Citi Maintains Hold Rating on T Mobile US Amidst Mixed Analyst Views

Citi analyst Michael Rollins maintains a Hold rating for T-Mobile US. He covers the Communication Services sector, including Verizon, AT&T, and Lumen Technologies. Rollins has an average return of 13.1% and a 70.05% success rate on recommended stocks. T-Mobile US reported Q1 revenue of $20.89 billion and net profit of $2.95 billion, compared to $19.59 billion and $2.37 billion in the same period last year.

T-Mobile US (TMUS) stock has been on a remarkable 5-day winning streak, with cumulative gains of 9% and a market capitalization of approximately $280 billion. This performance compares favorably with the year-to-date return of 8.2% for the S&P 500 [1]. The stock's value has increased by about $25 billion over the last 5 days, reaching a 12.9% gain since the end of 2024 [1].

The stock's performance over different periods is summarized in the following table:

| Return Period | TMUS | S&P 500 |
|---------------|------|----------|
| 1D | 5.8% | 0.1% |
| 5D (Current Streak) | 9.0% | 1.0% |
| 1M (21D) | 7.7% | 4.5% |
| 3M (63D) | -4.2% | 18.4% |
| YTD 2025 | 12.9% | 8.2% |
| 2024 | 39.7% | 23.3% |
| 2023 | 15.0% | 24.2% |
| 2022 | 20.7% | -19.4% |

T-Mobile US has also shown strong financial performance. In the second quarter of 2025, the company reported revenue of $21.1 billion, a 6.9% increase from the same period last year. Net income stood at $3.22 billion, up 10% year-over-year. EPS was $2.84, surpassing analyst estimates by 6.3% [3].

Analyst Michael Rollins of Citi maintains a Hold rating for T-Mobile US, citing potential risks and a complex valuation. Despite this, the stock's recent performance and strong earnings have drawn attention. Rollins covers the Communication Services sector, including Verizon, AT&T, and Lumen Technologies, with an average return of 13.1% and a 70.05% success rate on recommended stocks [1].

United States Cellular (USM), which is selling its wireless operations and select spectrum assets to T-Mobile US, is expected to pay a special dividend of between $22.50 and $23.75 per share following the closing of the sale. This is contingent on board approval and is expected to be around $1.95 billion to $2.075 billion in aggregate [2].

While T-Mobile US stock looks attractive, investing in a single stock without thorough analysis can be risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of outperforming the S&P 500 over the last 4-year period, providing better returns with less risk [1].

References:
[1] https://www.trefis.com/articles/570552/tmus-stock-up-9-after-5-day-win-streak/2025-07-25
[2] https://seekingalpha.com/news/4472207-uscellular-to-pay-billions-in-special-dividends-change-corporate-name-after-closing-t-mobile-deal
[3] https://simplywall.st/stocks/us/telecom/nasdaq-tmus/t-mobile-us/news/t-mobile-us-second-quarter-2025-earnings-eps-beats-expectati