Morgan Stanley: 'Un-Carrier 9.0 Means Business'

In a report issued Wednesday, Morgan Stanley analysts Simon Flannery and Armintas Sinkevicius looked into T-Mobile US Inc TMUS's Un-Carrier 9.0.

According to the firm, the telecom services company has an opportunity to gain share in the business segment with its recently announced Un-Carrier for business, which includes transparent pricing and business tools, such as a .com domain name and a .com e-mail addresses.
According to the note, "T-Mobile is under indexed to the business segment, which offers significant potential share gain over coming years. T-Mobile's attractive international calling and data offers also appeal strongly to business customers."
The analysts highlight that, in fact, the business segment is coming into focus, similar to the cases of other major carriers like AT&T Inc. T, Sprint Corp S and Verizon Communications Inc VZ
In addition, the company recently unveiled Un-Carrier initiatives for consumers with "frozen" prices.
Finally, the report points out a couple strong trends in the first quarter: "Branded postpaid phone churn has been tracking to 1.4% (v. MSe: 1.55%), while porting ratios have improved sequentially (4Q14: 1.8x v. AT&T, 1.4x v. Verizon, 2.2x v. Sprint)."
Morgan Stanley maintained an Overweight rating on the stock, but remains cautious about the wider industry.