Caxton Associates LLP Invests $1.45 Million in Telephone and Data Systems, Inc. $TDS

Key Points

• Caxton Associates LLP has invested approximately $1.45 million in Telephone and Data Systems, acquiring 37,340 shares in the first quarter.
• The company's stock reported a negative net margin of 0.85% and revenues declined 5.7% year-over-year.
• Several analysts have raised their price targets for Telephone and Data Systems, with a consensus target price now set at $52.00 and a "Moderate Buy" rating.

Caxton Associates LLP purchased a new stake in Telephone and Data Systems, Inc. (NYSE:TDS - Free Report) during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor purchased 37,340 shares of the Wireless communications provider's stock, valued at approximately $1,447,000.

Several other institutional investors have also recently added to or reduced their stakes in TDS. Nuveen LLC acquired a new stake in Telephone and Data Systems in the first quarter valued at $43,429,000. Carronade Capital Management LP grew its position in Telephone and Data Systems by 48.2% in the 1st quarter. Carronade Capital Management LP now owns 2,730,517 shares of the Wireless communications provider's stock valued at $105,780,000 after buying an additional 888,108 shares in the last quarter. Third Point LLC grew its position in Telephone and Data Systems by 12.7% in the 1st quarter. Third Point LLC now owns 6,760,000 shares of the Wireless communications provider's stock valued at $261,882,000 after buying an additional 760,000 shares in the last quarter. Silver Point Capital L.P. grew its position in Telephone and Data Systems by 47.2% in the 4th quarter. Silver Point Capital L.P. now owns 1,840,000 shares of the Wireless communications provider's stock valued at $62,762,000 after buying an additional 590,000 shares in the last quarter. Finally, 140 Summer Partners LP bought a new position in Telephone and Data Systems in the 1st quarter valued at about $21,216,000. 80.00% of the stock is owned by institutional investors and hedge funds.

Telephone and Data Systems Trading Down 0.3%

TDS stock traded down $0.13 during mid-day trading on Friday, reaching $39.25. 682,394 shares of the stock traded hands, compared to its average volume of 1,051,758. The company has a current ratio of 1.78, a quick ratio of 1.65 and a debt-to-equity ratio of 0.85. Telephone and Data Systems, Inc. has a 52-week low of $22.51 and a 52-week high of $42.74. The company has a market cap of $4.51 billion, a P/E ratio of -40.46 and a beta of 0.48. The stock's fifty day moving average is $38.81 and its 200-day moving average is $36.52.

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

Telephone and Data Systems Dividend Announcement

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

Analyst Upgrades and Downgrades

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

Insider Activity

In other Telephone and Data Systems news, CAO Anita J. Kroll sold 8,608 shares of the company's stock in a transaction dated Wednesday, August 20th. The shares were sold at an average price of $39.09, for a total transaction of $336,486.72. Following the completion of the sale, the chief accounting officer directly owned 17,087 shares of the company's stock, valued at approximately $667,930.83. This represents a 33.50% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Vicki L. Villacrez sold 26,334 shares of the stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $39.02, for a total transaction of $1,027,552.68. Following the completion of the sale, the chief financial officer directly owned 454 shares of the company's stock, valued at $17,715.08. This trade represents a 98.31% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 276,650 shares of company stock valued at $10,690,789 over the last ninety days. Corporate insiders own 14.97% of the company's stock.

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.