ABT vs. TMUS: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ABT and TMUS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ABT’s market capitalization stands at 233.90 billion USD, while TMUS’s is 273.36 billion USD, indicating their market valuations are broadly comparable.
With betas of 0.74 for ABT and 0.63 for TMUS, both stocks show similar sensitivity to overall market movements.
| Symbol | ABT | TMUS |
|---|---|---|
| Company Name | Abbott Laboratories | T-Mobile US, Inc. |
| Country | US | US |
| Sector | Healthcare | Communication Services |
| Industry | Medical - Devices | Telecommunications Services |
| CEO | Robert B. Ford | G. Michael Sievert |
| Price | 134.44 USD | 240.75 USD |
| Market Cap | 233.90 billion USD | 273.36 billion USD |
| Beta | 0.74 | 0.63 |
| Exchange | NYSE | NASDAQ |
| IPO Date | March 17, 1980 | April 19, 2007 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ABT and TMUS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ABT
30.76%
Medical - Devices Industry
- Max
- 49.04%
- Q3
- 9.53%
- Median
- -7.46%
- Q1
- -32.83%
- Min
- -82.64%
In the upper quartile for the Medical - Devices industry, ABT’s Return on Equity of 30.76% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
TMUS
19.09%
Telecommunications Services Industry
- Max
- 36.08%
- Q3
- 16.39%
- Median
- 6.66%
- Q1
- -5.80%
- Min
- -26.90%
In the upper quartile for the Telecommunications Services industry, TMUS’s Return on Equity of 19.09% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ABT
19.13%
Medical - Devices Industry
- Max
- 21.88%
- Q3
- 6.63%
- Median
- -1.11%
- Q1
- -21.08%
- Min
- -51.95%
In the upper quartile for the Medical - Devices industry, ABT’s Return on Invested Capital of 19.13% signifies a highly effective use of its capital to generate profits when compared to its peers.
TMUS
7.14%
Telecommunications Services Industry
- Max
- 13.02%
- Q3
- 6.76%
- Median
- 4.03%
- Q1
- 0.50%
- Min
- -4.79%
In the upper quartile for the Telecommunications Services industry, TMUS’s Return on Invested Capital of 7.14% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ABT
31.89%
Medical - Devices Industry
- Max
- 44.80%
- Q3
- 9.77%
- Median
- -5.53%
- Q1
- -29.37%
- Min
- -87.68%
A Net Profit Margin of 31.89% places ABT in the upper quartile for the Medical - Devices industry, signifying strong profitability and more effective cost management than most of its peers.
TMUS
14.41%
Telecommunications Services Industry
- Max
- 20.59%
- Q3
- 10.07%
- Median
- 3.00%
- Q1
- -4.53%
- Min
- -18.76%
A Net Profit Margin of 14.41% places TMUS in the upper quartile for the Telecommunications Services industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ABT
16.97%
Medical - Devices Industry
- Max
- 30.13%
- Q3
- 13.12%
- Median
- 3.47%
- Q1
- -24.42%
- Min
- -80.56%
An Operating Profit Margin of 16.97% places ABT in the upper quartile for the Medical - Devices industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
TMUS
22.75%
Telecommunications Services Industry
- Max
- 37.46%
- Q3
- 22.75%
- Median
- 10.32%
- Q1
- 0.62%
- Min
- -16.66%
TMUS’s Operating Profit Margin of 22.75% is around the midpoint for the Telecommunications Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ABT | TMUS |
|---|---|---|
| Return on Equity (TTM) | 30.76% | 19.09% |
| Return on Assets (TTM) | 16.58% | 5.55% |
| Return on Invested Capital (TTM) | 19.13% | 7.14% |
| Net Profit Margin (TTM) | 31.89% | 14.41% |
| Operating Profit Margin (TTM) | 16.97% | 22.75% |
| Gross Profit Margin (TTM) | 55.89% | 63.76% |
Financial Strength
Current Ratio
ABT
1.78
Medical - Devices Industry
- Max
- 12.68
- Q3
- 6.30
- Median
- 4.05
- Q1
- 1.85
- Min
- 0.01
ABT’s Current Ratio of 1.78 falls into the lower quartile for the Medical - Devices industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
TMUS
1.16
Telecommunications Services Industry
- Max
- 2.27
- Q3
- 1.38
- Median
- 0.96
- Q1
- 0.66
- Min
- 0.36
TMUS’s Current Ratio of 1.16 aligns with the median group of the Telecommunications Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
ABT
0.27
Medical - Devices Industry
- Max
- 2.34
- Q3
- 1.09
- Median
- 0.37
- Q1
- 0.08
- Min
- 0.00
ABT’s Debt-to-Equity Ratio of 0.27 is typical for the Medical - Devices industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
TMUS
1.98
Telecommunications Services Industry
- Max
- 4.64
- Q3
- 2.32
- Median
- 1.35
- Q1
- 0.63
- Min
- 0.00
TMUS’s Debt-to-Equity Ratio of 1.98 is typical for the Telecommunications Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ABT
15.39
Medical - Devices Industry
- Max
- 18.18
- Q3
- 7.53
- Median
- 0.85
- Q1
- -9.80
- Min
- -33.94
ABT’s Interest Coverage Ratio of 15.39 is in the upper quartile for the Medical - Devices industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
TMUS
5.46
Telecommunications Services Industry
- Max
- 8.83
- Q3
- 4.35
- Median
- 2.26
- Q1
- 0.11
- Min
- -1.74
TMUS’s Interest Coverage Ratio of 5.46 is in the upper quartile for the Telecommunications Services industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | ABT | TMUS |
|---|---|---|
| Current Ratio (TTM) | 1.78 | 1.16 |
| Quick Ratio (TTM) | 1.27 | 1.08 |
| Debt-to-Equity Ratio (TTM) | 0.27 | 1.98 |
| Debt-to-Asset Ratio (TTM) | 0.16 | 0.56 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.60 | 3.45 |
| Interest Coverage Ratio (TTM) | 15.39 | 5.46 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ABT and TMUS. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ABT
1.70%
Medical - Devices Industry
- Max
- 3.57%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.70%, ABT offers a more attractive income stream than most of its peers in the Medical - Devices industry, signaling a strong commitment to shareholder returns.
