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T-Mobile Debuts Industry's Narrowband IoT Service Across US

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T-Mobile US, Inc. (TMUS - Free Report) recently announced that it has launched Narrowband Internet of Things (NB-IoT) service across the United States. Notably, it is the first wireless provider to launch NB-IoT in the nation and the first in the world to launch NB-IoT in the guard bands for optimal efficiency. Also, it was the first to trial NB-IoT in the nation last year. In addition, the company announced its new partner program — T-Mobile CONNECT — to help IoT solution providers join forces and bring their products and services to market.

NB-IoT Benefits

NB-IoT is an evolution of LTE technology. Built on the 3GPP standard, it is a low power wide area network LTE-Advanced technology that provides a pathway to 5G IoT. It offers many benefits like low power usage, long battery life and low device cost. It is ideal for smart applications that track high value assets, optimize utilization of equipment and help ensure safety and compliance in fleet management, waste management and energy utility monitoring.

By incorporating NB-IoT in the guard bands, T-Mobile can now use spectrum resources more efficiently and IoT applications don’t have to compete with other data traffic for network resources. The company has collaborated with tech giants to deploy nationwide NB-IoT, laying the foundation for the 5G future.

T-Mobile’s NB-IoT plan comes at $6 a year. The company delivers services through its subsidiaries and operates its flagship brands, T-Mobile and MetroPCS. Its advanced 4G LTE network provides seamless wireless experiences to 74 million customers nationwide.

In order to stay ahead of its competitors, T-Mobile's innovative network expansion methodologies continue to be faster and technologically sounder. The company plans to use its 600 MHz spectrum holdings to deploy America’s first nationwide 5G network expected by 2020.

Top Line Performance

We believe that the company’s innovative service offerings will continue driving its top line, which experienced a compound annual growth rate (CAGR) of 11.8% from 2015 to 2017.



Bottom Line Performance

T-Mobile’s adjusted earnings per share recorded a CAGR of 65.3% from 2015 to 2017, making it attractive to growth investors.



Share Price Performance

Coming to shareholders’ returns, the stock has rallied 33% against the industry’s decline of 14.6% in the past two years.



Zacks Rank & Stocks to Consider

T-Mobile currently has a Zacks Rank #3 (Hold). Better-ranked stocks in the industry include Comtech Telecommunications Corp. (CMTL - Free Report) , Micron Technology, Inc. (MU - Free Report) and Windstream Holdings, Inc. . While Comtech and Micron sport a Zacks Rank #1 (Strong Buy), Windstream carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.              

Comtech has a long-term earnings growth expectation of 5%. It beat earnings estimates in each of the trailing four quarters, the average being 123.7%.         

Micron has a long-term earnings growth expectation of 8.2%. It beat earnings estimates in each of the trailing four quarters, the average being 5.9%.  

Windstream has exceeded earnings estimates twice in the trailing four quarters with an average positive surprise of 23.9%.

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