U.S. Cellular price target lowered to $85 from $88 at JPMorgan

JPMorgan lowered the firm’s price target on U.S. Cellular (USM) to $85 from $88 and keeps an Overweight rating on the shares. The firm is encouraged by the announced commencement of T-Mobile’s (TMUS) exchange offer for up to $2.044B of U.S. Cellular debt, which it believes provides line of sight to a deal close in the coming weeks as exchange offers are typically announced within 40 days of deal close. Accordingly, the analyst now expects T-Mobile’s acquisition of U.S. Cellular’s wireless operations to close on July 1. JPMorgan now estimates potential special dividends from U.S. Cellular of up to $28-30 per share by mid-2026. The stock remains the analyst’s top mid-cap pick.