Don't Judge T-Mobile US on Technicals Alone - Check Its Fundamentals!

By Kim Brooks • Wednesday, December 06 12:14 • Permanent Link

T-Mobile US logged a 0.5% change during today's afternoon session, and is now trading at a price of $154.76 per share. The S&P 500 index moved 0.0%. TMUS's trading volume is 1,123,233 compared to the stock's average volume of 4,558,438.

T-Mobile US trades -13.19% away from its average analyst target price of $178.27 per share. The 28 analysts following the stock have set target prices ranging from $118.49 to $235.0, and on average have given T-Mobile US a rating of buy.

Anyone interested in buying TMUS should be aware of the facts below:

T-Mobile US's current price is 65.8% above its Graham number of $93.32, which implies that at its current valuation it does not offer a margin of safety
T-Mobile US has moved 4.0% over the last year, and the S&P 500 logged a change of 17.0%
Based on its trailing earnings per share of 6.44, T-Mobile US has a trailing 12 month Price to Earnings (P/E) ratio of 24.0 while the S&P 500 average is 15.97
TMUS has a forward P/E ratio of 15.6 based on its forward 12 month price to earnings (EPS) of $9.95 per share
The company has a price to earnings growth (PEG) ratio of 0.32 — a number near or below 1 signifying that T-Mobile US is fairly valued compared to its estimated growth potential
Its Price to Book (P/B) ratio is 2.78 compared to its sector average of 3.46
T-Mobile US, Inc., together with its subsidiaries, provides mobile communications services in the United States, Puerto Rico, and the United States Virgin Islands.
Based in Bellevue, the company has 71,000 full time employees and a market cap of $178.98 Billion. T-Mobile US currently returns an annual dividend yield of 0.4%.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.