Millicom International Cellular (NASDAQ:TIGO) Announces Quarterly Earnings Results

Key Points

• Millicom International Cellular reported earnings of $0.51 per share, missing analysts' estimates of $0.54 by $0.03, with revenue of $1.37 billion compared to expected $1.40 billion.
• The company cut its dividend payout ratio to 144.23%, having recently paid a quarterly dividend of $0.75, which equates to a yield of 7.1%.
• Analysts have mixed views on the stock, with upgrades from UBS and JPMorgan, while Scotiabank downgraded it, resulting in a consensus rating of "Moderate Buy" and a target price of $38.08.

Millicom International Cellular (NASDAQ:TIGO - Get Free Report) issued its quarterly earnings results on Thursday, August 7th. The technology company reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.54 by ($0.03), Zacks reports. The business had revenue of $1.37 billion during the quarter, compared to analyst estimates of $1.40 billion. Millicom International Cellular had a return on equity of 10.32% and a net margin of 16.97%.

Millicom International Cellular Stock Performance

Shares of NASDAQ:TIGO traded up $0.08 during trading on Thursday, hitting $44.09. The stock had a trading volume of 914,015 shares, compared to its average volume of 1,243,771. Millicom International Cellular has a 12-month low of $23.61 and a 12-month high of $44.56. The stock has a market capitalization of $7.59 billion, a price-to-earnings ratio of 7.78 and a beta of 1.04. The company has a quick ratio of 0.74, a current ratio of 0.89 and a debt-to-equity ratio of 1.59. The stock has a 50-day simple moving average of $38.93 and a two-hundred day simple moving average of $33.59.

Millicom International Cellular Cuts Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, July 15th. Stockholders of record on Tuesday, July 8th were paid a $0.75 dividend. This represents a $3.00 annualized dividend and a dividend yield of 6.8%. The ex-dividend date was Tuesday, July 8th. Millicom International Cellular's dividend payout ratio (DPR) is presently 52.91%.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. EverSource Wealth Advisors LLC raised its position in Millicom International Cellular by 55.1% during the second quarter. EverSource Wealth Advisors LLC now owns 1,413 shares of the technology company's stock valued at $53,000 after acquiring an additional 502 shares in the last quarter. WINTON GROUP Ltd purchased a new position in Millicom International Cellular during the second quarter valued at approximately $263,000. AQR Capital Management LLC grew its holdings in Millicom International Cellular by 5.0% in the first quarter. AQR Capital Management LLC now owns 9,587 shares of the technology company's stock valued at $290,000 after purchasing an additional 453 shares during the period. Acadian Asset Management LLC acquired a new stake in Millicom International Cellular in the first quarter valued at approximately $819,000. Finally, Jane Street Group LLC acquired a new stake in Millicom International Cellular in the first quarter valued at approximately $928,000.

Analysts Set New Price Targets

TIGO has been the subject of several recent analyst reports. Scotiabank downgraded Millicom International Cellular from a "sector outperform" rating to a "sector perform" rating and set a $37.00 price target for the company. in a report on Tuesday, June 17th. JPMorgan Chase & Co. raised their price objective on Millicom International Cellular from $50.00 to $55.00 and gave the stock an "overweight" rating in a research note on Thursday. Wall Street Zen upgraded Millicom International Cellular from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 9th. Finally, UBS Group raised their price objective on Millicom International Cellular from $31.50 to $39.50 and gave the stock a "buy" rating in a research note on Friday, May 16th. Three research analysts have rated the stock with a hold rating, three have issued a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $38.92.

About Millicom International Cellular

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.