company background image
TMUS

T-Mobile US NasdaqGS:TMUS Stock Report

Last Price

US$132.33

Market Cap

US$165.9b

7D

-5.4%

1Y

2.2%

Updated

23 Sep, 2022

Data

Company Financials +
TMUS fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance0/6
Financial Health3/6
Dividends0/6

TMUS Stock Overview

T-Mobile US, Inc., together with its subsidiaries, provides mobile communications services in the United States, Puerto Rico, and the United States Virgin Islands.

T-Mobile US Competitors

Price History & Performance

Summary of all time highs, changes and price drops for T-Mobile US
Historical stock prices
Current Share PriceUS$132.33
52 Week HighUS$148.04
52 Week LowUS$101.51
Beta0.48
1 Month Change-8.95%
3 Month Change-3.47%
1 Year Change2.24%
3 Year Change70.62%
5 Year Change114.61%
Change since IPO701.03%

Recent News & Updates

Sep 19

T-Mobile invests $304M in Auction 108

T-Mobile (NASDAQ:TMUS) invested $304M in Auction 108, the FCC's recent 2.5 GHz spectrum auction. The un-carrier won more than 7,000 2.5 GHz licenses in areas covering 81 million people. T-Mobile will immediately begin deploying the new mid-band spectrum for 5G once licenses are issued. The new spectrum will enable T-Mobile to expand Ultra Capacity 5G coverage to new communities and significantly increase bandwidth in many places Ultra Capacity 5G already covers. With the investment, T-Mobile continues to execute on its years-long strategy to build the highest-capacity, broadest network in U.S. history.

Sep 14
Debt & the Telecom Giants: Why Spreading the Risk May be Important in an Economic Decline

Debt & the Telecom Giants: Why Spreading the Risk May be Important in an Economic Decline

AT&T Inc. (NYSE:T), T-Mobile US (NYSE:TMUS), and Verizon (NYSE:VZ) are the three key telecom operators in the US. The stocks had lackluster performance, with TMUS delivering 6.8% in the last 12 months, T experiencing a deep drop of 38.4% and VZ losing some 23.3%. In this article we will discuss the effects of debt, 5G and consumer spending on the valuations of these stocks as well as see how their fundamentals compare.

Sep 08

T-Mobile rises on news of $14B stock buyback plan

T-Mobile (NASDAQ:TMUS) has gained 2% after hours following news that it's authorized a stock repurchase program of up to $14B worth of common stock. The program runs through Sept. 30, 2023. It allows for purchases to be made from time to time through a variety of methods. The buybacks are expected to be funded by cash on hand, or proceeds of debt issuances depending on market conditions and other factors. The program may include up to $3B in purchases through the remainder of 2022, T-Mobile (TMUS) says.

Shareholder Returns

TMUSUS Wireless TelecomUS Market
7D-5.4%-5.4%-5.2%
1Y2.2%-3.0%-23.1%

Return vs Industry: TMUS exceeded the US Wireless Telecom industry which returned -2.1% over the past year.

Return vs Market: TMUS exceeded the US Market which returned -21.6% over the past year.

Price Volatility

Is TMUS's price volatile compared to industry and market?
TMUS volatility
TMUS Average Weekly Movement3.4%
Wireless Telecom Industry Average Movement6.8%
Market Average Movement6.9%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.8%

Stable Share Price: TMUS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: TMUS's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
199475,000Mike Sieverthttps://www.t-mobile.com

T-Mobile US, Inc., together with its subsidiaries, provides mobile communications services in the United States, Puerto Rico, and the United States Virgin Islands. The company offers voice, messaging, and data services to 108.7 million customers in the postpaid, prepaid, and wholesale markets. It also provides wireless devices, including smartphones, wearables, and tablets and other mobile communication devices, as well as wireless devices and accessories.

T-Mobile US Fundamentals Summary

How do T-Mobile US's earnings and revenue compare to its market cap?
TMUS fundamental statistics
Market CapUS$165.95b
Earnings (TTM)US$1.72b
Revenue (TTM)US$80.23b

96.6x

P/E Ratio

2.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TMUS income statement (TTM)
RevenueUS$80.23b
Cost of RevenueUS$33.68b
Gross ProfitUS$46.55b
Other ExpensesUS$44.83b
EarningsUS$1.72b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.37
Gross Margin58.02%
Net Profit Margin2.14%
Debt/Equity Ratio101.4%

How did TMUS perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is TMUS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TMUS?