TMUS
1.37%
Telecommunications Services Industry
- Max
- 128.28%
- Q3
- 6.07%
- Median
- 1.86%
- Q1
- 0.00%
- Min
- 0.00%
TMUS’s Dividend Yield of 1.37% is consistent with its peers in the Telecommunications Services industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
ABT
28.92%
Medical - Devices Industry
- Max
- 102.12%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ABT’s Dividend Payout Ratio of 28.92% is in the upper quartile for the Medical - Devices industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
TMUS
29.65%
Telecommunications Services Industry
- Max
- 146.49%
- Q3
- 63.59%
- Median
- 29.65%
- Q1
- 0.00%
- Min
- 0.00%
TMUS’s Dividend Payout Ratio of 29.65% is within the typical range for the Telecommunications Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | ABT | TMUS |
|---|---|---|
| Dividend Yield (TTM) | 1.70% | 1.37% |
| Dividend Payout Ratio (TTM) | 28.92% | 29.65% |
Valuation
Price-to-Earnings Ratio
ABT
17.40
Medical - Devices Industry
- Max
- 90.56
- Q3
- 56.92
- Median
- 43.19
- Q1
- 21.79
- Min
- 5.55
In the lower quartile for the Medical - Devices industry, ABT’s P/E Ratio of 17.40 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
TMUS
23.04
Telecommunications Services Industry
- Max
- 27.65
- Q3
- 20.70
- Median
- 15.25
- Q1
- 10.05
- Min
- 5.86
A P/E Ratio of 23.04 places TMUS in the upper quartile for the Telecommunications Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Forward P/E to Growth Ratio
ABT
1.73
Medical - Devices Industry
- Max
- 6.56
- Q3
- 3.52
- Median
- 2.22
- Q1
- 0.55
- Min
- 0.03
ABT’s Forward PEG Ratio of 1.73 is within the middle range of its peers in the Medical - Devices industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
TMUS
1.33
Telecommunications Services Industry
- Max
- 3.27
- Q3
- 2.93
- Median
- 1.35
- Q1
- 0.64
- Min
- 0.01
TMUS’s Forward PEG Ratio of 1.33 is within the middle range of its peers in the Telecommunications Services industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
ABT
5.52
Medical - Devices Industry
- Max
- 15.74
- Q3
- 8.12
- Median
- 3.40
- Q1
- 2.37
- Min
- 0.42
ABT’s P/S Ratio of 5.52 aligns with the market consensus for the Medical - Devices industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
TMUS
3.31
Telecommunications Services Industry
- Max
- 3.23
- Q3
- 1.83
- Median
- 1.32
- Q1
- 0.83
- Min
- 0.11
With a P/S Ratio of 3.31, TMUS trades at a valuation that eclipses even the highest in the Telecommunications Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio
ABT
4.81
Medical - Devices Industry
- Max
- 16.65
- Q3
- 8.03
- Median
- 3.73
- Q1
- 1.92
- Min
- 0.65
ABT’s P/B Ratio of 4.81 is within the conventional range for the Medical - Devices industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
TMUS
4.49
Telecommunications Services Industry
- Max
- 4.39
- Q3
- 2.65
- Median
- 1.82
- Q1
- 1.09
- Min
- 0.29
At 4.49, TMUS’s P/B Ratio is at an extreme premium to the Telecommunications Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | ABT | TMUS |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 17.40 | 23.04 |
| Forward PEG Ratio (TTM) | 1.73 | 1.33 |
| Price-to-Sales Ratio (P/S, TTM) | 5.52 | 3.31 |
| Price-to-Book Ratio (P/B, TTM) | 4.81 | 4.49 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 35.14 | 22.81 |
| EV-to-EBITDA (TTM) | 21.49 | 12.12 |
| EV-to-Sales (TTM) | 5.68 | 4.62 |