11 Best Telecom Dividend Stocks to Buy for 2025

8. Telephone and Data Systems, Inc. (NYSE:TDS)

Number of Hedge Fund Holders: 38

Telephone and Data Systems, Inc. (NYSE:TDS), headquartered in Chicago, is a telecommunications provider offering wireless services, along with cable and wireline broadband, TV, voice, and managed solutions. Its operations are carried out primarily through TDS Telecom and US Cellular, serving millions of customers nationwide.

In the latest quarter, Chairman, President & CEO Walter Carlson announced the completion of the US Cellular wireless business and spectrum sale to T-Mobile, a $4.3 billion deal that he said delivers substantial value to shareholders while strengthening the balance sheets of both Array and TDS. He explained that the company will now concentrate on its tower and fiber operations, introducing Array Digital Infrastructure, Inc. as the new identity for the towers segment. Carlson highlighted the stability provided by the new master license agreement with T-Mobile, backed by Array’s portfolio of roughly 4,400 towers. He also introduced Ken Dixon as the new CEO of TDS Telecom, noting his extensive experience in telecom and fiber.

Telephone and Data Systems, Inc. (NYSE:TDS) started paying quarterly dividends in 1974 and has raised its dividend every year since 1975. The company currently offers a quarterly dividend of $0.04 per share and has a dividend yield of 0.43%, as of September 24.