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Is a Beat in Store for T-Mobile (TMUS) This Earnings Season?

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T-Mobile US, Inc. TMUS is scheduled to report fourth-quarter 2021 results on Feb 2, after the closing bell. In the last reported quarter, the company delivered an earnings surprise of 1.9%. It pulled off a trailing four-quarter earnings surprise of 55.3%, on average.

The Bellevue, WA-based wireless carrier is expected to have recorded year-over-year higher revenues on the back of subscriber growth. It continues to expand its 5G network to bring fast and affordable wireless service across the country while helping Americans access the latest products and technologies.

T-Mobile continues to deliver its game-changing Ultra Capacity 5G to more people at an unprecedented pace. It ended 2021 with more than 210 million people covered with the Ultra Capacity 5G, reaching more than 80% of its customers.

In the fourth quarter, T-Mobile witnessed 1.8 million postpaid net customer additions and 315 thousand postpaid account net additions. Postpaid phone net customer additions were 844 thousand, which increased year over year. High Speed Internet net customer additions were 224 thousand, reflecting the best quarter since launch.

During the quarter, T-Mobile secured a deal from Alaska Air Group to become the preferred wireless provider of the latter. Alaska Airlines plans to migrate the majority of its mobility business, including data and voice lines, to T-Mobile to leverage the rise in demand for data connectivity.

The Zacks Consensus Estimate for T-Mobile’s revenues is pegged at $21,132 million, which indicates growth of 3.9% from the year-ago quarter’s reported figure. The consensus estimate for adjusted earnings per share is pegged at 16 cents, suggesting a decline of 84.5%.

What Our Model Says

Our proven model predicts an earnings beat for T-Mobile this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That’s just the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Earnings ESP: T-Mobile’s Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is +55.93% as the former is pegged at 25 cents and the latter at 16 cents.

TMobile US, Inc. Price and EPS Surprise

TMobile US, Inc. Price and EPS Surprise
TMobile US, Inc. Price and EPS Surprise

TMobile US, Inc. price-eps-surprise | TMobile US, Inc. Quote

Zacks Rank: T-Mobile currently carries a Zacks Rank #3.

Other Stocks to Consider

Here are some other companies that you may want to consider as our model shows that these too have the right combination of elements to post an earnings beat this quarter:

Hasbro, Inc. HAS is slated to release fourth-quarter 2021 results on Feb 7. Hasbro has an Earnings ESP of +2.50% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Brixmor Property Group Inc. BRX is scheduled to release fourth-quarter 2021 results on Feb 7. Brixmor Property has an Earnings ESP of +0.82% and a Zacks Rank #2.

CNA Financial Corporation CNA has an Earnings ESP of +2.65% and a Zacks Rank #3. CNA Financial is set to report fourth-quarter 2021 results on Feb 7.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.


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TMobile US, Inc. (TMUS) : Free Stock Analysis Report

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