T-Mobile US Inc TMUS

Morningstar Rating
$167.65 +1.72 (1.04%)
View Full Chart

Company Report

T-Mobile's Growth Is Slowing as Rivals Push Back

T-Mobile’s brand and reputation, coupled with a strong network and spectrum position, should drive strong market share gains over the next couple of years. In the longer term, however, we expect AT&T and Verizon to match T-Mobile, and that market share will stabilize among the three carriers. While competition is currently elevated, a rational competitive landscape should emerge, allowing for stable pricing, disciplined investment, and expanding cash flow.

Price vs Fair Value

TMUS is trading at a LOCK|?>MRbV? premium.
Price
$167.65
Fair Value
LOCK|s@
Uncertainty
LOCK|%!@JZ
1-Star Price
LOCK|#.%x
5-Star Price
LOCK|n.D
Economic Moat
LOCK|C^Rn&
Capital Allocation
LOCK|B!vxQYB#

Bulls Say, Bears Say

Bulls

After several years of unprecedented success, T-Mobile’s reputation with consumers is as strong as ever. In an increasingly rational competitive environment, the firm will continue growing market share while increasing revenue per customer.

Bears

T-Mobile will eventually need to step up network investments to keep pace with AT&T and Verizon, which have dense fixed-line networks at their disposal. A costly acquisition could be necessary.

News

Articles & Videos

Trading Information

Previous Close Price
$165.93
Day Range
$166.88–169.78
52-Week Range
$160.81–231.02
Bid/Ask
$168.00 / $168.70
Shares Outstanding
1.07B
Market Cap
$179.83B
Volume/Avg
4,574 / 5M

Key Statistics

Price/Earnings (Normalized)
15.01
Price/Sales
2.01
Dividend Yield (Trailing)
2.43%
Dividend Yield (Forward)
2.79%
Dividend Payment Schedule
Mar, Jun, Sep, Dec
Total Yield
9.15%

Company Profile

Deutsche Telekom merged its T-Mobile USA unit with prepaid specialist MetroPCS in 2013, and that firm merged with Sprint in 2020, creating the second-largest wireless carrier in the US. T-Mobile now serves about 86 million postpaid and 26 million prepaid phone customers, equal to around 30% of the US retail wireless market. The firm entered the fixed-wireless broadband market aggressively in 2021 and now serves 8 million residential and business customers with its wireless network. It also serves 1 million fiber broadband customers through joint ventures with fiber network owners. T-Mobile owns a stake in these firms, which provide wholesale access to their networks. In addition, T-Mobile provides wholesale services to wireless resellers.
Sector
Communication Services
Industry
Telecom Services
Stock Style Box
Large Value
Total Number of Employees
75,000

Competitors

Valuation

Metric
TMUS
VZ
T
Price/Earnings (Normalized)
15.019.3810.73
Price/Book Value
3.201.841.52
Price/Sales
2.011.391.36
Price/Cash Flow
5.934.684.48
Price/Earnings
TMUS
VZ
T

Financial Strength

Metric
TMUS
VZ
T
Quick Ratio
0.540.500.49
Current Ratio
0.920.640.97
Interest Coverage
4.443.894.64
Quick Ratio
TMUS
VZ
T

Profitability

Metric
TMUS
VZ
T
Return on Assets (Normalized)
5.90%4.06%4.36%
Return on Equity (Normalized)
21.68%15.75%16.75%
Return on Invested Capital (Normalized)
8.82%7.53%8.68%
Return on Assets
TMUS
VZ
T

Telecom Services Industry Comparables

1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
Verizon Communications Inc
VZ
LOCK|&$z?>VLOCK|PyH^$190B
AT&T Inc
T
LOCK|@VLOCK|t%m>$168B
Deutsche Telekom AG ADR
DTEGY
LOCK|D&?K<X!LOCK|^y@>%$142B
Comcast Corp Class A
CMCSA
LOCK|#^<rwxkLOCK|M@qLB$74B
KDDI Corp ADR
KDDIY
LOCK|%Y^#Gy&LOCK|>K%h$67B
America Movil SAB de CV ADR - Series B
AMX
LOCK|mtMl%&yLOCK|H^!V$67B
Orange SA ADR
ORANY
LOCK|$NscLs&LOCK|fP$43B
Vodafone Group PLC ADR
VOD
LOCK|J%PV%cTLOCK|c@K$39B
EchoStar Corp Class A
ECHO
LOCK|JhpLOCK|$@%$28B

Sponsor Center