Want to see TMUS full AI Analyst Report?
Top Page
T Mobile US
(NASDAQ:TMUS)
Select Model
Select Model
Rating:70Outperform
Price Target:
$163.00
▼(-10.25% Downside)
Action:Reiterated
Date:10/29/26
TMUS scores well on improving profitability and especially strong operating and free cash flow, reinforced by a bullish earnings call with raised full-year targets. The main offset is the clearly bearish technical setup (price below key moving averages with negative MACD) alongside a leveraged balance sheet, while valuation (moderate P/E and ~2.8% yield) is supportive but not a major positive catalyst.
Positive Factors
Strong Cash Generation
T-Mobile’s substantial operating and free cash flow provides recurring funding for network investment, spectrum, dividends, buybacks, and debt obligations. The improvement from earlier negative free cash flow also indicates stronger earnings quality and supports financial resilience over the next several quarters.
Negative Factors
High Leverage
The large debt burden and declining equity base reduce financial flexibility even as profitability improves. High leverage can constrain capital allocation, increase sensitivity to refinancing conditions, and make it harder to absorb operating setbacks while continuing heavy network and spectrum investment.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Cash Generation
T-Mobile’s substantial operating and free cash flow provides recurring funding for network investment, spectrum, dividends, buybacks, and debt obligations. The improvement from earlier negative free cash flow also indicates stronger earnings quality and supports financial resilience over the next several quarters.
Read all positive factors
T Mobile US Key Performance Indicators (KPIs)
Any
Customers by Type
Splits the customer base into postpaid, prepaid, wholesale, and IoT segments to show where growth and profitability originate. A rising share of postpaid and IoT customers tends to boost stable, higher‑margin revenue, while growing prepaid volume can lift subscriber counts but pressure ARPU and margins.
Splits the customer base into postpaid, prepaid, wholesale, and IoT segments to show where growth and profitability originate. A rising share of postpaid and IoT customers tends to boost stable, higher‑margin revenue, while growing prepaid volume can lift subscriber counts but pressure ARPU and margins.
Data provided by:
The Fly
The FlyT Mobile US (TMUS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$156.02B
Dividend Yield2.77%
Average Volume (3M)6.41M
Price to Earnings (P/E)14.2
Beta (1Y)0.35
Revenue Growth9.28%
EPS Growth-0.45%
CountryUS
Employees75,000
SectorCommunication Services
Sector Strength97
IndustryTelecommunications Services
Share Statistics
EPS (TTM)10.39
Shares Outstanding1,072,671,600
10 Day Avg. Volume6,544,005
30 Day Avg. Volume6,410,969
Financial Highlights & Ratios
PEG Ratio40.40
Price to Book (P/B)3.87
Price to Sales (P/S)2.59
P/FCF Ratio14.85
Enterprise Value/Market Cap1.84
Enterprise Value/Revenue3.06
Enterprise Value/Gross Profit5.62
Enterprise Value/Ebitda8.84
Forecast
1Y Price Target
$211.06Price Target Upside16.22% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering17
EPS Forecast (FY)10.92
Revenue Forecast (FY)$94.37B
T Mobile US Business Overview & Revenue Model
Company Description
T-Mobile US, Inc., alongside its subsidiaries, offers mobile telecommunications services across the United States, Puerto Rico, and the U.S. Virgin Islands. Catering to approximately 108.7 million subscribers, the company delivers essential voice,...
How the Company Makes Money
T-Mobile US primarily makes money by selling wireless and broadband connectivity to customers on recurring subscription plans, complemented by device sales and other service fees. The company’s largest revenue stream is service revenue from postpa...
T Mobile US Earnings Call Summary
Earnings Call Date:Oct 28, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:Feb 03, 2027
Earnings Call Sentiment Positive
The call was strongly positive. T-Mobile reported industry-leading subscriber, revenue, EBITDA, ARPA, broadband, and free cash flow performance, raised several full-year targets, highlighted continued network and digital execution, and expressed confidence in long-term opportunities including AI, 5G broadband, fiber, enterprise, and spectrum. The main challenges were declining wholesale and prepaid revenue, expected seasonal and rate-plan-related churn, Q4 promotional variability, and the need to monitor future uplink capacity, but these issues were explicitly incorporated into the company's outlook.Positive Updates
Strong Q3 Postpaid Account and Subscriber Growth
T-Mobile led the industry in postpaid phone net additions and 5G broadband net additions, contributing to 274,000 postpaid net account additions in Q3.
Negative Updates
Wholesale and Other Service Revenue Declines
The full-year service revenue outlook includes declines in the wholesale and other line, including a faster-than-expected roll-off of the Boost MVNO and TracFone-related revenue.
Read all updates
Q3-2026 Updates
Positive
Negative
Strong Q3 Postpaid Account and Subscriber Growth
T-Mobile led the industry in postpaid phone net additions and 5G broadband net additions, contributing to 274,000 postpaid net account additions in Q3.
