TMUSNEUTRAL

TMUS Return on Equity (ROE) Analysis

18.0%

Updated 50h ago·SEC filings & market data

Key Takeaway

Return on Equity (ROE) measures how efficiently a company generates profit from its shareholders’ equity — an 18.0% ROE means TMUS earns $0.18 for every dollar of equity.

Sector Performance

62th percentile

TMUS

18.0%

Sector Median

13.8%

Sector Avg

32.0%

Prior Period

18.6%(Apr 2026)

↓ Declining

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Deep Analysis

Return on Equity (ROE) measures how efficiently a company generates profit from its shareholders’ equity — an 18.0% ROE means TMUS earns $0.18 for every dollar of equity.

This is above the sector median of 13.9%, placing the company in the 62nd percentile among its peers, indicating above-average profitability relative to the industry. The trend data is not available (N/A), with no year-over-year or quarter-over-quarter change provided, so no directional movement can be assessed. Because the ROE level is strong but lacks a trend to confirm momentum, the metric suggests a moderate competitive advantage without clear signals for improvement or deterioration. The neutral verdict is supported: the above-median ROE reduces downside risk, but the absence of trend data means there is no strong reason to upgrade or downgrade the stock based on this metric alone.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about TMUS?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are TMUS's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: FICO (-37.3%), XRAY (-37.7%), VRSN (-38.3%), MSCI (-45.3%), SNOW (-54.9%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.