Tigress Financial Partners analyst raised the price target on shares of T-Mobile US, (NASDAQ: NASDAQ:TMUS) to $280.00 while maintaining a Buy rating.
The firm believes that T-Mobile's continued expansion and operational strategies will lead to increased business performance, return on capital, and long-term shareholder value, with the potential for over a 15% return including dividends at the new target price.
The company's P/E ratio of 27.89 reflects its growth potential, while its beta of 0.5 indicates lower volatility compared to the broader market. For deeper insights into T-Mobile's valuation metrics and growth prospects, investors can access the full Pro Research Report available exclusively on InvestingPro, offering comprehensive analysis of what really matters for informed investment decisions.
The company's focus on innovation is evident through a multi-year partnership with OpenAI, aiming to build an AI-powered customer support platform. T-Mobile's 5G network has been recognized as the best in the world for the fourth consecutive year, and it continues to expand its Voice over New Radio (VoNR) coverage, now reaching over 300 million Americans.
The collaboration with SpaceX Starlink to provide satellite-based cell service is another step in T-Mobile's strategy to enhance its industry-leading 5G coverage. This innovative approach aims to create space-based cell towers that will work with existing mobile phones without the need for specialized equipment.
In other recent news, T-Mobile US has experienced a flurry of analyst activity. Raymond (NS:RYMD) James has downgraded the company's stock from Outperform to Market Perform, highlighting the stock's recent price surge and suggesting a more cautious stance.
In contrast, Bernstein SocGen Group maintained its Outperform rating and $220.00 price target for T-Mobile, emphasizing the company's strong performance, including service revenue and core adjusted EBITDA exceeding consensus estimates.
Furthermore, Oppenheimer increased T-Mobile's price target to $250, surpassing their estimate of 4.9%, and Scotiabank (TSX:BNS) raised its price target for T-Mobile from $236.00 to $237.00, following the company's announcement of a robust quarter. Benchmark also raised the price target for T-Mobile to $255, in response to strong third-quarter results and positive guidance revisions.
These recent developments come after T-Mobile's impressive revenue growth and subscriber additions, with the company adding 315,000 new postpaid accounts in the quarter. The company also saw a significant addition of 865,000 postpaid phone net subscribers, exceeding expectations. These achievements underscore T-Mobile's robust operational results and its potential for continued growth in the telecommunications industry.
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