T-Mobile US raised its 2026 adjusted free cash flow guidance to a range of $18.4 billion to $18.8 billion, an increase of $200 million at the midpoint, reflecting lower expected cash income taxes. The company also reaffirmed its outlook for approximately $77 billion in service revenues and $37.1 billion to $37.5 billion in core adjusted EBITDA for the year. The guidance raise follows a second quarter marked by 13% year-over-year growth in postpaid service revenue, a 12% increase in core adjusted EBITDA, and a 2% rise in average revenue per account, with more than 60% of new account customers selecting premium plans. Management highlighted continued momentum in fixed wireless broadband and expansion through fiber joint ventures as additional growth drivers. The stock currently carries a Zacks Rank #3, or Hold, reflecting a balanced near-term investment outlook amid intense competition from Verizon and AT&T.
T-Mobile US IncRaised 2026 adjusted free cash flow guidance and reaffirmed strong financial outlook.
AT&T Inc.T-Mobile's strong guidance and growth highlight competitive pressure on AT&T.
Verizon Communications IncT-Mobile's performance underscores competitive challenges for Verizon.