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Telephone and Data SystemsTDS +2.26%66 Cash Ratio is 3.08 as of Mar. 2026, which is 334% above its 10-year median of 0.71. GuruFocus rates TDS with a GF Score™ of 66/100 and a GF Value™ of $31.02 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 361 Telecommunication Services companies, Telephone and Data Systems ranks better than 95.57% on this metric.
Telephone and Data Systems has a Cash Ratio of 3.08. It generally indicates that the company is able to cover all short-term debt and still have cash remaining.
The historical rank and industry rank for Telephone and Data Systems's Cash Ratio or its related term are showing as below:
TDS'
s Cash Ratio Range Over the Past 10 Years
Min: 0.19 Med: 0.71 Max: 3.08
Current: 3.08
During the past 13 years, Telephone and Data Systems's highest Cash Ratio was 3.08. The lowest was 0.19. And the median was 0.71.
TDS's Cash Ratio is ranked better than 95.57% of 361
companies
in the Telecommunication Services industry
Industry Median: 0.34
vs TDS: 3.08
Telephone and Data Systems (NYSE:TDS) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Telephone and Data Systems Cash Ratio Related Terms
Telephone and Data Systems Cash Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Telecom Services subindustry, Telephone and Data Systems's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Telephone and Data Systems Cash Ratio vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Telephone and Data Systems's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Telephone and Data Systems's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Telephone and Data Systems (TDS) has a Cash Ratio of 3.08 as of Mar. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Telephone and Data Systems and its competitors. This is 334% above median its historical median of 0.71. Over the past decade, Telephone and Data Systems' Cash Ratio has ranged from 0.19 to 3.08. According to the industry distribution chart, Telephone and Data Systems ranks #16 out of 361 companies in the Telecommunication Services industry, placing it in the top 4.4%.
Is Telephone and Data Systems' Cash Ratio too high?
Telephone and Data Systems' current Cash Ratio of 3.08 is 334% above median its 10-year median of 0.71. Over the past 10 years, this metric has ranged from a low of 0.19 to a high of 3.08. The Telecommunication Services industry median Cash Ratio is 0.34. Telephone and Data Systems' value of 3.08 is 805.9% above this industry median. Based on the distribution chart, Telephone and Data Systems ranks #16 out of 361 companies in the Telecommunication Services industry, which is in the top quartile — a strong position relative to peers. Overall, Telephone and Data Systems has a GF Score™ of 66/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Telephone and Data Systems' Cash Ratio compare to LBRDA and LBTYA?
According to the Telecommunication Services industry distribution chart, Telephone and Data Systems ranks #16 out of 361 companies for Cash Ratio. This places Telephone and Data Systems in the top 4% of its industry — outperforming the majority of peers. The industry median Cash Ratio is 0.34. Telephone and Data Systems' value of 3.08 is 805.9% above this benchmark. Historically, Telephone and Data Systems' own Cash Ratio has ranged from 0.19 to 3.08 over the past decade. While the company's 10-year median is 0.71 vs. the industry median of 0.34, Telephone and Data Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for a Telecommunication Services company?
The median Cash Ratio among Telecommunication Services companies is 0.34, based on 361 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telephone and Data Systems's current Cash Ratio of 3.08 is 805.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Telephone and Data Systems and its competitors. For the Telecommunication Services industry, the median Cash Ratio is 0.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telephone and Data Systems's current Cash Ratio is 3.08, which is 334% above median its own 10-year median of 0.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Telephone and Data Systems stock overvalued right now?
Based on GuruFocus' analysis, Telephone and Data Systems (TDS) is currently considered Modestly Overvalued. The stock's GF Value™ is $31.02, compared to a current price of $34.37 — trading 10.8% above its estimated fair value. The current Cash Ratio is 3.08, which is 334% above median its 10-year median of 0.71 and 805.9% above the Telecommunication Services industry median of 0.34. Telephone and Data Systems' overall GF Score™ is 66/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Telephone and Data Systems (TDS), the current Cash Ratio is 3.08 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Telephone and Data Systems (TDS) Overvalued in 2026?
Based on GuruFocus' analysis, Telephone and Data Systems stock appears to be overvalued.
The current stock price of $34.37 is trading 10.8% above its estimated GF Value™ of $31.02.
GuruFocus considers Telephone and Data Systems to be Modestly Overvalued.
Key valuation signals for TDS:
Cash Ratio: 3.08 (334% above median its 10-year median of 0.71)
GF Value™: $31.02 vs. price of $34.37 (10.8% above fair value)
Industry Position: 805.9% above the Telecommunication Services median (#16 of 361)
No single metric tells the full story. See the TDS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Telephone and Data Systems Inc is a diversified telecommunications operator that provides communications services to customers through broadband, video, voice, and wireless connections. The company has two reportable segments: TDS Telecom and Array. The majority of its revenue is generated from the TDS Telecom segment, which generates revenue by providing broadband, video, voice, and wireless services. The Array segment generates its revenue mainly by leasing tower space on Array-owned towers to customers.
66GF Score
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