• EN

    • -+ 0.00%
    -+ 0.00%
    -+ 0.00%

    The Bull Case For T-Mobile US (TMUS) Could Change Following New Optimum 5G Wholesale Pact – Learn Why

    Simply Wall St·09/01/2026 14:25:40
    Listen to the news
    • On 31 August 2026, Optimum Communications announced an expanded, multi-year agreement to use T-Mobile’s network for more advanced 5G capabilities, broader device support and enhanced domestic and international roaming for its mobile customers.
    • This deal highlights how T-Mobile is increasingly acting as a wholesale 5G backbone, extending its reach into rural areas and converged fiber–wireless offerings through partners like Optimum.
    • Next, we’ll examine how powering Optimum’s expanded 5G and roaming services could influence T-Mobile’s investment narrative around margin resilience and growth.

    We've uncovered the 12 dividend fortresses yielding 5%+ that don't just survive market storms, but thrive in them.

    T-Mobile US Investment Narrative Recap

    To own T-Mobile US, you need to believe its scale in 5G, broadband and fiber can support steady earnings growth while absorbing heavy network and spectrum spending. The Optimum deal reinforces that story by extending T-Mobile’s role as a wholesale 5G backbone, but it does not fundamentally change the near term focus on margin resilience versus rising promotional pressure and potential handset tariff or pricing related churn risks.

    Among recent announcements, the launch of SuperBroadband in April 2026 looks particularly relevant. It combines T-Mobile’s 5G Advanced network with Starlink redundancy to offer business internet with high uptime commitments, echoing the Optimum partnership theme of T-Mobile supplying underlying connectivity for others. Together, these moves speak directly to the catalyst that many shareholders care about most: using partnerships and converged fiber wireless offerings to deepen service revenue and support long term EBITDA growth.

    However, beneath this positive wholesale and broadband story, investors should also be aware that rising industry churn and pricing reactions could...

    Read the full narrative on T-Mobile US (it's free!)

    T-Mobile US' narrative projects $104.8 billion revenue and $17.9 billion earnings by 2029.

    Uncover how T-Mobile US' forecasts yield a $243.08 fair value, a 35% upside to its current price.

    Exploring Other Perspectives

    TMUS 1-Year Stock Price Chart
    TMUS 1-Year Stock Price Chart

    Some of the most optimistic analysts were already assuming revenues above US$106,000,000,000 and earnings over US$21,000,000,000 by 2029, yet this new Optimum partnership and the reliance on expanding rural broadband coverage show just how differently you might view T-Mobile’s upside and capacity risks, and why it is worth comparing several competing narratives before you decide what you believe.

    Explore 4 other fair value estimates on T-Mobile US - why the stock might be worth over 3x more than the current price!

    Reach Your Own Conclusion

    Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

    Curious About Other Options?

    Don't miss your shot at the next 10-bagger. Our latest stock picks just dropped:

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.