American Century Companies Inc. Boosts Stake in Telephone and Data Systems, Inc. $TDS

Key Points

• American Century Companies Inc. increased its stake in Telephone and Data Systems, Inc. by 7.5%, owning 3.04% of the company, amounting to $134,442,000 at the end of the first quarter.
• Telephone and Data Systems reported a quarterly loss of ($0.05) EPS, missing the consensus estimate by ($0.04), while revenue reached $1.19 billion.
• The company has announced a $0.04 quarterly dividend, translating to an annual yield of 0.4%, with the dividend payment scheduled for September 30th.

American Century Companies Inc. raised its holdings in Telephone and Data Systems, Inc. (NYSE:TDS - Free Report) by 7.5% during the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 3,470,363 shares of the Wireless communications provider's stock after acquiring an additional 240,795 shares during the period. American Century Companies Inc. owned approximately 3.04% of Telephone and Data Systems worth $134,442,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently modified their holdings of TDS. Bayforest Capital Ltd increased its position in shares of Telephone and Data Systems by 121.8% during the 1st quarter. Bayforest Capital Ltd now owns 1,342 shares of the Wireless communications provider's stock valued at $52,000 after purchasing an additional 737 shares during the last quarter. Federated Hermes Inc. purchased a new position in shares of Telephone and Data Systems during the 4th quarter valued at about $56,000. Lazard Asset Management LLC raised its holdings in shares of Telephone and Data Systems by 85.6% during the 4th quarter. Lazard Asset Management LLC now owns 4,092 shares of the Wireless communications provider's stock valued at $139,000 after buying an additional 1,887 shares in the last quarter. Forum Financial Management LP purchased a new position in shares of Telephone and Data Systems during the 1st quarter valued at about $200,000. Finally, United Capital Financial Advisors LLC purchased a new position in shares of Telephone and Data Systems during the 4th quarter valued at about $201,000. Hedge funds and other institutional investors own 80.00% of the company's stock.

Telephone and Data Systems Stock Down 0.1%

TDS stock traded down $0.0340 during midday trading on Friday, hitting $39.2860. The stock had a trading volume of 534,304 shares, compared to its average volume of 1,062,712. The firm has a market cap of $4.48 billion, a price-to-earnings ratio of -40.53 and a beta of 0.54. The business has a 50-day moving average of $37.26 and a two-hundred day moving average of $36.36. Telephone and Data Systems, Inc. has a 52-week low of $21.08 and a 52-week high of $42.74. The company has a debt-to-equity ratio of 0.85, a current ratio of 1.78 and a quick ratio of 1.65.

Telephone and Data Systems (NYSE:TDS - Get Free Report) last issued its quarterly earnings results on Monday, August 11th. The Wireless communications provider reported ($0.05) earnings per share for the quarter, missing the consensus estimate of ($0.01) by ($0.04). The firm had revenue of $1.19 billion during the quarter, compared to analysts' expectations of $1.17 billion. Telephone and Data Systems had a positive return on equity of 0.92% and a negative net margin of 0.85%.Telephone and Data Systems's revenue for the quarter was down 5.7% on a year-over-year basis. During the same period in the previous year, the company earned ($0.13) earnings per share. As a group, equities research analysts forecast that Telephone and Data Systems, Inc. will post -0.31 earnings per share for the current fiscal year.

Telephone and Data Systems Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Monday, September 15th will be paid a $0.04 dividend. This represents a $0.16 annualized dividend and a yield of 0.4%. The ex-dividend date of this dividend is Monday, September 15th. Telephone and Data Systems's dividend payout ratio is presently -16.49%.

Insider Transactions at Telephone and Data Systems

In related news, SVP Joseph R. Hanley sold 68,759 shares of the company's stock in a transaction on Monday, August 18th. The stock was sold at an average price of $38.16, for a total value of $2,623,843.44. Following the sale, the senior vice president directly owned 60,473 shares of the company's stock, valued at $2,307,649.68. This represents a 53.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CAO Anita J. Kroll sold 8,608 shares of the company's stock in a transaction on Wednesday, August 20th. The stock was sold at an average price of $39.09, for a total value of $336,486.72. Following the completion of the sale, the chief accounting officer directly owned 17,087 shares in the company, valued at approximately $667,930.83. The trade was a 33.50% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 276,650 shares of company stock valued at $10,690,789 in the last three months. Company insiders own 14.97% of the company's stock.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on the company. Zacks Research raised Telephone and Data Systems from a "strong sell" rating to a "hold" rating in a report on Wednesday, August 13th. Wall Street Zen raised Telephone and Data Systems from a "sell" rating to a "hold" rating in a report on Sunday, August 17th. JPMorgan Chase & Co. raised their price target on Telephone and Data Systems from $53.00 to $54.00 and gave the stock an "overweight" rating in a research report on Tuesday, August 12th. Finally, Raymond James Financial raised their price target on Telephone and Data Systems from $49.00 to $50.00 and gave the stock an "outperform" rating in a research report on Tuesday, August 12th. Two analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $52.00.

Telephone and Data Systems 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.