T-MOBILE US INC (TM5.DE) Stock Fundamental Analysis
Europe - FRA:TM5 - US8725901040 - Common Stock
196.28 EUR
-1.9 (-0.96%)
TM5 gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 6 industry peers in the Wireless Telecommunication Services industry. TM5 has an excellent profitability rating, but there are concerns on its financial health. TM5 is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
TM5 had positive earnings in the past year.
TM5 had a positive operating cash flow in the past year.
In the past 5 years TM5 has always been profitable.
TM5 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TM5's Return On Assets of 5.74% is amongst the best of the industry. TM5 outperforms 83.33% of its industry peers.
TM5 has a better Return On Equity (19.99%) than 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 7.77%, TM5 belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TM5 is in line with the industry average of 6.64%.
The last Return On Invested Capital (7.77%) for TM5 is above the 3 year average (6.22%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.74% | ||
| ROE | 19.99% | ||
| ROIC | 7.77% |
ROA(3y)3.56%
ROA(5y)2.74%
ROE(3y)11.65%
ROE(5y)8.8%
ROIC(3y)6.22%
ROIC(5y)5.29%
1.3 Margins
Looking at the Profit Margin, with a value of 14.53%, TM5 belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Profit Margin of TM5 has grown nicely.
Looking at the Operating Margin, with a value of 23.08%, TM5 belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of TM5 has grown nicely.
TM5 has a better Gross Margin (63.61%) than 83.33% of its industry peers.
In the last couple of years the Gross Margin of TM5 has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.08% | ||
| PM (TTM) | 14.53% | ||
| GM | 63.61% |
OM growth 3Y21.03%
OM growth 5Y9.44%
PM growth 3Y54.54%
PM growth 5Y12.57%
GM growth 3Y3.8%
GM growth 5Y1.56%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TM5 is destroying value.
TM5 has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, TM5 has more shares outstanding
The debt/assets ratio for TM5 is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.86 indicates that TM5 is not a great score, but indicates only limited risk for bankruptcy at the moment.
TM5 has a Altman-Z score of 1.86. This is comparable to the rest of the industry: TM5 outperforms 50.00% of its industry peers.
The Debt to FCF ratio of TM5 is 7.20, which is on the high side as it means it would take TM5, 7.20 years of fcf income to pay off all of its debts.
TM5 has a Debt to FCF ratio of 7.20. This is in the lower half of the industry: TM5 underperforms 66.67% of its industry peers.
TM5 has a Debt/Equity ratio of 1.33. This is a high value indicating a heavy dependency on external financing.
TM5 has a worse Debt to Equity ratio (1.33) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | 7.2 | ||
| Altman-Z | 1.86 |
ROIC/WACC0.96
WACC8.11%
2.3 Liquidity
TM5 has a Current Ratio of 1.21. This is a normal value and indicates that TM5 is financially healthy and should not expect problems in meeting its short term obligations.
TM5's Current ratio of 1.21 is in line compared to the rest of the industry. TM5 outperforms 50.00% of its industry peers.
TM5 has a Quick Ratio of 1.13. This is a normal value and indicates that TM5 is financially healthy and should not expect problems in meeting its short term obligations.
TM5 has a Quick ratio (1.13) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
TM5 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 32.83%, which is quite impressive.
TM5 shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.13% yearly.
The Revenue has been growing slightly by 6.27% in the past year.
TM5 shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.59% yearly.
EPS 1Y (TTM)32.83%
EPS 3Y58.9%
EPS 5Y19.13%
EPS Q2Q%14.06%
Revenue 1Y (TTM)6.27%
Revenue growth 3Y0.53%
Revenue growth 5Y12.59%
Sales Q2Q%6.88%
3.2 Future
The Earnings Per Share is expected to grow by 16.62% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.51% on average over the next years.
EPS Next Y14.19%
EPS Next 2Y16.6%
EPS Next 3Y16.97%
EPS Next 5Y16.62%
Revenue Next Year8.05%
Revenue Next 2Y7.03%
Revenue Next 3Y6.33%
Revenue Next 5Y5.51%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.43, which indicates a rather expensive current valuation of TM5.
The rest of the industry has a similar Price/Earnings ratio as TM5.
When comparing the Price/Earnings ratio of TM5 to the average of the S&P500 Index (27.34), we can say TM5 is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 17.27, the valuation of TM5 can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TM5 is on the same level as its industry peers.
TM5 is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.43 | ||
| Fwd PE | 17.27 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TM5 is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
TM5's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. TM5 is more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.71 | ||
| EV/EBITDA | 10.43 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
TM5 has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as TM5's earnings are expected to grow with 16.97% in the coming years.
PEG (NY)1.51
PEG (5Y)1.12
EPS Next 2Y16.6%
EPS Next 3Y16.97%
5. Dividend
5.1 Amount
TM5 has a Yearly Dividend Yield of 1.62%.
Compared to an average industry Dividend Yield of 2.92, TM5 pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.44, TM5 is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
5.2 History
The dividend of TM5 is nicely growing with an annual growth rate of 111.33%!
