The 2022 guidance was primarily positive, and T-Mobile has a solid track record of beating and raising its initial guidance over the course of a calendar year, Kraft notes.
JPMorgan analyst Philip Cusick reiterated an Overweight rating on the shares with a $175 price target (45 percent upside).
Cusick says T-Mobile remains his top pick for 2022 following the “strong” Q4 results.
The guidance to “strong” EBITDA and subscriber growth in 2022 is “much better than recent investor fears,” Cusick adds.
RBC Capital analyst Kutgun Maral lowered the price target on T-Mobile to $152 from $180 (26 percent upside) and kept an Outperform rating on the shares.
The company’s Q4 total revenue missed consensus on lower than expected equipment sales, but sentiment should be “near positive inflection soon,” the analyst notes.
Maral further states that T-Mobile management has a long track record of guiding conservatively and strong execution.
