TELEPHONE AND DATA SYSTEMS (TDS) Fundamental Analysis & Valuation

Q: What is the ChartMill fundamental rating of TELEPHONE AND DATA SYSTEMS (TDS) stock?

ChartMill assigns a fundamental rating of 3 / 10 to TDS.

NYSE:TDS • US8794338298

44.89 USD

+0.75 (+1.7%)

At close: Apr 2, 2026

44.89 USD

0 (0%)

After Hours: 4/2/2026, 8:04:00 PM

This TDS fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

1. TDS Profitability Analysis

1.1 Basic Checks

In the past year TDS was profitable.
In the past year TDS had a positive cash flow from operations.
In the past 5 years TDS reported 4 times negative net income.
In the past 5 years TDS always reported a positive cash flow from operatings.

1.2 Ratios

TDS has a Return On Assets of -0.89%. This is in the lower half of the industry: TDS underperforms 77.27% of its industry peers.
TDS's Return On Equity of -1.56% is on the low side compared to the rest of the industry. TDS is outperformed by 77.27% of its industry peers.
TDS has a Return On Invested Capital of 0.64%. This is amonst the worse of the industry: TDS underperforms 81.82% of its industry peers.

		Industry Rank	Sector Rank
ROA	-0.89%
ROE	-1.56%
ROIC	0.64%

ROA(3y)-1.9%

ROA(5y)-0.98%

ROE(3y)-4.81%

ROE(5y)-2.51%

ROIC(3y)N/A

ROIC(5y)N/A

1.3 Margins

With a Operating Margin value of 2.15%, TDS is not doing good in the industry: 81.82% of the companies in the same industry are doing better.
The Gross Margin of TDS (59.47%) is better than 68.18% of its industry peers.
In the last couple of years the Gross Margin of TDS has remained more or less at the same level.

		Industry Rank	Sector Rank
OM	2.15%
PM (TTM)	N/A
GM	59.47%

OM growth 3YN/A

OM growth 5YN/A

PM growth 3YN/A

PM growth 5YN/A

GM growth 3Y3.91%

GM growth 5Y1.44%

More info and screens

ROA ROE ROIC Operating and Profit Margin Show most profitable peers

2. TDS Health Analysis

2.1 Basic Checks

TDS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for TDS remains at a similar level compared to 1 year ago.
The number of shares outstanding for TDS remains at a similar level compared to 5 years ago.
The debt/assets ratio for TDS has been reduced compared to a year ago.

2.2 Solvency

TDS has an Altman-Z score of 1.58. This is a bad value and indicates that TDS is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.58, TDS is doing good in the industry, outperforming 68.18% of the companies in the same industry.
TDS has a debt to FCF ratio of 4.16. This is a neutral value as TDS would need 4.16 years to pay back of all of its debts.
TDS's Debt to FCF ratio of 4.16 is fine compared to the rest of the industry. TDS outperforms 63.64% of its industry peers.
TDS has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of TDS (0.17) is better than 90.91% of its industry peers.

		Industry Rank	Sector Rank
Debt/Equity	0.17
Debt/FCF	4.16
Altman-Z	1.58

ROIC/WACC0.09

WACC7.15%

2.3 Liquidity

A Current Ratio of 2.10 indicates that TDS has no problem at all paying its short term obligations.
TDS has a Current ratio of 2.10. This is amongst the best in the industry. TDS outperforms 100.00% of its industry peers.
TDS has a Quick Ratio of 2.09. This indicates that TDS is financially healthy and has no problem in meeting its short term obligations.
TDS has a better Quick ratio (2.09) than 100.00% of its industry peers.

		Industry Rank	Sector Rank
Current Ratio	2.1
Quick Ratio	2.09

More info and screens

WACC Debt/Equity How to determine the health of a company Altman-Z score Show peers with great health

3. TDS Growth Analysis

3.1 Past

TDS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 130.23%, which is quite impressive.
Measured over the past years, TDS shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -32.75% on average per year.
TDS shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -39.98%.
Measured over the past years, TDS shows a very negative growth in Revenue. The Revenue has been decreasing by -25.14% on average per year.

EPS 1Y (TTM)130.23%

EPS 3YN/A

EPS 5Y-32.75%

EPS Q2Q%430%

Revenue 1Y (TTM)-39.98%

Revenue growth 3Y-39.01%

Revenue growth 5Y-25.14%

Sales Q2Q%-73.33%

3.2 Future

TDS is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -53.16% yearly.
The Revenue is expected to decrease by -21.95% on average over the next years. This is quite bad

EPS Next Y99.67%

EPS Next 2Y37.33%

EPS Next 3Y-53.16%

EPS Next 5YN/A

Revenue Next Year-57.44%

Revenue Next 2Y-34.2%

Revenue Next 3Y-21.95%

Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.

