Seek Returns logo

TME vs. TMUS: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at TME and TMUS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

TME trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, TMUS is a standard domestic listing.

SymbolTMETMUS
Company NameTencent Music Entertainment GroupT-Mobile US, Inc.
CountryChinaUnited States
GICS SectorCommunication ServicesCommunication Services
GICS IndustryEntertainmentWireless Telecommunication Services
Market Capitalization31.79 billion USD245.34 billion USD
ExchangeNYSENasdaqGS
Listing DateDecember 12, 2018April 19, 2007
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of TME 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.

TME vs. TMUS: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolTMETMUS
5-Day Price Return-8.92%4.96%
13-Week Price Return-25.91%-15.14%
26-Week Price Return11.24%-8.96%
52-Week Price Return74.84%-10.30%
Month-to-Date Return-15.32%2.87%
Year-to-Date Return66.52%-2.11%
10-Day Avg. Volume9.03M5.10M
3-Month Avg. Volume5.98M4.46M
3-Month Volatility35.72%21.51%
Beta0.480.44

Profitability

Return on Equity (TTM)

TME

10.55%

Entertainment Industry

Max
41.86%
Q3
22.17%
Median
13.67%
Q1
4.55%
Min
-17.95%

TME’s Return on Equity of 10.55% is on par with the norm for the Entertainment industry, indicating its profitability relative to shareholder equity is typical for the sector.

TMUS

19.42%

Wireless Telecommunication Services Industry

Max
31.50%
Q3
20.21%
Median
14.45%
Q1
12.15%
Min
5.61%

TMUS’s Return on Equity of 19.42% is on par with the norm for the Wireless Telecommunication Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

TME vs. TMUS: A comparison of their Return on Equity (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Net Profit Margin (TTM)

TME

34.08%

Entertainment Industry

Max
45.33%
Q3
29.05%
Median
15.14%
Q1
4.44%
Min
-21.70%

A Net Profit Margin of 34.08% places TME in the upper quartile for the Entertainment industry, signifying strong profitability and more effective cost management than most of its peers.

TMUS

13.83%

Wireless Telecommunication Services Industry

Max
23.76%
Q3
14.44%
Median
10.90%
Q1
7.21%
Min
-1.46%

TMUS’s Net Profit Margin of 13.83% is aligned with the median group of its peers in the Wireless Telecommunication Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

TME vs. TMUS: A comparison of their Net Profit Margin (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Operating Profit Margin (TTM)

TME

28.82%

Entertainment Industry

Max
43.42%
Q3
28.90%
Median
18.77%
Q1
9.11%
Min
-4.88%

TME’s Operating Profit Margin of 28.82% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.

TMUS

22.28%

Wireless Telecommunication Services Industry

Max
31.05%
Q3
23.51%
Median
20.15%
Q1
16.28%
Min
8.96%

TMUS’s Operating Profit Margin of 22.28% is around the midpoint for the Wireless Telecommunication Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

TME vs. TMUS: A comparison of their Operating Profit Margin (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Profitability at a Glance

SymbolTMETMUS
Return on Equity (TTM)10.55%19.42%
Return on Assets (TTM)7.89%5.57%
Net Profit Margin (TTM)34.08%13.83%
Operating Profit Margin (TTM)28.82%22.28%
Gross Profit Margin (TTM)43.90%63.57%

Financial Strength

Current Ratio (MRQ)

TME

2.09

Entertainment Industry

Max
6.76
Q3
4.06
Median
1.58
Q1
0.87
Min
0.38

TME’s Current Ratio of 2.09 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

TMUS

0.89

Wireless Telecommunication Services Industry

Max
1.26
Q3
0.93
Median
0.70
Q1
0.60
Min
0.34

TMUS’s Current Ratio of 0.89 aligns with the median group of the Wireless Telecommunication Services industry, indicating that its short-term liquidity is in line with its sector peers.

TME vs. TMUS: A comparison of their Current Ratio (MRQ) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

TME

0.09

Entertainment Industry

Max
1.54
Q3
0.80
Median
0.15
Q1
0.01
Min
0.00

TME’s Debt-to-Equity Ratio of 0.09 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

TMUS

1.49

Wireless Telecommunication Services Industry

Max
2.80
Q3
2.16
Median
1.48
Q1
0.90
Min
0.19

TMUS’s Debt-to-Equity Ratio of 1.49 is typical for the Wireless Telecommunication Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

TME vs. TMUS: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Interest Coverage Ratio (TTM)

TME

--

Entertainment Industry

Max
62.11
Q3
35.59
Median
7.06
Q1
1.13
Min
-44.74

Interest Coverage Ratio data for TME is currently unavailable.

