TDS stock: buy or sell?

TDS stock price: $24.79 -0.08% At close on August 22nd, 2019

Updated on:
August 22nd, 2019

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Telephone and Data Systems remained stable a neutral -0.08% and closed at $24.79.

Telephone and Data Systems, Inc., a telecommunications company, provides wireless, wireline, cable, and hosted and managed services in the United States.

Should I buy TDS stock?

Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best time to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with Telephone and Data Systems stock situation right now, therefore this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean TDS will fall in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Telephone and Data Systems stock a buy?

Financial institutions and banks post stock ratings everyday. At Stocks2.com, we collected 2 ratings published for TDS stock in the last month.

Is TDS a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-5JPMorgan Chase & Co.UnderweightNeutral
2019-6-18Morgan StanleyEqual WeightOverweight

TDS stock analysis

Daily outlook

Shares of Telephone and Data Systems remained stable a neutral -0.08% and closed at $24.79.

Telephone and Data Systems remained constant a neutral -0.08% and closed at $24.79. Since price and SMA200d lines crossed down on Jul/31, TDS fell $-8.18 per share (-24.81%).

TDS stock chart (daily)

Weekly outlook

Telephone and Data Systems shares remained stable -0.08% this week, ending at $24.79. This was the fourth red week in a row, sliding in full a -26.45%. Early August TDS collapsed a scary -7.45% in just one week.

Since price and 40-weeks moving average lines crossed down late July, TDS fell $-8.65 per share (-25.87%). Trading stocks that are below the 40-weeks (that is, 200-days) moving average mark is not recommended by many experts, as it indicates that the stock has not enough institutional support.

TDS stock chart (weekly)

TDS stock price history

TDS IPO was on December 15th, 1981 at $0.80 per share1. Since then, TDS stock grew a 2,998.80%, with an average of 81.00% per year. If you had invested $1,000 in TDS stock in 1981, it would worth $29,988.00 today.

1: Adjusted price after possible price splits or reverse-splits.

TDS stock historical price chart

TDS stock reached 52-week highs on January at $36.89, and all-time highs 2007-07-19 with a price of 54.1.

TDS stock price target

How much a stock will be priced tomorrow or next week is quite unpredictable However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last 30 days we have not found any price forecast for Telephone and Data Systems stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

On February, Telephone and Data Systems didn't meet the forecasts of the analysts and reported a rough EPS of $0.14 per share when experts were expecting $0.16.
TDS earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a0.27n/a
2017-Q2-n/a0.11n/a
2017-Q32017-11-080.10.08-20.0%
2017-Q42018-02-23-0.020.05n/a
2018-Q12018-05-010.180.3488.9%
2018-Q22018-08-030.230.2926.1%
2018-Q32018-11-020.250.460.0%
2018-Q42019-02-220.160.14-12.5%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

Compared to 2017, last anual sales report draw a slightly fine increase of 1.29% to $5,109.00 M USD. When comparing 2018 vs 2017, in line, profit margin (that is, the net income divided by revenues) remained steady a -0.39% to 2.64%.

TDS annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$4,900 M-$142 M2.9%-
2014$5,009 M2.23%$-136.36 M-2.7%-196.07%
2015$5,176 M3.33%$219 M4.2%-260.64%
2016$5,104 M-1.40%$43 M0.8%-80.37%
2017$5,044 M-1.18%$153 M3.0%255.81%
2018$5,109 M1.29%$135 M2.6%-11.76%

Quarterly financial results

Telephone and Data Systems posted $1,332.00 million in sales for 2018-Q4, a 2.70% improvement compared to previous quarter. Reported quarter earnings marked $16.00 million with a profit margin of 1.20%. Profit margin depreciated a -2.35% compared to previous quarter when profit margin was 3.55%. When comparing revenues to same quarter last year, Telephone and Data Systems sales marked a slightly good gain and gained a 1.83%. Looking back to recent quarterly results, Telephone and Data Systems posted 3 negative quarters in a row.
TDS quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$1,240 M-$37 M3.0%-
2017-Q2$1,250 M0.81%$10 M0.8%-72.97%
2017-Q3$1,251 M0.08%$-181 M-14.5%-1,910.00%
2017-Q4$1,308 M4.56%$287 M21.9%-258.56%
2018-Q1$1,225 M-6.35%$39 M3.2%-86.41%
2018-Q2$1,255 M2.45%$33 M2.6%-15.38%
2018-Q3$1,297 M3.35%$46 M3.5%39.39%
2018-Q4$1,332 M2.70%$16 M1.2%-65.22%

Telephone and Data Systems ownership

When you are planning to buy shares of a stock, it's always worth to check its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Telephone and Data Systems, 0.83% of all outstanding shares are owned by its staff.

Bearish positions for TDS stock account 0.00%, no big difference from last month.

For a better context understanding, the next table shows ownership data compared to other related companies:

TDSAMZNCTLHPQSHEN
Market cap$2.6 B$897.3 B$12.6 B$28.6 B$1.6 B
Total shares106.6 M492.1 M1,090.0 M1,510.0 M49.9 M
Float shares100.2 M436.0 M967.5 M1,500.0 M47.0 M
  - Institutional holdings (%)90.3%57.1%75.2%83.9%50.5%
  - Insider holdings (%)0.8%16.1%0.8%0.2%5.4%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

TDS summary

Thursday, August 22nd, 2019
Open$24.85
Close$24.79
Day range$24.71 - $25.17
Previous close$24.81
Session gain-0.08%
Average true range$0.78
50d mov avg$29.84
100d mov avg$30.45
200d mov avg$32.09
Daily patternlt02c
Weekly pattern

Telephone and Data Systems performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. For Telephone and Data Systems, the benchmark is made against Amazon.com, CenturyLink, HP, Shenandoah Telecommunications, Spok, AT&T, T-Mobile US, United States Cellular and Verizon Communications.
Stock3m6m12m
TDSTelephone and Dat...-19.09%-23.51%-17.26%
AMZNAmazon.com0.01%11.77%-4.30%
CTLCenturyLink17.22%-10.03%-43.89%
HPQHP-4.73%-18.93%-19.28%
SHENShenandoah Teleco...-23.87%-32.80%-12.76%
SPOKSpok-25.12%-13.85%-19.80%
TAT&T11.32%17.19%15.35%
TMUST-Mobile US0.67%6.27%18.93%
USMUnited States Cel...-23.08%-27.70%-18.82%
VZVerizon Communica...-3.27%1.85%8.11%

Telephone and Data Systems competitors

One check before investing in any stock is to review a list of its competitors, in this case for Telephone and Data Systems. We chose 9 companies as Telephone and Data Systems competitors as they are in the same industry or have similar market objectives.