Stocks
.docx
keyboard_arrow_up
School
Purdue University, Northwest *
*We aren’t endorsed by this school
Course
MT219
Subject
Finance
Date
May 25, 2024
Type
docx
Pages
5
Uploaded by CountAlbatrossMaster680
Running Head: STOCKS
1
Stocks
Student Name
Institutional Affiliation
STOCKS
2
Investing in T-Mobile US, Inc.: A Smart Choice for Growth
Introduction
In this weekly post, we want to provide you with a thoughtful investing suggestion that could help you build a stronger portfolio. As we all know, stock investment can be a profitable endeavour, and today we're delighted to highlight a stock that we think offers a good chance for growth and financial success.
Name of the Stock, Headquarters, and Services
Today's spotlight is on T-Mobile US, Inc. (TMUS), a well-known American cellular network provider with offices in Bellevue, Washington, and Overland Park, Kansas. Under the names T-
Mobile and Metro by T-Mobile, T-Mobile US offers a wide variety of wireless voice and data services throughout the United States (T-Mobile, 2023). The business has established itself as a major participant in the telecommunications sector by acting as the host network for several mobile virtual network providers. As the third-largest wireless provider in the US with a history stretching back to 1994, T-Mobile served an astounding 113.6 million subscribers as of Q4 2022 (T-Mobile, 2022).
Why T-Mobile US is a Good Investment
For several convincing reasons, T-Mobile US stands out as a solid investment decision. First off, the business has strong financials, with a forecasted average annual EPS growth rate of +65.5% over the next five years and a current one-year EPS growth rate of +266.4% (Yahoo. finance, 2023). Additionally, T-Mobile has had sustained growth and profitability as evidenced by its three-year average annual revenue increase of +15.2%.
Even the stock's value indicators are intriguing. A potential undervaluation is indicated by the fact that the current P/E ratio of 45.4 is significantly lower than historical norms. Additionally,
STOCKS
3
the stock appears to be trading at a favorable price about its projected growth trajectory, as indicated by the forward P/E ratio of 14.3 (Yahoo. finance, 2023).
Current Stock Price and Historical Performance
T-Mobile US, Inc.'s opening and closing prices are currently 137.08 and 138.34, respectively. The stock has shown tenacity and growth over the past year within a band of 124.92 - 154.38 (Yahoo. finance, 2023). Please see Figures 1 and 2 for screenshots of the day's graph and the year's graph, respectively, to visualize this.
Figure 1: Today’s Stock Graph
Your preview ends here
Eager to read complete document? Join bartleby learn and gain access to the full version
- Access to all documents
- Unlimited textbook solutions
- 24/7 expert homework help
Related Questions
Narrative: You are an aspiring stockholder with a 1,000,000 budget to invest in stocks. As a
(https://www.pesobility.com/stock) to
result, you find yourself looking at the internet
research the different companies where you can invest your million.
Image 1.0: Screenshot of the stock table from https://www.pesobility.com/stock
I
Image 1.1 Bank
Image 1.2 Information Technology
Image 1.3 Media
Image 2.0: List of Chosen Companies to Invest
Image 2.1 Bank
Image 2.2 Information Technology
Image 2.3 Media
arrow_forward
Problem-oriented Experience
REAL WORLD CHALLENGE
I. Review the different types of stocks and bonds.
II. Write all the given and formulas that you use in
each problem.
III. Solve the problem below, show your complete
1. The RYX financial institution declared a
SOLUTION and FINAL ANWER.
dividend of 59 per share for its common stock. The
market value of the stock is P176. Determine the
stock yield ratio.
arrow_forward
Hello tutor answer these general accounting question
arrow_forward
Topic: ISLAMIC INVESTMENT
Answer all the following question?.
Assume that you are the President of ABC Investments, a firm that invests in stock exchange markets worldwide. As president, you appointed investment Managers, Alam and Anas, to select shares that you would invest RM215,000 in each in January next year. Then, managers will manage shares and advise when to sell them, bearing in mind the objective to maximize return. Table 1 shows the data collected in the subsequent year.
Investment manager
Alam
Anas
Initial investment
RM215,000
RM215,000
Sale value
RM229,000
RM235,000
Holding period
4 months
7 months
Dividends collected
RM6,000
RM9500
Calculate the HPR for the stock of both Investment managers.
