Making Space for Starlink, TMUS Remains Top Pick

Research evidence excerpt

Making Space for Starlink, TMUS Remains Top Pick

Foundation

July 7, 2026 04:51 AM GMT

Morgan Stanley & Co. LLCMTelecom & Cable Services | North America Sean Diffley, CFA

Equity Analyst

Making Space for Starlink, Sean.DIFFLEY@morganstanley.comBlake Netter, CPA +1 212 761-5868

Blake.Netter@morganstanley.com +1 212 761-4679

TMUS Remains Top Pick Patrick A Ho

Patrick.Ho@morganstanley.com +1 212 761-2764

We have layered in ~16mn Starlink Consumer/SMB BB subs by Erica Crouser

'30 in the US, which results in a reduction of incumbent Internet DataErica.Crouser@morganstanley.comAnalyst +1 212 761-4807

forecasts. We continue to prefer Wireless > Cable and reiterate

Telecom & Cable Services

TMUS as our Top Pick w/ an In-Line industry view as we balance North America

low multiples vs fears of increasing competition. Industry View In-Line

What’s Changed

Comcast Corporation

(CMCSA.O) From ToM

Key Takeaways Price Target $33.00 $30.00

Continue to prefer Wireless (Overweight TMUS & T, Equal-weight VZ) over Cable AT&T, Inc. (T.N) From To

Price Target $30.00 $25.00

(Equal-weight CMCSA) as competitive intensity less bad and Starlink risk lower

NT T-Mobile US, Inc. (TMUS.O) From To

Price Target $260.00 $230.00

TMUS offers the fastest growth & least legacy exposure w/ most favorable

backbook pricing & strongest spectrum position, while T now trades at discount

to VZ

SPCX's options for entering US Mobile market are: 1) build, 2) partner, or 3) buy,

while NT MVNO odds appear low & spectrum availability is limited/phased

Cable/Broadband faced a tough competitive backdrop before the Starlink risk,

which appears likely only to intensify w/ Starship/V3 in '27

We trim PTs on TMUS to $230, T to $25 and CMCSA to $30, which follows lower

out-year estimates and more conservative multiples