Millicom International Cellular (NASDAQ:TIGO) Stock Breaks Below Fifty Day Moving Average - Here's Why

Key Points

• Millicom shares fell below their 50-day moving average, trading as low as $82.70 before closing at $85.61, compared with a 50-day average of $93.95.
• Analyst sentiment remains mixed, with three Buy, three Hold, and one Sell rating. The consensus rating is Hold, with an average price target of $85.68.
• The company declared a quarterly dividend of $0.75, equivalent to $3.00 annually and a 3.5% yield; its high debt-to-equity ratio of 3.07 and payout ratio of 75.76% remain notable financial considerations.

Shares of Millicom International Cellular SA (NASDAQ:TIGO - Get Free Report) passed below its fifty day moving average during trading on Thursday. The stock has a fifty day moving average of $93.95 and traded as low as $82.70. Millicom International Cellular shares last traded at $85.61, with a volume of 1,641,266 shares.

Wall Street Analysts Forecast Growth

TIGO has been the subject of a number of research analyst reports. Zacks Research raised Millicom International Cellular from a "strong sell" rating to a "hold" rating in a research note on Tuesday, August 11th. Weiss Ratings cut Millicom International Cellular from a "buy (a-)" rating to a "buy (b)" rating in a report on Friday, August 21st. Scotiabank boosted their price objective on Millicom International Cellular from $52.40 to $60.10 and gave the company a "sector underperform" rating in a research report on Friday, August 7th. Royal Bank Of Canada set a $105.00 target price on Millicom International Cellular in a research note on Tuesday, August 18th. Finally, JPMorgan Chase & Co. reissued a "neutral" rating and set a $105.00 target price (up from $100.00) on shares of Millicom International Cellular in a research note on Tuesday, August 18th. Three investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Millicom International Cellular presently has a consensus rating of "Hold" and an average price target of $85.68.

Millicom International Cellular Price Performance

The company has a debt-to-equity ratio of 3.07, a quick ratio of 0.51 and a current ratio of 0.53. The company has a fifty day moving average price of $93.95 and a two-hundred day moving average price of $88.13. The company has a market cap of $14.47 billion, a P/E ratio of 21.62 and a beta of 0.93.

Millicom International Cellular Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, January 15th. Shareholders of record on Friday, January 8th will be paid a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a yield of 3.5%. The ex-dividend date is Friday, January 8th. Millicom International Cellular's dividend payout ratio (DPR) is currently 75.76%.

Institutional Investors Weigh In On Millicom International Cellular

Institutional investors and hedge funds have recently made changes to their positions in the stock. QRG Capital Management Inc. acquired a new stake in Millicom International Cellular in the second quarter valued at $259,000. Tidal Investments LLC grew its position in shares of Millicom International Cellular by 232.9% in the 2nd quarter. Tidal Investments LLC now owns 21,586 shares of the technology company's stock valued at $1,959,000 after acquiring an additional 15,101 shares during the period. Arlington Capital Management Inc. acquired a new position in shares of Millicom International Cellular during the 2nd quarter worth about $240,000. Allworth Financial LP increased its stake in shares of Millicom International Cellular by 32.4% during the 2nd quarter. Allworth Financial LP now owns 650 shares of the technology company's stock worth $59,000 after purchasing an additional 159 shares during the last quarter. Finally, Corient Private Wealth LP raised its holdings in shares of Millicom International Cellular by 69.2% in the 2nd quarter. Corient Private Wealth LP now owns 8,230 shares of the technology company's stock valued at $707,000 after purchasing an additional 3,367 shares during the period.

Millicom International Cellular Company Profile

Millicom International Cellular SA is a telecommunications and digital services company that operates under the Tigo brand. The company provides mobile voice and data services, fixed broadband, pay television, and other connectivity solutions to consumers and businesses in Latin America.

Millicom also offers digital financial services, including mobile money and payment products through Tigo Money in selected markets. Its business-to-business operations provide connectivity, cloud, cybersecurity, data center, and digital solutions to enterprises, governments, and other organizations.

Founded in 1990, Millicom has developed a telecommunications presence across Latin America, serving markets including Bolivia, Colombia, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Panama, and Paraguay.

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