Brokers Offer Predictions for T-Mobile US FY2026 Earnings

Key Points

• Erste Group Bank trimmed T-Mobile US’s FY2026 EPS forecast to $10.88 from $10.90, below the $11.09 consensus estimate, while projecting FY2027 EPS of $13.79.
• Analyst sentiment remains favorable, with T-Mobile rated a “Moderate Buy” and an average price target of $244.65, despite several firms recently lowering their targets amid concerns about SpaceX’s potential satellite-to-mobile competition.
• T-Mobile reported quarterly EPS of $2.99, beating expectations, and increased its quarterly dividend to $1.17 per share, equivalent to a 3.1% annualized yield.

T-Mobile US, Inc. (NASDAQ:TMUS - Free Report) - Equities researchers at Erste Group Bank dropped their FY2026 earnings per share estimates for T-Mobile US in a report released on Thursday, October 8th. Erste Group Bank analyst H. Engel now forecasts that the Wireless communications provider will post earnings per share of $10.88 for the year, down from their prior estimate of $10.90. The consensus estimate for T-Mobile US's current full-year earnings is $11.09 per share. Erste Group Bank also issued estimates for T-Mobile US's FY2027 earnings at $13.79 EPS.

A number of other analysts have also weighed in on the stock. Moffett Nathanson upped their target price on shares of T-Mobile US from $242.00 to $246.00 and gave the stock a "buy" rating in a research note on Tuesday, September 22nd. KeyCorp reduced their target price on shares of T-Mobile US from $260.00 to $250.00 and set an "overweight" rating on the stock in a report on Friday, July 24th. UBS Group decreased their price target on shares of T-Mobile US from $255.00 to $235.00 and set a "buy" rating for the company in a research note on Friday, July 24th. Barclays lowered their price target on shares of T-Mobile US from $215.00 to $200.00 and set an "overweight" rating for the company in a report on Tuesday, September 29th. Finally, The Goldman Sachs Group dropped their price objective on shares of T-Mobile US from $230.00 to $211.00 and set a "buy" rating on the stock in a research report on Friday, September 25th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat, T-Mobile US currently has an average rating of "Moderate Buy" and an average target price of $244.65.

T-Mobile US Stock Performance

Shares of TMUS opened at $151.87 on Tuesday. The stock has a 50-day simple moving average of $174.52 and a 200-day simple moving average of $183.74. The company has a debt-to-equity ratio of 1.48, a quick ratio of 0.83 and a current ratio of 0.92. The stock has a market capitalization of $162.91 billion, a PE ratio of 15.90, a PEG ratio of 0.93 and a beta of 0.33. T-Mobile US has a 1 year low of $147.90 and a 1 year high of $230.65.

T-Mobile US (NASDAQ:TMUS - Get Free Report) last issued its quarterly earnings results on Thursday, July 23rd. The Wireless communications provider reported $2.99 earnings per share for the quarter, topping the consensus estimate of $2.59 by $0.40. The company had revenue of $22.79 billion for the quarter, compared to the consensus estimate of $22.95 billion. T-Mobile US had a return on equity of 20.16% and a net margin of 11.45%. T-Mobile US's revenue was up 7.9% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.84 EPS.

T-Mobile US Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Wednesday, November 25th will be given a dividend of $1.17 per share. The ex-dividend date of this dividend is Wednesday, November 25th. This represents a $4.68 annualized dividend and a dividend yield of 3.1%. This is an increase from T-Mobile US's previous quarterly dividend of $1.02. T-Mobile US's payout ratio is currently 42.72%.

Insider Activity

In other news, CAO Daniel James Drobac sold 772 shares of the stock in a transaction dated Thursday, September 10th. The stock was sold at an average price of $178.33, for a total value of $137,670.76. Following the transaction, the chief accounting officer owned 35,118 shares in the company, valued at approximately $6,262,592.94. This represents a 2.15% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.32% of the company's stock.

Institutional Investors Weigh In On T-Mobile US

Several institutional investors have recently added to or reduced their stakes in TMUS. Main Street Group LTD acquired a new position in shares of T-Mobile US in the 1st quarter valued at $25,000. Paladin Partners LLC acquired a new stake in shares of T-Mobile US during the 2nd quarter worth $25,000. Dunhill Financial LLC acquired a new stake in shares of T-Mobile US during the 2nd quarter worth $27,000. Highland Investment Advisors LLC acquired a new stake in shares of T-Mobile US during the 2nd quarter worth $30,000. Finally, Sachetta LLC raised its position in shares of T-Mobile US by 52.9% in the 1st quarter. Sachetta LLC now owns 159 shares of the Wireless communications provider's stock worth $33,000 after buying an additional 55 shares during the period. Hedge funds and other institutional investors own 42.49% of the company's stock.

More T-Mobile US News

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

• Positive Sentiment: Raymond James upgraded T-Mobile to “Outperform” from “Market Perform” and set a $170 price target, implying meaningful upside from the recent trading level. The firm said concerns about SpaceX’s threat to incumbent wireless carriers are overstated. Raymond James upgrades T-Mobile US to outperform from market perform
• Positive Sentiment: T-Mobile recovered part of its record one-day decline, with market commentary pointing to the Raymond James upgrade and the view that Starlink’s wireless push may take time to become a material competitive threat. T-Mobile rebounds after record drop on Starlink spectrum move
• Positive Sentiment: Investor commentary continues to highlight TMUS’s relatively low forward valuation, strong cash flow, approximately 3% dividend yield and potential for double-digit earnings growth over the long term. Two dividend growers with long-term upside potential
• Neutral Sentiment: Erste Group made only minor changes to its forecasts: FY2026 EPS was reduced to $10.88 from $10.90, while FY2027 EPS was raised to $13.79 from $13.76. The adjustments provide little new information, though the 2027 increase is modestly supportive.
• Negative Sentiment: SpaceX’s spectrum acquisition has increased uncertainty across the wireless industry, prompting Morningstar to raise its uncertainty rating for T-Mobile, Verizon and AT&T to “High.” Other analysts have also cut price targets because of potential satellite-to-mobile competition. Telecom stocks tumble after SpaceX spectrum deal
• Negative Sentiment: Reports that T-Mobile may limit certain customer discounts and perks under new phone plans could raise concerns about customer reaction and competitive positioning. T-Mobile plans to limit customer discounts with new phone plans

About T-Mobile US

T-Mobile US, Inc is a wireless communications company that provides mobile voice, messaging, and data services to consumers, businesses, and government customers in the United States. Its offerings include wireless plans, smartphones, connected devices, accessories, and related services, supported by a nationwide cellular network.

The company also provides fixed wireless broadband and other internet services for households, as well as wireless connectivity, networking, and communications solutions for businesses and public-sector organizations.

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