T-MOBILE US INC (TM5.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:TM5 - US8725901040 - Common Stock
166.74 EUR
-2.92 (-1.72%)
We assign a fundamental rating of 5 out of 10 to TM5. TM5 was compared to 6 industry peers in the Wireless Telecommunication Services industry. While TM5 has a great profitability rating, there are quite some concerns on its financial health. TM5 has a correct valuation and a medium 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.
Each year in the past 5 years TM5 has been profitable.
TM5 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TM5 has a Return On Assets of 5.47%. This is amongst the best in the industry. TM5 outperforms 83.33% of its industry peers.
With an excellent Return On Equity value of 19.63%, TM5 belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 7.71%, TM5 belongs to the top 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 6.49%.
The last Return On Invested Capital (7.71%) for TM5 is above the 3 year average (6.22%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 19.63% | ||
| ROIC | 7.71% |
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
TM5 has a better Profit Margin (13.83%) than 100.00% of its industry peers.
In the last couple of years the Profit Margin of TM5 has grown nicely.
TM5 has a better Operating Margin (22.69%) than 100.00% of its industry peers.
TM5's Operating Margin has improved in the last couple of years.
TM5 has a better Gross Margin (63.57%) 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 | 22.69% | ||
| PM (TTM) | 13.83% | ||
| GM | 63.57% |
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
TM5 has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, TM5 has less shares outstanding
The number of shares outstanding for TM5 has been increased compared to 5 years ago.
Compared to 1 year ago, TM5 has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.65, we must say that TM5 is in the distress zone and has some risk of bankruptcy.
TM5's Altman-Z score of 1.65 is in line compared to the rest of the industry. TM5 outperforms 50.00% of its industry peers.
The Debt to FCF ratio of TM5 is 6.53, which is on the high side as it means it would take TM5, 6.53 years of fcf income to pay off all of its debts.
TM5 has a better Debt to FCF ratio (6.53) than 66.67% of its industry peers.
TM5 has a Debt/Equity ratio of 1.37. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of TM5 (1.37) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | 6.53 | ||
| Altman-Z | 1.65 |
ROIC/WACC1.05
WACC7.32%
2.3 Liquidity
A Current Ratio of 0.89 indicates that TM5 may have some problems paying its short term obligations.
TM5 has a Current ratio of 0.89. This is comparable to the rest of the industry: TM5 outperforms 50.00% of its industry peers.
TM5 has a Quick Ratio of 0.89. This is a bad value and indicates that TM5 is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of TM5 (0.80) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
TM5 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.64%, which is quite impressive.
The Earnings Per Share has been growing by 19.13% on average over the past years. This is quite good.
TM5 shows a small growth in Revenue. In the last year, the Revenue has grown by 7.30%.
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)20.64%
EPS 3Y58.9%
EPS 5Y19.13%
EPS Q2Q%-0.77%
Revenue 1Y (TTM)7.3%
Revenue growth 3Y0.53%
Revenue growth 5Y12.59%
Sales Q2Q%8.9%
3.2 Future
The Earnings Per Share is expected to grow by 16.24% on average over the next years. This is quite good.
TM5 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.51% yearly.
EPS Next Y6.34%
EPS Next 2Y11.1%
EPS Next 3Y16.37%
EPS Next 5Y16.24%
Revenue Next Year9.07%
Revenue Next 2Y8.21%
Revenue Next 3Y6.98%
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
TM5 is valuated rather expensively with a Price/Earnings ratio of 18.51.
66.67% of the companies in the same industry are more expensive than TM5, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.61, TM5 is valued a bit cheaper.
A Price/Forward Earnings ratio of 16.41 indicates a correct valuation of TM5.
66.67% of the companies in the same industry are more expensive than TM5, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of TM5 to the average of the S&P500 Index (24.01), we can say TM5 is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.51 | ||
| Fwd PE | 16.41 |
4.2 Price Multiples
TM5's Enterprise Value to EBITDA is on the same level as the industry average.
TM5's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.86 | ||
| EV/EBITDA | 9.45 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TM5 does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of TM5 may justify a higher PE ratio.
A more expensive valuation may be justified as TM5's earnings are expected to grow with 16.37% in the coming years.
PEG (NY)2.92
PEG (5Y)0.97
EPS Next 2Y11.1%
EPS Next 3Y16.37%
5. Dividend
5.1 Amount
TM5 has a Yearly Dividend Yield of 1.90%. Purely for dividend investing, there may be better candidates out there.
TM5's Dividend Yield is a higher than the industry average which is at 2.33.
Compared to an average S&P500 Dividend Yield of 1.87, TM5 has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
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
33.70% 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.
