TIM (NYSE:TIMB) Sees Strong Trading Volume - What's Next?

Key Points

• TIM S.A. (NYSE: TIMB) experienced a 17% increase in trading volume with approximately 580,264 shares exchanged, despite a slight decline in stock price to $21.02.
• Barclays and Scotiabank raised their price targets for TIM shares, with Scotiabank now at $23.60 and JPMorgan at $24.50, while the consensus rating remains "Hold" with an average target price of $21.25.
• The company declared a special dividend of $0.1189 per share, showing a yield of 720.0%, amid a current payout ratio of 67.44% and recent analyst expectations for 1.34 EPS for the year.

Shares of TIM S.A. Sponsored ADR (NYSE:TIMB - Get Free Report) saw unusually-strong trading volume on Tuesday . Approximately 580,264 shares changed hands during mid-day trading, an increase of 17% from the previous session's volume of 494,380 shares.The stock last traded at $21.02 and had previously closed at $21.15.

Wall Street Analyst Weigh In

A number of analysts have commented on TIMB shares. Hsbc Global Res lowered TIM from a "strong-buy" rating to a "hold" rating in a report on Thursday, June 12th. Barclays upped their price objective on TIM from $17.50 to $20.00 and gave the company an "equal weight" rating in a research report on Monday, July 7th. HSBC downgraded shares of TIM to a "hold" rating in a report on Friday, June 13th. JPMorgan Chase & Co. upped their price objective on TIM from $22.00 to $24.50 and gave the stock an "overweight" rating in a research note on Friday, August 8th. Finally, Scotiabank boosted their price target on TIM from $19.10 to $23.60 and gave the company a "sector outperform" rating in a report on Thursday, July 31st. Two analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Hold" and an average price target of $21.25.

TIM Stock Performance

The company has a debt-to-equity ratio of 0.54, a quick ratio of 0.88 and a current ratio of 0.91. The business's fifty day moving average price is $19.80 and its two-hundred day moving average price is $17.52. The stock has a market capitalization of $10.30 billion, a P/E ratio of 16.49, a P/E/G ratio of 0.82 and a beta of 0.69.

TIM (NYSE:TIMB - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.31 by $0.04. TIM had a return on equity of 13.99% and a net margin of 13.91%.The firm had revenue of $1.18 billion for the quarter, compared to the consensus estimate of $6.62 billion. As a group, sell-side analysts forecast that TIM S.A. Sponsored ADR will post 1.34 earnings per share for the current year.

TIM Cuts Dividend

The firm also recently announced a special dividend, which will be paid on Tuesday, October 28th. Shareholders of record on Monday, August 4th will be paid a $0.1189 dividend. The ex-dividend date is Monday, August 4th. This represents a yield of 720.0%. TIM's dividend payout ratio (DPR) is presently 67.44%.

Institutional Investors Weigh In On TIM

Large investors have recently added to or reduced their stakes in the stock. Robeco Institutional Asset Management B.V. grew its holdings in TIM by 10.8% during the 2nd quarter. Robeco Institutional Asset Management B.V. now owns 3,482,294 shares of the company's stock worth $70,029,000 after acquiring an additional 339,384 shares in the last quarter. Banco BTG Pactual S.A. lifted its holdings in TIM by 1,302.9% during the first quarter. Banco BTG Pactual S.A. now owns 260,933 shares of the company's stock worth $4,084,000 after buying an additional 242,333 shares during the period. Altman Advisors Inc. bought a new stake in TIM during the first quarter valued at about $1,979,000. American Century Companies Inc. raised its holdings in TIM by 26.4% in the second quarter. American Century Companies Inc. now owns 445,578 shares of the company's stock worth $8,961,000 after purchasing an additional 93,179 shares in the last quarter. Finally, Voloridge Investment Management LLC bought a new stake in shares of TIM in the 4th quarter valued at about $949,000.

About TIM

TIM SA, a telecommunications company, provides mobile voice, data, and broadband services in Brazil. The company offers in mobile, landline, long-distance, and data transmission services. It also offers fixed ultra-broadband, fixed ultraband broadband, and digital content services. The company serves individuals and corporates, as well as small, medium, and large companies.