T-Mobile USWBO:TMUS +1.45%83 ROA % is 4.65% as of Mar. 2026, which is 16% above its 10-year median of 4.01. GuruFocus rates WBO:TMUS with a GF Score™ of 83/100 and a GF Value™ of €195.65 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 372 Telecommunication Services companies, T-Mobile US ranks better than 65.59% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. T-Mobile US's annualizedNet Income for the quarter that ended in Mar. 2026 was €8,664 Mil.
T-Mobile US's average Total Assets over the quarter that ended in Mar. 2026 was €186,458 Mil. Therefore, T-Mobile US's annualized ROA % for the quarter that ended in Mar. 2026 was 4.65%.
The historical rank and industry rank for T-Mobile US's ROA % or its related term are showing as below:
WBO:TMUS'
s ROA % Range Over the Past 10 Years
Min: 1.24 Med: 4.01 Max: 6.65
Current: 4.89
During the past 13 years, T-Mobile US's highest ROA % was 6.65%. The lowest was 1.24%. And the median was 4.01%.
WBO:TMUS's ROA % is ranked better than 65.59% of 372
companies
in the Telecommunication Services industry
Industry Median: 2.745
vs WBO:TMUS: 4.89
T-Mobile US (WBO:TMUS) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
T-Mobile US ROA % Related Terms
T-Mobile US ROA % Historical Data
* Premium members only.
The historical data trend for T-Mobile US's ROA % 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 ROA %, along with its competitors' market caps and ROA % 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 ROA % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, T-Mobile US's ROA % distribution charts can be found below:
* The bar in red indicates where T-Mobile US's ROA % 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.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
T-Mobile US (WBO:TMUS) has a ROA % of 4.65% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on T-Mobile US and its competitors. This is 16% above median its historical median of 4.01. Over the past decade, T-Mobile US's ROA % has ranged from 1.24 to 6.65. According to the industry distribution chart, T-Mobile US ranks #128 out of 372 companies in the Telecommunication Services industry, placing it in the top 34.4%.
Is T-Mobile US's ROA % too high?
T-Mobile US's current ROA % of 4.65% is 16% above median its 10-year median of 4.01. Over the past 10 years, this metric has ranged from a low of 1.24 to a high of 6.65. The Telecommunication Services industry median ROA % is 2.75. T-Mobile US's value of 4.65% is 69.4% above this industry median. Based on the distribution chart, T-Mobile US ranks #128 out of 372 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, T-Mobile US has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does T-Mobile US's ROA % compare to VZ and T?
According to the Telecommunication Services industry distribution chart, T-Mobile US ranks #128 out of 372 companies for ROA %. This puts T-Mobile US in the upper half of its industry. The industry median ROA % is 2.75. T-Mobile US's value of 4.65% is 69.4% above this benchmark. Historically, T-Mobile US's own ROA % has ranged from 1.24 to 6.65 over the past decade. While the company's 10-year median is 4.01 vs. the industry median of 2.75, 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 ROA % for a Telecommunication Services company?
The median ROA % among Telecommunication Services companies is 2.75, based on 372 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. T-Mobile US's current ROA % of 4.65% is 69.4% 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 ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on T-Mobile US and its competitors. For the Telecommunication Services industry, the median ROA % is 2.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. T-Mobile US's current ROA % is 4.65%, which is 16% above median its own 10-year median of 4.01. 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 (WBO:TMUS) is currently considered Modestly Undervalued. The stock's GF Value™ is €195.65, compared to a current price of €160.74 — trading 17.8% below its estimated fair value. The current ROA % is 4.65%, which is 16% above median its 10-year median of 4.01 and 69.4% above the Telecommunication Services industry median of 2.75. T-Mobile US's overall GF Score™ is 83/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For T-Mobile US (WBO:TMUS), the current ROA % is 4.65% 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 (WBO:TMUS) Overvalued in 2026?
Based on GuruFocus' analysis, T-Mobile US stock appears to be undervalued.
The current stock price of €160.74 is trading 17.8% below its estimated GF Value™ of €195.65.
GuruFocus considers T-Mobile US to be Modestly Undervalued.
Key valuation signals for WBO:TMUS:
ROA %: 4.65% (16% above median its 10-year median of 4.01)
GF Value™: €195.65 vs. price of €160.74 (17.8% below fair value)
Industry Position: 69.4% above the Telecommunication Services median (#128 of 372)
No single metric tells the full story. See the WBO:TMUS 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.
83GF Score
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