DP33.7%
EPS Next 2Y11.1%
EPS Next 3Y16.37%
FRA:TM5 (12/22/2025, 7:00:00 PM)
166.74
-2.92 (-1.72%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners41.15%
Inst Owner ChangeN/A
Ins Owners0.38%
Ins Owner ChangeN/A
Market Cap186.50B
Revenue(TTM)85.85B
Net Income(TTM)11.87B
Analysts76.76
Price Target238.86 (43.25%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.9% |
Yearly Dividend2.41
Dividend Growth(5Y)111.33%
DP33.7%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.84%
Min EPS beat(2)4.27%
Max EPS beat(2)5.41%
EPS beat(4)4
Avg EPS beat(4)5.61%
Min EPS beat(4)2.7%
Max EPS beat(4)10.04%
EPS beat(8)7
Avg EPS beat(8)3.32%
EPS beat(12)11
Avg EPS beat(12)3.95%
EPS beat(16)15
Avg EPS beat(16)69.37%
Revenue beat(2)0
Avg Revenue beat(2)-1.63%
Min Revenue beat(2)-1.82%
Max Revenue beat(2)-1.44%
Revenue beat(4)1
Avg Revenue beat(4)-0.83%
Min Revenue beat(4)-1.82%
Max Revenue beat(4)0.63%
Revenue beat(8)2
Avg Revenue beat(8)-0.77%
Revenue beat(12)2
Avg Revenue beat(12)-1.45%
Revenue beat(16)2
Avg Revenue beat(16)-1.94%
PT rev (1m)-0.38%
PT rev (3m)1.7%
EPS NQ rev (1m)1.37%
EPS NQ rev (3m)-18.77%
EPS NY rev (1m)0.23%
EPS NY rev (3m)-7.44%
Revenue NQ rev (1m)-0.35%
Revenue NQ rev (3m)3.64%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.51 | ||
| Fwd PE | 16.41 | ||
| P/S | 2.55 | ||
| P/FCF | 15.86 | ||
| P/OCF | 8.16 | ||
| P/B | 3.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.45 |
EPS(TTM)9.01
EY5.4%
EPS(NY)10.16
Fwd EY6.09%
FCF(TTM)10.51
FCFY6.3%
OCF(TTM)20.43
OCFY12.26%
SpS65.35
BVpS46.04
TBVpS-41.93
PEG (NY)2.92
PEG (5Y)0.97
Graham Number96.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.47% | ||
| ROE | 19.63% | ||
| ROCE | 10.1% | ||
| ROIC | 7.71% | ||
| ROICexc | 7.85% | ||
| ROICexgc | 20.09% | ||
| OM | 22.69% | ||
| PM (TTM) | 13.83% | ||
| GM | 63.57% | ||
| FCFM | 16.08% |
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%
ROICexgc growth 3Y22.86%
ROICexgc 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-Score6
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | 6.53 | ||
| Debt/EBITDA | 2.55 | ||
| Cap/Depr | 101.06% | ||
| Cap/Sales | 15.19% | ||
| Interest Coverage | 5.09 | ||
| Cash Conversion | 82.9% | ||
| Profit Quality | 116.32% | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 1.65 |
F-Score6
WACC7.32%
ROIC/WACC1.05
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)20.64%
EPS 3Y58.9%
EPS 5Y19.13%
EPS Q2Q%-0.77%
EPS Next Y6.34%
EPS Next 2Y11.1%
EPS Next 3Y16.37%
EPS Next 5Y16.24%
Revenue 1Y (TTM)7.3%
Revenue growth 3Y0.53%
Revenue growth 5Y12.59%
Sales Q2Q%8.9%
Revenue Next Year9.07%
Revenue Next 2Y8.21%
Revenue Next 3Y6.98%
Revenue Next 5Y5.51%
EBIT growth 1Y12.78%
EBIT growth 3Y21.67%
EBIT growth 5Y23.21%
EBIT Next Year90.5%
EBIT Next 3Y31.31%
EBIT Next 5Y20.04%
FCF growth 1Y122.62%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y48.84%
OCF growth 3Y17.01%
OCF growth 5Y26.71%
T-MOBILE US INC / TM5.DE FAQ
What is the ChartMill fundamental rating of T-MOBILE US INC (TM5.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TM5.DE.
What is the valuation status of T-MOBILE US INC (TM5.DE) stock?
ChartMill assigns a valuation rating of 4 / 10 to T-MOBILE US INC (TM5.DE). This can be considered as Fairly Valued.
How profitable is T-MOBILE US INC (TM5.DE) stock?
T-MOBILE US INC (TM5.DE) has a profitability rating of 9 / 10.
What is the earnings growth outlook for T-MOBILE US INC?
The Earnings per Share (EPS) of T-MOBILE US INC (TM5.DE) is expected to grow by 6.34% in the next year.
Can you provide the dividend sustainability for TM5 stock?
The dividend rating of T-MOBILE US INC (TM5.DE) is 5 / 10 and the dividend payout ratio is 33.7%.