TDS Valuation

Telephone and Data Systems Inc

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38.870

-0.23(-0.588%)1D

Overview
Forecast
Valuation
Earnings

TDS Relative Valuation

TDS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TDS is overvalued; if below, it's undervalued.

Historical Valuation

Telephone and Data Systems Inc (TDS) is now in the Undervalued zone, suggesting that its current forward PS ratio of 0.95 is considered Undervalued compared with the five-year average of -32.03. The fair price of Telephone and Data Systems Inc (TDS) is between 100.04 to 113.01 according to relative valuation methord. Compared to the current price of 39.05 USD , Telephone and Data Systems Inc is Undervalued By 60.97%.

Relative Value

Fair Zone

100.04-113.01

Current Price：39.05

60.97%

Undervalued

-68.75

Trailing

Forward

8.75

EV/EBITDA

Telephone and Data Systems Inc. (TDS) has a current EV/EBITDA of 8.75. The 5-year average EV/EBITDA is 6.68. The thresholds are as follows: Strongly Undervalued below 4.46, Undervalued between 4.46 and 5.57, Fairly Valued between 7.79 and 5.57, Overvalued between 7.79 and 8.91, and Strongly Overvalued above 8.91. The current Forward EV/EBITDA of 8.75 falls within the Overvalued range.

82.59

EV/EBIT

Telephone and Data Systems Inc. (TDS) has a current EV/EBIT of 82.59. The 5-year average EV/EBIT is 61.17. The thresholds are as follows: Strongly Undervalued below -17.31, Undervalued between -17.31 and 21.93, Fairly Valued between 100.41 and 21.93, Overvalued between 100.41 and 139.65, and Strongly Overvalued above 139.65. The current Forward EV/EBIT of 82.59 falls within the Historic Trend Line -Fairly Valued range.

0.95

Telephone and Data Systems Inc. (TDS) has a current PS of 0.95. The 5-year average PS is 0.46. The thresholds are as follows: Strongly Undervalued below 0.07, Undervalued between 0.07 and 0.26, Fairly Valued between 0.66 and 0.26, Overvalued between 0.66 and 0.85, and Strongly Overvalued above 0.85. The current Forward PS of 0.95 falls within the Strongly Overvalued range.

5.49

P/OCF

Telephone and Data Systems Inc. (TDS) has a current P/OCF of 5.49. The 5-year average P/OCF is 2.61. The thresholds are as follows: Strongly Undervalued below 0.53, Undervalued between 0.53 and 1.57, Fairly Valued between 3.66 and 1.57, Overvalued between 3.66 and 4.70, and Strongly Overvalued above 4.70. The current Forward P/OCF of 5.49 falls within the Strongly Overvalued range.

52.59

P/FCF

Telephone and Data Systems Inc. (TDS) has a current P/FCF of 52.59. The 5-year average P/FCF is 6.62. The thresholds are as follows: Strongly Undervalued below -80.99, Undervalued between -80.99 and -37.19, Fairly Valued between 50.43 and -37.19, Overvalued between 50.43 and 94.24, and Strongly Overvalued above 94.24. The current Forward P/FCF of 52.59 falls within the Overvalued range.

Telephone and Data Systems Inc (TDS) has a current Price-to-Book (P/B) ratio of 1.13. Compared to its 3-year average P/B ratio of 0.56 , the current P/B ratio is approximately 101.86% higher. Relative to its 5-year average P/B ratio of 0.52, the current P/B ratio is about 115.39% higher. Telephone and Data Systems Inc (TDS) has a Forward Free Cash Flow (FCF) yield of approximately 9.21%. Compared to its 3-year average FCF yield of -2.86%, the current FCF yield is approximately -421.96% lower. Relative to its 5-year average FCF yield of -0.06% , the current FCF yield is about -15710.52% lower.

1.13

P/B

Median3y

0.56

Median5y

0.52

9.21

FCF Yield

Median3y

-2.86

Median5y

-0.06

Competitors Valuation Multiple

The average P/S ratio for TDS's competitors is 9.64, providing a benchmark for relative valuation. Telephone and Data Systems Inc Corp (TDS) exhibits a P/S ratio of 0.95, which is -90.17% above the industry average. Given its robust revenue growth of -4.20%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

TDS.N

Telephone and Data Systems Inc

Array Digital Infrastructure Inc

Performance Decomposition

Market capitalization of TDS increased by 66.01% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 0.57 to 1.52.

The secondary factor is the Revenue Growth, contributed -4.20%to the performance.

Overall, the performance of TDS in the past 1 year is driven by Margin Expansion. Which is more sustainable.

-4.20%

1.24B → 1.19B

Revenue Growth

166.67%

0.57 → 1.52

Margin Expansion

-96.46%

-1.13K → -39.97

P/E Change

66.01%