Demystifying T-Mobile US: Insights From 11 Analyst Reviews

During the last three months, 11 analysts shared their evaluations of T-Mobile US TMUS, revealing diverse outlooks from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 4 7 0 0 0
Last 30D 0 1 0 0 0
1M Ago 2 3 0 0 0
2M Ago 1 2 0 0 0
3M Ago 1 1 0 0 0

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $183.45, with a high estimate of $200.00 and a low estimate of $168.00. Observing a 4.32% increase, the current average has risen from the previous average price target of $175.86.

price target chart

Understanding Analyst Ratings: A Comprehensive Breakdown

An in-depth analysis of recent analyst actions unveils how financial experts perceive T-Mobile US. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Simon Flannery Morgan Stanley Raises Overweight $186.00 $180.00
Matthew Harrigan Benchmark Maintains Buy $200.00 -
Ric Prentiss Raymond James Raises Strong Buy $185.00 $180.00
Brandon Nispel Keybanc Lowers Overweight $175.00 $183.00
Eric Luebchow Wells Fargo Raises Overweight $185.00 $175.00
Bora Lee RBC Capital Maintains Outperform $168.00 -
Timothy Horan Oppenheimer Maintains Outperform $190.00 -
John Hodulik UBS Raises Buy $186.00 $180.00
Eric Luebchow Wells Fargo Raises Overweight $175.00 $170.00
Matthew Harrigan Benchmark Maintains Buy $200.00 -
Bora Lee RBC Capital Raises Outperform $168.00 $163.00

Key Insights:

  • Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to T-Mobile US. This information offers a snapshot of how analysts perceive the current state of the company.
  • Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of T-Mobile US compared to the broader market.
  • Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of T-Mobile US's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on T-Mobile US analyst ratings.

About T-Mobile US

Deutsche Telekom merged its T-Mobile USA unit with prepaid specialist MetroPCS in 2013, creating T-Mobile us. Following the merger, the firm provided nationwide service in major markets but spottier coverage elsewhere. T-Mobile spent aggressively on low-frequency spectrum, well suited to broad coverage, and has substantially expanded its geographic footprint. This expansion, coupled with aggressive marketing and innovative offerings, produced rapid customer growth. With the Sprint acquisition, the firm's scale now roughly matches its larger rivals: T-Mobile now serves 73 million postpaid and 21 million prepaid phone customers, equal to around 30% of the U.S. retail wireless market. In addition, the firm provides wholesale service to resellers.

Unraveling the Financial Story of T-Mobile US

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: T-Mobile US displayed positive results in 3 months. As of 31 December, 2023, the company achieved a solid revenue growth rate of approximately 6.37%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Communication Services sector.

Net Margin: T-Mobile US's net margin is impressive, surpassing industry averages. With a net margin of 9.83%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): T-Mobile US's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 3.11%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): T-Mobile US's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.97%, the company showcases efficient use of assets and strong financial health.

Debt Management: T-Mobile US's debt-to-equity ratio is below the industry average. With a ratio of 1.75, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Analyst Ratings: Simplified

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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