Traders Purchase Large Volume of Put Options on Telephone and Data Systems (NYSE:TDS)

Telephone and Data Systems, Inc. (NYSE:TDS) was the recipient of unusually large options trading on Monday. Stock traders purchased 2,543 put options on the company. This is an increase of 196% compared to the average volume of 860 put options.

Institutional Trading of Telephone and Data Systems

A number of hedge funds have recently modified their holdings of TDS. Forum Financial Management LP acquired a new stake in Telephone and Data Systems in the 1st quarter valued at $200,000. Victory Capital Management Inc. grew its stake in shares of Telephone and Data Systems by 150.4% during the first quarter. Victory Capital Management Inc. now owns 90,154 shares of the Wireless communications provider’s stock valued at $3,493,000 after purchasing an additional 54,143 shares during the last quarter. Edgestream Partners L.P. acquired a new stake in shares of Telephone and Data Systems in the 1st quarter valued at $5,874,000. New York State Common Retirement Fund boosted its stake in shares of Telephone and Data Systems by 9.4% in the 1st quarter. New York State Common Retirement Fund now owns 32,435 shares of the Wireless communications provider’s stock valued at $1,257,000 after purchasing an additional 2,800 shares during the last quarter. Finally, Mutual of America Capital Management LLC grew its holdings in Telephone and Data Systems by 115.4% during the 1st quarter. Mutual of America Capital Management LLC now owns 187,845 shares of the Wireless communications provider’s stock worth $7,277,000 after acquiring an additional 100,623 shares during the period. Institutional investors own 80.00% of the company’s stock.

Telephone and Data Systems Trading Down 7.5 %

Shares of TDS opened at $31.74 on Tuesday. The business’s 50-day moving average price is $36.10 and its 200 day moving average price is $34.71. The company has a current ratio of 1.59, a quick ratio of 1.44 and a debt-to-equity ratio of 0.85. The stock has a market capitalization of $3.62 billion, a P/E ratio of -5.88 and a beta of 0.62. Telephone and Data Systems has a 1-year low of $14.52 and a 1-year high of $41.21.

Telephone and Data Systems (NYSE:TDS) last posted its quarterly earnings results on Friday, May 2nd. The Wireless communications provider reported ($0.09) EPS for the quarter, missing the consensus estimate of ($0.02) by ($0.07). The company had revenue of $1.15 billion for the quarter, compared to analysts’ expectations of $1.18 billion. Telephone and Data Systems had a negative net margin of 10.72% and a positive return on equity of 1.12%. The company’s revenue was down 8.6% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.10 earnings per share. Analysts expect that Telephone and Data Systems will post -0.31 earnings per share for the current year.

Telephone and Data Systems Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, March 31st. Investors of record on Monday, March 17th were paid a dividend of $0.04 per share. This represents a $0.16 annualized dividend and a yield of 0.50%. The ex-dividend date of this dividend was Monday, March 17th. Telephone and Data Systems’s payout ratio is currently -18.60%.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on TDS shares. Raymond James restated an “outperform” rating and set a $47.00 price objective (down previously from $51.00) on shares of Telephone and Data Systems in a research report on Monday. JPMorgan Chase & Co. lifted their price target on shares of Telephone and Data Systems from $53.00 to $56.00 and gave the stock an “overweight” rating in a research report on Monday, February 24th.

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.