Telecom Argentina (NYSE:TEO) Shares Gap Up – Is It Time to Buy?

On December 28, 2024, shares of Telecom Argentina S.A. (NYSE:TEO) experienced a notable gap up in pre-market trading. The stock closed the previous day at $12.13 and opened at $12.38, signaling investor interest. During the latest trading session, shares were seen last at $12.12, with a total volume of 18,508 shares traded.

New Price Targets from Analysts

Recent reports from equity research analysts have led to updated price targets for Telecom Argentina. Scotiabank downgraded the rating from "sector perform" to "sector underperform" and adjusted its price target from $5.70 to $6.10 in a report released on September 20th. In contrast, Goldman Sachs increased its target for shares from $7.30 to $8.30 with a "sell" rating on November 20th. Additionally, StockNews.com upgraded Telecom Argentina from a "sell" to a "hold" rating the same day.

Performance Metrics of Telecom Argentina

The company has a solid debt-to-equity ratio of 0.31, indicating manageable debt levels. Its current ratio stands at 0.40, while the quick ratio is slightly lower at 0.37. Telecom Argentina’s stock has shown strong performance with a 50-day moving average of $11.89 and a 200-day moving average of $8.88. The company boasts a market capitalization of approximately $5.76 billion, a P/E ratio of -74.27, and a beta of 0.92.

Institutional Investor Activity

There has been some shifts among institutional investors regarding Telecom Argentina. For instance, Cubist Systematic Strategies LLC took a new position in the company during the second quarter, valued at around $334,000. Other significant new positions were established by B. Riley Wealth Advisors Inc. at approximately $174,000 and Centiva Capital LP at about $123,000 during the second and third quarters, respectively. PFG Investments LLC and Stifel Financial Corp have also made new investments valued at $104,000 and $91,000 respectively within the same period.

Company Overview

Telecom Argentina S.A., along with its subsidiaries, is dedicated to providing comprehensive telecommunications services. This includes mobile telecommunications for voice communication, internet offerings, application downloads, online streaming, and various additional services. The company also markets devices like mobile phones, modems, and smart wearables.

Conclusion and Considerations

As shares of Telecom Argentina show positive momentum with a recent gap up, investors might ponder whether it is an opportune moment to buy. However, considering the mixed analyst ratings and the changes in institutional holdings, it's essential to carefully evaluate these factors before making any investment decisions.

Telecom, Investment, Stocks