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T-Mobile (TMUS) Dips More Than Broader Markets: What You Should Know

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T-Mobile (TMUS - Free Report) closed the most recent trading day at $114.06, moving -0.32% from the previous trading session. This change lagged the S&P 500's daily loss of 0.06%. At the same time, the Dow added 0.59%, and the tech-heavy Nasdaq lost 0.3%.

Heading into today, shares of the wireless carrier had lost 1.04% over the past month, lagging the Computer and Technology sector's gain of 4.06% and the S&P 500's gain of 5.76% in that time.

Investors will be hoping for strength from T-Mobile as it approaches its next earnings release. The company is expected to report EPS of $0.18, down 82.52% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $21.07 billion, up 3.59% from the year-ago period.

Any recent changes to analyst estimates for T-Mobile should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.15% lower. T-Mobile is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, T-Mobile is currently trading at a Forward P/E ratio of 36.97. This valuation marks a premium compared to its industry's average Forward P/E of 21.04.

The Wireless National industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 222, putting it in the bottom 13% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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