Bellevue, Washington-based T-Mobile US, Inc. (TMUS) provides mobile communications services. Valued at $159.4 billion by market cap, the company offers wireless voice, messaging, and data services. The leading telco operator is expected to announce its fiscal third-quarter earnings for 2026 after the market closes on Wednesday, Oct. 28.
Ahead of the event, analysts expect T-Mobile to report a profit of $2.86 per share on a diluted basis, up 10.4% from $2.59 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports.
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For the full year, analysts expect T-Mobile to report EPS of $11.09, up 9.2% from $10.16 in fiscal 2025. Its EPS is expected to rise 21.3% year over year to $13.45 in fiscal 2027.
www.barchart.comTMUS stock has notably underperformed the S&P 500 Index’s ($SPX) 16% gains over the past 52 weeks, with shares down 34.3% during this period. Similarly, it underperformed the State Street Communication Services Select Sector SPDR ETF’s (XLC) 4% losses over the same time frame.
www.barchart.comTMUS underperformed due to investor concerns over decelerating subscriber growth, heightened promotional competition from Verizon Communications Inc. (VZ) and AT&T Inc. (T), and strategic friction from migrating legacy customers onto pricier plans. Additionally, heavy capital commitments toward joint ventures and fiber expansion, elevated smartphone costs impacting margins, and emerging overhangs around satellite-to-cellular capabilities have weighed on valuation multiples despite solid earnings beats.
On Jul. 23, TMUS shares tumbled over 10% after reporting its Q2 results. Its adjusted EPS of $3.13 exceeded Wall Street expectations of $2.49. The company’s revenue was $22.8 billion, exceeding Wall Street forecasts of $22.7 billion.
Analysts’ consensus opinion on TMUS stock is bullish, with a “Strong Buy” rating overall. Out of 30 analysts covering the stock, 20 advise a “Strong Buy” rating, three suggest a “Moderate Buy,” and seven give a “Hold.” TMUS’ average analyst price target is $241.82, indicating an ambitious potential upside of 62.8% from the current levels.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.