United States Cellular (NYSE:USM) Shares Gap Up - What's Next?

Key Points

• United States Cellular Corporation's shares gapped up from a previous close of $71.50 to an opening price of $76.00, and last traded at $76.66 with a trading volume of 177,047 shares.
• Several analysts have revised their price targets, with Raymond James setting a target of $78.00 (down from $83.00) and JPMorgan lowering theirs from $88.00 to $85.00.
• The company reported a loss in its latest quarterly earnings, with an EPS of $0.21, missing estimates, and a revenue of $891 million, below analyst expectations of $924.90 million.
• Institutional investors control 18.03% of United States Cellular's stock, with significant acquisitions made by firms like Lazard Asset Management and Harbor Capital Advisors.

United States Cellular Corporation (NYSE:USM - Get Free Report) gapped up prior to trading on Friday . The stock had previously closed at $71.50, but opened at $76.00. United States Cellular shares last traded at $76.66, with a volume of 177,047 shares.

Analyst Ratings Changes

A number of research firms have weighed in on USM. JPMorgan Chase & Co. reduced their price objective on shares of United States Cellular from $88.00 to $85.00 and set an "overweight" rating for the company in a research note on Wednesday, May 28th. Raymond James Financial reaffirmed an "outperform" rating and issued a $84.00 target price (up from $78.00) on shares of United States Cellular in a report on Friday.

United States Cellular Price Performance

The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.48 and a current ratio of 1.70. The company has a market cap of $6.06 billion, a P/E ratio of -154.99 and a beta of 0.35. The firm's fifty day moving average is $64.26 and its two-hundred day moving average is $64.83.

United States Cellular (NYSE:USM - Get Free Report) last released its quarterly earnings data on Friday, May 2nd. The Wireless communications provider reported $0.21 earnings per share for the quarter, missing analysts' consensus estimates of $0.37 by ($0.16). United States Cellular had a positive return on equity of 1.36% and a negative net margin of 1.05%. The business had revenue of $891.00 million during the quarter, compared to the consensus estimate of $924.90 million. As a group, analysts anticipate that United States Cellular Corporation will post 0.57 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in USM. Central Pacific Bank Trust Division lifted its holdings in shares of United States Cellular by 1.4% in the first quarter. Central Pacific Bank Trust Division now owns 21,900 shares of the Wireless communications provider's stock worth $1,514,000 after buying an additional 300 shares in the last quarter. BNP Paribas Financial Markets increased its holdings in United States Cellular by 37.6% in the 4th quarter. BNP Paribas Financial Markets now owns 1,657 shares of the Wireless communications provider's stock valued at $104,000 after acquiring an additional 453 shares during the last quarter. CANADA LIFE ASSURANCE Co lifted its stake in United States Cellular by 9.2% in the 4th quarter. CANADA LIFE ASSURANCE Co now owns 7,260 shares of the Wireless communications provider's stock worth $454,000 after purchasing an additional 609 shares in the last quarter. State of Wyoming boosted its holdings in shares of United States Cellular by 17.6% during the 4th quarter. State of Wyoming now owns 4,551 shares of the Wireless communications provider's stock valued at $285,000 after purchasing an additional 680 shares during the last quarter. Finally, Quarry LP purchased a new position in shares of United States Cellular during the first quarter valued at about $55,000. 18.03% of the stock is currently owned by institutional investors.

United States Cellular Company Profile

United States Cellular Corporation provides wireless telecommunications services in the United States. The company offers wireless services, including voice, messaging, and data services. It also provides wireless devices, such as handsets, tablets, mobile hotspots, home phones, and routers, as well as wireless essentials, including cases, screen protectors, chargers, and memory cards; and consumer electronics comprising audio, home automation, and networking products.