What is the annualize HPR for Alam and Anas?
Note: that the consumer price index (CPI) is a measure taken from examining the average of prices from a hypothetical basket of goods and services purchased by…
arrow_forward
Q2b
You are an investment advisor and you are asked to guide a new investor to trade shares on the Ghana Stock Exchange (GSE). Explain any six (6) of the listing requirement of GSE that are to be met before the company can start trading on the market.
arrow_forward
Need help with the earnings per share of common stock.
arrow_forward
Macmillan Learning
Stock Markets and Personal Finance: End of Chapter Problem
In early 2021, GameStop achieved meme stock status behind strong backing from r/wallstreetbets and a famous tweet from
Elon Musk. Let's consider some key moments in the GameStop saga. These data for Gamestop stock (GME) in the table
from finance.yahoo.com will help you answer the questions.
Date
Closing Price
January 11, 2021
$5
January 19, 2021
$10
January 26, 2021
$37
October 21, 2022
$25
a. Suppose that you were an early passenger on the GameStop bandwagon and decided to purchase shares of their stock on
January 11, 2021, the day they announced three new directors: Alan Attal, Ryan Cohen, and Jim Grube. Has this turned out
to be a wise investment, at least as of October 21, 2022??
b. What if you first became aware of GameStop on January 19, 2021, when a well-known stock research firm, Citron
Research, called GameStop buyers "suckers"? Has this turned out to be a wise investment, at least as of October 21,…
arrow_forward
Common stockholders profitability analysis
arrow_forward
Question content area top
What are the formulas to figure out these problems? I have the answer but I want to be able to figure out how to get the answer.
Part 1
(Common stock valuation) Dubai Metro's stock price was at
$100
per share when it announced that it will cut its dividend for next year from
$10
per share to
$6
per share, with additional funds used for expansion. Prior to the dividend cut, Dubai Metro expected its dividends to grow at a
4
percent rate, but with the expansion, dividends are now expected to grow at
7
percent. How do you think the announcement will affect Dubai Metro's stock price?
Question content area bottom
Part 1
a. What is the investor's required rate of return for Dubai Metro's stock?
14.0014.00%
(Round to two decimal places.)
Part 2
b. What would be the price of Dubai Metro's stock if they cut the dividend to
$6?
$85.7185.71
(Round to the nearest cent.)
Part 3
c. How do you think Dubai Metro's stock price…
arrow_forward
I need help soon as possible
arrow_forward
Q.1 Answer the following:
a. PNB Bank publishes Investment Monthly magazine, which highlights a specific stock in each issue. Publication of the magazine invariably causes the highlighted stocks to rise significantly in value. Rachel Cummings, CFA, manager of PNB's marketing department, often trades in the securities mentioned in the Investment Monthly articles before publication of the magazine. Cummings has access to the recommendations before the magazine's publication because the magazine was created in her department and edited by her. PNB's Code of Ethics restricts trading by all the bank's analysts and portfolio managers and requires their trades to be pre-cleared by the Compliance Department. Which of the following CFA Institute Standards of Professional Conduct is Cummings least likely to have violated?
(only one possible answer)
Priority of Transactions
Diligence and Reasonable Basis
Material Nonpublic Information
None is correct
b) Jimmy Connor, CFA, was a technology analyst…
arrow_forward
Chapter 12
Exercise/Problem 10 - Professional Venture Capital
Locate a venture capital-backed firm that recently completed and initial public offering (IPO). Provide a brief summary of the venture's history and success through the IPO and to date.
arrow_forward
Please dont provide solution in image based solution thanks
arrow_forward
How many shares of treasury stock does the corporation have? What does it represent? How does it affect stockholder's equity?
arrow_forward
Pls help all parts correctly
arrow_forward
Please send complete handwritten solution for Q7
only handwritten solution accepted
arrow_forward
A
Add Page
Table
Chart
Text
Shape
Media
Comment
Collaborate
Insert
1) Jane is 25 years old and was able to save $25,000. After doing some research, she identifies a
stock called HPG Industries that has a dividend yield of 7% that has been consistent for the past
10 years. Based on this information, she decides to invest in this stock. Considering that HPG
Industries pays the dividend consistently, how many years will it take for Jane to double her
money?
arrow_forward
Baghiben
arrow_forward
Activity 3: Read “How to make money investing in the stock market?” then answer the questions givenbelow.How to make money by investing in the stock market?
