T-Mobile US stock gains focus after higher 2026 cash outlook
Published on 10/30/2026 at 12:16 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSGrowth and Cash Flow Outlook
- Third-quarter service revenue rose 6 percent year over year, while postpaid service revenue increased 9 percent.
- Net income climbed 27 percent and diluted earnings per share advanced 34 percent from the prior-year quarter.
- Management raised adjusted free cash flow guidance and kept 2026 cash capital spending near 10 billion US dollars.
T-Mobile US reported strong third-quarter results on Wednesday, October 28, 2026, and raised its full-year cash flow outlook. In its earnings release, the wireless carrier said customer growth and higher average revenue per account supported gains across its main financial measures.
T-Mobile US added 274,000 postpaid accounts in the quarter, while total postpaid accounts reached 35.0 million, up 3 percent from a year earlier. Postpaid average revenue per account rose 4 percent to 155.73 US dollars. The company said these trends reflected stronger customer relationships and continued adoption of higher-value plans.
Service Revenue Drives Profit Growth
Service revenue increased 6 percent year over year to 19.4 billion US dollars. Postpaid service revenue grew 9 percent to 16.3 billion US dollars, outpacing the broader service business. Total revenue reached 23.6 billion US dollars, up 7.4 percent from the third quarter of 2025.
Net income advanced 27 percent to 3.5 billion US dollars, while diluted earnings per share rose 34 percent to 3.22 US dollars. Core adjusted EBITDA increased 11 percent to 9.6 billion US dollars. Adjusted free cash flow rose 5 percent to 5.1 billion US dollars, although operating cash flow declined 2 percent to 7.3 billion US dollars.
Higher Full-Year Cash Targets
Management lifted its 2026 adjusted free cash flow outlook to 18.7 billion to 18.8 billion US dollars, including net payments related to the UScellular merger. The midpoint is 150 million US dollars above the previous outlook. The company also raised its core adjusted EBITDA range to 37.35 billion to 37.45 billion US dollars, increasing the midpoint by 100 million US dollars.
Full-year operating cash flow is now expected at 28.7 billion to 28.8 billion US dollars, compared with the previous range of 28.4 billion to 28.8 billion US dollars. Cash purchases of property and equipment remain projected at about 10.0 billion US dollars. T-Mobile also expects roughly 1.0 million postpaid net account additions for the year and full-year service revenue of approximately 76.8 billion US dollars.
Management expects fourth-quarter organic postpaid service revenue growth of approximately 7 percent and raised its full-year postpaid average revenue per account growth expectation to approximately 3.5 percent. Those targets point to continued monetization of the customer base, while the company said wholesale and prepaid trends would partly offset postpaid strength.
Shareholder Returns Remain Material
T-Mobile returned 3.5 billion US dollars to shareholders during the quarter, including 2.4 billion US dollars in share repurchases and 1.1 billion US dollars in dividends. The company said its current authorization allows for up to 18.2 billion US dollars in cumulative shareholder returns through December 31, 2026.
T-Mobile US stock traded at 134.38 euros on Lang & Schwarz at 12:08 CET on Friday, October 30, 2026. Investors are weighing the stronger operating outlook against the execution risks tied to network investment, competition and the integration of UScellular assets.
For a live market view, see the real-time quote of T-Mobile US stock.
The broader S&P 500 market remains the relevant benchmark for this U.S. company.
More news and analyses on T-Mobile US stock.
T-Mobile US at a Glance
- Company: T-Mobile US, Inc.
- ISIN: US8725901040
- Ticker: TMUS; TM5 on Xetra
- Home exchange: Nasdaq
- Lang & Schwarz price: 134.38 euros at 12:08 CET on October 30, 2026
- Q3 service revenue: 19.4 billion US dollars, up 6 percent year over year
- 2026 adjusted free cash flow outlook: 18.7 billion to 18.8 billion US dollars
