TIGO Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Millicom International Cellular SA (TIGO) is a good buy for a beginner investor with a long-term strategy and $50,000-$100,000 available for investment. The company's strong recent financial performance, bullish technical indicators, and increased hedge fund interest outweigh the limited growth potential noted by some analysts. The stock's current price trend and positive sentiment from options data further support this recommendation.
The technical indicators for TIGO are bullish. The MACD histogram is positive and expanding, indicating upward momentum. The RSI is at 71.382, which is in the neutral zone but leaning towards overbought. The moving averages are aligned bullishly (SMA_5 > SMA_20 > SMA_200). The stock is trading above its pivot level of 75.428, with resistance levels at 78.614 and 80.582, suggesting room for further upside.
Hedge funds are significantly increasing their positions, with buying activity up 417.45% over the last quarter.
The company's strong Q4 2025 financial performance, including a 15.76% YoY revenue increase and a 738.89% YoY EPS growth.
Successful pricing of $75 million in senior notes to enhance liquidity and support financial structure.
Analysts from Scotiabank maintain an Underperform rating, citing limited growth potential and concerns about leverage.
The stock's RSI is approaching overbought levels, which could signal a potential short-term pullback.
In Q4 2025, Millicom reported impressive financial results: Revenue increased by 15.76% YoY to $1.653 billion, Net Income surged by 687.50% YoY to $252 million, and EPS rose by 738.89% YoY to 1.51. Gross margin also improved slightly to 55.39%. These metrics indicate strong growth and profitability trends.
Analyst ratings are mixed. HSBC upgraded the stock to Buy with an $89 price target, and JPMorgan raised its price target to $86 with an Overweight rating. However, Scotiabank maintains an Underperform rating with a lower price target of $51.20, citing concerns about leverage and limited growth potential.
