AT&T je prvním velkým americkým telekomem, který zařazuje Amazon Leo do balíčku s optikou a 5G pro firemní sektor a veřejnou správu. Amazon tak získává přístup k 2,5 milionu business accounts AT&T.
Amazon is skipping the enterprise sales grind and betting on a shortcut that puts its satellite internet into millions of business accounts overnight. Whether that move reshapes the carrier landscape or hands Starlink an opening depends on what happens next.
AT&T (NYSE:T | T Price Prediction) said Tuesday it is the first major U.S. telecom to bundle Amazon Leo satellite broadband into a managed offer with its fiber and 5G, delivered on one bill through AT&T terminals for enterprise and public-sector customers. The deal makes AT&T the anchor telecom customer for Amazon‘s (NASDAQ:AMZN) low-earth-orbit constellation, escalating the fight against Starlink for carrier partnerships.
What the Deal Actually Covers Amazon Leo is not broadly live, with no price and no launch date disclosed; AT&T said a phased rollout comes first, positioned as backup and rural coverage rather than direct satellite-to-phone service. Amazon CEO Andy Jassy told investors in July that “Amazon Leo has close to 400 satellites in orbit, enough to begin initial satellite internet service this year” and cited more than 20 partners extending the network globally. For AT&T, satellite plugs the “2%” of rural traffic CEO John Stankey has said fiber and 5G cannot economically reach.
Market Reaction and Profit Angle AT&T traded near $25.32, down 1.11% intraday but up 6.43% over the past month. Amazon slipped 1.9% to $252.09, while SpaceX is privately held, but Starlink still owns the constellation lead with 12.0 million subscribers.
The angle: Amazon is buying distribution through AT&T’s 2.5 million business accounts instead of building its own enterprise sales force. Watch for competitive response from SpaceX on carrier pricing, and for AT&T’s Oct. 21 Q3 2026 earnings to gauge whether the Amazon Leo tie-in shows up in enterprise bookings. Stankey speaks at the Goldman Sachs Communacopia conference today, the likely next catalyst.
Contact [email protected] for any questions or corrections.
Rich Duprey
After two decades of patrolling the dark corners of suburbia as a police officer, Rich Duprey hung up his badge and gun to begin writing full time about stocks and investing. For the past 20 years, he’s been cruising the markets looking for companies to lock up as long-term holdings in a portfolio while writing extensively on the broad sectors of consumer goods, technology, and industrials. Because his experience isn’t from the typical financial analyst track, Rich is able to break down complex topics into understandable and useful action points for the average investor. His writings have appeared on The Motley Fool, InvestorPlace, Yahoo! Finance, Money Morning, and, of course, 24/7 Wall St. He has been featured in both U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, and USA Today.
In the latest close session, AT&T (T - Free Report) was down 1.81% at $25.72. This change lagged the S&P 500's daily loss of 0.38%. At the same time, the Dow lost 0.51%, and the tech-heavy Nasdaq lost 0.29%.
Shares of the telecommunications company have appreciated by 10.46% over the course of the past month, outperforming the Computer and Technology sector's gain of 2.81%, and the S&P 500's gain of 2.08%.
Analysts and investors alike will be keeping a close eye on the performance of AT&T in its upcoming earnings disclosure. The company's earnings report is set to go public on October 21, 2026. The company is forecasted to report an EPS of $0.62, showcasing a 14.81% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $31.74 billion, up 3.34% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.35 per share and a revenue of $129.27 billion, representing changes of +10.85% and +2.88%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for AT&T. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. AT&T is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, AT&T is presently trading at a Forward P/E ratio of 11.17. For comparison, its industry has an average Forward P/E of 11.61, which means AT&T is trading at a discount to the group.
Investors should also note that T has a PEG ratio of 1.3 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Wireless National was holding an average PEG ratio of 1.51 at yesterday's closing price.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 210, which puts it in the bottom 15% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
AT&T těží z rekordních přírůstků v optické síti a růstu bezdrátových tržeb, ale vysoké kapitálové výdaje 23–24 miliard USD ročně tlačí na volný peněžní tok.
