RCI vs TMUS

For growth investors, T-Mobile US, Inc.

(TMUS) is the stronger pick with 8. 5% revenue growth year-over-year, versus 5. 3% for Rogers Communications Inc. (RCI). Rogers Communications Inc. (RCI) offers the better valuation at 3. 9x trailing P/E (10. 6x forward), making it the more compelling value choice. Analysts rate T-Mobile US, Inc. (TMUS) a "Buy" — based on 54 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Rogers Communications Inc.

(RCI) is the cheapest at 3. 9x versus T-Mobile US, Inc. at 20. 0x. On forward P/E, Rogers Communications Inc. is actually cheaper at 10. 6x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Rogers Communications Inc. wins at 0. 33x versus T-Mobile US, Inc. 's 0. 62x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, T-Mobile US, Inc.

(TMUS) delivered a total return of +45. 5%, compared to -13. 3% for Rogers Communications Inc. (RCI). Over 10 years, the gap is even starker: TMUS returned +407. 2% versus RCI's +36. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), T-Mobile US, Inc.

(TMUS) is the lower-risk stock at -0. 28β versus Rogers Communications Inc. 's 0. 29β — meaning RCI is approximately -204% more volatile than TMUS relative to the S&P 500. On balance sheet safety, Rogers Communications Inc. (RCI) carries a lower debt/equity ratio of 182% versus 2% for T-Mobile US, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), T-Mobile US, Inc.

(TMUS) is pulling ahead at 8. 5% versus 5. 3% for Rogers Communications Inc. (RCI). On earnings-per-share growth, the picture is similar: Rogers Communications Inc. grew EPS 297. 8% year-over-year, compared to 0. 6% for T-Mobile US, Inc.. Over a 3-year CAGR, RCI leads at 12. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Rogers Communications Inc.

(RCI) is the more profitable company, earning 31. 8% net margin versus 12. 4% for T-Mobile US, Inc. — meaning it keeps 31. 8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: RCI leads at 23. 1% versus 21. 2% for TMUS. At the gross margin level — before operating expenses — TMUS leads at 47. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Rogers Communications Inc. (RCI) is the more undervalued stock at a PEG of 0. 33x versus T-Mobile US, Inc. 's 0. 62x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Rogers Communications Inc. (RCI) trades at 10. 6x forward P/E versus 18. 5x for T-Mobile US, Inc. — 7. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for TMUS: 30. 8% to $254. 08.

All stocks in this comparison pay dividends.

Rogers Communications Inc. (RCI) offers the highest yield at 3. 9%, versus 1. 9% for T-Mobile US, Inc. (TMUS).

For long-horizon retirement investors, T-Mobile US, Inc.

(TMUS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0. 28), 1. 9% yield, +407. 2% 10Y return). Both have compounded well over 10 years (TMUS: +407. 2%, RCI: +36. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Communication Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: RCI is a mid-cap deep-value stock; TMUS is a large-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.