Barclays Issues Pessimistic Forecast for T-Mobile US (NASDAQ:TMUS) Stock Price

Key Points

• Barclays cut its price target on T-Mobile US from $230 to $215 while keeping an overweight rating, implying about 19.9% upside from the current share price.
• Analyst sentiment remains mostly positive overall, with the stock carrying a consensus “Moderate Buy” rating and a consensus target price of $252.96 despite some recent target reductions.
• T-Mobile reported strong quarterly results, beating EPS estimates at $2.99 versus $2.59 expected and raising its full-year free cash flow outlook, even though revenue came in slightly below forecasts.

T-Mobile US (NASDAQ:TMUS - Get Free Report) had its price objective dropped by equities research analysts at Barclays from $230.00 to $215.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm currently has an "overweight" rating on the Wireless communications provider's stock. Barclays's price objective would suggest a potential upside of 19.92% from the stock's current price.

TMUS has been the topic of several other research reports. Freedom Capital raised shares of T-Mobile US from a "hold" rating to a "strong-buy" rating in a research report on Friday, April 17th. TD Cowen boosted their target price on shares of T-Mobile US from $252.00 to $261.00 and gave the stock a "buy" rating in a research report on Wednesday, April 29th. Deutsche Bank Aktiengesellschaft dropped their price target on shares of T-Mobile US from $300.00 to $285.00 and set a "buy" rating on the stock in a research note on Thursday, April 30th. JPMorgan Chase & Co. restated a "buy" rating on shares of T-Mobile US in a report on Tuesday, May 19th. Finally, Arete Research lifted their price objective on shares of T-Mobile US from $295.00 to $300.00 and gave the company a "buy" rating in a research note on Tuesday, May 5th. One research analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $252.96.

T-Mobile US Stock Up 5.2%

NASDAQ TMUS traded up $8.87 on Friday, reaching $179.29. The stock had a trading volume of 1,617,252 shares, compared to its average volume of 5,855,367. The company has a current ratio of 1.09, a quick ratio of 0.97 and a debt-to-equity ratio of 1.58. T-Mobile US has a 1 year low of $165.66 and a 1 year high of $261.56. The business has a 50 day moving average price of $184.63 and a 200 day moving average price of $195.77. The company has a market capitalization of $194.02 billion, a price-to-earnings ratio of 19.08, a P/E/G ratio of 1.13 and a beta of 0.33.

T-Mobile US (NASDAQ:TMUS - Get Free Report) last posted its quarterly earnings results on Thursday, July 23rd. The Wireless communications provider reported $2.99 earnings per share for the quarter, topping analysts' consensus estimates of $2.59 by $0.40. The company had revenue of $22.79 billion during the quarter, compared to the consensus estimate of $22.95 billion. T-Mobile US had a return on equity of 19.47% and a net margin of 11.65%.The business's quarterly revenue was up 7.9% on a year-over-year basis. During the same period last year, the business earned $2.84 EPS. On average, analysts forecast that T-Mobile US will post 10.53 EPS for the current fiscal year.

Insider Buying and Selling at T-Mobile US

In other news, insider Michael J. Katz sold 5,000 shares of the business's stock in a transaction on Friday, May 1st. The shares were sold at an average price of $195.81, for a total value of $979,050.00. Following the completion of the sale, the insider directly owned 181,930 shares in the company, valued at approximately $35,623,713.30. The trade was a 2.67% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Andre Almeida acquired 5,097 shares of the firm's stock in a transaction that occurred on Friday, May 1st. The shares were purchased at an average cost of $196.18 per share, with a total value of $999,929.46. Following the completion of the acquisition, the insider owned 44,850 shares in the company, valued at $8,798,673. This trade represents a 12.82% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 0.32% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of TMUS. CYBER HORNET ETFs LLC increased its holdings in T-Mobile US by 3.8% in the 3rd quarter. CYBER HORNET ETFs LLC now owns 1,319 shares of the Wireless communications provider's stock worth $316,000 after buying an additional 48 shares in the last quarter. Meeder Asset Management Inc. lifted its stake in T-Mobile US by 16.2% during the 4th quarter. Meeder Asset Management Inc. now owns 351 shares of the Wireless communications provider's stock valued at $71,000 after acquiring an additional 49 shares during the period. Wellspring Financial Advisors LLC lifted its stake in T-Mobile US by 4.3% during the 4th quarter. Wellspring Financial Advisors LLC now owns 1,273 shares of the Wireless communications provider's stock valued at $259,000 after acquiring an additional 52 shares during the period. Tcfg Wealth Management LLC boosted its holdings in shares of T-Mobile US by 5.6% during the 3rd quarter. Tcfg Wealth Management LLC now owns 999 shares of the Wireless communications provider's stock valued at $239,000 after acquiring an additional 53 shares during the last quarter. Finally, Essex Financial Services Inc. boosted its holdings in shares of T-Mobile US by 3.5% during the 1st quarter. Essex Financial Services Inc. now owns 1,551 shares of the Wireless communications provider's stock valued at $326,000 after acquiring an additional 53 shares during the last quarter. Institutional investors and hedge funds own 42.49% of the company's stock.

Key Headlines Impacting T-Mobile US

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

• Positive Sentiment: T-Mobile beat Q2 earnings estimates, with EPS of $2.99 versus $2.59 expected, helped by strong postpaid service revenue and customers moving to higher-priced premium plans. Reuters article
• Positive Sentiment: The company raised its full-year adjusted free cash flow outlook and continued buying back stock, which supports valuation and signals management confidence. Yahoo Finance article
• Positive Sentiment: Several analysts still rate TMUS favorably despite trimming price targets, with Benchmark and KeyCorp maintaining Buy/Overweight-type ratings after the quarter. Benzinga article
• Neutral Sentiment: T-Mobile’s Q2 revenue came in slightly below expectations, which is weighing on the stock even though profitability improved. Barron’s article
• Neutral Sentiment: Coverage remains constructive overall, with analysts averaging a “Moderate Buy” view after the earnings release. American Banking News article
• Negative Sentiment: Investor concern appears centered on slower subscriber gains and the revenue shortfall overshadowing the earnings beat, leading to a post-earnings selloff in TMUS. Yahoo Finance article

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.