Millicom International Cellular (NASDAQ:TIGO) Hits New 1-Year High - Here's Why

Key Points

• Millicom International Cellular shares reached a new 52-week high of $44.35, showcasing significant trading volume of 211,387 shares.
• Analyst ratings are mixed; while UBS raised its price target to $39.50 with a "buy" rating, Scotiabank downgraded it to "sector perform."
• Millicom reported Q2 earnings with $0.51 EPS, below expectations, and disclosed a recent dividend yield of 6.8%, although they have cut the dividend.

Shares of Millicom International Cellular SA (NASDAQ:TIGO - Get Free Report) hit a new 52-week high on Wednesday . The stock traded as high as $44.35 and last traded at $44.17, with a volume of 211387 shares trading hands. The stock had previously closed at $43.51.

Analysts Set New Price Targets

TIGO has been the subject of a number of recent research reports. Scotiabank downgraded shares of 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. lifted their target price on shares of Millicom International Cellular from $50.00 to $55.00 and gave the stock an "overweight" rating in a research note on Thursday. UBS Group increased their price target 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. Finally, Wall Street Zen downgraded Millicom International Cellular from a "strong-buy" rating to a "buy" rating in a research report on Sunday. Three equities research analysts have rated the stock with a hold rating, four have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $38.92.

Millicom International Cellular Price Performance

The company has a debt-to-equity ratio of 1.59, a quick ratio of 0.87 and a current ratio of 0.89. The company's fifty day moving average price is $39.09 and its 200 day moving average price is $33.80. The firm has a market capitalization of $7.73 billion, a price-to-earnings ratio of 7.92 and a beta of 1.04.

Millicom International Cellular (NASDAQ:TIGO - Get Free Report) last issued its 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). Millicom International Cellular had a return on equity of 10.32% and a net margin of 16.97%. The company had revenue of $1.37 billion during the quarter, compared to analyst estimates of $1.40 billion. Equities research analysts expect that Millicom International Cellular SA will post 1.91 earnings per share for the current year.

Millicom International Cellular Cuts Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, July 15th. Shareholders of record on Tuesday, July 8th were paid a dividend of $0.75 per share. The ex-dividend date of this dividend was Tuesday, July 8th. This represents a $3.00 annualized dividend and a yield of 6.7%. Millicom International Cellular's dividend payout ratio (DPR) is presently 52.91%.

Institutional Investors Weigh In On Millicom International Cellular

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. USA Financial Formulas bought a new position in Millicom International Cellular during the second quarter valued at about $30,000. EverSource Wealth Advisors LLC raised its position in Millicom International Cellular by 55.1% in the second quarter. EverSource Wealth Advisors LLC now owns 1,413 shares of the technology company's stock worth $53,000 after acquiring an additional 502 shares in the last quarter. State of Wyoming acquired a new stake in Millicom International Cellular in the 4th quarter valued at about $49,000. Caitong International Asset Management Co. Ltd bought a new position in shares of Millicom International Cellular during the 1st quarter valued at about $84,000. Finally, Wells Fargo & Company MN grew its stake in shares of 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 worth $122,000 after purchasing an additional 2,055 shares during the last quarter.

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.