Read all positive updates
Company Guidance
For full year 2026, T-Mobile now expects approximately 1 million account net additions, service revenues of approximately $76.8 billion, representing 8% growth for the full year, postpaid ARPA growth of approximately 3.5%, up from the previous expectation of 2.5% to 3%, Q4 postpaid organic service revenue growth of approximately 7% year-over-year, core adjusted EBITDA between $37.35 billion and $37.45 billion, up $100 million at the midpoint from the previous guide, cash CapEx of approximately $10 billion, and adjusted free cash flow between $18.7 billion and $18.8 billion, up $150 million at the midpoint from previous guidance; T-Mobile is tracking well ahead of the pace to reach 15 million customers by the end of the decade and is well on track towards its target of 3 million to 4 million fiber customers by 2030.T Mobile US Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
64
Positive
Cash Flow
82
Very Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 93.82B | 88.31B | 81.40B | 78.56B | 79.57B | 80.12B |
| Gross Profit | 51.06B | 42.07B | 51.75B | 48.37B | 43.37B | 43.51B |
| EBITDA | 32.45B | 31.31B | 31.04B | 27.15B | 20.16B | 23.08B |
| Net Income | 11.30B | 10.99B | 11.34B | 8.32B | 2.59B | 3.02B |
Balance Sheet | ||||||
| Total Assets | 213.10B | 219.24B | 208.03B | 207.68B | 211.34B | 206.56B |
| Cash, Cash Equivalents and Short-Term Investments | 5.62B | 5.60B | 5.41B | 5.13B | 4.51B | 6.63B |
| Total Debt | 114.62B | 122.27B | 114.40B | 113.83B | 111.79B | 108.82B |
| Total Liabilities | 156.80B | 160.03B | 146.29B | 142.97B | 141.68B | 137.46B |
| Stockholders Equity | 56.31B | 59.20B | 61.74B | 64.72B | 69.66B | 69.10B |
Cash Flow | ||||||
| Free Cash Flow | 16.08B | 15.43B | 9.98B | 7.75B | -520.00M | -7.78B |
| Operating Cash Flow | 28.72B | 27.95B | 22.29B | 18.56B | 16.78B | 13.92B |
| Investing Cash Flow | -8.04B | -17.61B | -9.07B | -5.83B | -12.36B | -19.39B |
| Financing Cash Flow | -18.00B | -10.08B | -12.81B | -12.10B | -6.45B | 1.71B |
T Mobile US Technical Analysis
Negative
181.61
Price Trends
167.50
Negative
174.10
Negative
185.63
Negative
Market Momentum
-5.51
Positive
36.98
Neutral
19.72
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TMUS, the sentiment is Negative. The current price of 181.61 is above the 20-day moving average (MA) of 156.17, above the 50-day MA of 167.50, and below the 200-day MA of 185.63, indicating a bearish trend. The MACD of -5.51 indicates Positive momentum. The RSI at 36.98 is Neutral, neither overbought nor oversold. The STOCH value of 19.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TMUS.
T Mobile US Risk Analysis
T Mobile US disclosed 27 risk factors in its most recent earnings report. T Mobile US reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
T Mobile US Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | $156.02B | 14.18 | 19.86% | 2.77% | 9.28% | -0.45% | |
69 Neutral | $73.69B | 14.86 | 22.21% | 2.46% | 15.97% | 39.45% | |
68 Neutral | $79.08B | 7.05 | 12.32% | 5.93% | -0.25% | -47.58% | |
66 Neutral | $180.97B | 11.14 | 15.73% | 6.44% | 1.38% | -16.44% | |
62 Neutral | $140.93B | 11.31 | 11.95% | 5.31% | 3.51% | -39.83% | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
54 Neutral | $19.20B | 2.79 | 30.43% | ― | -1.50% | 4.45% |
* Communication Services Sector Average
TMUS
T Mobile US
147.29
-58.41
-28.40%
AMX
America Movil
24.13
1.91
8.60%
T
AT&T
20.92
-2.70
-11.45%
CHTR
Charter Communications
109.00
-124.84
-53.39%
CMCSA
Comcast
22.27
-2.48
-10.02%
VZ
Verizon
43.66
6.40
17.17%
T Mobile US Corporate Events
Executive/Board Changes
T-Mobile US announces planned board leadership transition
Neutral
Oct 28, 2026
On October 26, 2026, T-Mobile US, Inc. disclosed that G. Michael Sievert had notified its Board of Directors of his decision to resign from the Board and its Transaction Committee, effective November 1, 2026. His departure coincides with the expir...
Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
T-Mobile US Announces CFO Succession and Leadership Transition
Positive
Sep 3, 2026
T-Mobile US announced on September 3, 2026 that longtime Chief Financial Officer Peter Osvaldik will retire in February 2027, then serve as a strategic advisor until his planned July 1, 2027 retirement date, as part of a staged leadership successi...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.