T-Mobile (TMUS) Stock Moves -0.53%: What You Should Know
In the latest trading session, T-Mobile (TMUS) closed at $111.78, marking a -0.53% move from the previous day. This change was narrower than the S&P 500's 1.86% loss on the day. Meanwhile, the Dow lost 2.3%, and the Nasdaq, a tech-heavy index, lost 1.64%.
Heading into today, shares of the wireless carrier had gained 1.66% over the past month, lagging the Computer and Technology sector's gain of 9.23% and the S&P 500's gain of 7.63% in that time.
Wall Street will be looking for positivity from TMUS as it approaches its next earnings report date. This is expected to be November 5, 2020. On that day, TMUS is projected to report earnings of $0.54 per share, which would represent a year-over-year decline of 53.45%. Our most recent consensus estimate is calling for quarterly revenue of $18.30 billion, up 65.44% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.91 per share and revenue of $68.50 billion. These totals would mark changes of -52.49% and +52.24%, respectively, from last year.
Any recent changes to analyst estimates for TMUS should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. The Zacks Consensus EPS estimate has moved 0.62% higher within the past month. TMUS currently has a Zacks Rank of #3 (Hold).
In terms of valuation, TMUS is currently trading at a Forward P/E ratio of 58.78. This represents a premium compared to its industry's average Forward P/E of 27.43.
Investors should also note that TMUS has a PEG ratio of 4.47 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Wireless National was holding an average PEG ratio of 3.97 at yesterday's closing price.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 123, which puts it in the top 49% 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.
To follow TMUS in the coming trading sessions, be sure to utilize Zacks.com.
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TMobile US, Inc. (TMUS): Free Stock Analysis Report
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