Millicom International Cellular (NASDAQ:TIGO) Reaches New 52-Week High - Still a Buy?

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.

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

Wall Street Analyst Weigh In

TIGO has been the topic of a number of research analyst reports. UBS Group increased their price target on Millicom International Cellular from $31.50 to $39.50 and gave the company a "buy" rating in a research note on Friday, May 16th. Scotiabank cut Millicom International Cellular from a "sector outperform" rating to a "sector perform" rating and set a $37.00 price target on the stock. in a research note on Tuesday, June 17th. Wall Street Zen upgraded Millicom International Cellular from a "buy" rating to a "strong-buy" rating in a research note on Saturday. Finally, JPMorgan Chase & Co. increased their price objective on Millicom International Cellular from $41.00 to $50.00 and gave the stock an "overweight" rating in a research report on Tuesday, May 27th. Three investment analysts have rated the stock with a hold rating, three have given a buy rating and two have issued a strong buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $38.08.

Millicom International Cellular Stock Up 1.6%

The company has a debt-to-equity ratio of 1.59, a current ratio of 0.89 and a quick ratio of 0.74. The company has a market cap of $7.61 billion, a P/E ratio of 7.75 and a beta of 1.04. The stock has a 50-day moving average of $38.63 and a 200 day moving average of $33.40.

Millicom International Cellular (NASDAQ:TIGO - Get Free Report) last issued its quarterly earnings results on Thursday, August 7th. The technology company reported $0.51 EPS for the quarter, missing analysts' consensus estimates 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 the consensus estimate of $1.40 billion. Research analysts anticipate that Millicom International Cellular SA will post 1.91 earnings per share for the current year.

Millicom International Cellular Cuts Dividend

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

Institutional Trading of Millicom International Cellular

A number of hedge funds have recently made changes to their positions in TIGO. Dodge & Cox acquired a new position in shares of Millicom International Cellular in the first quarter worth approximately $263,401,000. Price T Rowe Associates Inc. MD lifted its stake in Millicom International Cellular by 5,033.3% in the first quarter. Price T Rowe Associates Inc. MD now owns 5,578,894 shares of the technology company's stock valued at $168,874,000 after buying an additional 5,470,214 shares during the period. Boston Partners lifted its stake in Millicom International Cellular by 22.1% in the second quarter. Boston Partners now owns 2,956,476 shares of the technology company's stock valued at $110,779,000 after buying an additional 535,399 shares during the period. Swedbank AB acquired a new position in Millicom International Cellular in the first quarter valued at approximately $85,909,000. Finally, Southeastern Asset Management Inc. TN acquired a new position in Millicom International Cellular in the fourth quarter valued at approximately $60,306,000.

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.

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