KLP Kapitalforvaltning AS Buys New Shares in Millicom International Cellular SA (NASDAQ:TIGO)

Key Points

• KLP Kapitalforvaltning AS invested approximately $3.21 million in Millicom International Cellular, purchasing 106,067 shares and owning about 0.06% of the company.
• Millicom reported an EPS of $1.14 for the last quarter, exceeding expectations, but experienced a 7.6% year-over-year decline in revenue.
• The company recently cut its quarterly dividend to $0.75, resulting in an annualized yield of 7.43%, with a high dividend payout ratio of 144.23%.

KLP Kapitalforvaltning AS bought a new stake in Millicom International Cellular SA (NASDAQ:TIGO - Free Report) in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm bought 106,067 shares of the technology company's stock, valued at approximately $3,211,000. KLP Kapitalforvaltning AS owned approximately 0.06% of Millicom International Cellular at the end of the most recent quarter.

A number of other hedge funds also recently added to or reduced their stakes in the stock. State of Wyoming purchased a new position in Millicom International Cellular in the 4th quarter valued at approximately $49,000. Wells Fargo & Company MN increased its stake in Millicom International Cellular by 72.4% in the 4th quarter. Wells Fargo & Company MN now owns 4,892 shares of the technology company's stock valued at $122,000 after purchasing an additional 2,055 shares in the last quarter. EWA LLC purchased a new position in shares of Millicom International Cellular in the first quarter valued at $201,000. Spinnaker Trust purchased a new position in shares of Millicom International Cellular in the first quarter valued at $212,000. Finally, KBC Group NV purchased a new position in shares of Millicom International Cellular in the first quarter valued at $233,000.

Millicom International Cellular Trading Up 0.8%

Shares of NASDAQ TIGO traded up $0.31 during midday trading on Tuesday, reaching $39.78. 246,612 shares of the stock were exchanged, compared to its average volume of 890,625. The company has a market capitalization of $6.85 billion, a P/E ratio of 19.12 and a beta of 1.06. The company has a current ratio of 0.76, a quick ratio of 0.74 and a debt-to-equity ratio of 1.65. Millicom International Cellular SA has a 52-week low of $23.61 and a 52-week high of $43.03. The stock has a 50 day moving average price of $37.69 and a 200-day moving average price of $32.34.

Millicom International Cellular (NASDAQ:TIGO - Get Free Report) last released its earnings results on Thursday, May 8th. The technology company reported $1.14 EPS for the quarter, topping the consensus estimate of $0.91 by $0.23. The firm had revenue of $1.37 billion during the quarter, compared to analysts' expectations of $1.45 billion. Millicom International Cellular had a net margin of 6.20% and a return on equity of 10.02%. Millicom International Cellular's revenue for the quarter was down 7.6% on a year-over-year basis. During the same period in the previous year, the company earned $0.54 EPS. Equities research analysts expect that Millicom International Cellular SA will post 1.91 earnings per share for the current fiscal year.

Millicom International Cellular Cuts Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, July 15th. Stockholders of record on Tuesday, July 8th were given a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a dividend yield of 7.54%. The ex-dividend date was Tuesday, July 8th. Millicom International Cellular's dividend payout ratio is currently 144.23%.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on TIGO. Wall Street Zen cut Millicom International Cellular from a "strong-buy" rating to a "buy" rating in a research report on Friday, May 30th. Scotiabank downgraded shares of Millicom International Cellular from a "sector outperform" rating to a "sector perform" rating and set a $37.00 target price for the company. in a report on Tuesday, June 17th. JPMorgan Chase & Co. raised their price objective on shares of Millicom International Cellular from $41.00 to $50.00 and gave the stock an "overweight" rating in a research note on Tuesday, May 27th. Barclays dropped their price objective on shares of Millicom International Cellular from $310.00 to $36.00 and set an "equal weight" rating for the company in a research note on Thursday, April 3rd. Finally, UBS Group raised their price target on Millicom International Cellular from $31.50 to $39.50 and gave the stock a "buy" rating in a research report on Friday, May 16th. Three investment analysts have rated the stock with a hold rating, four have assigned a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $38.08.

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.