ratio of 0.85, a current ratio of 1.78 and a quick ratio of 1.65. The firm has a market capitalization of $4.34 billion, a price-to-earnings ratio of -38.94 and a beta of 0.35. The business’s fifty day simple moving average is $38.77 and its two-hundred day simple moving average is $37.23. Telephone and Data Systems has a 1 year low of $30.38 and a 1 year high of $42.74.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on TDS shares. Raymond James Financial upped their price objective on shares of Telephone and Data Systems from $49.00 to $50.00 and gave the company an “outperform” rating in a research note on Tuesday, August 12th. Zacks Research upgraded shares of Telephone and Data Systems from a “strong sell” rating to a “hold” rating in a research report on Wednesday, August 13th. Weiss Ratings cut Telephone and Data Systems from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, October 24th. JPMorgan Chase & Co. increased their price target on Telephone and Data Systems from $53.00 to $54.00 and gave the stock an “overweight” rating in a report on Tuesday, August 12th. Finally, Wall Street Zen upgraded Telephone and Data Systems from a “sell” rating to a “hold” rating in a report on Sunday, August 17th. Two equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $52.00.

Insider Buying and Selling at Telephone and Data Systems

In related news, CFO Vicki L. Villacrez sold 73,878 shares of the company’s stock in a transaction that occurred on Wednesday, August 13th. The stock was sold at an average price of $38.88, for a total value of $2,872,376.64. Following the sale, the chief financial officer owned 81,035 shares in the company, valued at $3,150,640.80. This represents a 47.69% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CAO Anita J. Kroll sold 29,047 shares of the firm’s stock in a transaction that occurred on Tuesday, August 12th. The stock was sold at an average price of $39.02, for a total transaction of $1,133,413.94. Following the transaction, the chief accounting officer directly owned 19,892 shares of the company’s stock, valued at approximately $776,185.84. This trade represents a 59.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 276,650 shares of company stock valued at $10,690,789. Insiders own 14.97% of the company’s stock.

Institutional Trading of Telephone and Data Systems

Hedge funds have recently added to or reduced their stakes in the business. Royal Bank of Canada raised its position in shares of Telephone and Data Systems by 25.8% in the 1st quarter. Royal Bank of Canada now owns 42,165 shares of the Wireless communications provider’s stock worth $1,633,000 after buying an additional 8,640 shares during the period. AQR Capital Management LLC boosted its holdings in shares of Telephone and Data Systems by 21.3% during the first quarter. AQR Capital Management LLC now owns 67,125 shares of the Wireless communications provider’s stock valued at $2,574,000 after acquiring an additional 11,769 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in Telephone and Data Systems by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 58,721 shares of the Wireless communications provider’s stock worth $2,275,000 after purchasing an additional 2,572 shares during the period. United Services Automobile Association bought a new stake in shares of Telephone and Data Systems in the 1st quarter worth $248,000. Finally, Russell Investments Group Ltd. grew its position in Telephone and Data Systems by 358.3% in the second quarter. Russell Investments Group Ltd. now owns 27,043 shares of the Wireless communications provider’s stock worth $962,000 after buying an additional 21,142 shares during the last quarter. 80.00% of the stock is owned by institutional investors and hedge funds.

About Telephone and Data Systems

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.