NEW YORK (TheStreet) -- T-Mobile (TMUS) shares are up 3.10% to $36.30 in morning trading on Thursday after the CEO of Deutsche Telekom's (DTE), which holds a 66% stake in the company, said that it would consider merging with any partner that could improve the company's profitability.
CEO Tim Hoettges made the comments today at the company's annual shareholders meeting in Cologne, German, perpetuating the global consolidation of the mobile telecom industry.
Yesterday, French telecom giant Altice SA (ATC) agreed to purchase Suddenlink Communications, the U.S. seventh largest cable company, for $9.1 billion, which follows Verizon's (VZ) $4.4 billion purchase of AOL (AOL) last week.
Last year T-Mobile and Sprint (S), the country's third and fourth largest mobile carriers respectively, dropped their merger bid due to regulatory hurdles.
TheStreet Ratings team rates T-MOBILE US INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate T-MOBILE US INC (TMUS) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income, revenue growth, expanding profit margins and notable return on equity. We feel its strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."