Analyst: T-Mobile Poised To Post First Subscriber Gains In Years

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If we can put a small amount of faith into a group of those pesky analysts, T-Mobile will end a four-year drought and record its first net addition of postpaid customers in years. The addition of the iPhone combined with T-Mobile’s UNcarrier/Simple Choice installment play offering has apparently caught on with postpaid subscribers, according to “analysts.”

One concern is that if T-Mobile does record its first postpaid growth since 2009, Deutsche Telekom’s asking price for all 74% of its shares could rise.

“A lot of T-Mobile’s success has to do with the iPhone” and T-Mobile’s unique way of letting users pay for the device in installments, said Roger Entner, head of Recon Analytics. “There was huge pent-up demand for a cheaper option,” Entner said. “The neat thing about installment plans is that it lowers the price consumers have to pay when they walk out of a store. That’s putting pressure on other companies.”

By one estimate out of Macquarie Capital, T-Mobile could add 98,000 postpaid customers in the second quarter of 2013, compared to a loss of 557,000 in the second quarter of 2012. Barclays estimates a net gain of 50,000 postpaid customers in the second quarter.

“The combination of near-term subscriber momentum coupled with T-Mobile’s position as a potential alternative for parties that are interested in entering the U.S. wireless market should continue to work in favor of the company’s shares,” Barclay’s analyst Amir Rozwadowski said in a recent research report.

T-Mobile has already shown signs of a turn around in the first quarter of this year with a gain of more than 579,000 customers rising their total customer count to 34 million. The increase only showed 3000 postpaid contract-based subscribers with the other 576,000 coming from the prepaid and MVNO front.

Macquarie analyst Kevin Smithen, in a research note, said T-Mobile’s subscriber numbers will be better than expected this year because of “its smartphone financing options, cheap unlimited rates and a rapidly expanding LTE network.”

Could the second quarter of 2013 be the first in a major T-Mobile turnaround?

Investors.com

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  • Chris

    GOOOOO TMOOOO!!!

  • Verizonthunder

    Good now keep it up

  • http://www.kdmstance.com BiGMERF

    Positive news

  • rob

    My parents switched back to T-Mobile this week after leaving 2yrs ago, and I’ve seen most of my friends with shiny new T-Mobile branded phones. So I’m guessing TMO is doing something right with their marketing.

    • samsavoy

      The T-Mo store in my mall used to be a depressing, ghostly kiosk staffed by one dude who looked like he didn’t want to be there. Now it’s brightly lit and I actually had to wait in line one day…and they had multiple employees helping people out. So they’re doing something.

      • Verizonthunder

        I will say the same for a T-Mobile store in a urban area used to blast loud inappropriate music throughout the store, was not well lit or clean, and the worker’s sounded like they should go back to school. Now it’s well lit change scene, well placed viewing and demo’s of smart phone’s and finally all new worker’s who know and speak clear without any lingo or butcher of the english language bravo I say

        • drivethruboy168

          TPR/TPRI locations. They are now being operated by T-Mobile but still owned independently. T-Mobile wants the same experience across the board. So they are straightening everyone up!

  • http://twitter.com/SParKlngCyaNide SparklingCyanide

    Magenta we’re all PROUD of you, keep up all this effort. Believe me, it’ll pay off in the end just don’t stop the momentum. : )

  • Joseph Lagalla

    Will the customers from MPCS be added on to TMo’s consumer count? That would put us above 40m if im correct

    • taron19119

      MetroPCS customers will count towards T Mobile overall custom count but not customers they got naturally

    • John

      Well right now T-Mobile U.S is listed as having 43 Million customers. That number is the total for the combined company. Google the top U.S wireless carriers by subscribers. Metro is no longer listed separately on the list and has T-Mobile listed at 43 million customer. Although you will still see separate stores for Metro and T- Mobile for at least another year if not longer.

      From a T- Mobile press release: “As America’s Un-carrier, T-Mobile US, Inc. (NYSE: “TMUS”) is redefining the way consumers and businesses buy wireless services through leading product and service innovation. The company’s advanced nationwide 4G and 4G LTE network delivers outstanding wireless experiences for customers who are unwilling to compromise on quality and value. Based in Bellevue, T-Mobile US operates its flagship brands, T-Mobile and MetroPCS. It currently serves approximately 43 million wireless subscribers and provides products and services through 70,000 points of distribution.”

      T- Mobile’s 34 million + Metro’s 9 million= 43 million

  • eanfoso

    Hopefully DT rethinks their strategy and doesn’t exit the US market, I honestly don’t think Metro Piece of Crap S is ready to control a company like T-Mobile USA and it’s magnitude in subscribers, plus DT will be able to spend a lot more cash than what Metro would

    • Dion Mac

      Ummm… metro is not going to control tmobile. tmobile is going to control tmobile with a few board member from metro.

      • Prod1702

        Thats not 100% the case. Part of the metro buyout involves metro taking over at one point and letting DT leave the USA. The company will not be called Metro PCS but it may not be called T-Mobile as well at this point no one will know the name.

        • Dion Mac

          It’s called a reverse merger. DT technically bought metro. The new company will(or plans) to purchase DTs stock. That is why the loop hole issue is coming up were another company can buy the stocks from dt before newco can. But please believe, metro did NOT purchase tmobile.

  • zeth006

    T-Mobile, please don’t mess up a good thing you have going!

  • Dakota

    Without a contract does Tmobile still charge all those additional contract fees that add so. Much to your monthly kly bill? I’ve gotten used to paying only 1.46 in sales tax on my prepaid service

    • superg05

      are you referencing to a 20 dollar charge?

    • Bob Archer

      Yes, if you are on a post paid plan you have to pay the taxes and fees. Although, technically t-mo doesn’t charge those, they are charged by the fed and state. However, I am on a t-mo pre-paid plan and only pay the state sales tax each month.

  • Richard Yarrell

    Tmobile is definitely the place to be period

    • S. Ali

      As long as you live in a metro.

  • Graham Blackadder

    Rise in customer base and profits means a rise in company value. Also add in the advancement with LTE and the investment made then it stands to reason the value asked by DT will be higher than this time last year.

  • Desmond Foucha

    do you have to pay a deposit with t-mobile

    • Prod1702

      Its based on a credit check

      • Desmond Foucha

        yea i have no credit so does this i have to pay a deposit

  • gman420

    I have been a Tmobile customer since 2005. Currently they have the best post paid plans on the market, and the phone deals are pretty good for no-contract plans. I think they know that they have a good thing going, and won’t do anything to mess it up. I am looking forward to their July 10th announcement.

  • Mike

    I left T-Mobile and Switched to Sprint last year for unlimited data thinking it was a deal and boy was I wrong. The reason why Sprint has unlimited data is because majority of there customers are on 3G and sprint 3G has edge speeds in alot of areas and it’s hard to go over 1GB of data a month is the reason Sprint has unlimited data. T-Mobile started there LTE rollout after Sprint and T-Mobile seems to be on a roll with getting LTE in alot of areas unlike Sprint. In the end if T-Mobile can get some of there coverage in order they will be able to take over the third place from Sprint. I will be coming back to either T-Mobile when the Galaxy Note 3 drops later this year.

  • wasapasserby

    Once the 925 launches, you can count me in as a new postpiad customer!

  • Nelson Mejia

    T-Mobile is poised for a tremendous comeback. I convinced my mom, 2 brothers and my girlfriend to all switch from T-Mobile to AT&T. We each pay $60 a month for unlimited minutes, text and 3GB + of data. AT&T is great but T-Mobile could definitely become the #3 US wireless provider by years end and knock Sprint to the very bottom at #4.