Barclays Has Lowered Expectations for T-Mobile US (NASDAQ:TMUS) Stock Price

Key Points

• Barclays lowered its price target on T-Mobile US from $245 to $230 while keeping an overweight rating, implying about 24.5% upside from the current share price.
• T-Mobile’s recent quarterly results were solid: it posted $2.27 EPS versus the $2.01 consensus and revenue of $23.11 billion, both ahead of estimates. Revenue also rose 10.6% year over year.
• Analyst sentiment remains constructive overall, with an average Moderate Buy rating and a consensus target of $255.76, even as several firms trimmed their targets recently.

T-Mobile US (NASDAQ:TMUS - Get Free Report) had its target price decreased by equities research analysts at Barclays from $245.00 to $230.00 in a report released on Wednesday,Benzinga reports. The brokerage currently has an "overweight" rating on the Wireless communications provider's stock. Barclays's price target would indicate a potential upside of 24.51% from the company's current price.

Other research analysts also recently issued reports about the company. Sanford C. Bernstein reaffirmed a "neutral" rating on shares of T-Mobile US in a research note on Wednesday, April 22nd. Morgan Stanley lowered their target price on T-Mobile US from $260.00 to $230.00 and set an "overweight" rating on the stock in a research report on Tuesday. Bank of America upgraded shares of T-Mobile US from a "neutral" rating to a "buy" rating and set a $220.00 price target for the company in a research note on Monday. Deutsche Bank Aktiengesellschaft reduced their price objective on shares of T-Mobile US from $300.00 to $285.00 and set a "buy" rating for the company in a report on Thursday, April 30th. Finally, DZ Bank reaffirmed a "buy" rating on shares of T-Mobile US in a research report on Wednesday, May 6th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $255.76.

T-Mobile US Stock Up 1.6%

Shares of NASDAQ TMUS opened at $184.73 on Wednesday. The company has a quick ratio of 0.97, a current ratio of 1.09 and a debt-to-equity ratio of 1.58. The firm has a market cap of $199.91 billion, a PE ratio of 19.65, a P/E/G ratio of 1.06 and a beta of 0.33. The company's fifty day simple moving average is $185.74 and its 200 day simple moving average is $196.87. T-Mobile US has a 12-month low of $165.66 and a 12-month high of $261.56.

T-Mobile US (NASDAQ:TMUS - Get Free Report) last announced its quarterly earnings data on Tuesday, April 28th. The Wireless communications provider reported $2.27 earnings per share for the quarter, beating the consensus estimate of $2.01 by $0.26. The firm had revenue of $23.11 billion for the quarter, compared to analyst estimates of $22.98 billion. T-Mobile US had a net margin of 11.65% and a return on equity of 19.47%. The business's quarterly revenue was up 10.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.58 earnings per share. As a group, sell-side analysts forecast that T-Mobile US will post 10.65 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other T-Mobile US news, insider Andre Almeida bought 5,097 shares of the business's stock in a transaction dated Friday, May 1st. The shares were purchased at an average price of $196.18 per share, for a total transaction of $999,929.46. Following the purchase, the insider directly owned 44,850 shares of the company's stock, valued at approximately $8,798,673. This represents a 12.82% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, COO Jon Freier sold 4,799 shares of the company's stock in a transaction that occurred on Thursday, May 21st. The shares were sold at an average price of $190.00, for a total value of $911,810.00. Following the completion of the transaction, the chief operating officer directly owned 217,168 shares of the company's stock, valued at approximately $41,261,920. This represents a 2.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.32% of the company's stock.

Institutional Investors Weigh In On T-Mobile US

A number of hedge funds have recently made changes to their positions in the business. Lansforsakringar Fondforvaltning AB publ increased its stake in shares of T-Mobile US by 14.6% in the first quarter. Lansforsakringar Fondforvaltning AB publ now owns 187,373 shares of the Wireless communications provider's stock worth $39,354,000 after purchasing an additional 23,836 shares in the last quarter. Quilter Plc raised its position in shares of T-Mobile US by 7.8% in the fourth quarter. Quilter Plc now owns 465,838 shares of the Wireless communications provider's stock valued at $94,584,000 after purchasing an additional 33,813 shares during the period. Thrivent Financial for Lutherans lifted its stake in shares of T-Mobile US by 16.7% during the 4th quarter. Thrivent Financial for Lutherans now owns 98,469 shares of the Wireless communications provider's stock valued at $20,010,000 after buying an additional 14,110 shares in the last quarter. Los Angeles Capital Management LLC lifted its stake in shares of T-Mobile US by 32.7% during the 4th quarter. Los Angeles Capital Management LLC now owns 296,083 shares of the Wireless communications provider's stock valued at $62,370,000 after buying an additional 72,922 shares in the last quarter. Finally, CSM Advisors LLC boosted its holdings in T-Mobile US by 62.3% in the 3rd quarter. CSM Advisors LLC now owns 123,378 shares of the Wireless communications provider's stock worth $29,533,000 after buying an additional 47,356 shares during the period. 42.49% of the stock is currently owned by institutional investors.

T-Mobile US News Summary

Here are the key news stories impacting T-Mobile US this week:

• Positive Sentiment: Bank of America upgraded T-Mobile US (TMUS) to Buy and raised its price target to $220, signaling confidence in the stock’s upside after recent weakness. T-Mobile US NASDAQ: TMUS Rating Increased to Buy at Bank of America
• Positive Sentiment: Morgan Stanley reiterated an Overweight view, though it trimmed its target to $230, still implying meaningful upside versus the current share price. T-Mobile US had its price target lowered by Morgan Stanley
• Positive Sentiment: T-Mobile announced Chris Sambar as Chief Enterprise Officer, a move aimed at expanding its SMB, enterprise, and government businesses and supporting future growth. T-Mobile Appoints Chris Sambar Chief Enterprise Officer and Evolves Leadership Team
• Positive Sentiment: Analyst and media commentary continues to highlight T-Mobile’s relative strength versus telecom peers, including limited exposure to low-Earth-orbit competition and potential benefits from Dish Network’s bankruptcy. T-Mobile stands to benefit as rival files Chapter 11 bankruptcy
• Neutral Sentiment: Some articles frame T-Mobile as a top telecom idea or suggest it may be undervalued, but these are largely commentary pieces rather than new company-specific catalysts. T Mobile US (TMUS) Could Be 30% Below Fair Value Following Dish Bankruptcy
• Neutral Sentiment: Market discussion around legacy plan migrations and broader telecom competition points to a mix of revenue opportunities and churn risk, but the near-term stock impact is unclear. How T-Mobile US’ Legacy Plan Migration Balances Revenue Growth Against Customer Churn Risk
• Neutral Sentiment: BofA also noted T-Mobile’s strategic value and limited Starlink exposure, reinforcing a relatively favorable sector setup without adding a major new catalyst. T-Mobile US has High Strategic Partnership Value and Pricing Flexibility, BofA Says

T-Mobile US Company Profile

T-Mobile US is a national wireless carrier that provides mobile voice, messaging and data services to consumers, businesses and wholesale customers across the United States, Puerto Rico and the U.S. Virgin Islands. The company operates a nationwide mobile network and offers device sales, equipment financing and support services through retail stores, online channels and distribution partners. T-Mobile positions its products around bundled service plans, device offerings and value-added features for both individual and enterprise customers.

Product offerings include postpaid and prepaid wireless plans under the T-Mobile and Metro by T-Mobile brands, as well as connectivity solutions for small and large businesses.

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