USM stock hits 52-week high at $70.53 amid robust annual growth

Published 01/04/2025, 16:20
USM stock hits 52-week high at $70.53 amid robust annual growth

United States Cellular Corp (NYSE:USM) stock soared to a 52-week high, reaching $70.53, with a market capitalization of $5.93 billion, as investors rallied behind the company’s strong performance over the past year. According to InvestingPro analysis, the stock appears overvalued at current levels. The regional wireless carrier has seen its stock price surge, reflecting an impressive 92.67% return over the past year. This significant uptick in value, supported by $810 million in EBITDA and a healthy current ratio of 1.52, underscores the company’s robust financial health and market confidence, as it continues to expand its customer base and enhance its network capabilities. Investors are closely monitoring USM’s strategic moves, with analyst price targets ranging from $53.20 to $88.00. InvestingPro subscribers can access 8 additional key insights and a comprehensive Pro Research Report for deeper analysis.

In other recent news, United States Cellular Corporation (US Cellular) reported its fourth-quarter 2024 earnings, surpassing analyst expectations with an earnings per share (EPS) of $0.05, beating the forecasted loss of $0.01. The company’s revenue also exceeded predictions, reaching $970 million compared to the anticipated $961.14 million. These positive financial results highlight the company’s effective cost management and strategic investments in technology. Additionally, US Cellular is preparing for a transformative year, with the anticipated closure of a transaction with T-Mobile by mid-2025. This transaction is expected to involve the sale of US Cellular’s wireless operations and select spectrum, with a stated transaction price of $4.4 billion. The company’s strategic initiatives include a major mid-band 5G deployment and cost reduction programs. Furthermore, US Cellular’s strategic review of alternatives and recent spectrum sales are aimed at enhancing operational efficiency and market positioning. The company is also targeting the expansion of its fiber service addresses by 150,000 in 2025.

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