Overview

• U.S. telecom provider's Q1 revenue rose 7% yr/yr

• Diluted EPS rebounded to $1.09 from a loss a year ago, aided by spectrum sales gain

• Company reaffirmed full-year 2026 guidance and proposed to acquire remaining Array shares

Outlook

• TDS Telecom maintains 2026 revenue guidance at $1.015-$1.055 bln

• Array maintains 2026 revenue guidance at $200-$215 mln

• Company reaffirms all 2026 financial guidance ranges for both TDS Telecom and Array

Result Drivers

• SPECTRUM SALE GAIN - Large book gain from sale of wireless spectrum licenses boosted net income

• FIBER EXPANSION - TDS Telecom expanded marketable fiber service footprint and grew residential fiber net additions

• TOWER BUSINESS GROWTH - Array site rental revenues grew 92% yr/yr, reflecting increased tower activity

Company press release: ID:nPn3BRJpna

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the wireless telecommunications services peer group is "buy"

• Wall Street's median 12-month price target for Telephone and Data Systems Inc is $51.00, about 12.1% above its May 7 closing price of $45.50

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