Investors Purchase High Volume of Call Options on Telephone and Data Systems (NYSE:TDS)

Telephone and Data Systems, Inc. (NYSE:TDS) was the target of some unusual options trading on Monday. Stock investors purchased 3,992 call options on the stock. This is an increase of approximately 50% compared to the average daily volume of 2,664 call options.

Analysts Set New Price Targets

Separately, StockNews.com raised shares of Telephone and Data Systems from a “sell” rating to a “hold” rating in a report on Monday.

Telephone and Data Systems Stock Up 9.3 %

Shares of TDS opened at $15.69 on Tuesday. The company has a current ratio of 1.58, a quick ratio of 1.40 and a debt-to-equity ratio of 0.84. The firm has a market cap of $1.77 billion, a P/E ratio of -3.22 and a beta of 0.81. The stock’s 50 day moving average is $15.63 and its two-hundred day moving average is $17.35. Telephone and Data Systems has a 12 month low of $6.43 and a 12 month high of $21.75.

Telephone and Data Systems (NYSE:TDS) last issued its quarterly earnings results on Friday, May 3rd. The Wireless communications provider reported $0.10 EPS for the quarter, topping the consensus estimate of ($0.05) by $0.15. Telephone and Data Systems had a negative net margin of 9.36% and a positive return on equity of 0.62%. The company had revenue of $1.26 billion during the quarter, compared to analyst estimates of $1.26 billion. During the same quarter in the previous year, the firm earned ($0.08) EPS. The firm’s revenue was down 3.1% compared to the same quarter last year. Analysts predict that Telephone and Data Systems will post -1 earnings per share for the current fiscal year.

Telephone and Data Systems Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, March 28th. Stockholders of record on Friday, March 15th were paid a $0.19 dividend. The ex-dividend date of this dividend was Thursday, March 14th. This is a positive change from Telephone and Data Systems’s previous quarterly dividend of $0.19. This represents a $0.76 dividend on an annualized basis and a dividend yield of 4.84%. Telephone and Data Systems’s payout ratio is currently -15.61%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. New York State Teachers Retirement System raised its holdings in shares of Telephone and Data Systems by 5.1% during the 3rd quarter. New York State Teachers Retirement System now owns 146,186 shares of the Wireless communications provider’s stock worth $2,677,000 after acquiring an additional 7,045 shares during the period. Mackenzie Financial Corp increased its holdings in shares of Telephone and Data Systems by 88.1% during the 3rd quarter. Mackenzie Financial Corp now owns 53,947 shares of the Wireless communications provider’s stock worth $913,000 after buying an additional 25,270 shares during the last quarter. Waldron Private Wealth LLC purchased a new stake in shares of Telephone and Data Systems during the 3rd quarter valued at approximately $201,000. Mirae Asset Global Investments Co. Ltd. grew its position in Telephone and Data Systems by 1,252.7% in the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 598,138 shares of the Wireless communications provider’s stock worth $10,952,000 after acquiring an additional 553,921 shares during the period. Finally, Inspire Investing LLC increased its stake in Telephone and Data Systems by 38.2% during the third quarter. Inspire Investing LLC now owns 51,943 shares of the Wireless communications provider’s stock worth $951,000 after acquiring an additional 14,360 shares during the last quarter. Hedge funds and other institutional investors own 80.00% of the company’s stock.

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.