Telephone and Data Systems, Inc.
Telephone and Data Systems, Inc. Fundamental Analysis
Telephone and Data Systems, Inc. (TDS-PU) shows weak financial fundamentals with a PE ratio of -820.63, profit margin of -0.21%, and ROE of -0.13%. The company generates $5.1B in annual revenue with weak year-over-year growth of -3.80%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 24.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze TDS-PU's fundamental strength across five key dimensions:
Efficiency Score
WeakTDS-PU struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTDS-PU trades at attractive valuation levels.
Growth Score
ModerateTDS-PU shows steady but slowing expansion.
Financial Health Score
ExcellentTDS-PU maintains a strong and stable balance sheet.
Profitability Score
WeakTDS-PU struggles to sustain strong margins.
Key Financial Metrics
Is TDS-PU Expensive or Cheap?
P/E Ratio
TDS-PU trades at -820.63 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TDS-PU's PEG of -2.24 indicates potential undervaluation.
Price to Book
The market values Telephone and Data Systems, Inc. at 0.98 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.90 times EBITDA. This is generally considered low.
How Well Does TDS-PU Make Money?
Net Profit Margin
For every $100 in sales, Telephone and Data Systems, Inc. keeps $-0.21 as profit after all expenses.
Operating Margin
Core operations generate 0.51 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-0.13 in profit for every $100 of shareholder equity.
ROA
Telephone and Data Systems, Inc. generates $-0.07 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Telephone and Data Systems, Inc. produces operating cash flow of $1.02B, showing steady but balanced cash generation.
Free Cash Flow
Telephone and Data Systems, Inc. produces free cash flow of $333.83M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.68 in free cash annually.
FCF Yield
TDS-PU converts 4.05% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-820.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.24
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.98
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.60
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.37
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.10
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.00
vs 25 benchmark
ROA
Return on assets percentage
-0.00
vs 25 benchmark
ROCE
Return on capital employed
0.002
vs 25 benchmark
How TDS-PU Stacks Against Its Sector Peers
| Metric | TDS-PU Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -820.63 | 22.85 | Better (Cheaper) |
| ROE | -0.13% | 996.00% | Weak |
| Net Margin | -0.21% | -61402.00% (disorted) | Weak |
| Debt/Equity | 0.37 | 1.12 | Strong (Low Leverage) |
| Current Ratio | 2.10 | 1.65 | Strong Liquidity |
| ROA | -0.07% | -583089.00% (disorted) | Weak |
TDS-PU outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Telephone and Data Systems, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-4.10%
Industry Style: Growth, Technology, Streaming
DecliningEPS CAGR
-123.14%
Industry Style: Growth, Technology, Streaming
DecliningFCF CAGR
12.70%
Industry Style: Growth, Technology, Streaming
High Growth