Market Pulse50Neutral

T-Mobile US, Inc.Opportunity Rank #114(TMUS) Intrinsic Value & DCF Analysis (2026)

Current Price

$208.76

Last updated: Mar 24, 2026

Price vs Intrinsic Value

$208.76
Price
$747.16
Intrinsic Value
Undervalued by 258%MOS: $597.73

Fundamental Score

66/100
Bullish

Weighted across 6 signals

Narrative Score

59/100
Improving

No change vs previous

The intrinsic value of T-Mobile US, Inc. (TMUS) is estimated at $747.16 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $208.76, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 6.82% long-term growth rate and an 8.00% discount rate (calculated: 6.79%), reflecting expected future free cash flow and cost of capital.

The intrinsic value of T-Mobile US, Inc. (TMUS) is estimated at $747.16 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $208.76, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 6.82% long-term growth rate and an 8.00% discount rate (calculated: 6.79%), reflecting expected future free cash flow and cost of capital.

Valuation Details

$747.16
▲ 257.90% upside
20% margin of safety: $597.73
Years: 10Growth Rate: 6.82%
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Capital Efficiency

Average Quarterly ROIC
2.56%
Cost of Capital (estimated)11%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.

Fundamental Details

66/100
BullishWeighted across 6 signals
DCF Discount
257.9% discount to price
100
FCF Yield
16.2% trailing FCF yield
100
ROIC vs WACC
ROIC 2.6% vs WACC 11.0% (0.2x)
12
Net Debt / FCF
2.1x net debt to FCF
26
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
12.5% 5Y FCF CAGR
88
Strengths: DCF Discount, FCF Yield. Concerns: ROIC vs WACC, Net Debt / FCF.

Narrative Details

59/100
Improving
Vs 6-Month Baseline:Below Avg (25th pct)Weighted across 6 recent drivers
Trend: Deteriorating downConfidence: 91%Updated: 1h ago
Sources: 103 (96 News · 7 Analyst)
Drivers(last 30 days)
59 news sentiment+0.4
29 regulatory scrutiny+0.4
2 margin pressure+0.0
Upgrade headlines+0.0
Analyst upgrades+0.0
Earnings miss-0.0

Investment Coach

Updated 14h ago
BUYConfidence: 54%
Thesis
T-Mobile US, Inc. is significantly undervalued with an estimated fair value 275.5% above its current price, supported by strong fundamentals and a healthy free cash flow yield of 16.2%. Despite trailing returns relative to its cost of capital, the company's constructive fundamentals and buyback activity suggest potential for upside.
Key Risk
The company's return on invested capital is substantially below its weighted average cost of capital, indicating potential value destruction if this trend persists.
Signals To Watch
  • Monitor whether valuation discount remains above 10%.
  • Track ROIC vs WACC spread for sustained improvement.
  • Follow narrative trend for meaningful shifts in the score direction.
Ask the Coach - Available with
Historical Growth Rates
Free Cash Flow- - -Trend CAGR: 6.82%5 Year CAGR: 1.26%

Free Cash Flow (in millions)

TTM20252024202320222021202020192018201720162015201420132012201120102009200820072006
$37,905$37,905$34,604$29,370$34,082$35,609$21,007$14,182$9,567$14,896$14,805$12,073$11,363$7,951$2,022$2,018$1,785$1,783$1,731$1,377$2,312

How Intrinziq Estimates Fair Value

Intrinziq estimates T-Mobile US, Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

T-Mobile US, Inc.Communication Services

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 108.7 million customers in the postpaid, prepaid, and wholesale markets. It also provides wireless devices, including smartphones, wearables, and tablets and other mobile communication devices, as well as wireless devices and accessories. In addition, the company offers services, devices, and accessories under the T-Mobile and Metro by T-Mobile brands through its owned and operated retail stores, T-Mobile app and customer care channels, and its websites. It also sells its devices to dealers and other third-party distributors for resale through independent third-party retail outlets and various third-party websites. As of December 31, 2021, it operated approximately 102,000 macro cell and 41,000 small cell/distributed antenna system sites. The company was founded in 1994 and is headquartered in Bellevue, Washington.