T-Mobile US, Inc. (TMUS) AI Stock Analysis

T-Mobile US, Inc. provides mobile communications services across the United States, Puerto Rico, and the United States Virgin Islands. Founded in 1994 and headquartered in Bellevue, Washington, the company serves postpaid and prepaid markets with voice, messaging, and data services, alongside wholesale wireless connectivity for businesses and carriers. T-Mobile also markets wireless devices such as smartphones, wearables, and tablets through its flagship T-Mobile brand and Metro by T-Mobile. Distribution occurs through company-owned retail stores, customer care channels, third-party retail outlets, and online platforms.

T-Mobile grew revenue from $80.12B in FY2021 to $88.31B in FY2025, achieving a 5-year revenue CAGR of 5.2%. Net income increased from $3.02B in FY2021 to $10.99B in FY2025, while EPS climbed from $2.57 to $10.14. Operating margin expanded from 8.6% in FY2021 to 21.2% in FY2025, though gross margin fell to 47.6% in FY2025 from 63.6% in FY2024. For the latest quarter ended June 30, 2026, quarterly revenue grew 7.9% year-over-year and quarterly earnings rose 5.3%. Trailing twelve months revenue stands at $92.19B with net profit margin at 11.5%.

As of June 30, 2026, T-Mobile held $2.83B in cash and short-term investments against $116.00B in total debt, yielding net debt of $113.17B. Shareholders' equity was $56.27B, resulting in a debt-to-equity ratio of 2.06 and a current ratio of 0.92. In FY2025, operating cash flow reached $27.95B, funding capital expenditures of $9.96B, share buybacks of $9.97B, and dividends paid of $4.12B. Over five years, the company's share count was reduced by 13.7%.

T-Mobile trades at a trailing P/E of 16.6x and a forward P/E of 11.7x, both below the median of its Nasdaq-100 Communication Services peers at 20.5x and 21.9x, respectively. Its enterprise value of $294.31B translates to an EV/EBITDA of 9.1x, compared to the peer median of 14.9x. The stock has dropped 28.3% over the past year, underperforming the S&P 500 (SPY) gain of 16.8%. Over five years, the stock returned 42.3% versus 83.0% for the S&P 500.

T-Mobile pays a quarterly dividend with an annual forward dividend of $4.68, reflecting a dividend yield of 2.94%. The payout ratio is 40.6%, and the company has paid dividends for 4 consecutive years. Its last ex-dividend date is November 25, 2026.

Wall Street analysts hold 14 Strong Buy, 9 Buy, and 4 Hold ratings on TMUS, with no Sell or Strong Sell ratings. The mean price target is $236.84, representing a 48.9% premium over the last close of $159.10. For the fiscal year ending December 31, 2026, analysts estimate revenue of $94.33B and EPS of $10.95. The company beat EPS estimates in 3 of the last 4 quarters, and the next earnings date is October 28, 2026.

This page is an AI-written research summary of T-Mobile US, Inc. (TMUS). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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