AT&T Inc (T) is undervalued and T-Mobile US Inc (TMUS) is undervalued.
Against our estimates of intrinsic value, T trades at the wider discount: a margin of safety of +48%, against +37% for TMUS.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 6.5% (average of 3 methods) values the shares at $48.39; the price of $25.10 is 48% below that value, and 85% of that value comes from beyond year five.
Leak Score 61/100 on 10 of 12 signals
Discounting its cash flows at 7.8% (average of 3 methods) values the shares at $258.71; the price of $162.41 is 37% below that value, and 80% of that value comes from beyond year five.
Leak Score 73/100 on 10 of 12 signals
| Metric | T | TMUS |
|---|---|---|
| Verdict | Undervalued | Undervalued |
| Price | $25.10 | $162.41 |
| Intrinsic value | $48.39 | $258.71 |
| Margin of safety | +48% | +37% |
| Leak Score | 61/100 (10/12) | 73/100 (10/12) |
| Market cap | $172.0B | $174.2B |
| Revenue growth, 5 years | -6.1% | 5.2% |
| Operating margin | 21.2% | 21.2% |
| Net margin | 16.8% | 11.4% |
| Return on equity | 20.1% | 18.0% |
| Debt to equity | 1.47 | 2.12 |
| P/E | 8.3x | 17.0x |
| Forward P/E | 9.8x | 11.7x |
| P/B | 1.6x | 3.1x |
| Dividend yield | 4.4% | 2.5% |