T-Mobile US (NASDAQ:TMUS) Stock Falls 6.9% – Time to Sell?

T-Mobile US, Inc. (NASDAQ:TMUS) was down 6.9% during mid-day trading on Friday. The stock traded as low as $147.88 and last traded at $147.8750. Approximately 5,349,472 shares were traded during trading, a decline of 5% from the average session volume of 5,652,503 shares. The stock had previously closed at $158.79.

Key Headlines Impacting T-Mobile US

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

• Positive Sentiment: Erste Group Bank modestly raised its fiscal 2027 EPS forecast for T-Mobile to $13.81 from $13.79, indicating slightly improved longer-term earnings expectations.
• Neutral Sentiment: Analysts expect T-Mobile’s third-quarter results to show continued subscriber additions, device-promotion activity and broadband growth. However, rising costs and intense competition could limit profitability. Can Healthy Revenue Growth Boost T-Mobile’s Q3 Earnings?
• Neutral Sentiment: Wall Street estimates for key third-quarter operating metrics provide a benchmark for the October 28 earnings release, with subscriber growth, service revenue and profitability likely to determine the stock’s next move. Ahead of T-Mobile Q3 Earnings
• Negative Sentiment: SpaceX is reportedly seeking access to at least 80,000 U.S. cell sites as it works toward becoming a fourth nationwide wireless carrier. The prospect of a well-funded competitor using satellite connectivity and leased tower capacity raises concerns about pricing pressure, customer losses and higher promotional spending for T-Mobile. T-Mobile Shares Lose Signal as SpaceX Seeks 80,000 Cell Sites
• Negative Sentiment: Citi said established wireless carriers, including T-Mobile, face additional valuation risk from SpaceX’s wireless expansion. SpaceX’s reported spectrum purchases and discussions with tower providers have intensified fears that competition could disrupt the U.S. wireless market. Wireless Stocks Face Valuation Pressure From SpaceX

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on TMUS shares. Moffett Nathanson raised their price objective on T-Mobile US from $242.00 to $246.00 and gave the company a “buy” rating in a research note on Tuesday, September 22nd. KeyCorp dropped their target price on T-Mobile US from $260.00 to $250.00 and set an “overweight” rating for the company in a report on Friday, July 24th. Bank of America upgraded T-Mobile US from a “neutral” rating to a “buy” rating and set a $220.00 price target on the stock in a research report on Monday, July 6th. Royal Bank Of Canada decreased their price target on T-Mobile US from $240.00 to $230.00 and set an “outperform” rating on the stock in a research note on Monday, July 20th. Finally, Wolfe Research reiterated a “peer perform” rating on shares of T-Mobile US in a research report on Friday, August 14th. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat.com, T-Mobile US currently has an average rating of “Moderate Buy” and an average price target of $244.65.

T-Mobile US Price Performance

The firm has a market cap of $157.94 billion, a PE ratio of 15.44, a price-to-earnings-growth ratio of 0.96 and a beta of 0.33. The company has a debt-to-equity ratio of 1.48, a current ratio of 0.92 and a quick ratio of 0.83. The firm has a 50-day simple moving average of $171.10 and a 200 day simple moving average of $180.85.

T-Mobile US (NASDAQ:TMUS) last released its earnings results on Thursday, July 23rd. The Wireless communications provider reported $2.99 EPS for the quarter, topping the consensus estimate of $2.59 by $0.40. T-Mobile US had a return on equity of 20.16% and a net margin of 11.45%. The business had revenue of $22.79 billion for the quarter, compared to the consensus estimate of $22.95 billion. During the same period in the previous year, the company posted $2.84 earnings per share. The company’s revenue for the quarter was up 7.9% compared to the same quarter last year. As a group, equities analysts expect that T-Mobile US, Inc. will post 11.17 EPS for the current year.

T-Mobile US Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Wednesday, November 25th will be paid a $1.17 dividend. This is a boost from T-Mobile US’s previous quarterly dividend of $1.02. This represents a $4.68 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date is Wednesday, November 25th. T-Mobile US’s dividend payout ratio (DPR) is presently 42.72%.

Insider Transactions at T-Mobile US

In related news, CAO Daniel James Drobac sold 772 shares of the firm’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 value of $137,670.76. Following the sale, the chief accounting officer owned 35,118 shares in the company, valued at approximately $6,262,592.94. This trade represents a 2.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 0.32% of the company’s stock.

Institutional Trading of T-Mobile US

Several large investors have recently modified their holdings of TMUS. Main Street Group LTD bought a new position in T-Mobile US in the first quarter valued at about $25,000. Paladin Partners LLC bought a new stake in shares of T-Mobile US during the 2nd quarter valued at about $25,000. Dunhill Financial LLC purchased a new stake in shares of T-Mobile US during the 2nd quarter valued at about $27,000. Highland Investment Advisors LLC purchased a new stake in shares of T-Mobile US during the 2nd quarter valued at about $30,000. Finally, Sachetta LLC lifted its stake 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 purchasing an additional 55 shares during the period. Institutional investors own 42.49% of the company’s stock.

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.