T-Mobile US (NASDAQ:TMUS) Shares Gap Up After Earnings Beat

Shares of T-Mobile US, Inc. (NASDAQ:TMUS - Get Free Report) gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $221.14, but opened at $238.00. T-Mobile US shares last traded at $240.07, with a volume of 1,815,254 shares changing hands.

The Wireless communications provider reported $2.57 earnings per share for the quarter, beating analysts' consensus estimates of $2.15 by $0.42. T-Mobile US had a net margin of 12.96% and a return on equity of 16.35%.

T-Mobile US Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, March 13th. Shareholders of record on Friday, February 28th will be given a $0.88 dividend. This represents a $3.52 annualized dividend and a yield of 1.50%. The ex-dividend date of this dividend is Friday, February 28th. T-Mobile US's dividend payout ratio (DPR) is presently 40.14%.

Analyst Ratings Changes

Several equities analysts have weighed in on the company. The Goldman Sachs Group lifted their target price on T-Mobile US from $220.00 to $250.00 and gave the company a "buy" rating in a research note on Thursday, October 24th. Citigroup boosted their price target on T-Mobile US from $210.00 to $254.00 and gave the company a "buy" rating in a research note on Monday, October 21st. Scotiabank boosted their target price on T-Mobile US from $234.00 to $247.00 and gave the stock a "sector perform" rating in a report on Thursday. Raymond James lowered T-Mobile US from an "outperform" rating to a "market perform" rating in a report on Friday, October 25th. Finally, Daiwa America upgraded T-Mobile US to a "hold" rating in a report on Friday, October 25th. Seven equities research analysts have rated the stock with a hold rating, thirteen have assigned a buy rating and two have assigned a strong buy rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $248.89.

Insider Buying and Selling at T-Mobile US

In related news, Director Andre Almeida bought 3,808 shares of the business's stock in a transaction on Monday, December 9th. The shares were purchased at an average price of $235.72 per share, with a total value of $897,621.76. Following the completion of the purchase, the director now owns 3,808 shares of the company's stock, valued at $897,621.76. This represents a ∞ increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, EVP Nestor Cano sold 11,100 shares of the stock in a transaction dated Thursday, November 7th. The shares were sold at an average price of $230.75, for a total value of $2,561,325.00. Following the completion of the transaction, the executive vice president now directly owns 4,400 shares in the company, valued at $1,015,300. The trade was a 71.61 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 144,200 shares of company stock worth $32,736,303 over the last three months. Company insiders own 0.67% of the company's stock.

Hedge Funds Weigh In On T-Mobile US

Hedge funds have recently added to or reduced their stakes in the stock. Barclays PLC lifted its stake in T-Mobile US by 38.3% in the third quarter. Barclays PLC now owns 3,165,153 shares of the Wireless communications provider's stock valued at $653,160,000 after buying an additional 876,182 shares during the period. International Assets Investment Management LLC raised its position in shares of T-Mobile US by 21,580.9% during the third quarter. International Assets Investment Management LLC now owns 249,981 shares of the Wireless communications provider's stock worth $51,586,000 after purchasing an additional 248,828 shares during the period. Trust Co. of Vermont raised its position in shares of T-Mobile US by 11.9% during the fourth quarter. Trust Co. of Vermont now owns 26,972 shares of the Wireless communications provider's stock worth $5,954,000 after purchasing an additional 2,865 shares during the period. Swedbank AB raised its position in shares of T-Mobile US by 5.1% during the third quarter. Swedbank AB now owns 255,044 shares of the Wireless communications provider's stock worth $52,631,000 after purchasing an additional 12,411 shares during the period. Finally, Exchange Traded Concepts LLC raised its position in shares of T-Mobile US by 737.8% during the fourth quarter. Exchange Traded Concepts LLC now owns 56,521 shares of the Wireless communications provider's stock worth $12,476,000 after purchasing an additional 49,775 shares during the period. Institutional investors and hedge funds own 42.49% of the company's stock.

T-Mobile US Stock Performance

The company has a market cap of $271.98 billion, a price-to-earnings ratio of 26.72, a price-to-earnings-growth ratio of 1.08 and a beta of 0.56. The company has a debt-to-equity ratio of 1.23, a current ratio of 1.08 and a quick ratio of 0.99. The stock has a 50-day moving average price of $226.37 and a 200 day moving average price of $212.82.

About T-Mobile US

T-Mobile US, Inc, together with its subsidiaries, provides mobile communications services in the United States, Puerto Rico, and the United States Virgin Islands. The company offers voice, messaging, and data services to customers in the postpaid, prepaid, and wholesale and other services. It also provides wireless devices, including smartphones, wearables, tablets, home broadband routers, and other mobile communication devices, as well as wireless devices and accessories; financing through equipment installment plans; reinsurance for device insurance policies and extended warranty contracts; leasing through JUMP! On Demand; and High Speed Internet services.