The first thing you should know about stocks is they are ownership shares of businesses. What in the world does that mean? Let’s explain.There are over 200 stocks that trade on the Philippine stock exchange. Each of those stocks has a number of shares. For example, San Miguel Corporation has over two billion shares of stock! The owners of those two billion shares literally own the company. If you were somehow able to buy ALL two-plus billion shares of San Miguel Corporation on the stock market, you would have control of the entire company. Of course, this is nearly impossible, considering how much money it would take, and the number of shares available to buy. But think about it. If you buy as little as one share of San Miguel Corporation, you’re now a part-owner of the company. Yes, it’s a very small part of the company, but…
arrow_forward
Question C in part 2
arrow_forward
Assan Offical
O Academic Portal
t- LIBIS - Sampoerna.. O Dashboard
O VitalSource Booksh..
O Spotify - Web Player
P MLA Formatting an. Credible and Non-.
E Reading
20
Q A
Instructions
a. Prepare an income statement for 2022. Assume that 60,000 ordinary shares are outstanding.
b. Prepare a retained earnings statement for 2022.
E4.10 (LO 3) (Earnings per Share) The equity section of Sosa SA appears below as of December 31, 2022.
Share capital-preference (6% preference shares, R$50 par value, authorized 100,000 shares, outstanding 90,00o shares)
Share capital-ordinary (R$1 par, authorized and issued 10 million shares)
R$ 4,500,000
10,000,000
Share premium-ordinary
20,500,000
Retained earnings
R$134,000,000
Net income
33,000,000
167,000,000
R$202,000,000
Net income for 2022 reflects a total effective tax rate of 20%. Included in the net income figure is a loss of R$12,000,000 (before tax) as a result of
discontinued operations. Preference dividends of R$270,000 were declared and paid in…
arrow_forward
exponents and exponential functions
arrow_forward
i want accurate answer with proper explanation no handwriting only typed answer
QUESTION 2
"You founded your firm with a contribution of $500,000, receiving 2,000,000 shares of stock. Since then, you sold 6,000,000 stocks to Angel Investors. Now you are considering raising more capital from a Venture Capitalist. They will invest $7,000,000 and would receive 5,000,000 newly issued shares. If this is the VC's first investment in the company, what percentage of the firm will they end up owning? Note: Express your answers in strictly numerical terms. For example, if the answer is 5 percent, enter 0.05 as an answer."
arrow_forward
SEE MORE QUESTIONS
Recommended textbooks for you
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:9781337679503
Author:Gilbertson
Publisher:Cengage
Auditing: A Risk Based-Approach (MindTap Course L...
Accounting
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Cengage Learning
Related Questions
- Narrative: You are an aspiring stockholder with a 1,000,000 budget to invest in stocks. As a (https://www.pesobility.com/stock) to result, you find yourself looking at the internet research the different companies where you can invest your million. Image 1.0: Screenshot of the stock table from https://www.pesobility.com/stock I Image 1.1 Bank Image 1.2 Information Technology Image 1.3 Media Image 2.0: List of Chosen Companies to Invest Image 2.1 Bank Image 2.2 Information Technology Image 2.3 Mediaarrow_forwardProblem-oriented Experience REAL WORLD CHALLENGE I. Review the different types of stocks and bonds. II. Write all the given and formulas that you use in each problem. III. Solve the problem below, show your complete 1. The RYX financial institution declared a SOLUTION and FINAL ANWER. dividend of 59 per share for its common stock. The market value of the stock is P176. Determine the stock yield ratio.arrow_forwardHello tutor answer these general accounting questionarrow_forward
- Topic: ISLAMIC INVESTMENT Answer all the following question?. Assume that you are the President of ABC Investments, a firm that invests in stock exchange markets worldwide. As president, you appointed investment Managers, Alam and Anas, to select shares that you would invest RM215,000 in each in January next year. Then, managers will manage shares and advise when to sell them, bearing in mind the objective to maximize return. Table 1 shows the data collected in the subsequent year. Investment manager Alam Anas Initial investment RM215,000 RM215,000 Sale value RM229,000 RM235,000 Holding period 4 months 7 months Dividends collected RM6,000 RM9500 Calculate the HPR for the stock of both Investment managers. What is the annualize HPR for Alam and Anas? Note: that the consumer price index (CPI) is a measure taken from examining the average of prices from a hypothetical basket of goods and services purchased by…arrow_forwardQ2b You are an investment advisor and you are asked to guide a new investor to trade shares on the Ghana Stock Exchange (GSE). Explain any six (6) of the listing requirement of GSE that are to be met before the company can start trading on the market.arrow_forwardNeed help with the earnings per share of common stock.arrow_forward
