AT&T vs T-Mobile

This page offers a comprehensive comparison of AT&T Inc. and T-Mobile US, Inc., two prominent telecommunications companies. We delve into their respective business models, analyse their recent financial performance, and assess their positions within the dynamic market context. Gain insights into key aspects driving their stock valuations and strategic approaches in the evolving industry landscape. Educational content, not financial advice.

This page offers a comprehensive comparison of AT&T Inc. and T-Mobile US, Inc., two prominent telecommunications companies. We delve into their respective business models, analyse their recent financi...

Comparison Snapshot

Key Financial Metrics

T

Metric

TMUS

$166.25B

Market Cap

$210.23B

26.43%

Potential Profit

40.44%

Buy

Analyst Rating

Buy

Why It's Moving

AT&T Trades Sideways as Telecom Sector Braces for 5G Rollout Momentum.

Stock closed flat at $23.59 on Jan 23 after minor intraday swings between $23.30-$23.65, signaling steady demand for reliable dividend play.
Telecom peers stable as analysts spotlight AT&T's fiber expansion, positioning it for data surge from AI and streaming growth.
After-hours dip to $23.55 underscores low volatility, with focus shifting to upcoming Q4 earnings for broadband subscriber gains.

Sentiment:

⚖️Neutral

T-Mobile Hits One-Year Low as Analysts Slash Targets Amid Debt Moves.

Bernstein lowered its price target to $245 with a 'market perform' rating, while Citigroup cut to $220 and BNP Paribas to $275, signaling cooling optimism on growth.
Wells Fargo trimmed its target from $260 to $225 but held an 'overweight' rating, as the stock tests attractive valuations after share weakness.
T-Mobile announced a proposed senior notes offering to refinance debt and plans to redeem 4.750% notes due 2028, sparking concerns over capital structure in a tough telecom environment.

Sentiment:

🐻Bearish

AT&T Trades Sideways as Telecom Sector Braces for 5G Rollout Momentum.

Stock closed flat at $23.59 on Jan 23 after minor intraday swings between $23.30-$23.65, signaling steady demand for reliable dividend play.
Telecom peers stable as analysts spotlight AT&T's fiber expansion, positioning it for data surge from AI and streaming growth.
After-hours dip to $23.55 underscores low volatility, with focus shifting to upcoming Q4 earnings for broadband subscriber gains.

Sentiment:

⚖️Neutral

T-Mobile Hits One-Year Low as Analysts Slash Targets Amid Debt Moves.

Bernstein lowered its price target to $245 with a 'market perform' rating, while Citigroup cut to $220 and BNP Paribas to $275, signaling cooling optimism on growth.
Wells Fargo trimmed its target from $260 to $225 but held an 'overweight' rating, as the stock tests attractive valuations after share weakness.
T-Mobile announced a proposed senior notes offering to refinance debt and plans to redeem 4.750% notes due 2028, sparking concerns over capital structure in a tough telecom environment.

Sentiment:

🐻Bearish

Investment Analysis

AT&T

T

Pros

AT&T maintains a strong foothold in the wireless industry with robust network infrastructure investments.
Dividend yield provides reliable income amid stable operations.
Debt management efforts have improved short-term liquidity to $20.27 billion as of September 2025.

Considerations

Wireline division suffers persistent access line losses from competitive VoIP and cable pressures.
Long-term debt rose to $128.09 billion by September 2025, straining balance sheet.
2025 EPS projected to decline 8.52% year-over-year with downward estimate revisions.

T-Mobile

TMUS

Pros

Postpaid customer additions drive revenue and net income growth, outpacing AT&T recently.
Rapid 5G expansion and innovation enhance competitive edge in wireless market.
2025 sales and EPS expected to grow 5.91% and 9.27%, with upward estimate revisions.

Considerations

Forward P/E ratio of 21.57 exceeds AT&T's 13.13, indicating richer valuation.
High growth expectations may heighten execution risks in competitive telecom sector.
Absence of dividend yield limits income appeal for yield-focused investors.

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