Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

Board Member Of T-Mobile US Makes $1.95M Sale

Published 08/02/2024, 15:01
Updated 08/02/2024, 16:40
© Reuters.  Board Member Of T-Mobile US Makes $1.95M Sale

Benzinga - by Benzinga Insights, Benzinga Staff Writer.

Teresa Taylor, Board Member at T-Mobile US (NASDAQ:TMUS), reported an insider sell on February 7, according to a new SEC filing.

What Happened: A Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday outlined that Taylor executed a sale of 12,022 shares of T-Mobile US with a total value of $1,945,159.

During Thursday's morning session, T-Mobile US shares down by 0.14%, currently priced at $161.56.

Delving into T-Mobile US's Background 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 U.S. T-Mobile now serves 76 million postpaid and 22 million prepaid phone customers, equal to around 30% of the U.S. retail wireless market. The firm entered the fixed-wireless broadband market aggressively in 2021 and now serves nearly 5 million residential and business customers. In addition, T-Mobile provides wholesale services to resellers.

T-Mobile US's Economic Impact: An Analysis Revenue Growth: T-Mobile US's remarkable performance in 3 months is evident. As of 31 December, 2023, the company achieved an impressive revenue growth rate of 1.01%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Communication Services sector.

Holistic Profitability Examination:

  • Gross Margin: The company issues a cost efficiency warning with a low gross margin of 58.98%, indicating potential difficulties in maintaining profitability compared to its peers.

  • Earnings per Share (EPS): With an EPS below industry norms, T-Mobile US exhibits below-average bottom-line performance with a current EPS of 1.74.

3rd party Ad. Not an offer or recommendation by See disclosure here or remove ads .
Debt Management:1.75

In-Depth Valuation Examination:

  • Price to Earnings (P/E) Ratio: The current P/E ratio of 23.34 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.

  • Price to Sales (P/S) Ratio: With a higher-than-average P/S ratio of 2.47, T-Mobile US's stock is perceived as being overvalued in the market, particularly in relation to sales performance.

  • EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an impressive EV/EBITDA ratio of 11.05, T-Mobile US demonstrates exemplary market valuation, surpassing industry averages.

Market Capitalization:

Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.

Uncovering the Importance of Insider Activity While insider transactions provide valuable information, they should be part of a broader analysis in making investment decisions.

Within the legal framework, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as per Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.

However, insider sells may not always signal a bearish view and can be influenced by various factors.

Important Transaction Codes Taking a closer look at transactions, investors often prioritize those unfolding in the open market, meticulously cataloged in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C denotes the conversion of an option, and transaction code A signifies a grant, award, or other acquisition of securities from the company.

3rd party Ad. Not an offer or recommendation by See disclosure here or remove ads .

Check Out The Full List Of T-Mobile US's Insider Trades.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

© 2024 Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.