Key Takeaways AT&T is gaining from record fiber additions, wireless growth and bundled connectivity services.T's fiber expansion targets 8 million new locations, including more than 4 million from Lumen.AT&T expects $23-$24 billion in annual capital investment, pressuring near-term free cash flow. AT&T, Inc. (T - Free Report) has gained 4.7% year to date compared with the Wireless National industry’s growth of 119.6%. The stock has underperformed the Zacks Computer & Technology sector and the S&P 500’s growth during this period.
Image Source: Zacks Investment Research
Among its peers, the company has underperformed Verizon Communications Inc. (VZ - Free Report) but outperformed T-Mobile, US, Inc. (TMUS - Free Report) . Verizon has gained 23.5%, while T-Mobile has lost 10.3% year to date.
T’s Major Growth DriversFiber expansion is one of AT&T’s strongest long-term growth catalysts. The company delivered a strong quarter for fiber additions in the second quarter of 2026. Advanced Home Internet service revenues increased more than 27% year over year. The company remains well on track to reach 8 million new fiber locations. It has already acquired more than 4 million locations from the acquired Lumen business.
Wireless remains an important contributor to revenue growth. Wireless service revenues increased 3.3% year over year in the second quarter, backed by 432,000 postpaid phone net additions and pricing adjustments. AT&T also reported year-over-year growth in postpaid phone ARPU while reducing churn. AT&T’s strategy of selling wireless and home internet together is lowering churn and improving monetization.
AI-Driven Demand for High-Capacity Networks will likely become a long-term growth driver for the company. Management expects the expansion of agentic and autonomous AI applications to substantially increase network traffic. Applications such as autonomous vehicles, robotics, drones and augmented-reality devices are expected to require highly capable uplink and edge connectivity. AT&T believes its combination of dense metro fiber and nationwide spectrum positions the company to benefit from this increase in data-intensive traffic.
AT&T is scaling down its legacy copper network and moving customers toward fiber and wireless services. Management remains on track to achieve $4 billion in annual consolidated cost savings by 2028. These cost savings initiatives are boosting profitability.
Major ChallengesAT&T operates in highly competitive wireless and broadband markets, where customer additions and pricing require sustained investment and disciplined execution. The company is competing with Verizon and T-Mobile US for wireless customers while also competing aggressively for broadband subscribers.
T is undertaking substantial investment to expand its fiber footprint and strengthen its advanced connectivity infrastructure. Capital investment reached $6.1 billion in the second quarter of 2026, up from $5.1 billion a year earlier, and the company expects total annual capital investment of $23-$24 billion. Although these investments support long-term growth, they place pressure on near-term free cash flow.
AT&T's balance sheet could face additional pressure from its planned acquisition of spectrum licenses from EchoStar. Net debt-to-adjusted EBITDA stood at 2.68 times at the end of the second quarter of 2026, and management expected leverage to rise to approximately 3.2 times following completion of the transaction.
Estimate Revision of TEarnings estimates for AT&T, for fiscal 2026 and fiscal 2027, have moved up 1.29% to $2.35 and 1.18% to $2.57, respectively, over the past 60 days.
Image Source: Zacks Investment Research
Key Valuation Metric of TFrom a valuation standpoint, AT&T appears to be trading relatively cheaper compared to the industry and trading below its mean. Going by the price/earnings ratio, the company shares currently trade at 10.37 forward earnings, lower than 37.94 for the industry.
Image Source: Zacks Investment Research
End NoteAT&T is well positioned to benefit from sustained growth in fiber, wireless and bundled connectivity services. Accelerating fiber deployment, the expansion of the Lumen footprint and strong postpaid wireless additions are broadening the company’s customer base. Convergence strategy is improving customer retention. However, intense competition in wireless and broadband continues to weigh on margins. High debt obligations are concerning. With a Zacks Rank #3 (Hold), AT&T offers a relatively balanced outlook, suggesting that new investors should approach the stock cautiously. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AT&T ve 2. čtvrtletí zvýšila upravenou EBITDA marži na 39,1 % z 38 % díky růstu provozního zisku a EBITDA. Firma míří na 4 miliardy USD ročních úspor do konce roku 2028.
