T-Mobile (TMUS) closed the most recent trading day at $106.17, moving -0.41% from the previous trading session. This change was narrower than the S&P 500’s 0.56% loss on the day. At the same time, the Dow lost 1.39%, and the tech-heavy Nasdaq gained 0.53%.
Prior to today’s trading, shares of the wireless carrier had gained 0.78% over the past month. This has lagged the Computer and Technology sector’s gain of 5.97% and outpaced the S&P 500’s loss of 1.79% in that time.
Investors will be hoping for strength from TMUS as it approaches its next earnings release. The company is expected to report EPS of $0.35, down 72.87% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $17.28 billion, up 57.41% from the year-ago period.
TMUS’s full-year Zacks Consensus Estimates are calling for earnings of $1.71 per share and revenue of $68.11 billion. These results would represent year-over-year changes of -57.46% and +51.35%, respectively.
Investors should also note any recent changes to analyst estimates for TMUS. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 23.04% higher. TMUS is currently a Zacks Rank #1 (Strong Buy).
Digging into valuation, TMUS currently has a Forward P/E ratio of 62.25. This represents a premium compared to its industry’s average Forward P/E of 27.13.
Meanwhile, TMUS’s PEG ratio is currently 3.29. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. TMUS’s industry had an average PEG ratio of 2.56 as of yesterday’s close.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 48, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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TMobile US, Inc. (TMUS) : Free Stock Analysis Report
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