More info and screens

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4. TDS Valuation Analysis

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 172.65 indicates a quite expensive valuation of TDS.
Based on the Price/Earnings ratio, TDS is valued a bit more expensive than the industry average as 77.27% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 25.60. TDS is valued rather expensively when compared to this.
TDS is valuated quite expensively with a Price/Forward Earnings ratio of 86.47.
81.82% of the companies in the same industry are cheaper than TDS, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.84. TDS is valued rather expensively when compared to this.

		Industry Rank	Sector Rank
PE	172.65
Fwd PE	86.47

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as TDS.
Based on the Price/Free Cash Flow ratio, TDS is valued a bit more expensive than the industry average as 77.27% of the companies are valued more cheaply.

		Industry Rank	Sector Rank
P/FCF	25.6
EV/EBITDA	12.42

4.3 Compensation for Growth

TDS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
TDS's earnings are expected to decrease with -53.16% in the coming years. This may justify a cheaper valuation.

PEG (NY)1.73

PEG (5Y)N/A

EPS Next 2Y37.33%

EPS Next 3Y-53.16%

More info and screens

Price/Earnings Price/FCF FCF per share EV/EBITDA PEG RATIO Show best valued peers

5. TDS Dividend Analysis

5.1 Amount

With a yearly dividend of 0.38%, TDS is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.56, TDS is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 1.90, TDS's dividend is way lower than the S&P500 average.

		Industry Rank	Sector Rank
Dividend Yield	0.38%

5.2 History

The dividend of TDS has a limited annual growth rate of 2.48%.
TDS has paid a dividend for at least 10 years, which is a reliable track record.

Dividend Growth(5Y)2.48%

Div Incr Years0

Div Non Decr Years0

5.3 Sustainability

TDS has negative earnings and hence a negative payout ratio. The dividend may be in danger.

DP-117.07%

EPS Next 2Y37.33%

EPS Next 3Y-53.16%

More info and screens

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TDS Fundamentals: All Metrics, Ratios and Statistics

TELEPHONE AND DATA SYSTEMS

NYSE:TDS (4/2/2026, 8:04:00 PM)

After market: 44.89 0 (0%)

44.89

+0.75 (+1.7%)

Chartmill FA Rating

GICS SectorCommunication Services

GICS IndustryGroupTelecommunication Services

GICS IndustryWireless Telecommunication Services

Earnings (Last)02-20 2026-02-20/bmo

Earnings (Next)04-30 2026-04-30

Inst Owners97.32%

Inst Owner Change-4.61%

Ins Owners1.01%

Ins Owner Change-1.15%

Market Cap5.10B

Revenue(TTM)2.98B

Net Income(TTM)-74.89M

Analysts77.5

Price Target53.38 (18.91%)

Short Float %4.5%

Short Ratio4.77

Dividend

		Industry Rank	Sector Rank
Dividend Yield	0.38%

Yearly Dividend0.77

Dividend Growth(5Y)2.48%

DP-117.07%

Div Incr Years0

Div Non Decr Years0

Ex-Date03-16 2026-03-16 (0.04)

Surprises & Revisions

EPS beat(2)2

Avg EPS beat(2)237.45%

Min EPS beat(2)176.44%

Max EPS beat(2)298.45%

EPS beat(4)2

Avg EPS beat(4)-89.72%

Min EPS beat(4)-550.04%

Max EPS beat(4)298.45%

EPS beat(8)5

Avg EPS beat(8)-37.22%

EPS beat(12)6

Avg EPS beat(12)-78.57%

EPS beat(16)8

Avg EPS beat(16)-93.04%

Revenue beat(2)1

Avg Revenue beat(2)-22.86%

Min Revenue beat(2)-47.39%

Max Revenue beat(2)1.68%

Revenue beat(4)1

Avg Revenue beat(4)-12.77%

Min Revenue beat(4)-47.39%

Max Revenue beat(4)1.68%

Revenue beat(8)1

Avg Revenue beat(8)-7.22%

Revenue beat(12)2

Avg Revenue beat(12)-5.34%

Revenue beat(16)4

Avg Revenue beat(16)-4.21%

PT rev (1m)3.29%

PT rev (3m)7.53%

EPS NQ rev (1m)-652.48%

EPS NQ rev (3m)-652.48%

EPS NY rev (1m)6.49%

EPS NY rev (3m)2.05%

Revenue NQ rev (1m)-1.85%

Revenue NQ rev (3m)-1.16%

Revenue NY rev (1m)-1.16%

Revenue NY rev (3m)-1.31%

Valuation

		Industry Rank	Sector Rank
PE	172.65
Fwd PE	86.47
P/S	1.71
P/FCF	25.6
P/OCF	8.65
P/B	1.06
P/tB	1.69
EV/EBITDA	12.42

