T-Mobile US, Inc. (TMUS) DCF Valuation
Two independent models estimate T-Mobile US, Inc.'s fair value between $58.78 (conservative case) and $393.80 (analyst consensus).
What would today's price require?
$185.42 is justified only if free cash flow grows about +14.1% a year for the next decade — slower than the company has actually grown.
Current Price
$185.42
Fair-Value Range
$58.78 – $393.80
Market-Implied Growth
+14.1%/yr
vs +45.5% 5Y actual
TMUS DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $8.8B · 1.08B shares · net debt $80.7B
Estimated Fair Value
$58.78
-68.3% vs $185.42
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $185.42; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $91.14 | $99.64 | $110 | $122 | $136 |
| 9.0% | $67.77 | $73.58 | $80.28 | $88.10 | $97.34 |
| 10.0% | $49.96 | $54.10 | $58.78 | $64.13 | $70.30 |
| 11.0% | $35.97 | $39.00 | $42.38 | $46.19 | $50.50 |
| 12.0% | $24.69 | $26.96 | $29.48 | $32.27 | $35.39 |
About T-Mobile US, Inc.
T-Mobile US, Inc., alongside its subsidiaries, offers mobile telecommunications services across the United States, Puerto Rico, and the U.S. Virgin Islands. Catering to approximately 108.7 million subscribers, the company delivers essential voice, messaging, and data connectivity to customers in postpaid, prepaid, and wholesale segments. Beyond services, T-Mobile also supplies a broad array of wireless devices, such as smartphones, wearables, tablets, and other mobile communication gadgets, along with associated accessories. These offerings are marketed under both the T-Mobile and Metro by T-Mobile brands. Direct distribution occurs through its proprietary retail stores, the T-Mobile mobile application, customer service channels, and its official online platforms. Additionally, the company provides devices to independent dealers and other distributors for resale via external retail locations and various third-party websites. As of December 31, 2021, its robust network infrastructure encompassed approximately 102,000 macro cell sites and 41,000 small cell/distributed antenna system locations. T-Mobile US, Inc. was established in 1994 and maintains its headquarters in Bellevue, Washington.
- Sector
- Communication Services
- Industry
- Telecommunications Services
- CEO
- Srinivasan Gopalan