T-Mobile US (NASDAQ:TMUS) Shares Gap Down Following Insider Selling

Key Points

• T-Mobile US shares experienced a significant gap down prior to trading on Monday, opening at $241.13, down from a previous close of $252.76.
• Analysts have mixed ratings for T-Mobile US, with consensus indicating a Moderate Buy with a price target average of $258.02 following recent upgrades from several firms.
• The company reported better-than-expected quarterly earnings, with $2.84 earnings per share compared to the forecast of $2.69, along with revenue of $21.13 billion.

T-Mobile US, Inc. (NASDAQ:TMUS - Get Free Report)'s stock price gapped down prior to trading on Monday after an insider sold shares in the company. The stock had previously closed at $252.76, but opened at $241.13. T-Mobile US shares last traded at $243.61, with a volume of 1,961,362 shares trading hands.

Specifically, Director Telekom Ag Deutsche sold 69,840 shares of the firm's stock in a transaction that occurred on Monday, September 8th. The shares were sold at an average price of $243.47, for a total transaction of $17,003,944.80. Following the completion of the sale, the director directly owned 635,084,444 shares in the company, valued at approximately $154,624,009,580.68. This trade represents a 0.01% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Telekom Ag Deutsche sold 69,840 shares of the firm's stock in a transaction that occurred on Thursday, September 4th. The stock was sold at an average price of $252.94, for a total transaction of $17,665,329.60. Following the sale, the director owned 635,293,964 shares of the company's stock, valued at $160,691,255,254.16. The trade was a 0.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. In related news, Director Telekom Ag Deutsche sold 69,840 shares of the firm's stock in a transaction that occurred on Tuesday, September 2nd. The shares were sold at an average price of $256.44, for a total transaction of $17,909,769.60. Following the completion of the sale, the director directly owned 635,433,644 shares in the company, valued at approximately $162,950,603,667.36. This trade represents a 0.01% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website.

Analysts Set New Price Targets

Several equities research analysts recently commented on TMUS shares. Arete Research upgraded shares of T-Mobile US to a "strong-buy" rating in a research report on Tuesday, July 8th. JPMorgan Chase & Co. upped their price target on shares of T-Mobile US from $270.00 to $280.00 and gave the company an "overweight" rating in a research report on Thursday, July 24th. The Goldman Sachs Group started coverage on shares of T-Mobile US in a research report on Tuesday, September 2nd. They issued a "buy" rating and a $286.00 price target for the company. KeyCorp restated an "underweight" rating and issued a $200.00 price target on shares of T-Mobile US in a research report on Wednesday, July 9th. Finally, Wall Street Zen downgraded shares of T-Mobile US from a "buy" rating to a "hold" rating in a research report on Saturday, May 24th. Three analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating, twelve have issued a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $258.02.

T-Mobile US Trading Up 0.1%

The company has a current ratio of 1.21, a quick ratio of 1.13 and a debt-to-equity ratio of 1.33. The company has a market cap of $272.04 billion, a PE ratio of 22.80, a P/E/G ratio of 1.32 and a beta of 0.61. The business's 50-day simple moving average is $243.25 and its 200-day simple moving average is $246.75.

T-Mobile US (NASDAQ:TMUS - Get Free Report) last released its earnings results on Wednesday, July 23rd. The Wireless communications provider reported $2.84 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.69 by $0.15. T-Mobile US had a net margin of 14.53% and a return on equity of 19.68%. The company had revenue of $21.13 billion during the quarter, compared to the consensus estimate of $20.99 billion. During the same quarter in the prior year, the firm earned $2.49 EPS. The company's revenue was up 6.9% compared to the same quarter last year. As a group, analysts expect that T-Mobile US, Inc. will post 10.37 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of TMUS. Focus Partners Wealth raised its holdings in shares of T-Mobile US by 7.4% during the 4th quarter. Focus Partners Wealth now owns 11,785 shares of the Wireless communications provider's stock valued at $2,635,000 after purchasing an additional 808 shares in the last quarter. Raiffeisen Bank International AG bought a new position in shares of T-Mobile US during the 4th quarter valued at $2,027,000. Rafferty Asset Management LLC raised its holdings in shares of T-Mobile US by 4.1% during the 4th quarter. Rafferty Asset Management LLC now owns 100,635 shares of the Wireless communications provider's stock valued at $22,213,000 after purchasing an additional 3,961 shares in the last quarter. Sora Investors LLC bought a new position in shares of T-Mobile US during the 4th quarter valued at $9,867,000. Finally, Sig Brokerage LP bought a new position in shares of T-Mobile US during the 4th quarter valued at $2,994,000. Institutional investors own 42.49% of the company's stock.

About T-Mobile US

T-Mobile US, Inc, together with its subsidiaries, provides mobile communications services in the United States, Puerto Rico, and the United States Virgin Islands. The company offers voice, messaging, and data services to customers in the postpaid, prepaid, and wholesale and other services. It also provides wireless devices, including smartphones, wearables, tablets, home broadband routers, and other mobile communication devices, as well as wireless devices and accessories; financing through equipment installment plans; reinsurance for device insurance policies and extended warranty contracts; leasing through JUMP! On Demand; and High Speed Internet services.