Dividend Growth(5Y)111.33%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
30.87% of the earnings are spent on dividend by TM5. This is a low number and sustainable payout ratio.
The dividend of TM5 is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP30.87%
EPS Next 2Y16.6%
EPS Next 3Y16.97%
FRA:TM5 (10/13/2025, 7:00:00 PM)
196.28
-1.9 (-0.96%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners39.36%
Inst Owner ChangeN/A
Ins Owners0.38%
Ins Owner ChangeN/A
Market Cap220.90B
Analysts76.22
Price Target236.21 (20.34%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
Yearly Dividend2.44
Dividend Growth(5Y)111.33%
DP30.87%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.49%
Min EPS beat(2)2.7%
Max EPS beat(2)4.27%
EPS beat(4)4
Avg EPS beat(4)5.67%
Min EPS beat(4)2.7%
Max EPS beat(4)10.04%
EPS beat(8)7
Avg EPS beat(8)2.97%
EPS beat(12)11
Avg EPS beat(12)70.16%
EPS beat(16)15
Avg EPS beat(16)69.14%
Revenue beat(2)0
Avg Revenue beat(2)-1.06%
Min Revenue beat(2)-1.44%
Max Revenue beat(2)-0.68%
Revenue beat(4)1
Avg Revenue beat(4)-0.68%
Min Revenue beat(4)-1.44%
Max Revenue beat(4)0.63%
Revenue beat(8)2
Avg Revenue beat(8)-0.83%
Revenue beat(12)2
Avg Revenue beat(12)-1.67%
Revenue beat(16)2
Avg Revenue beat(16)-2.12%
PT rev (1m)-0.09%
PT rev (3m)-1.5%
EPS NQ rev (1m)-4.27%
EPS NQ rev (3m)-4.49%
EPS NY rev (1m)-0.61%
EPS NY rev (3m)1.85%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)1.2%
Revenue NY rev (1m)0.55%
Revenue NY rev (3m)1.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.43 | ||
| Fwd PE | 17.27 | ||
| P/S | 3.04 | ||
| P/FCF | 20.71 | ||
| P/OCF | 10.01 | ||
| P/B | 4.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.43 |
EPS(TTM)9.16
EY4.67%
EPS(NY)11.36
Fwd EY5.79%
FCF(TTM)9.48
FCFY4.83%
OCF(TTM)19.61
OCFY9.99%
SpS64.56
BVpS46.93
TBVpS-38.95
PEG (NY)1.51
PEG (5Y)1.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.74% | ||
| ROE | 19.99% | ||
| ROCE | 10.18% | ||
| ROIC | 7.77% | ||
| ROICexc | 8.21% | ||
| ROICexgc | 21.63% | ||
| OM | 23.08% | ||
| PM (TTM) | 14.53% | ||
| GM | 63.61% | ||
| FCFM | 14.68% |
ROA(3y)3.56%
ROA(5y)2.74%
ROE(3y)11.65%
ROE(5y)8.8%
ROIC(3y)6.22%
ROIC(5y)5.29%
ROICexc(3y)6.39%
ROICexc(5y)5.46%
ROICexgc(3y)16.31%
ROICexgc(5y)13.76%
ROCE(3y)8.33%
ROCE(5y)7.1%
ROICexcg growth 3Y22.86%
ROICexcg growth 5Y6.74%
ROICexc growth 3Y20.69%
ROICexc growth 5Y2.1%
OM growth 3Y21.03%
OM growth 5Y9.44%
PM growth 3Y54.54%
PM growth 5Y12.57%
GM growth 3Y3.8%
GM growth 5Y1.56%
F-Score8
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | 7.2 | ||
| Debt/EBITDA | 2.54 | ||
| Cap/Depr | 104.31% | ||
| Cap/Sales | 15.69% | ||
| Interest Coverage | 5.13 | ||
| Cash Conversion | 79.67% | ||
| Profit Quality | 101.01% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 1.86 |
F-Score8
WACC8.11%
ROIC/WACC0.96
Cap/Depr(3y)102.13%
Cap/Depr(5y)103.35%
Cap/Sales(3y)16.88%
Cap/Sales(5y)18.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)32.83%
EPS 3Y58.9%
EPS 5Y19.13%
EPS Q2Q%14.06%
EPS Next Y14.19%
EPS Next 2Y16.6%
EPS Next 3Y16.97%
EPS Next 5Y16.62%
Revenue 1Y (TTM)6.27%
Revenue growth 3Y0.53%
Revenue growth 5Y12.59%
Sales Q2Q%6.88%
Revenue Next Year8.05%
Revenue Next 2Y7.03%
Revenue Next 3Y6.33%
Revenue Next 5Y5.51%
EBIT growth 1Y19.54%
EBIT growth 3Y21.67%
EBIT growth 5Y23.21%
EBIT Next Year89.72%
EBIT Next 3Y30.47%
EBIT Next 5Y19.99%
FCF growth 1Y220.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y48.99%
OCF growth 3Y17.01%
OCF growth 5Y26.71%