T-Mobile: Recent Underperformance Set To Continue
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Blue Chip Portfolios1.98K FollowersFollow5ShareSavePlay(11min)CommentsSummaryT-Mobile US has underperformed the S&P 500 and peers in 2025, driven by valuation multiple contraction despite solid business performance.TMUS faces intensifying competition as rivals respond with aggressive pricing, threatening its market share gains and margin sustainability in 2026.Despite recent multiple contraction, TMUS still trades at a significant premium to peers, which is not justified given rising industry risks.I rate TMUS a Sell, expecting further earnings estimate revisions and multiple compression as competitive pressures mount and valuation remains elevated. Robert Way/iStock Editorial via Getty Images Shares of T-Mobile US, Inc. (TMUS) have delivered a total return of -10% thus far in 2025. Comparably, the S&P 500 has delivered a total return of 17% over the same time period. Moreover, T-Mobile's closest peers, Verizon (This article was written byBlue Chip Portfolios1.98K FollowersFollowBlue Chip Portfolios is an investment publication company focused on delivering investing insights on single stocks, ETFs, and CEFs.
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