Other financial metrics that can be useful for relative valuation.

TMUS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue3.4x
Enterprise Value/EBITDA10.7x
PEG Ratio2.5x

Price to Earnings Ratio vs Peers

How does TMUS's PE Ratio compare to its peers?

TMUS PE Ratio vs Peers
The above table shows the PE ratio for TMUS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average11.1x
TIGO Millicom International Cellular
2.9x15.3%US$2.0b
USM United States Cellular
17.1x-12.1%US$2.2b
VZ Verizon Communications
8x4.8%US$166.0b
TDS Telephone and Data Systems
16.5x-7.8%US$1.7b
TMUS T-Mobile US
96.6x39.1%US$165.9b

Price-To-Earnings vs Peers: TMUS is expensive based on its Price-To-Earnings Ratio (96.6x) compared to the peer average (11.1x).


Price to Earnings Ratio vs Industry

How does TMUS's PE Ratio compare vs other companies in the Global Wireless Telecom Industry?

Price-To-Earnings vs Industry: TMUS is expensive based on its Price-To-Earnings Ratio (96.6x) compared to the Global Wireless Telecom industry average (15.5x)


Price to Earnings Ratio vs Fair Ratio

What is TMUS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TMUS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio96.6x
Fair PE Ratio20.6x

Price-To-Earnings vs Fair Ratio: TMUS is expensive based on its Price-To-Earnings Ratio (96.6x) compared to the estimated Fair Price-To-Earnings Ratio (20.6x).


Share Price vs Fair Value

What is the Fair Price of TMUS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TMUS ($132.33) is trading below our estimate of fair value ($503.2)

Significantly Below Fair Value: TMUS is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


Discover undervalued companies

Future Growth

How is T-Mobile US forecast to perform in the next 1 to 3 years based on estimates from 29 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


39.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TMUS's forecast earnings growth (39.1% per year) is above the savings rate (1.9%).

Earnings vs Market: TMUS's earnings (39.1% per year) are forecast to grow faster than the US market (14.7% per year).

High Growth Earnings: TMUS's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: TMUS's revenue (4% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: TMUS's revenue (4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TMUS's Return on Equity is forecast to be low in 3 years time (16.5%).


Discover growth companies

Past Performance

How has T-Mobile US performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-5.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TMUS has a large one-off loss of $5.6B impacting its June 30 2022 financial results.

Growing Profit Margin: TMUS's current net profit margins (2.1%) are lower than last year (4.9%).


Past Earnings Growth Analysis

Earnings Trend: TMUS's earnings have declined by 5.7% per year over the past 5 years.

Accelerating Growth: TMUS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TMUS had negative earnings growth (-56.1%) over the past year, making it difficult to compare to the Wireless Telecom industry average (-29.2%).


Return on Equity

High ROE: TMUS's Return on Equity (2.5%) is considered low.


Discover strong past performing companies

Financial Health

How is T-Mobile US's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TMUS's short term assets ($17.5B) do not cover its short term liabilities ($20.6B).

Long Term Liabilities: TMUS's short term assets ($17.5B) do not cover its long term liabilities ($118.8B).


Debt to Equity History and Analysis

Debt Level: TMUS's net debt to equity ratio (96.9%) is considered high.

Reducing Debt: TMUS's debt to equity ratio has reduced from 142.8% to 101.4% over the past 5 years.

Debt Coverage: TMUS's debt is well covered by operating cash flow (20.5%).

Interest Coverage: TMUS's interest payments on its debt are well covered by EBIT (3.2x coverage).


Balance Sheet


Discover healthy companies

Dividend

What is T-Mobile US current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.37%

Forecast Dividend Yield

Dividend Yield vs Market

Notable Dividend: Unable to evaluate TMUS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TMUS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TMUS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TMUS's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as TMUS has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Mike Sievert (52 yo)

4.25yrs

Tenure

US$22,610,659

Compensation

Mr. G. Michael Sievert, also known as Mike, is Chief Executive Officer and President at T-Mobile USA, Inc and has been its Director since 2018. He has served as the Chief Executive Officer of T-Mobile US,...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD22.61M) is above average for companies of similar size in the US market ($USD13.05M).