- Macmillan Learning Stock Markets and Personal Finance: End of Chapter Problem In early 2021, GameStop achieved meme stock status behind strong backing from r/wallstreetbets and a famous tweet from Elon Musk. Let's consider some key moments in the GameStop saga. These data for Gamestop stock (GME) in the table from finance.yahoo.com will help you answer the questions. Date Closing Price January 11, 2021 $5 January 19, 2021 $10 January 26, 2021 $37 October 21, 2022 $25 a. Suppose that you were an early passenger on the GameStop bandwagon and decided to purchase shares of their stock on January 11, 2021, the day they announced three new directors: Alan Attal, Ryan Cohen, and Jim Grube. Has this turned out to be a wise investment, at least as of October 21, 2022?? b. What if you first became aware of GameStop on January 19, 2021, when a well-known stock research firm, Citron Research, called GameStop buyers "suckers"? Has this turned out to be a wise investment, at least as of October 21,…arrow_forwardCommon stockholders profitability analysisarrow_forwardQuestion content area top What are the formulas to figure out these problems? I have the answer but I want to be able to figure out how to get the answer. Part 1 (Common stock valuation) Dubai Metro's stock price was at $100 per share when it announced that it will cut its dividend for next year from $10 per share to $6 per share, with additional funds used for expansion. Prior to the dividend cut, Dubai Metro expected its dividends to grow at a 4 percent rate, but with the expansion, dividends are now expected to grow at 7 percent. How do you think the announcement will affect Dubai Metro's stock price? Question content area bottom Part 1 a. What is the investor's required rate of return for Dubai Metro's stock? 14.0014.00% (Round to two decimal places.) Part 2 b. What would be the price of Dubai Metro's stock if they cut the dividend to $6? $85.7185.71 (Round to the nearest cent.) Part 3 c. How do you think Dubai Metro's stock price…arrow_forward
- I need help soon as possiblearrow_forwardQ.1 Answer the following: a. PNB Bank publishes Investment Monthly magazine, which highlights a specific stock in each issue. Publication of the magazine invariably causes the highlighted stocks to rise significantly in value. Rachel Cummings, CFA, manager of PNB's marketing department, often trades in the securities mentioned in the Investment Monthly articles before publication of the magazine. Cummings has access to the recommendations before the magazine's publication because the magazine was created in her department and edited by her. PNB's Code of Ethics restricts trading by all the bank's analysts and portfolio managers and requires their trades to be pre-cleared by the Compliance Department. Which of the following CFA Institute Standards of Professional Conduct is Cummings least likely to have violated? (only one possible answer) Priority of Transactions Diligence and Reasonable Basis Material Nonpublic Information None is correct b) Jimmy Connor, CFA, was a technology analyst…arrow_forwardChapter 12 Exercise/Problem 10 - Professional Venture Capital Locate a venture capital-backed firm that recently completed and initial public offering (IPO). Provide a brief summary of the venture's history and success through the IPO and to date.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Century 21 Accounting Multicolumn JournalAccountingISBN:9781337679503Author:GilbertsonPublisher:CengageAuditing: A Risk Based-Approach (MindTap Course L...AccountingISBN:9781337619455Author:Karla M Johnstone, Audrey A. Gramling, Larry E. RittenbergPublisher:Cengage Learning
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:9781337679503
Author:Gilbertson
Publisher:Cengage
Auditing: A Risk Based-Approach (MindTap Course L...
Accounting
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Cengage Learning