Telephone and Data Systems, Inc., a telecommunications company, provides communications services in the United States.
Established dividend payer and good value.
Share Price & News
How has Telephone and Data Systems's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: TDS has not had significant price volatility in the past 3 months.
7 Day Return
US Wireless Telecom
1 Year Return
US Wireless Telecom
Return vs Industry: TDS underperformed the US Wireless Telecom industry which returned 26% over the past year.
Return vs Market: TDS underperformed the US Market which returned 6% over the past year.
Price Volatility Vs. Market
How volatile is Telephone and Data Systems's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall StOur View On Telephone and Data Systems' (NYSE:TDS) CEO Pay
3 weeks ago | Simply Wall StShould You Or Shouldn't You: A Dividend Analysis on Telephone and Data Systems, Inc. (NYSE:TDS)
1 month ago | Simply Wall StThese 4 Measures Indicate That Telephone and Data Systems (NYSE:TDS) Is Using Debt In A Risky Way
Is Telephone and Data Systems undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: TDS ($19.93) is trading below our estimate of fair value ($145.76)
Significantly Below Fair Value: TDS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: TDS is good value based on its PE Ratio (17.4x) compared to the Wireless Telecom industry average (22.1x).
PE vs Market: TDS is poor value based on its PE Ratio (17.4x) compared to the US market (16.1x).
Price to Earnings Growth Ratio
PEG Ratio: TDS's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: TDS is good value based on its PB Ratio (0.5x) compared to the US Wireless Telecom industry average (3.1x).
How is Telephone and Data Systems forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TDS's earnings are forecast to decline over the next 3 years (-12.2% per year).
Earnings vs Market: TDS's earnings are forecast to decline over the next 3 years (-12.2% per year).
High Growth Earnings: TDS's earnings are forecast to decline over the next 3 years.
Revenue vs Market: TDS's revenue (2.2% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: TDS's revenue (2.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: TDS's Return on Equity is forecast to be low in 3 years time (3.3%).
How has Telephone and Data Systems performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: TDS has high quality earnings.
Growing Profit Margin: TDS's current net profit margins (2.5%) are lower than last year (3%).
Past Earnings Growth Analysis
Earnings Trend: TDS has become profitable over the past 5 years, growing earnings by 15.6% per year.
Accelerating Growth: TDS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: TDS had negative earnings growth (-15.5%) over the past year, making it difficult to compare to the Wireless Telecom industry average (-9.3%).
Return on Equity
High ROE: TDS's Return on Equity (2.9%) is considered low.
How is Telephone and Data Systems's financial position?
Financial Position Analysis
Short Term Liabilities: TDS's short term assets ($2.0B) exceed its short term liabilities ($900.0M).
Long Term Liabilities: TDS's short term assets ($2.0B) do not cover its long term liabilities ($4.5B).
Debt to Equity History and Analysis
Debt Level: TDS's debt to equity ratio (43.5%) is considered high.
Reducing Debt: TDS's debt to equity ratio has increased from 43.1% to 43.5% over the past 5 years.
Debt Coverage: TDS's debt is well covered by operating cash flow (44.5%).
Interest Coverage: TDS's interest payments on its debt are not well covered by EBIT (1.4x coverage).
What is Telephone and Data Systems's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: TDS's dividend (3.41%) is higher than the bottom 25% of dividend payers in the US market (1.68%).
High Dividend: TDS's dividend (3.41%) is low compared to the top 25% of dividend payers in the US market (4.6%).
Stability and Growth of Payments
Stable Dividend: TDS's dividends per share have been stable in the past 10 years.
Growing Dividend: TDS's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (58%), TDS's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: TDS's dividends in 3 years are forecast to be well covered by earnings (49% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ted Carlson (73yo)
Mr. LeRoy T. Carlson, Jr., also known as Ted, as a Director of United States Cellular Corporation (“U.S. Cellular”) since 1984. Mr. Carlson has been the Chairman (an Executive Officer) of U.S. Cellular sin ...
