About T-Mobile US, Inc.
T-Mobile US, Inc. (TMUS) is a Communication Services company in the Radiotelephone Communications industry with a market capitalisation of $197.4B. The stock trades at 19.09x trailing earnings and yields 2.24%.
- Sector
- Communication Services
- Industry
- Radiotelephone Communications
- Market cap
- $197.4B
- P/E ratio
- 19.09
- EPS (TTM)
- $9.72
- Revenue (TTM)
- $88.3B
- Free cash flow
- $18B
- Profit margin
- 12.4%
- Dividend yield
- 2.24%
- Shares outstanding
- 1.1B
Financial health: Fair6/10
5 strengths, 3 concerns. Weakest points: debt to equity, current ratio, earnings growth.
- Debt to equity: 1.46 (Concern, benchmark < 0.5) — Debt of 1.46x equity is high against the 0.5x benchmark. It has deteriorated over the last 4 years.
- Net debt vs cash flow: 4.5y (Watch, benchmark < 4 years) — Net debt of $80.7B is 4.5x annual free cash flow — about 4 years of cash flow to repay.
- Current ratio: 1.00 (Concern, benchmark > 1.5) — Short-term assets cover only 1.00x short-term liabilities — below 1.0, meaning bills due this year exceed the assets on hand to pay them. It has improved over the last 4 years.
- Return on equity: 18.6% (Strong, benchmark > 15%) — Earns 18.6% on shareholder equity, comfortably past the > 15% mark.
- Gross margin: 62.2% (Strong, benchmark > 40%) — Keeps 62.2% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 12.4% (Strong, benchmark > 10%) — Turns 12.4% of revenue into profit, comfortably past the > 10% mark.
- Free cash flow: $18.0B (Strong, benchmark positive) — Generated $18.0B of free cash flow after capital spending. It has improved over the last 4 years.
- Revenue growth: 8.5% (Watch, benchmark > 10%) — Revenue changed 8.5% year on year, short of the > 10% mark.
- Earnings growth: -3.1% (Concern, benchmark > 10%) — Earnings changed -3.1% year on year, well short of the > 10% mark.
- Payout ratio: 37.5% (Strong, benchmark < 60%) — Pays out 37.5% of earnings as dividends, leaving room to keep paying.