Erste Group Bank Boosts Earnings Estimates for T-Mobile US

Key Points

• Erste Group Bank raised T-Mobile US’s FY2026 EPS forecast to $10.90 from $10.88, though the estimate remains below the $11.17 analyst consensus.
• T-Mobile US’s latest quarter beat earnings expectations, reporting $2.99 EPS versus $2.59 expected, while revenue reached $22.79 billion and rose 7.9% year over year.
• The company increased its quarterly dividend to $1.17 per share, implying a $4.68 annual payout and a 3.2% yield; analysts collectively maintain a “Moderate Buy” rating with an average price target of $242.21.

T-Mobile US, Inc. (NASDAQ:TMUS - Free Report) - Investment analysts at Erste Group Bank lifted their FY2026 earnings estimates for T-Mobile US in a report released on Wednesday, October 21st. Erste Group Bank analyst H. Engel now expects that the Wireless communications provider will post earnings per share of $10.90 for the year, up from their previous forecast of $10.88. The consensus estimate for T-Mobile US's current full-year earnings is $11.17 per share.

T-Mobile US (NASDAQ:TMUS - Get Free Report) last released its 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 business had revenue of $22.79 billion for the quarter, compared to the consensus estimate of $22.95 billion. T-Mobile US had a net margin of 11.45% and a return on equity of 20.16%. The firm's quarterly revenue was up 7.9% compared to the same quarter last year. During the same period last year, the firm posted $2.84 earnings per share.

TMUS has been the topic of several other reports. KeyCorp lowered their price objective on shares of T-Mobile US from $260.00 to $250.00 and set an "overweight" rating on the stock in a research report on Friday, July 24th. Wells Fargo & Company reduced their target price on T-Mobile US from $170.00 to $169.00 and set an "equal weight" rating for the company in a report on Friday, July 24th. Morgan Stanley decreased their target price on T-Mobile US from $260.00 to $230.00 and set an "overweight" rating for the company in a research report on Tuesday, July 7th. Barclays lowered their price target on T-Mobile US from $215.00 to $200.00 and set an "overweight" rating on the stock in a report on Tuesday, September 29th. Finally, TD Cowen lowered their price target on T-Mobile US from $261.00 to $260.00 and set a "buy" rating on the stock in a report on Friday, July 24th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, T-Mobile US currently has an average rating of "Moderate Buy" and an average target price of $242.21.

T-Mobile US Price Performance

Shares of NASDAQ:TMUS opened at $146.54 on Monday. The firm has a 50 day simple moving average of $170.37 and a 200 day simple moving average of $180.48. T-Mobile US has a 52 week low of $146.32 and a 52 week high of $224.75. 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 company has a market cap of $157.19 billion, a PE ratio of 15.34, a price-to-earnings-growth ratio of 0.91 and a beta of 0.33.

T-Mobile US Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Wednesday, November 25th will be issued a dividend of $1.17 per share. This is an increase from T-Mobile US's previous quarterly dividend of $1.02. This represents a $4.68 annualized dividend and a dividend yield of 3.2%. The ex-dividend date is Wednesday, November 25th. T-Mobile US's dividend payout ratio is 42.72%.

Insider Activity at T-Mobile US

In related news, CAO Daniel James Drobac sold 772 shares of the business's stock in a transaction that occurred on Thursday, September 10th. The shares were sold at an average price of $178.33, for a total transaction of $137,670.76. Following the transaction, the chief accounting officer directly owned 35,118 shares of the company's stock, valued at approximately $6,262,592.94. The trade was a 2.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Corporate insiders own 0.32% of the company's stock.

Institutional Investors Weigh In On T-Mobile US

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Essex Financial Services Inc. boosted its stake in T-Mobile US by 3.5% in the 1st quarter. Essex Financial Services Inc. now owns 1,551 shares of the Wireless communications provider's stock worth $326,000 after purchasing an additional 53 shares during the period. Sachetta LLC grew its holdings in T-Mobile US by 52.9% during the 1st quarter. Sachetta LLC now owns 159 shares of the Wireless communications provider's stock valued at $33,000 after buying an additional 55 shares in the last quarter. Legacy Wealth Asset Management LLC grew its holdings in T-Mobile US by 1.2% during the 2nd quarter. Legacy Wealth Asset Management LLC now owns 4,844 shares of the Wireless communications provider's stock valued at $812,000 after buying an additional 56 shares in the last quarter. Harbor Investment Advisory LLC increased its position in shares of T-Mobile US by 2.6% during the first quarter. Harbor Investment Advisory LLC now owns 2,351 shares of the Wireless communications provider's stock valued at $494,000 after buying an additional 60 shares during the period. Finally, Heartland Bank & Trust Co increased its position in shares of T-Mobile US by 3.5% during the first quarter. Heartland Bank & Trust Co now owns 1,841 shares of the Wireless communications provider's stock valued at $387,000 after buying an additional 62 shares during the period. Hedge funds and other institutional investors own 42.49% of the company's stock.

Trending Headlines about T-Mobile US

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

• Positive Sentiment: Erste Group Bank modestly increased its fiscal 2027 EPS forecast for T-Mobile US to $13.81 from $13.79, signaling slightly improved confidence in the company’s longer-term earnings outlook. Erste Group Bank raises T-Mobile EPS estimate
• Neutral Sentiment: T-Mobile’s third-quarter results are due October 28. Analysts expect subscriber additions, broadband growth and device promotions to support revenue, although higher expenses and aggressive competition could limit profitability. T-Mobile third-quarter earnings preview
• Negative Sentiment: SpaceX is reportedly negotiating with cellular infrastructure providers for thousands of tower locations after acquiring additional mobile spectrum. Its potential launch of a fourth national wireless carrier could increase pricing pressure, customer-acquisition costs and network investment requirements for T-Mobile. Why T-Mobile US stock dropped
• Negative Sentiment: Citigroup reportedly sees further valuation pressure for established wireless carriers, while tower operators could benefit from SpaceX leasing network infrastructure. This relative advantage for tower companies reinforced concerns about T-Mobile’s competitive position. Citi commentary on SpaceX wireless expansion

T-Mobile US Company Profile

T-Mobile US, Inc NASDAQ: TMUS is a wireless communications company that provides mobile voice, messaging and data services to consumers, businesses and government customers in the United States, Puerto Rico and the U.S. Virgin Islands. Its offerings include postpaid and prepaid wireless plans, connected devices, broadband internet and other communications services.

The company operates a nationwide wireless network, including 5G services, and sells smartphones, tablets, connected devices and related accessories through retail stores, online channels and third-party distributors.

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