Telephone and Data Systems, Inc. (NYSE:TDS) is included among the 10 Best June Dividend Stocks to Buy.
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On May 11, Raymond James downgraded Telephone and Data Systems, Inc. (NYSE:TDS) to Market Perform from Outperform without assigning a price target. The analyst said the company reported “light” Q1 results and recently announced a proposed collapse of its two-stock structure. According to the firm, the “hidden value has been unlocked,” and the stock now appears fairly valued.
During Telephone and Data Systems’s Q1 2026 earnings call, Chairman, President, and CEO Walter C.D. Carlson said the company had submitted a proposal to Array’s Board of Directors to acquire the remaining Array shares that TDS does not already own through an all-stock transaction. He explained that under the proposal, each Array common share not already held by TDS would be exchanged for 0.86 shares of TDS common stock. Carlson added that the exchange ratio assumes Array would pay dividends totaling $10.40 per share before the deal closes, with the company expected to distribute about $900 million in net proceeds.
Carlson also said TDS has no intention of selling or transferring its stake in Array and would not consider third-party offers for Array or its assets as an alternative to the proposal. He further noted that the remaining previously announced spectrum sales to T-Mobile and Verizon are expected to close during the second or third quarter, pending regulatory approvals and other customary closing conditions.
Telephone and Data Systems, Inc. (NYSE:TDS) is a diversified telecommunications company. Through TDS Telecom, the company provides broadband, video, and voice services. Its segments include Array, TDS Telecom, and Other.
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