Key Takeaways AT&T's adjusted EBITDA margin expanded to 39.1% as operating income and EBITDA improved.AT&T targets $4 billion in annual cost savings by the end of 2028 through cost transformation.Wireless gains, fiber growth and service bundling are supporting T's customer growth and profitability. AT&T, Inc.’s (T - Free Report) consolidated operating income increased 8.3% year over year to $7.04 billion in the second quarter. Adjusted operating income rose to $7.46 billion from $6.49 billion, while adjusted EBITDA improved 5.2% to $12.34 billion. The adjusted EBITDA margin expanded to 39.1% from 38%. There are several factors driving this improvement in profitability.
T is benefiting from increased scale across its 5G and fiber operations. The company's Advanced Connectivity business remained a major contributor, with service revenues increasing 5.1% year over year and EBITDA growing 8% in this segment. 432,000 postpaid phone net additions and pricing adjustments during this quarter propelled the wireless service revenues.
Cost transformation was another major contributor. AT&T remains on track to achieve $4 billion in consolidated annual cost savings by the end of 2028. The company is gradually shutting down its older copper-based network and moving customers toward fiber, wireless and other advanced services. This transition is expected to eliminate costs associated with maintaining an increasingly inefficient legacy network.
Its strategy of combining wireless and home internet services is supporting customer growth and improving customer economics. Converged subscribers generally have lower churn and higher lifetime value. This is strengthening profitability and customer base.
How Are Competitors Faring?AT&T faces competition from Verizon Communications, Inc. (VZ - Free Report) and T-Mobile US, Inc. (TMUS - Free Report) . Verizon continues to strengthen its financial profile through disciplined execution, improving customer economics and cost transformation initiatives. Mobility and broadband service revenue increased 2.8% year over year in second-quarter 2026, while adjusted EBITDA reached a company record of $13.7 billion and adjusted EPS rose 6.6% to $1.30, exceeding consensus estimates.
Reported profitability, however, reflected sizable special items. Verizon’s net income declined 22.9% year over year to $3.95 billion, while GAAP EPS fell to 92 cents from $1.18. The decline primarily stemmed from $1.8 billion of pretax special charges, including losses related to business dispositions, asset rationalization and severance expenses.
During the second quarter, T-Mobile’s operating expenses increased to $17.30 billion from $15.92 billion in the prior-year quarter. Higher costs of services, equipment sales, selling, general and administrative expenses, and depreciation and amortization all contributed to the increase.
Despite elevated expenses, profitability remained resilient. Net income rose modestly to $3.24 billion from $3.22 billion a year earlier, while diluted earnings per share increased 5.3% year over year to $2.99. Core adjusted EBITDA increased 11.7% year over year to $9.54 billion, reflecting continued operating leverage as service revenues expanded.
T’s Price Performance, Valuation & EstimatesAT&T shares have lost 11.2% over the past year against the industry’s growth of 81.9%.
Image Source: Zacks Investment Research
From a valuation standpoint, AT&T trades at a forward price-to-earnings ratio of 10.42, below the industry tally of 37.57.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have increased 1.3% to $2.35 over the past 60 days, while the same for 2027 have increased 1.2% to $2.57.
Image Source: Zacks Investment Research
AT&T currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
In the latest trading session, AT&T (T - Free Report) closed at $25.96, marking a +2.06% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.25%. Meanwhile, the Dow experienced a drop of 0.02%, and the technology-dominated Nasdaq saw a decrease of 0.52%.
The stock of telecommunications company has risen by 9.56% in the past month, leading the Computer and Technology sector's gain of 7.57% and the S&P 500's gain of 4.34%.
Analysts and investors alike will be keeping a close eye on the performance of AT&T in its upcoming earnings disclosure. The company's earnings report is set to go public on October 21, 2026. The company is predicted to post an EPS of $0.62, indicating a 14.81% growth compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $31.74 billion, indicating a 3.34% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $2.35 per share and revenue of $129.27 billion, which would represent changes of +10.85% and +2.88%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for AT&T. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. AT&T is holding a Zacks Rank of #3 (Hold) right now.
With respect to valuation, AT&T is currently being traded at a Forward P/E ratio of 10.84. Its industry sports an average Forward P/E of 11.63, so one might conclude that AT&T is trading at a discount comparatively.
