T-Mobile vs Verizon: Which NNN Investment Wins?

T-Mobile and Verizon are two wireless carriers whose stores appear in net lease listings, and the comparison turns on a question the brand does not answer: which entity signed the lease. Verizon Communications Inc. is rated BBB+/Baa1 (S&P / Moody’s) in our ratings database, which classifies it as investment grade. For T-Mobile US, Inc., our ratings database holds an S&P rating of BBB+ and a Fitch rating of BBB+, with no verified Moody’s rating. In the listings we track, T-Mobile asks a live median cap rate of 7.25%, versus 6.39% for Verizon.

This comparison applies the framework from our investment grade guide: credit first, then lease structure, then the real estate. The ratings describe the parent company, and the lease tells you who owes the rent.

T-Mobile vs Verizon: Head-to-Head Comparison

Ratings per our tenant ratings database. T-Mobile: Ratings checked October 8, 2026. Verizon: Ratings checked September 27, 2026. Revenue and sales-channel descriptions are from the companies’ Form 10-K filings as labeled. Median asking cap rates, cap rate counts, prices and last-observed dates are live values from the active listings InvestmentGrade.com tracks; a few cap rates are calculated from a listing’s stated price and income rather than stated in the listing. Asking cap rates are not closing cap rates.

Credit: Parent Ratings and What They Cover

Verizon Communications Inc. reported total operating revenues of $138.2 billion for 2025 and about 147 million wireless retail connections on its network at December 31, 2025 (Form 10-K). Its ratings in our database are BBB+/Baa1 (S&P / Moody’s) and A- from Fitch. The full profile is on the Verizon credit rating and cap rate page.

T-Mobile US, Inc. reported total revenues of US$88.3 billion for 2025, and its 2025 Form 10-K describes it as the second-largest provider of wireless communications services in the U.S. by total postpaid and prepaid customers. Our database holds an S&P rating of BBB+ and a Fitch rating of BBB+ for T-Mobile US, Inc., and no verified Moody’s rating. Details are on the T-Mobile credit rating and cap rate page, and both carriers can be benchmarked in our credit tenant ratings database.

The Lease Question: Carrier, Former Sprint Entity or Retailer

For both carriers, the parent rating applies to a store lease only where the carrier or a rated carrier entity is the tenant or guarantor. An authorized retailer, which on this page means an independent company that sells a carrier’s service and may run a carrier-branded store, can sign its own lease. That lease carries the retailer’s credit, not the carrier’s, unless a carrier entity guarantees it.

T-Mobile adds one more layer. It completed its merger with Sprint on April 1, 2020, after which Sprint and its subsidiaries became wholly owned subsidiaries of T-Mobile, and in August 2020 it unified Sprint’s retail operations under the T-Mobile brand (2020 Form 10-K). The Form 10-K filings for 2020 and 2021 describe merger restructuring costs that include contract termination costs associated with the rationalization of retail stores. For a former Sprint location, confirm which entity is the tenant, whether T-Mobile US, Inc. guarantees the lease, the remaining term, any early termination rights and how the store fits the nearby T-Mobile network.

Smaller retail spaces can suit a range of users, but re-leasing depends on the local market. Check the remaining term, renewal options and rent schedule, and for shopping center locations, co-tenancy and go-dark provisions. Verizon’s Form 10-K describes its direct channel, including company-operated stores, as a core component of its distribution strategy alongside digital channels and agents.

Cap Rates: Live Medians for Telecom Peers

Live asking cap rates for T-Mobile, Verizon and comparable tenants:

Active listings InvestmentGrade.com tracks with an asking cap rate (stated in the listing, or computed from its stated income and price when no rate is stated), listings last observed October 19, 2026. Asking cap rates are not closed-sale cap rates. The middle half is the range from the 25th to the 75th percentile of listings. The 10-year Treasury yield is 5.24% as of October 1, 2026 (FRED series DGS10). Ratings are the agency ratings in our ratings database for the entity shown, which may be a parent company; the rating type (for example issuer, senior unsecured debt, long-term debt or revenue bond ratings) varies by company and is shown on each tenant page. A rating applies to a lease only if the rated entity signs or guarantees it, so confirm the tenant and any guarantor in the lease. n/a means no verified rating is on file.

Across the active listings we track, T-Mobile asks a live median cap rate of 7.25%, while Verizon asks 6.39%. The difference between the two medians may reflect the mix of carrier and authorized retailer leases, remaining terms and locations in each set of listings; the data do not isolate any one cause. Each median rests on the listing count shown in the table above, so treat them as a snapshot of what sellers are asking rather than what buyers pay.

The Bond-to-NNN Pivot

Income buyers can compare a store against a bond benchmark. A corporate bond index for the matching rating category is one such benchmark, but it is a category measure rather than a quote on a T-Mobile or Verizon bond. The cap rate table above shows each tenant’s median asking cap rate against the 10-year Treasury yield, and current index yields by rating category are on our corporate bond yields by rating page. A bondholder owns a claim on the issuer. A store buyer owns real estate leased to whichever entity signed the lease, so the pre-tax comparison depends on the tenant entity as much as on the rating.

The case for the real estate rests on 1031 exchange eligibility, residual land value, scheduled rent increases where the lease has them, and building depreciation when the investor owns the building (see Internal Revenue Code Section 1031 and IRS Publication 946). The T-Mobile math is in T-Mobile Bonds vs NNN Real Estate, the sector view is in investment grade telecom bonds, and the broader framework is in what the bond-to-NNN spread means. Tax outcomes depend on your situation; this is general information, not tax advice.

Verdict: Which Carrier Wins?

On the ratings in our database, Verizon has S&P and Moody’s ratings of BBB+/Baa1 and a Fitch rating of A-, while T-Mobile shows S&P and Fitch ratings of BBB+ and BBB+ with no verified Moody’s record. That difference describes the data on file, not a judgment on either company’s credit. The live medians in the table show where sellers are asking for each.

The decisive question for either carrier is the lease: carrier tenant, former Sprint entity or authorized retailer, the guarantor, the remaining term and the location. A store leased directly by the carrier or guaranteed by a rated carrier entity is a different investment from the same sign on a retailer lease. If you are weighing a replacement property under a 1031 exchange deadline, confirm the tenant and any guaranty in the executed lease.