Raymond James Financial Forecasts Strong Price Appreciation for Telephone and Data Systems (NYSE:TDS) Stock

Key Points

• Raymond James Financial has raised its price target for Telephone and Data Systems from $49.00 to $50.00, suggesting a potential upside of 28.86% from its previous close.
• Other analysts have shown mixed reviews, with Wall Street Zen downgrading the stock from "hold" to "sell," while JPMorgan Chase reduced their price target from $56.00 to $53.00.
• In its most recent earnings report, Telephone and Data Systems missed EPS estimates with a report of ($0.05) per share and generated $1.19 billion in revenue.

Telephone and Data Systems (NYSE:TDS - Get Free Report) had its target price raised by equities research analysts at Raymond James Financial from $49.00 to $50.00 in a note issued to investors on Tuesday,Benzinga reports. The brokerage presently has an "outperform" rating on the Wireless communications provider's stock. Raymond James Financial's price objective indicates a potential upside of 29.84% from the company's current price.

Other analysts also recently issued research reports about the stock. Wall Street Zen downgraded shares of Telephone and Data Systems from a "hold" rating to a "sell" rating in a research report on Saturday, August 9th. JPMorgan Chase & Co. decreased their price target on shares of Telephone and Data Systems from $56.00 to $53.00 and set an "overweight" rating for the company in a research report on Wednesday, May 28th.

Telephone and Data Systems Stock Down 0.8%

NYSE:TDS traded down $0.31 during trading hours on Tuesday, hitting $38.51. The stock had a trading volume of 1,449,238 shares, compared to its average volume of 1,619,328. The company has a current ratio of 1.78, a quick ratio of 1.55 and a debt-to-equity ratio of 0.85. Telephone and Data Systems has a 1-year low of $20.04 and a 1-year high of $42.74. The business has a 50 day simple moving average of $36.92 and a two-hundred day simple moving average of $36.26. The company has a market cap of $4.39 billion, a PE ratio of -39.70 and a beta of 0.54.

Telephone and Data Systems (NYSE:TDS - Get Free Report) last issued its quarterly earnings data on Monday, August 11th. The Wireless communications provider reported ($0.05) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.01) by ($0.04). Telephone and Data Systems had a negative net margin of 0.85% and a positive return on equity of 0.92%. The firm had revenue of $1.19 billion during the quarter, compared to analyst estimates of $1.17 billion. During the same period last year, the business earned ($0.13) EPS. The firm's revenue was down 5.7% compared to the same quarter last year. Analysts predict that Telephone and Data Systems will post -0.31 EPS for the current year.

Insider Transactions at Telephone and Data Systems

In related news, CFO Vicki L. Villacrez sold 58,452 shares of the firm's stock in a transaction on Friday, August 15th. The stock was sold at an average price of $38.56, for a total transaction of $2,253,909.12. Following the transaction, the chief financial officer directly owned 26,788 shares in the company, valued at $1,032,945.28. This trade represents a 68.57% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Prudence E. Carlson sold 6,320 shares of the firm's stock in a transaction on Thursday, August 14th. The stock was sold at an average price of $38.05, for a total value of $240,476.00. Following the transaction, the director owned 315,457 shares in the company, valued at $12,003,138.85. This trade represents a 1.96% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 168,497 shares of company stock valued at $6,531,504. 14.97% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Telephone and Data Systems

Several large investors have recently added to or reduced their stakes in TDS. Third Point LLC lifted its stake in Telephone and Data Systems by 108.7% during the fourth quarter. Third Point LLC now owns 6,000,000 shares of the Wireless communications provider's stock worth $204,660,000 after purchasing an additional 3,125,000 shares during the last quarter. Carronade Capital Management LP bought a new stake in Telephone and Data Systems in the fourth quarter valued at $62,845,000. Nuveen LLC bought a new stake in Telephone and Data Systems in the first quarter valued at $43,429,000. Engineers Gate Manager LP bought a new stake in Telephone and Data Systems in the second quarter valued at $22,531,000. Finally, Silver Point Capital L.P. lifted its stake in Telephone and Data Systems by 47.2% in the fourth quarter. Silver Point Capital L.P. now owns 1,840,000 shares of the Wireless communications provider's stock valued at $62,762,000 after buying an additional 590,000 shares during the last quarter. 80.00% of the stock is currently owned by institutional investors.

About Telephone and Data Systems

Telephone and Data Systems, Inc, a telecommunications company, provides communications services in the United States. It operates through two segments: UScellular and TDS Telecom. The company offers wireless solutions to consumers, and business and government customers, including a suite of connected Internet of things (IoT) solutions, and software applications for monitor and control, business automation/operations, communication, fleet and asset management, smart water solutions, private cellular networks and custom, and end-to-end IoT solutions; wireless priority services and quality priority and preemption options; smartphones and other handsets, tablets, wearables, mobile hotspots, fixed wireless home internet, and IoT devices; and accessories, such as cases, screen protectors, chargers, and memory cards, as well as consumer electronics, including audio, home automation and networking products.