Earnings Alerts

US Cellular (USM) Earnings: 4Q Revenue Hits $970M, Meets Estimates with Solid Profitability Growth

By February 21, 2025 No Comments
  • U.S. Cellular’s operating revenue for the fourth quarter reached $970 million, aligning closely with the estimate of $966 million.
  • Earnings per share (EPS) for the period stood at 5.0 cents.
  • Adjusted EBITDA was reported at $208 million, which was slightly below the anticipated $219.3 million.
  • The company highlighted its strong financial discipline, contributing to notable growth in both profitability and free cash flow.
  • Analyst recommendations for U.S. Cellular included three buy ratings, one hold, and one sell.

US Cellular on Smartkarma

On Smartkarma, independent analysts like Baptista Research are closely covering US Cellular, providing valuable insights for investors. In their report titled “US Cellular: How Are They Executing Tower Business Expansion & Monetization! – Major Drivers,” Baptista Research highlights the company’s third-quarter 2024 earnings as a key indicator of its strategic direction. Despite market challenges, US Cellular has made significant progress in monetizing its spectrum assets, indicating potential opportunities for growth.

Another report by Baptista Research, “United States Cellular Corporation: Focus on Broadband Expansion and Customer Penetration & Other Major Drivers,” discusses UScellular’s strategic adjustments reflected in the second-quarter earnings. The pending sale of its wireless operations to T-Mobile is expected to reshape the company’s focus while maintaining valuable assets like towers and spectrum. Strong financial results, especially in adjusted EBITDA, underscore US Cellular‘s operational efficiency and prudent financial management, positioning the company for long-term shareholder value.


A look at US Cellular Smart Scores

FactorScoreMagnitude
Value4
Dividend1
Growth2
Resilience2
Momentum5
OVERALL SMART SCORE2.8

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

United States Cellular Corporation, a provider of wireless telecommunications services, seems to have a positive long-term outlook based on the Smartkarma Smart Scores. The company receives a high score of 4 for its overall value, indicating a strong position in terms of market worth. However, its dividend score is lower at 1, suggesting limited returns for investors seeking dividend income. In terms of growth potential, US Cellular scores a 2, reflecting moderate expectations for expansion in the future. When it comes to resilience and the ability to weather economic uncertainties, the company scores a 2. Notably, US Cellular excels in momentum, receiving a top score of 5, indicating strong positive market performance in recent times.

United States Cellular Corporation caters to customers across the nation, offering a range of wireless services including voice, messaging, and data plans. Additionally, the company provides various smartphones, tablets, and wireless devices to meet the diverse needs of its customer base. With a good value score of 4 and robust momentum score of 5, US Cellular appears well-positioned for growth and market success in the long run. However, investors should note the lower dividend score of 1, which may not be ideal for those focused on income generation from their investments. Overall, US Cellular shows promise in terms of market value and growth potential, backed by its strong market presence and offerings in the telecommunications sector.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.


 

πŸ’‘ Before it’s here, it’s on Smartkarma

Sign Up for Free

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

  • βœ“ Unlimited Research Summaries
  • βœ“ Personalised Alerts
  • βœ“ Custom Watchlists
  • βœ“ Company Analytics and News
  • βœ“ Events & Webinars