EPS(TTM)0.26

EY0.58%

EPS(NY)0.52

Fwd EY1.16%

FCF(TTM)1.75

FCFY3.91%

OCF(TTM)5.19

OCFY11.56%

SpS26.2

BVpS42.23

TBVpS26.62

PEG (NY)1.73

PEG (5Y)N/A

Graham Number15.72

Profitability

		Industry Rank	Sector Rank
ROA	-0.89%
ROE	-1.56%
ROCE	0.81%
ROIC	0.64%
ROICexc	0.7%
ROICexgc	0.94%
OM	2.15%
PM (TTM)	N/A
GM	59.47%
FCFM	6.69%

ROA(3y)-1.9%

ROA(5y)-0.98%

ROE(3y)-4.81%

ROE(5y)-2.51%

ROIC(3y)N/A

ROIC(5y)N/A

ROICexc(3y)N/A

ROICexc(5y)N/A

ROICexgc(3y)N/A

ROICexgc(5y)N/A

ROCE(3y)N/A

ROCE(5y)N/A

ROICexgc growth 3YN/A

ROICexgc growth 5YN/A

ROICexc growth 3YN/A

ROICexc growth 5YN/A

OM growth 3YN/A

OM growth 5YN/A

PM growth 3YN/A

PM growth 5YN/A

GM growth 3Y3.91%

GM growth 5Y1.44%

F-Score6

Asset Turnover0.35

Health

		Industry Rank	Sector Rank
Debt/Equity	0.17
Debt/FCF	4.16
Debt/EBITDA	1.98
Cap/Depr	110.98%
Cap/Sales	13.11%
Interest Coverage	0.66
Cash Conversion	141.8%
Profit Quality	N/A
Current Ratio	2.1
Quick Ratio	2.09
Altman-Z	1.58

F-Score6

WACC7.15%

ROIC/WACC0.09

Cap/Depr(3y)112.36%

Cap/Depr(5y)117.68%

Cap/Sales(3y)63.11%

Cap/Sales(5y)46.4%

Profit Quality(3y)N/A

Profit Quality(5y)N/A

High Growth Momentum

Growth

EPS 1Y (TTM)130.23%

EPS 3YN/A

EPS 5Y-32.75%

EPS Q2Q%430%

EPS Next Y99.67%

EPS Next 2Y37.33%

EPS Next 3Y-53.16%

EPS Next 5YN/A

Revenue 1Y (TTM)-39.98%

Revenue growth 3Y-39.01%

Revenue growth 5Y-25.14%

Sales Q2Q%-73.33%

Revenue Next Year-57.44%

Revenue Next 2Y-34.2%

Revenue Next 3Y-21.95%

Revenue Next 5YN/A

EBIT growth 1Y-60.9%

EBIT growth 3YN/A

EBIT growth 5YN/A

EBIT Next Year57958.4%

EBIT Next 3Y777.5%

EBIT Next 5YN/A

FCF growth 1Y-23.62%

FCF growth 3YN/A

FCF growth 5Y0.55%

OCF growth 1Y-48.48%

OCF growth 3Y-20.07%

OCF growth 5Y-17.38%

TELEPHONE AND DATA SYSTEMS / TDS Fundamental Analysis FAQ

What is the ChartMill fundamental rating of TELEPHONE AND DATA SYSTEMS (TDS) stock?

ChartMill assigns a fundamental rating of 3 / 10 to TDS.

What is the valuation status for TDS stock?

ChartMill assigns a valuation rating of 1 / 10 to TELEPHONE AND DATA SYSTEMS (TDS). This can be considered as Overvalued.

What is the profitability of TDS stock?

TELEPHONE AND DATA SYSTEMS (TDS) has a profitability rating of 2 / 10.

How financially healthy is TELEPHONE AND DATA SYSTEMS?

The financial health rating of TELEPHONE AND DATA SYSTEMS (TDS) is 7 / 10.

Can you provide the expected EPS growth for TDS stock?

The Earnings per Share (EPS) of TELEPHONE AND DATA SYSTEMS (TDS) is expected to grow by 99.67% in the next year.