Erste Group Bank Predicts Weaker Earnings for T-Mobile US

Key Points

• Erste Group Bank trimmed its FY2026 EPS estimate for T-Mobile US to $10.45 from $10.47, slightly below the broader consensus forecast of $10.53 per share.
• T-Mobile recently reported better-than-expected quarterly results, posting EPS of $2.27 versus estimates of $2.01 and revenue of $23.11 billion, with revenue up 10.6% year over year.
• Wall Street remains mostly positive on the stock, with multiple firms maintaining buy-type ratings even as some price targets were cut; the consensus target is about $254.96.

T-Mobile US, Inc. (NASDAQ:TMUS - Free Report) - Equities researchers at Erste Group Bank dropped their FY2026 EPS estimates for shares of T-Mobile US in a note issued to investors on Wednesday, July 15th. Erste Group Bank analyst H. Engel now forecasts that the Wireless communications provider will earn $10.45 per share for the year, down from their prior forecast of $10.47. The consensus estimate for T-Mobile US's current full-year earnings is $10.53 per share. Erste Group Bank also issued estimates for T-Mobile US's FY2027 earnings at $13.52 EPS.

T-Mobile US (NASDAQ:TMUS - Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The Wireless communications provider reported $2.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.01 by $0.26. T-Mobile US had a net margin of 11.65% and a return on equity of 19.47%. The company had revenue of $23.11 billion during the quarter, compared to analyst estimates of $22.98 billion. During the same period last year, the business earned $2.58 EPS. T-Mobile US's quarterly revenue was up 10.6% compared to the same quarter last year.

Other analysts also recently issued research reports about the company. Scotiabank cut their price target on T-Mobile US from $263.00 to $243.00 and set a "sector outperform" rating on the stock in a research note on Wednesday. DZ Bank reissued a "buy" rating on shares of T-Mobile US in a report on Wednesday, May 6th. UBS Group cut their target price on T-Mobile US from $300.00 to $255.00 and set a "buy" rating on the stock in a research note on Monday, June 22nd. Deutsche Bank Aktiengesellschaft reduced their price target on 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, Oppenheimer raised T-Mobile US from a "market perform" rating to an "outperform" rating and set a $260.00 price target for the company in a research report on Wednesday, April 29th. One 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. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $254.96.

T-Mobile US Price Performance

Shares of NASDAQ TMUS opened at $192.85 on Friday. The company has a 50 day simple moving average of $184.95 and a two-hundred day simple moving average of $196.28. T-Mobile US has a fifty-two week low of $165.66 and a fifty-two week high of $261.56. The company has a market capitalization of $208.70 billion, a price-to-earnings ratio of 20.52, a P/E/G ratio of 1.11 and a beta of 0.33. The company has a debt-to-equity ratio of 1.58, a quick ratio of 0.97 and a current ratio of 1.09.

T-Mobile US Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Friday, August 28th will be paid a dividend of $1.02 per share. This represents a $4.08 annualized dividend and a yield of 2.1%. The ex-dividend date is Friday, August 28th. T-Mobile US's dividend payout ratio (DPR) is currently 43.40%.

Insider Buying and Selling at T-Mobile US

In related news, insider Michael J. Katz sold 5,000 shares of the stock in a transaction on Friday, May 1st. The stock was sold at an average price of $195.81, for a total transaction of $979,050.00. Following the sale, the insider directly owned 181,930 shares of the company's stock, valued at $35,623,713.30. This trade represents a 2.67% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Andre Almeida purchased 5,097 shares of the company's stock in a transaction dated Friday, May 1st. The shares were bought at an average cost of $196.18 per share, for a total transaction of $999,929.46. Following the acquisition, the insider owned 44,850 shares in the company, valued at approximately $8,798,673. The trade was a 12.82% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Company insiders own 0.32% of the company's stock.

Institutional Investors Weigh In On T-Mobile US

Several institutional investors and hedge funds have recently added to or reduced their stakes in TMUS. Main Street Group LTD bought a new position in shares of T-Mobile US during the 1st quarter valued at $25,000. JDM Financial Group LLC increased its position in T-Mobile US by 114.0% during the fourth quarter. JDM Financial Group LLC now owns 122 shares of the Wireless communications provider's stock valued at $25,000 after acquiring an additional 65 shares during the last quarter. Swiss RE Ltd. bought a new position in T-Mobile US in the fourth quarter valued at about $29,000. Turning Point Benefit Group Inc. lifted its holdings in T-Mobile US by 3,825.0% in the fourth quarter. Turning Point Benefit Group Inc. now owns 157 shares of the Wireless communications provider's stock valued at $32,000 after acquiring an additional 153 shares during the period. Finally, Sachetta LLC boosted its position in T-Mobile US by 52.9% in the first quarter. Sachetta LLC now owns 159 shares of the Wireless communications provider's stock worth $33,000 after purchasing an additional 55 shares during the last quarter. Hedge funds and other institutional investors own 42.49% of the company's stock.

T-Mobile US News Summary

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

• Positive Sentiment: KeyCorp raised several of its earnings estimates for T-Mobile US, including FY2026 and FY2027, and kept an Overweight rating with a $260 price target, signaling confidence in the company’s longer-term earnings power.
• Positive Sentiment: Earlier Wall Street commentary continues to frame T-Mobile as a relatively attractive value stock, which may be helping offset some near-term caution.
• Neutral Sentiment: Analysts and media reports note that T-Mobile is approaching its upcoming earnings release, with attention on subscriber trends, margins, and guidance rather than any single major new catalyst. Analysts Estimate T-Mobile (TMUS) to Report a Decline in Earnings: What to Look Out for
• Neutral Sentiment: Scotiabank trimmed its price target to $243 from $263 but maintained a Sector Outperform rating, suggesting only a modest reassessment rather than a bearish shift.
• Negative Sentiment: Some coverage flags the possibility of an earnings decline in the upcoming report, which could make investors more cautious ahead of results.
• Negative Sentiment: Analyst concerns around competitive pressure, including potential risks from Starlink and spectrum valuation debate, have led to a modest cut in fair value estimates and may be weighing on sentiment. T Mobile (TMUS) Stock Sees Modest Fair Value Cut As Starlink Risks Shape Analyst Views

About T-Mobile US

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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