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Millicom’s Q3 Beat and Latin America Expansion Could Be A Game Changer For Millicom International Cellular (TIGO)

Simply Wall St · 4d ago
  • Millicom International Cellular recently hit a 52-week high after reporting third-quarter 2025 earnings that surpassed Wall Street expectations and highlighted momentum from its acquisitions in Uruguay and Ecuador.
  • This combination of earnings outperformance and expansion into new Latin American markets has sharpened investor focus on how Millicom is reshaping its regional footprint and growth profile.
  • We’ll now examine how Millicom’s stronger-than-expected third-quarter earnings performance may influence its existing investment narrative and risk-reward balance.

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Millicom International Cellular Investment Narrative Recap

To own Millicom, you need to believe in its ability to turn Latin American cable and mobile demand into durable earnings and cash flow, while managing heavy investment needs and emerging market risk. The latest 52 week high and third quarter earnings beat support the near term earnings and cash flow story, but do not remove concerns about currency exposure and the impact of continued high capital expenditure on future free cash generation.

The most relevant recent announcement to this earnings surprise is Millicom’s 2025 third quarter and year to date results, which showed sharply higher net income and earnings per share compared with the prior year. Those stronger earnings, helped by one off items, sit alongside ongoing dividend payments and buybacks, and bring the question of how sustainable this level of cash return is if capital spending and refinancing needs remain elevated.

Yet behind the strong headline numbers, one risk investors should be aware of is the combination of high debt and...

Read the full narrative on Millicom International Cellular (it's free!)

Millicom International Cellular's narrative projects $5.9 billion revenue and $628.3 million earnings by 2028. This requires 1.7% yearly revenue growth and an earnings decrease of $326.7 million from $955.0 million today.

Uncover how Millicom International Cellular's forecasts yield a $52.35 fair value, a 8% downside to its current price.

Exploring Other Perspectives

TIGO 1-Year Stock Price Chart
TIGO 1-Year Stock Price Chart

Eight members of the Simply Wall St Community currently value Millicom between US$35 and about US$99, showing a wide spread in fair value views. Against that backdrop, the recent earnings outperformance and rising capital returns are encouraging, but the ongoing burden of high capital expenditure and refinancing needs could materially shape how those different expectations play out over time.

Explore 8 other fair value estimates on Millicom International Cellular - why the stock might be worth 38% less than the current price!

Build Your Own Millicom International Cellular Narrative

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This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.