# Telephone and Data Systems, Inc. (TDS)

> Source: Nexqual · https://nexqual.com/TDS · data as of 2026-10-23 16:19 UTC · cite as "Nexqual, Telephone and Data Systems, Inc. (TDS), nexqual.com/TDS" · informational, not investment advice.

**Price:** USD 34.88 (+0.29% today) · US market open, as of October 23, 2026 at 16:19 UTC; quotes may be delayed. Prev close 34.78 · day 34.19–35 · 52w 30.71–49.12 · market cap $4.02B · NYQ

## Key facts
- Last four reported quarters (through Jun 30, 2026): revenue $1.26B, net income $418M (33.2% margin), free cash flow -$452M (SEC filings).
- Valuation: P/E 9.6x, EV/EBITDA 3.2x, net cash $1.52B.
- Earnings quality: non-operating income $307M vs operating income $466M over the last four quarters; P/E excluding non-operating income ≈25.9x (estimate: non-operating income taxed at the company's 14.4% effective rate).
- 2 of 80 tracked superinvestors hold TDS (13F, Q2 2026): 0 new, 1 added, 1 reduced, 0 unchanged.
- Analysts: Buy (mean 2.00 on a 1–5 scale) (3 analysts), mean target USD 47.5 (range 47–48).
- Total return with dividends: 1Y -9.0% vs S&P 500 +14.7%; 5Y +115.4% vs S&P 500 +77.5%.
- Next earnings: 2026-11-09, EPS estimate USD 0.11, revenue estimate $309M.

## Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters)
| USD | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $5.33B | $5.41B | $1.36B | $1.30B | $1.23B | $1.26B |
| Operating income | $261M | $122M | -$683M | -$191M | -$97.4M | $466M |
| Net income | $156M | $62.0M | -$500M | -$27.7M | -$6.2M | $418M |
| EPS (diluted) | $1.00 | -$0.07 | -$5.05 | -$0.85 | -$0.65 | — |
| Free cash flow | -$28.0M | -$6.0M | $498M | $780M | $199M | -$452M |
| Operating margin | 4.9% | 2.3% | -50.4% | -14.7% | -7.9% | 37.0% |
| Net margin | 2.9% | 1.1% | -36.9% | -2.1% | -0.5% | 33.2% |
| Revenue growth | +2.0% | +1.6% | -75.0% | -4.3% | -5.3% | — |
| Cash + short-term investments | $367M | — | — | $364M | $766M | — |
| Total debt | $2.93B | $3.73B | $4.08B | $2.42B | $823M | — |
Fiscal years end Dec. EPS is split-adjusted.

## Valuation (price ÷ last four quarters, through Jun 30, 2026)
P/E 9.6x · P/E ex non-operating (est.) ≈25.9x · P/S 3.2x · EV/EBITDA 3.2x · EV/Sales 2.0x · P/B 0.8x · FCF yield -11.26% · Earnings yield 10.40% · Net cash $1.52B · EV $2.49B

## Superinvestors (SEC 13F-HR, Q2 2026)
2 of 80 tracked investors hold TDS. Each row is the investor's latest 13F; change is vs their prior-quarter share count.
| Investor | Firm | % of portfolio | Value | Change |
|---|---|---|---|---|
| Howard Marks | Oaktree Capital | 5.17% | $196M | Added +23.1% |
| Daniel Loeb | Third Point | 5.00% | $232M | Reduced -4.9% |

## Analysts
Consensus Buy (mean 2.00 on a 1–5 scale), 3 analysts; mean target USD 47.5 (low 47, high 48).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-08-19 | JP Morgan | Target lowered | Overweight | $51 → $48 |
| 2026-08-13 | Citigroup | Target lowered | Buy | $50 → $47 |

## Total return (dividends reinvested)
|  | 1Y (from 2025-10-23) | 5Y (from 2021-10-25) |
|---|---|---|
| Total return | -9.0% | +115.4% |
| S&P 500 (SPY) | +14.7% | +77.5% |
| Per year | -9.0% | +16.6% |
| Volatility (annualized) | 30.3% | 55.7% |
| Max drawdown | -30.6% (Feb 2026→Aug 2026) | -65.4% (Apr 2022→May 2023) |

## Peers (Telecom Services)
SKM (SK Telecom Co., Ltd.) USD 30.69 -0.45% · TLK (PT Telekomunikasi Indonesia, Tb) USD 12.09 -1.02% · TIGO (Millicom International Cellular) USD 78.2 -2.16% · TU (Telus Corporation) USD 8.86 +0.00% · CHTR (Charter Communications, Inc.) USD 108.54 -2.89% · RCI (Rogers Communication, Inc.) USD 32.56 -1.93%

## More
Full page: https://nexqual.com/TDS · Free keyless MCP server with the same data and citations: https://mcp.nexqual.com/mcp · Guide for agents: https://nexqual.com/agents · https://nexqual.com/llms.txt

## Supply chain and relationships (SEC annual reports)

Named in TDS's own 10-K filed 2026-02-24 (https://www.sec.gov/Archives/edgar/data/1051512/000105151226000011/tds-20251231.htm):

| Relationship | Company | Sentence in the filing |
|---|---|---|
| Partner | ARRAY DIGITAL INFRASTRUCTURE, INC. (AD) | "Array has built a strong and focused organization that has been and will be relied upon as an efficient and cost-effective partner for colocation." |
| Partner | T-Mobile (TMUS) | "•T-Mobile MLA integration: Continued partnership with T-Mobile to implement the provisions of the long-term MLA." |

## Revenue by business segment (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Total | $302.4M | 97.8% | +3.3% |
| — T D S Telecom (part of Total) | $247.6M | 80.1% | -6.3% |
| — Array (part of Total) | $54.0M | 17.5% | +89.4% |
| — Array Total (part of Total) | $895,000 | 0.3% | -31.1% |
| All Other | $6.9M | 2.2% | +32.4% |
| Total revenue | $309.3M | 100% | — |

## Revenue by product line (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Service | $249.2M | 80.6% | -6.0% |
| Site rental | $53.2M | 17.2% | +95.3% |
| Equipment and product sales | $6.9M | 2.2% | +12.0% |
| Total revenue | $309.3M | 100% | — |

## Analyst estimates and revisions

| Period | EPS est. | 90d ago | Change | Revenue est. | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends 2026-09-30) | $0.11 | $-0.04 | -387.0% | $309.3M | 3 |
| Next quarter (ends 2026-12-31) | $0.12 | $0.01 | +1115.1% | $313.3M | 3 |
| Current fiscal year (ends 2026-12-31) | $3.70 | $1.36 | +171.1% | $1.24B | 3 |
| Next fiscal year (ends 2027-12-31) | $0.22 | $0.23 | -5.3% | $1.25B | 3 |