T-Mobile US (T-Mobile US) Debt-to-EBITDA

: 4.15 (As of Dec. 2023)

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Debt-to-EBITDA measures a company's ability to pay off its debt.

T-Mobile US's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $8,434.00 Mil. T-Mobile US's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $104,652.00 Mil. T-Mobile US's annualized EBITDA for the quarter that ended in Dec. 2023 was $27,240.00 Mil. T-Mobile US's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 4.15.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for T-Mobile US's Debt-to-EBITDA or its related term are showing as below:

TMUSP.PFD' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.32 Med: 3.34 Max: 5.55
Current: 4.17

During the past 13 years, the highest Debt-to-EBITDA Ratio of T-Mobile US was 5.55. The lowest was 1.32. And the median was 3.34.

TMUSP.PFD's Debt-to-EBITDA is ranked worse than
75.63% of 316 companies
in the Telecommunication Services industry
Industry Median: 2.185 vs TMUSP.PFD: 4.17

T-Mobile US Debt-to-EBITDA Historical Data

The historical data trend for T-Mobile US's Debt-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

T-Mobile US Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Debt-to-EBITDA

3.43

5.26

4.72

5.55

4.17

T-Mobile US Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Debt-to-EBITDA																4.65	4.31	4.22	4.17	4.15

Competitive Comparison

For the Telecom Services subindustry, T-Mobile US's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

T-Mobile US Debt-to-EBITDA Distribution

For the Telecommunication Services industry and Communication Services sector, T-Mobile US's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where T-Mobile US's Debt-to-EBITDA falls into.

T-Mobile US Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

T-Mobile US's Debt-to-EBITDA for the fiscal year that ended in Dec. 2023 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(8434	+	104652)	/	27152
	=	4.16

T-Mobile US's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(8434	+	104652)	/	27240
	=	4.15

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is four times the quarterly (Dec. 2023) EBITDA data.

T-Mobile US (NAS:TMUSP.PFD) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.

Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

T-Mobile US Debt-to-EBITDA Related Terms

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T-Mobile US (T-Mobile US) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Telecommunication Services » T-Mobile US Inc (NAS:TMUSP.PFD) » Definitions » Debt-to-EBITDA

Comparable Companies

Traded in Other Exchanges

TMUS:USA TMUS:Peru TMUS:Mexico 1TMUS:Italy TM5d:UK TM5:Germany T1MU34:Brazil TMUS:Austria

Address

12920 SE 38th Street, Bellevue, WA, USA, 98006-1350

Website

https://www.t-mobile.com

Deutsche Telekom merged its T-Mobile USA unit with prepaid specialist MetroPCS in 2013, creating T-Mobile us. Following the merger, the firm provided nationwide service in major markets but spottier coverage elsewhere. T-Mobile spent aggressively on low-frequency spectrum, well suited to broad coverage, and has substantially expanded its geographic footprint. This expansion, coupled with aggressive marketing and innovative offerings, produced rapid customer growth. With the Sprint acquisition, the firm's scale now roughly matches its larger rivals: T-Mobile now serves 73 million postpaid and 21 million prepaid phone customers, equal to around 30% of the U.S. retail wireless market. In addition, the firm provides wholesale service to resellers.