NEW YORK (TheStreet) -- Shares of Telephone & Data Systems (TDS - Get Report) are tumbling by 8.79% to $26.98 on heavy trading volume Friday afternoon, after the Chicago-based company reported weaker-than-expected results for the 2016 first quarter.

Before the opening bell, the parent company of U.S. cellular and TDS Telecom reported earnings of 7 cents per diluted share, missing analysts' expectations of 10 cents per share.

Revenue for the period was $1.24 billion, below Wall Street's estimates of $1.26 billion.

"U.S. Cellular grew its postpaid customer base and improved customer loyalty. TDS Telecom experienced growth in both IPTV and cable connections, and we continued to move forward in our broadband and hosted and managed services strategies," CEO LeRoy Carlson said in a statement.

For 2016, TDS forecasts total operating revenue between $5.04 billion and $5.29 billion. Analysts are looking for revenue of $5.16 billion.

So far today, about 1.43 million of the company's shares changed hands, much higher than its average volume of 533,093 shares per day.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its solid stock price performance, compelling growth in net income and reasonable valuation levels.

However, the team also finds that the growth in the company's earnings per share has not been good.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: TDS