T-Mobile US, Inc. (TMUS) Valuation
Historical valuation analysis based on 1279 data points (2021-09-14 to 2026-10-16)
Deutsche Telekom merged its T-Mobile USA unit with prepaid specialist MetroPCS in 2013, and that firm merged with Sprint in 2020, creating the second-largest wireless carrier in the US. T-Mobile no...
T-Mobile US, Inc. (TMUS) currently trades at a P/E ratio of 16.16 (historical range: 15.09–124.91, median: 25.18), placing it at the 0th percentile — cheap relative to its history, P/S ratio of 1.85 (range: 1.60–4.00, 5th percentile — cheap relative to its history), EV/EBITDA of 15.79 (range: 14.16–52.91, 5th percentile).
Over the historical period (2021-09-14 to 2026-10-16), T-Mobile US, Inc.'s P/E ratio has contracted by 63% over the observed period (from an average of 60.5 to 22.3).
T-Mobile US, Inc. trades well below its historical valuation range across most metrics.
Historical Valuation Metrics
| Metric | Current | Median | %ile | Assessment |
|---|---|---|---|---|
| P/E Ratio | 16.16 | 25.18 | 0th | cheap relative to its history |
| P/S Ratio | 1.85 | 2.34 | 5th | cheap relative to its history |
| EV/EBITDA | 15.79 | 19.66 | 5th | cheap relative to its history |
| FCF Yield | 10.78% | 4.28% | 100th | cheap relative to its history |
T-Mobile US, Inc. (TMUS) Valuation & P/E History
T-Mobile US, Inc. (TMUS) is a US-listed stock operating in the Communication Services sector, specifically the Radiotelephone Communications industry currently trading at $159.10 with a market capitalization of $170.7 billion. This page provides historical valuation analysis for TMUS based on 1279 data points covering 2021-09-14 to 2026-10-16. The P/E ratio of 16.16 is below the historical median of 25.18, placing TMUS at the 0th percentile of its valuation range. The P/S ratio of 1.85 compares to a median of 2.34.
TMUS Valuation Metrics & Historical Range
The valuation table above shows T-Mobile US, Inc.'s current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether TMUS is currently trading above or below its typical valuation levels.
- P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests TMUS is expensively valued; below the median suggests it is cheap.
- P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
- EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for T-Mobile US, Inc..
- FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.
Is TMUS Overvalued or Undervalued?
T-Mobile US, Inc. trades well below its historical valuation range across most metrics. The overall valuation percentile of 3 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive TMUS is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.
However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full TMUS analysis page for a complete picture.
Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.TMUS trades on NYSE/NASDAQ. This page is for informational purposes only and is not financial advice.