Compensation vs Earnings: Mike's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TMUS's management team is considered experienced (2.2 years average tenure).


Board Members

Experienced Board: TMUS's board of directors are considered experienced (7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TMUS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

NasdaqGS:TMUS Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
11 Aug 22SellUS$999,936Callie FieldIndividual6,944US$144.00
11 Aug 22SellUS$273,765Dara BazzanoIndividual1,902US$143.94
10 Aug 22SellUS$3,191,278Michael KatzIndividual22,000US$145.06
10 Aug 22SellUS$145,000Srikant T. DatarIndividual1,000US$145.00

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 73.23% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
48.25%
Deutsche Telekom AG
605,110,755$80.1b3.62%no data
3.81%
The Vanguard Group, Inc.
47,830,459$6.3b1.58%0.15%
3.34%
BlackRock, Inc.
41,900,775$5.5b1.76%0.14%
1.89%
State Street Global Advisors, Inc.
23,682,543$3.1b-4.33%0.18%
1.86%
Norges Bank Investment Management
23,356,719$3.1b0%0.42%
1.58%
T. Rowe Price Group, Inc.
19,846,703$2.6b15.68%0.31%
1.58%
FMR LLC
19,817,917$2.6b0.82%0.25%
1.33%
Dodge & Cox
16,703,308$2.2b-3.37%1.28%
0.91%
Geode Capital Management, LLC
11,441,982$1.5b3.87%0.2%
0.83%
Wellington Management Group LLP
10,391,306$1.4b35.38%0.25%
0.73%
Viking Global Investors LP
9,170,393$1.2b-31.66%5.63%
0.7%
RBC Global Asset Management Inc.
8,774,732$1.2b7.9%0.88%
0.64%
Neuberger Berman Investment Advisers LLC
8,052,134$1.1b15.37%1.06%
0.64%
J.P. Morgan Asset Management, Inc.
8,011,787$1.1b-5.57%0.2%
0.57%
Franklin Resources, Inc.
7,203,670$953.3m-6.1%0.41%
0.53%
BNY Mellon Asset Management
6,641,379$878.9m20.8%0.2%
0.52%
Raul Claure
6,521,991$863.1m-7.29%no data
0.5%
Parnassus Investments, LLC
6,253,965$827.6m11.89%2.08%
0.48%
Columbia Management Investment Advisers, LLC
6,001,688$794.2m1.2%0.24%
0.47%
Morgan Stanley, Investment Banking and Brokerage Investments
5,898,853$780.6m-5.95%0.16%
0.46%
Northern Trust Global Investments
5,727,397$757.9m0.45%0.16%
0.42%
Berkshire Hathaway Inc.
5,242,000$693.7m0%no data
0.4%
Union Asset Management Holding AG
4,996,002$661.1m4342.71%0.77%
0.39%
AllianceBernstein L.P.
4,942,039$654.0m1.56%0.27%
0.38%
Softbank Group Capital Limited
4,800,000$635.2m0%12.21%

Company Information

T-Mobile US, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: T-Mobile US, Inc.
  • Ticker: TMUS
  • Exchange: NasdaqGS
  • Founded: 1994
  • Industry: Wireless Telecommunication Services
  • Sector: Telecom
  • Implied Market Cap: US$165.947b
  • Shares outstanding: 1.25b
  • Website: https://www.t-mobile.com

Number of Employees


Location

  • T-Mobile US, Inc.
  • 12920 SE 38th Street
  • Bellevue
  • Washington
  • 98006-1350
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TMUSNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDMay 2013
TM5DB (Deutsche Boerse AG)YesCommon StockDEEURMay 2013
TMUSSWX (SIX Swiss Exchange)YesCommon StockCHCHFMay 2013
0R2LLSE (London Stock Exchange)YesCommon StockGBUSDMay 2013
TMUSWBAG (Wiener Boerse AG)YesCommon StockATEURMay 2013
TM5ETLX (Eurotlx)YesCommon StockITEURMay 2013
TMUS *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNMay 2013
TMUSBVL (Bolsa de Valores de Lima)YesCommon StockPEUSDMay 2013
T1MU34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 COMBRBRLJan 2020

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/23 00:00
End of Day Share Price2022/09/23 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.