In the latest trading session, T-Mobile (TMUS - Free Report) closed at $113.76, marking a -1.87% move from the previous day. This move lagged the S&P 500's daily loss of 0.46%. Elsewhere, the Dow gained 0.13%, while the tech-heavy Nasdaq lost 1.25%.
Coming into today, shares of the wireless carrier had lost 0.08% in the past month. In that same time, the Computer and Technology sector gained 2.23%, while the S&P 500 gained 1%.
TMUS will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.57, down 50.86% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $18.25 billion, up 64.95% from the prior-year quarter.
TMUS's full-year Zacks Consensus Estimates are calling for earnings of $1.91 per share and revenue of $67.81 billion. These results would represent year-over-year changes of -52.49% and +50.7%, respectively.
Any recent changes to analyst estimates for TMUS should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 1.47% higher within the past month. TMUS is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that TMUS has a Forward P/E ratio of 60.63 right now. This represents a premium compared to its industry's average Forward P/E of 25.03.
It is also worth noting that TMUS currently has a PEG ratio of 4.92. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Wireless National was holding an average PEG ratio of 4.32 at yesterday's closing price.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 114, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.