CEO Compensation Analysis
Compensation vs Market: Ted's total compensation ($USD6.89M) is above average for companies of similar size in the US market ($USD4.72M).
Compensation vs Earnings: Ted's compensation has been consistent with company performance over the past year.
|Executive VP & CFO||1.08yrs||US$1.92m||0.026% $598.4k|
|Senior Vice President of Acquisitions & Corporate Development||22.42yrs||US$2.31m||0.046% $1.0m|
|Chief Accounting Officer||1.08yrs||no data||0.0013% $30.1k|
|Senior Vice President of Technology||8.33yrs||no data||0.020% $449.2k|
|Chief Information Officer & Senior VP||16.5yrs||no data||0.019% $440.3k|
|Director of Investor Relations||no data||no data||no data|
|General Counsel & Assistant Secretary||no data||no data||no data|
|Senior Vice President of Human Resources||3.5yrs||no data||no data|
|Chief Security & Privacy Officer and VP of IT Operational Services||no data||no data||no data|
Experienced Management: TDS's management team is seasoned and experienced (8.3 years average tenure).
|Independent Director||11.17yrs||US$206.36k||0.031% $716.2k|
|Independent Director||14.5yrs||US$241.86k||0.035% $800.4k|
|Non-Independent Director||24.5yrs||US$188.86k||2.75% $62.8m|
|Chairman of the Board||18.5yrs||US$227.61k||3.11% $71.0m|
|Independent Director||23.5yrs||US$248.14k||0.040% $902.9k|
|Independent Director||11.17yrs||US$215.61k||0.013% $304.9k|
|Non-Independent Director||12.17yrs||US$190.61k||2.72% $62.2m|
|Independent Director||3.17yrs||US$211.61k||0.0094% $215.2k|
Experienced Board: TDS's board of directors are seasoned and experienced ( 13.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Telephone and Data Systems, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Telephone and Data Systems, Inc.
- Ticker: TDS
- Exchange: NYSE
- Founded: 1968
- Industry: Wireless Telecommunication Services
- Sector: Telecom
- Market Cap: US$2.282b
- Shares outstanding: 114.52m
- Website: https://www.tdsinc.com
Number of Employees
- Telephone and Data Systems, Inc.
- 30 North LaSalle Street
- Suite 4000
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|TDS||NYSE (New York Stock Exchange)||Yes||Common Shares||US||USD||Jan 1980|
Telephone and Data Systems, Inc., a telecommunications company, provides communications services in the United States. It operates through three segments: U.S. Cellular, Wireline, and Cable. The company offers cellular services to postpaid and prepaid customers, including retail consumers, government entities, and business customers located in its service territories; national plans with voice, messaging, and data usage options; and advanced wireless solutions, such as machine-to-machine solution and software applications for various categories of monitor and control, business automation/operations, communication, and asset management. It also provides wireless devices comprising handsets, tablets, mobile hotspots, home phones, and routers; and accessories that include wireless essentials, which comprise cases, screen protectors, chargers, and memory cards, as well as various consumer electronics, such as headphones, smart speakers, wearables, and home automation products. In addition, the company offers wireline services to residential customers comprising broadband and digital television video services, as well as voice services, such as local and long-distance telephone, voice over Internet protocol (VoIP), find me follow me, collaboration, instant messaging, and other services; broadband, IP-based, and hosted voice and collaboration services to small- and medium-sized businesses; and wireline services to traditional interexchange and wireless carriers. Further, it provides business services, including data networking, Ethernet, broadband access, and VoIP services to small- and medium-sized businesses, as well as operates 262 retail stores and kiosks. The company offers its services to approximately 6 million connections. It sells its products through retail sales, direct sales, third-party retailers, and independent agents, as well as through website and telesales. The company was incorporated in 1968 and is headquartered in Chicago, Illinois.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/07/08 23:53|
|End of Day Share Price||2020/07/08 00:00|