The decline of T-mobile (NYSE:TMUS)

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T-mobile US Inc. (NYSE:TMUS) provides wireless voice, messaging and data services in the United States. The company headquarters are located in Bellevue, Washington. The company has been losing customers lately, but is still the fourth largest wireless provider in America. T-mobile (NYSE:TMUS) has been quite aggressive in its advertisements, but could not attract customers as it faces strong competition.

Amongst various customer service ratings, T-mobile (NYSE:TMUS) rank is not quite impressive. J.D Power wireless network quality ranked T-mobile (NYSE:TMUS) as the last of the 4 providers in most regions of the States. The 1st rank in most parts of the country was claimed by Verizon Communication Inc. (NYSE:VZ). American customer satisfaction index also declared T-mobile’s (NYSE:TMUS) service as unsatisfactory or below average. However, two other companies AT&T Inc. (NYSE:T) and Sprint Corp. (NYSE:S) also have similar assessments. The mobile network performance assessed by Root Metrics shows that out of the four carriers, T-mobile stood 3rd in most categories and was 4th in the other two. T-mobile (NYSE:TMUS)’s overall rank is not impressive at all, even though it was just behind the top contender, Verizon (NYSE:VZ), and ahead of the lease scorer, Sprint (NYSE:S) in the consumer reports annual cell phone service ratings.

On the whole Verizon (NYSE:VZ) topped the list of the carriers by providing its customers with excellent data service and customer support. AT&T (NYSE:T)  was the only carrier that got the highest rating for the reliability of its 4G service, but even then it could not bring its overall ranking any higher and was ranked average, along with T-Mobile (NYSE:TMUS).

In this year’s second quarter, T-mobile (NYSE:TMUS) only made $391 million on revenue of $7.2 billion, thus bringing the company to a financial low. On the other hand AT&T (NYSE:T) made $4.7 billion in segment operating income on $17.3 billion.  As far as subscriber count is concerned, Verizon (NYSE:VZ) had 123 million subscribers in the second quarter, while AT&T (NYSE:T) had 116 million subscribers. Sprint (NYSE:S) gathered about 54 million subscribers and T-mobile (NYSE:TMUS) had only 51 million subscribers. Although the  difference between the subscriber count of T-mobile (NYSE:TMUS) and Sprint (NYSE:S) is very low and T-mobile (NYSE:TMUS) might be able to exceed the number, the financial statement of Sprint (NYSE:S) confirms that the 3rd place does not promise strong bottom line results and is an unstable position to be at.

Another thing going wrong for T-mobile (NYSE:TMUS) is its falling shares in the stock market. T-mobile’s (NYSE:TMUS) shares dropped to 20% this year. On the other hand AT&T (NYSE:T) and Verizon’s (NYSE:VZ) shares just went down slightly and Sprint (NYSE:S) saw a decline of 45%. The performance of T-mobile (NYSE:TMUS) at the moment is average but due to the fast changes that the stock market sees and the expected competition, it can be said that the future of the company does not look that bright. After all, staying at the lower end of the ranking, be it 3rd position or 4th is not very encouraging for any company’s future.

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