How Will T-Mobile US (TMUS) Stock Respond to This Coverage Initiation?

NEW YORK (TheStreet) -- T-Mobile US Inc. (TMUS) had coverage initiated at BMO Capital Markets with an "outperform" rating and a $40 price target "based on a weighted average of our estimated acquisition price and our standalone TMUS valuation," the firm said. 

"Our expectations for earnings growth from greater scale, reduced churn, continued subscriber growth, and the potential for the company to be acquired outweigh our concerns," the firm said in a note.

Shares of T-Mobile US are down -0.36% to $32.87 in pre-market trade.

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