The price/operating cash flow metric for United States Cellular Corp is higher than only 12.51% of stocks in our set with a positive cash flow.
The volatility of United States Cellular Corp's share price is greater than that of merely 6.9% US stocks with at least 200 days of trading history.
United States Cellular Corp's shareholder yield -- a measure of how much capital is returned to stockholders via dividends and buybacks -- is -15.65%, greater than the shareholder yield of merely 15.96% of stocks in our set.
Stocks that are quantitatively similar to USM, based on their financial statements, market capitalization, and price volatility, are TDS, ESE, LPX, CONN, and ESGR.
United States Cellular Corporation (USM) Company Bio
United States Cellular Corporation provides wireless telecommunications services in the United States. Its wireless services include postpaid and prepaid service plans with voice, messaging, data services, smartphone messaging, and Internet services. The company was founded in 1983 and is based in Chicago, Illinois.
USM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for United States Cellular Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that United States Cellular Corp ranked in the 33th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for USM, they are:
The company has produced more trailing twelve month cash flow than just 23% of its sector Communication Services.
49% of the company's capital comes from equity, which is greater than only 19.69% of stocks in our cash flow based forecasting set.
United States Cellular Corp's weighted average cost of capital (WACC) is 8%; for context, that number is higher than merely 5.98% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of United States Cellular Corp? See CABO, OTEL, IDCC, TDS, and CHA.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.