TMUS

5.31

Wireless Telecommunication Services Industry

Max
12.67
Q3
7.48
Median
4.11
Q1
1.78
Min
-0.02

TMUS’s Interest Coverage Ratio of 5.31 is positioned comfortably within the norm for the Wireless Telecommunication Services industry, indicating a standard and healthy capacity to cover its interest payments.

TME vs. TMUS: A comparison of their Interest Coverage Ratio (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Financial Strength at a Glance

SymbolTMETMUS
Current Ratio (MRQ)2.090.89
Quick Ratio (MRQ)1.860.75
Debt-to-Equity Ratio (MRQ)0.091.49
Interest Coverage Ratio (TTM)--5.31

Growth

Revenue Growth

TME vs. TMUS: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

TME vs. TMUS: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

TME

0.00%

Entertainment Industry

Max
2.71%
Q3
1.23%
Median
0.60%
Q1
0.00%
Min
0.00%

TME currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

TMUS

1.64%

Wireless Telecommunication Services Industry

Max
7.69%
Q3
5.25%
Median
3.91%
Q1
2.62%
Min
0.23%

TMUS’s Dividend Yield of 1.64% is in the lower quartile for the Wireless Telecommunication Services industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

TME vs. TMUS: A comparison of their Dividend Yield (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Dividend Payout Ratio (TTM)

TME

0.00%

Entertainment Industry

Max
82.30%
Q3
37.50%
Median
24.18%
Q1
0.00%
Min
0.00%

TME has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

TMUS

33.70%

Wireless Telecommunication Services Industry

Max
169.59%
Q3
121.96%
Median
75.18%
Q1
64.32%
Min
1.50%

TMUS’s Dividend Payout Ratio of 33.70% is in the lower quartile for the Wireless Telecommunication Services industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

TME vs. TMUS: A comparison of their Dividend Payout Ratio (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Dividend at a Glance

SymbolTMETMUS
Dividend Yield (TTM)0.00%1.64%
Dividend Payout Ratio (TTM)0.00%33.70%

Valuation

Price-to-Earnings Ratio (TTM)

TME

17.66

Entertainment Industry

Max
80.06
Q3
53.00
Median
28.44
Q1
18.00
Min
2.61

In the lower quartile for the Entertainment industry, TME’s P/E Ratio of 17.66 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

TMUS

20.55

Wireless Telecommunication Services Industry

Max
39.13
Q3
23.50
Median
17.21
Q1
11.85
Min
4.32

TMUS’s P/E Ratio of 20.55 is within the middle range for the Wireless Telecommunication Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

TME vs. TMUS: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Price-to-Sales Ratio (TTM)

TME

6.02

Entertainment Industry

Max
10.86
Q3
6.98
Median
4.25
Q1
2.56
Min
0.51

TME’s P/S Ratio of 6.02 aligns with the market consensus for the Entertainment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

TMUS

2.84

Wireless Telecommunication Services Industry

Max
4.11
Q3
2.47
Median
1.43
Q1
1.31
Min
0.63

TMUS’s P/S Ratio of 2.84 is in the upper echelon for the Wireless Telecommunication Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

TME vs. TMUS: A comparison of their Price-to-Sales Ratio (TTM) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Price-to-Book Ratio (MRQ)

TME

2.04

Entertainment Industry

Max
19.63
Q3
10.35
Median
5.18
Q1
2.07
Min
0.59

TME’s P/B Ratio of 2.04 is in the lower quartile for the Entertainment industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

TMUS

4.45

Wireless Telecommunication Services Industry

Max
4.66
Q3
2.85
Median
2.11
Q1
1.40
Min
0.39

TMUS’s P/B Ratio of 4.45 is in the upper tier for the Wireless Telecommunication Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

TME vs. TMUS: A comparison of their Price-to-Book Ratio (MRQ) against their respective Entertainment and Wireless Telecommunication Services industry benchmarks.

Valuation at a Glance

SymbolTMETMUS
Price-to-Earnings Ratio (TTM)17.6620.55
Price-to-Sales Ratio (TTM)6.022.84
Price-to-Book Ratio (MRQ)2.044.45
Price-to-Free Cash Flow Ratio (TTM)18.5017.67