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Telephone and Data Systems (NYSE:TDS) Forward PE Ratio Explanation
The Forward PE Ratio of a company is often used to compare current earnings to estimated future earnings, as well as gaining a clearer picture of what earnings will look like without charges and other accounting adjustments. If earnings are expected to grow in the future, the Forward PE Ratio will be lower than the current PE Ratio. This measure is also used to compare one company to another with a forward-looking focus.
Trailing PE Ratio relies on what is already done. It uses the current share price and divides by the total EPS (Basic) over the past 12 months. PE Ratio can be affected by Non Operating Income such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio .
Telephone and Data Systems Forward PE Ratio Related Terms
Telephone and Data Systems Forward PE 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.
Telephone and Data Systems Forward PE Ratio Chart
Telephone and Data Systems Annual Data
Trend
2015-12
2016-12
2017-12
2025-12
Forward PE Ratio
43.10
57.80
69.44
79.86
Telephone and Data Systems Quarterly Data
2015-12
2016-03
2016-06
2016-09
2016-12
2017-03
2017-06
2017-09
2017-12
2018-03
2025-12
2026-03
Forward PE Ratio
43.10
29.94
56.18
60.24
57.80
52.63
111.11
92.59
69.44
40.00
79.86
84.40
TDS vs LBRDA, IRDM, LBTYA: Forward PE Ratio Comparison
For the Telecom Services subindustry, Telephone and Data Systems's Forward PE Ratio, along with its competitors' market caps and Forward PE 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 Forward PE Ratio vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Telephone and Data Systems's Forward PE Ratio distribution charts can be found below:
* The bar in red indicates where Telephone and Data Systems's Forward PE Ratio falls into.
Telephone and Data Systems Forward PE Ratio Calculation
It's a measure of the price-to-earnings ratio (PE Ratio) using forecasted earnings for the calculation. While the earnings used are just an estimate and are not as reliable as current earnings data, there is still benefit in estimated P/E analysis. The forecasted earnings used in the formula can either be for the next 12 months or for the next full-year fiscal period.
Telephone and Data Systems (TDS) has a Forward PE Ratio of 37.24 as of Jul. 14, 2026. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on Telephone and Data Systems and its competitors. According to the industry distribution chart, Telephone and Data Systems ranks #180 out of 210 companies in the Telecommunication Services industry, placing it in the top 85.7%.
Is Telephone and Data Systems' Forward PE Ratio too high?
Telephone and Data Systems' current Forward PE Ratio is 37.24. The Telecommunication Services industry median Forward PE Ratio is 14.27. Telephone and Data Systems' value of 37.24 is 161.1% above this industry median. Based on the distribution chart, Telephone and Data Systems ranks #180 out of 210 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, Telephone and Data Systems has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Telephone and Data Systems' Forward PE Ratio compare to LBRDA and IRDM?
According to the Telecommunication Services industry distribution chart, Telephone and Data Systems ranks #180 out of 210 companies for Forward PE Ratio. This places Telephone and Data Systems in the lower half of its industry. The industry median Forward PE Ratio is 14.27. Telephone and Data Systems' value of 37.24 is 161.1% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward PE Ratio for a Telecommunication Services company?
The median Forward PE Ratio among Telecommunication Services companies is 14.27, based on 210 companies in the industry. Companies in the top quartile (top 25%) have a Forward PE Ratio significantly above this median, while those in the bottom quartile fall well below. However, Forward PE Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Telephone and Data Systems's current Forward PE Ratio of 37.24 is 161.1% 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 Forward PE Ratio mean?
A high Forward PE Ratio can signal that a stock is expensive relative to its fundamentals. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on Telephone and Data Systems and its competitors. For the Telecommunication Services industry, the median Forward PE Ratio is 14.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Telephone and Data Systems's current Forward PE Ratio is 37.24. 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 Fairly Valued. The stock's GF Value™ is $31.77, compared to a current price of $34.26 — trading 7.8% above its estimated fair value. The current Forward PE Ratio is 37.24 and 161.1% above the Telecommunication Services industry median of 14.27. Telephone and Data Systems' overall GF Score™ is 65/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward PE Ratio calculated?
Forward PE Ratio is calculated from a company's financial statements. For Telephone and Data Systems (TDS), the current Forward PE Ratio is 37.24 as of Jul. 14, 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 $34.26 is trading 7.8% above its estimated GF Value™ of $31.77.
GuruFocus considers Telephone and Data Systems to be Fairly Valued.
Key valuation signals for TDS:
Forward PE Ratio: 37.24
GF Value™: $31.77 vs. price of $34.26 (7.8% above fair value)
Industry Position: 161.1% above the Telecommunication Services median (#180 of 210)
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.
65GF Score
Get the complete analysis for TDS
Forward PE Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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