T-Mobile USFRA:TM5 +3.44%76 Net Margin % is 10.84% as of Mar. 2026, which is 51% above its 10-year median of 7.19. GuruFocus rates FRA:TM5 with a GF Score™ of 76/100 and a GF Value™ of €200.38 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 368 Telecommunication Services companies, T-Mobile US ranks better than 70.92% on this metric.
Net margin is calculated as Net Income divided by its Revenue. T-Mobile US's Net Income for the
three
months ended in Mar. 2026 was €2,166 Mil. T-Mobile US's Revenue for the
three
months ended in Mar. 2026 was €19,988 Mil. Therefore, T-Mobile US's net margin for the quarter that ended in Mar. 2026 was 10.84%.
The historical rank and industry rank for T-Mobile US's Net Margin % or its related term are showing as below:
FRA:TM5'
s Net Margin % Range Over the Past 10 Years
Min: 3.25 Med: 7.19 Max: 13.93
Current: 11.65
FRA:TM5's Net Margin % is ranked better than 70.92% of 368
companies
in the Telecommunication Services industry
Industry Median: 5.455
vs FRA:TM5: 11.65
T-Mobile US (FRA:TM5) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
T-Mobile US Net Margin % Related Terms
T-Mobile US Net Margin % Historical Data
* Premium members only.
The historical data trend for T-Mobile US's Net Margin % 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.
For the Telecom Services subindustry, T-Mobile US's Net Margin %, along with its competitors' market caps and Net Margin % 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 Net Margin % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, T-Mobile US's Net Margin % distribution charts can be found below:
* The bar in red indicates where T-Mobile US's Net Margin % falls into.
* 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.
T-Mobile US (FRA:TM5) has a Net Margin % of 10.84% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on T-Mobile US and its competitors. This is 51% above median its historical median of 7.19. Over the past decade, T-Mobile US's Net Margin % has ranged from 3.25 to 13.93. According to the industry distribution chart, T-Mobile US ranks #107 out of 368 companies in the Telecommunication Services industry, placing it in the top 29.1%.
Is T-Mobile US's Net Margin % too high?
T-Mobile US's current Net Margin % of 10.84% is 51% above median its 10-year median of 7.19. Over the past 10 years, this metric has ranged from a low of 3.25 to a high of 13.93. The Telecommunication Services industry median Net Margin % is 5.46. T-Mobile US's value of 10.84% is 98.7% above this industry median. Based on the distribution chart, T-Mobile US ranks #107 out of 368 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, T-Mobile US has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does T-Mobile US's Net Margin % compare to VZ and T?
According to the Telecommunication Services industry distribution chart, T-Mobile US ranks #107 out of 368 companies for Net Margin %. This puts T-Mobile US in the upper half of its industry. The industry median Net Margin % is 5.46. T-Mobile US's value of 10.84% is 98.7% above this benchmark. Historically, T-Mobile US's own Net Margin % has ranged from 3.25 to 13.93 over the past decade. While the company's 10-year median is 7.19 vs. the industry median of 5.46, T-Mobile US has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Telecommunication Services company?
The median Net Margin % among Telecommunication Services companies is 5.46, based on 368 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. T-Mobile US's current Net Margin % of 10.84% is 98.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on T-Mobile US and its competitors. For the Telecommunication Services industry, the median Net Margin % is 5.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. T-Mobile US's current Net Margin % is 10.84%, which is 51% above median its own 10-year median of 7.19. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is T-Mobile US stock overvalued right now?
Based on GuruFocus' analysis, T-Mobile US (FRA:TM5) is currently considered Modestly Undervalued. The stock's GF Value™ is €200.38, compared to a current price of €161.22 — trading 19.5% below its estimated fair value. The current Net Margin % is 10.84%, which is 51% above median its 10-year median of 7.19 and 98.7% above the Telecommunication Services industry median of 5.46. T-Mobile US's overall GF Score™ is 76/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For T-Mobile US (FRA:TM5), the current Net Margin % is 10.84% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is T-Mobile US (FRA:TM5) Overvalued in 2026?
Based on GuruFocus' analysis, T-Mobile US stock appears to be undervalued.
The current stock price of €161.22 is trading 19.5% below its estimated GF Value™ of €200.38.
GuruFocus considers T-Mobile US to be Modestly Undervalued.
Key valuation signals for FRA:TM5:
Net Margin %: 10.84% (51% above median its 10-year median of 7.19)
GF Value™: €200.38 vs. price of €161.22 (19.5% below fair value)
Industry Position: 98.7% above the Telecommunication Services median (#107 of 368)
No single metric tells the full story. See the FRA:TM5 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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 US. T-Mobile now serves about 86 million postpaid and 26 million prepaid phone customers, equal to around 30% of the US retail wireless market. The firm entered the fixed-wireless broadband market aggressively in 2021 and now serves 8 million residential and business customers with its wireless network. It also serves 1 million fiber broadband customers through joint ventures with fiber network owners. T-Mobile owns a stake in these firms, which provide wholesale access to their networks. In addition, T-Mobile provides wholesale services to wireless resellers.
76GF Score
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