T-Mobile US (NASDAQ:TMUS) Stock Price Up 5.5% on Analyst Upgrade

Key Points

• T-Mobile US shares rose about 5.5% after Scotiabank raised its price target from $212 to $214 and maintained a sector outperform rating.
• The company exceeded third-quarter expectations, reporting adjusted EPS of $3.22 and revenue of $23.58 billion, while raising its 2026 service-revenue, EBITDA and free-cash-flow outlook.
• Analysts generally remain bullish, with MarketBeat assigning a “Moderate Buy” consensus and an average price target of $238.25, though rising churn, competitive threats and mixed valuation views remain risks.

T-Mobile US, Inc. (NASDAQ:TMUS - Get Free Report)'s share price was up 5.5% during mid-day trading on Friday after Scotiabank raised their price target on the stock from $212.00 to $214.00. Scotiabank currently has a sector outperform rating on the stock. T-Mobile US traded as high as $156.14 and last traded at $155.4070. 2,200,571 shares changed hands during trading, a decline of 61% from the average daily volume of 5,688,939 shares. The stock had previously closed at $147.29.

TMUS has been the topic of several other research reports. Barclays cut their target price on T-Mobile US from $215.00 to $200.00 and set an "overweight" rating on the stock in a research note on Tuesday, September 29th. Benchmark reduced their price objective on shares of T-Mobile US from $295.00 to $280.00 and set a "buy" rating on the stock in a research note on Friday, July 24th. Weiss Ratings reiterated a "hold (c)" rating on shares of T-Mobile US in a research note on Friday, September 11th. Wells Fargo & Company dropped their price objective on shares of T-Mobile US from $170.00 to $169.00 and set an "equal weight" rating for the company in a research note on Friday, July 24th. Finally, Moffett Nathanson upped their price target on T-Mobile US from $242.00 to $246.00 and gave the company a "buy" rating in a research report on Tuesday, September 22nd. One equities research analyst has rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and six have issued a Hold rating to the company's stock. According to data from MarketBeat, T-Mobile US currently has an average rating of "Moderate Buy" and an average price target of $238.25.

Insiders Place Their Bets

In other T-Mobile US news, CAO Daniel James Drobac sold 772 shares of the company's 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 directly owned 35,118 shares in the company, valued at $6,262,592.94. This represents a 2.15% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 0.32% of the company's stock.

T-Mobile US News Roundup

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

• Positive Sentiment: Q3 results exceeded expectations. T-Mobile reported adjusted EPS of $3.22 versus the $2.89 consensus and revenue of $23.58 billion versus $23.15 billion, with revenue up 7.4% year over year. Net income increased 27% to approximately $3.5 billion. T-Mobile US earnings report
• Positive Sentiment: Management raised its outlook. Strong service revenue, premium-plan adoption and higher average revenue per account led T-Mobile to increase its 2026 service-revenue forecast to about $76.8 billion and raise full-year EBITDA and free-cash-flow expectations. Postpaid account revenue growth guidance rose to 3.5%. T-Mobile raises free cash flow forecast
• Positive Sentiment: Several analysts still see substantial upside. Scotiabank raised its target to $214, while JPMorgan, KeyCorp and TD Cowen maintained bullish ratings despite lowering their targets. A new customizable “T-Mix” plan structure and initiatives involving AI at the network edge could support longer-term differentiation. T-Mobile pushes physical AI to the edge
• Neutral Sentiment: Valuation is attracting debate. Commentary argues TMUS may still trade below fair value following its selloff, with valuation around 6.5 times revenue in some analyses. However, Deutsche Bank cut its target to $200 and Citigroup reduced its target to $165 while adopting a neutral rating. T-Mobile stock fair value analysis
• Negative Sentiment: Execution and competitive risks remain. Account churn rose to 1.09% from 0.97%, while free-cash-flow growth benefited partly from $369 million less capital spending; fourth-quarter capital expenditures are expected to increase to about $2.4 billion. T-Mobile’s refusal to pursue an MVNO partnership with SpaceX also leaves open the risk of future satellite or terrestrial competition, while reports that Deutsche Telekom paused merger discussions remove a potential catalyst. T-Mobile CEO quashes SpaceX MVNO talk

Institutional Trading of T-Mobile US

Institutional investors and hedge funds have recently bought and sold shares of the stock. Oregon Public Employees Retirement Fund grew its holdings in shares of T-Mobile US by 3.7% in the 3rd quarter. Oregon Public Employees Retirement Fund now owns 59,341 shares of the Wireless communications provider's stock worth $9,677,000 after acquiring an additional 2,109 shares during the period. Summit Wealth Group LLC Co. acquired a new position in T-Mobile US in the third quarter valued at $1,006,000. MBA Advisors LLC acquired a new stake in shares of T-Mobile US in the third quarter worth approximately $261,000. TSG Advice Partners LLC purchased a new stake in shares of T-Mobile US during the 3rd quarter valued at $575,000. Finally, Trek Financial LLC raised its holdings in shares of T-Mobile US by 36.2% in the 3rd quarter. Trek Financial LLC now owns 14,549 shares of the Wireless communications provider's stock worth $2,373,000 after purchasing an additional 3,863 shares during the period. 42.49% of the stock is currently owned by hedge funds and other institutional investors.

T-Mobile US Trading Up 5.7%

The firm's 50 day simple moving average is $167.62 and its 200-day simple moving average is $187.12. The company has a quick ratio of 0.83, a current ratio of 0.92 and a debt-to-equity ratio of 1.48. The company has a market capitalization of $166.96 billion, a PE ratio of 14.97, a P/E/G ratio of 0.94 and a beta of 0.33.

T-Mobile US (NASDAQ:TMUS - Get Free Report) last released its quarterly earnings results on Wednesday, October 28th. The Wireless communications provider reported $3.22 earnings per share for the quarter, topping analysts' consensus estimates of $2.89 by $0.33. T-Mobile US had a net margin of 12.05% and a return on equity of 21.39%. The business had revenue of $23.58 billion during the quarter, compared to the consensus estimate of $23.15 billion. During the same quarter last year, the company earned $2.41 earnings per share. The business's quarterly revenue was up 7.4% compared to the same quarter last year. As a group, equities research analysts anticipate that T-Mobile US, Inc. will post 10.94 EPS for the current year.

T-Mobile US Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Wednesday, November 25th will be paid a $1.17 dividend. The ex-dividend date of this dividend is Wednesday, November 25th. This represents a $4.68 dividend on an annualized basis and a yield of 3.0%. This is a positive change from T-Mobile US's previous quarterly dividend of $1.02. T-Mobile US's dividend payout ratio (DPR) is 45.17%.

About T-Mobile US

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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