Telephone and Data Systems (NYSE:TDS) Trading 9.7% Higher on Earnings Beat

Telephone and Data Systems, Inc. (NYSE:TDS) rose 9.7% on Monday after the company announced better than expected quarterly earnings. The stock traded as high as $15.96 and last traded at $15.75. Approximately 319,632 shares traded hands during trading, a decline of 66% from the average daily volume of 944,736 shares. The stock had previously closed at $14.36.

The Wireless communications provider reported $0.10 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.05) by $0.15. Telephone and Data Systems had a positive return on equity of 0.62% and a negative net margin of 9.36%. The company had revenue of $1.26 billion for the quarter, compared to analyst estimates of $1.26 billion. During the same quarter last year, the company posted ($0.08) EPS. The company’s revenue for the quarter was down 3.1% compared to the same quarter last year.

Telephone and Data Systems Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, March 28th. Shareholders of record on Friday, March 15th were issued a dividend of $0.19 per share. The ex-dividend date was Thursday, March 14th. This is an increase from Telephone and Data Systems’s previous quarterly dividend of $0.19. This represents a $0.76 annualized dividend and a yield of 4.84%. Telephone and Data Systems’s payout ratio is presently -15.61%.

Analysts Set New Price Targets

Separately, StockNews.com raised Telephone and Data Systems from a “sell” rating to a “hold” rating in a research report on Monday.

Institutional Trading of Telephone and Data Systems

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in TDS. Principal Securities Inc. purchased a new position in shares of Telephone and Data Systems in the 4th quarter worth approximately $25,000. Anchor Investment Management LLC bought a new position in Telephone and Data Systems during the fourth quarter valued at $46,000. Quarry LP bought a new position in Telephone and Data Systems during the fourth quarter valued at $60,000. GAMMA Investing LLC bought a new position in Telephone and Data Systems during the fourth quarter valued at $93,000. Finally, Quadrant Capital Group LLC grew its holdings in Telephone and Data Systems by 14.0% during the fourth quarter. Quadrant Capital Group LLC now owns 5,062 shares of the Wireless communications provider’s stock valued at $93,000 after purchasing an additional 622 shares during the period. 80.00% of the stock is owned by institutional investors.

Telephone and Data Systems Trading Up 9.3 %

The firm has a fifty day simple moving average of $15.63 and a two-hundred day simple moving average of $17.35. The firm has a market capitalization of $1.77 billion, a P/E ratio of -3.22 and a beta of 0.81. The company has a debt-to-equity ratio of 0.84, a current ratio of 1.58 and a quick ratio of 1.40.

Telephone and Data Systems Company Profile

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.