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BUZZ-Street View: T-Mobile's strong fundamentals set to propel growth in 2025

ReutersJan 30, 2025 2:37 PM

** T-Mobile TMUS.O on Wednesday said it expects wireless subscriber growth this year to more than double the estimates, due to strong demand for its premium 5G plans

** At least nine brokerages have raised their price targets on the stock post its Q4 results - LSEG-compiled data

SOLID MANAGEMENT, SOLID Q4 RESULTS

** J.P.Morgan ("overweight", PT: $265) says it's positive on TMUS's unique growth algorithm of postpaid phone share gains, improving operating leverage, and strong service revenue growth outlook

** Bernstein ("market-perform", PT: $265) expects some pressure on co's margins, citing potential for intensifying competition and subscriber acquisition costs that could elevate in the first half of 2025

** Bernstein also says "TMUS's disciplined management and their transparency leave little room for speculation," noting that the growth narrative continues

** TD Cowen ("buy", PT: $251) says TMUS's core fundamentals are "firing on all cylinders" as focus shifts to upcoming catalysts

** NewStreet Research expects TMUS to resume meaningful margin expansion in 2026, driving acceleration in EBITDA

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