It is also worth noting that T currently has a PEG ratio of 1.03. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. T's industry had an average PEG ratio of 1.21 as of yesterday's close.
The Wireless National industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 176, placing it within the bottom 29% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
Ancora Advisors LLC ve 2. čtvrtletí koupila nový podíl v AT&T: 22 982 akcií za zhruba 476 000 USD. Institucionální investoři nyní drží 57,10 % akcií firmy.
Ancora Advisors LLC bought a new stake in AT&T Inc. (NYSE:T – Free Report) during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor bought 22,982 shares of the technology company’s stock, valued at approximately $476,000.
Several other hedge funds have also recently added to or reduced their stakes in T. PDT Partners LLC bought a new stake in AT&T during the second quarter valued at $575,000. Canada Pension Plan Investment Board bought a new position in shares of AT&T in the 2nd quarter worth about $130,182,000. Legal & General Group Plc bought a new position in shares of AT&T in the 2nd quarter worth about $960,695,000. The Manufacturers Life Insurance Company acquired a new position in shares of AT&T in the 2nd quarter valued at about $102,416,000. Finally, Kelly Lawrence W & Associates Inc. CA bought a new stake in shares of AT&T during the 2nd quarter valued at about $268,000. Institutional investors own 57.10% of the company’s stock.
Wall Street Analyst Weigh In T has been the subject of a number of research analyst reports. Scotiabank lowered their target price on AT&T from $31.00 to $29.25 and set a “sector perform” rating for the company in a report on Wednesday, July 15th. Morgan Stanley lifted their price objective on shares of AT&T from $25.00 to $27.00 and gave the company an “overweight” rating in a research note on Thursday, July 23rd. Oppenheimer lowered shares of AT&T from an “outperform” rating to a “market perform” rating in a research note on Wednesday, June 3rd. Argus decreased their price target on shares of AT&T from $33.00 to $30.00 and set a “buy” rating for the company in a research note on Thursday, July 23rd. Finally, Wall Street Zen upgraded AT&T from a “sell” rating to a “hold” rating in a report on Saturday, June 20th. One research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $29.19.
Check Out Our Latest Report on AT&T AT&T Price Performance Shares of NYSE T opened at $26.03 on Friday. The company has a current ratio of 0.97, a quick ratio of 0.93 and a debt-to-equity ratio of 1.06. The stock has a fifty day simple moving average of $23.15 and a two-hundred day simple moving average of $25.23. AT&T Inc. has a 1-year low of $19.89 and a 1-year high of $29.79. The firm has a market cap of $178.37 billion, a price-to-earnings ratio of 8.62, a price-to-earnings-growth ratio of 1.03 and a beta of 0.23.
AT&T (NYSE:T – Get Free Report) last posted its earnings results on Wednesday, July 22nd. The technology company reported $0.65 earnings per share for the quarter, topping the consensus estimate of $0.59 by $0.06. The firm had revenue of $31.56 billion during the quarter, compared to the consensus estimate of $31.80 billion. AT&T had a net margin of 16.94% and a return on equity of 12.86%. The company’s revenue was up 2.3% on a year-over-year basis. During the same quarter last year, the company earned $0.54 earnings per share. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS. Analysts anticipate that AT&T Inc. will post 2.34 earnings per share for the current year.
AT&T Dividend Announcement The company also recently announced a quarterly dividend, which was paid on Monday, August 3rd. Shareholders of record on Friday, July 10th were paid a $0.2775 dividend. The ex-dividend date was Friday, July 10th. This represents a $1.11 annualized dividend and a yield of 4.3%. AT&T’s dividend payout ratio is currently 36.75%.
AT&T News Roundup Here are the key news stories impacting AT&T this week:
Positive Sentiment: AT&T’s operating margin reportedly reached a multi-year high as the company winds down its copper network. Lower legacy-network costs and operating leverage could improve profitability and support cash generation. AT&T Stock’s Margin Hit A Multi-Year Best As Its Copper Network Winds Down Positive Sentiment: Recent bullish investment analysis argues that AT&T’s turnaround has further upside, citing its discounted valuation, robust cash flows, fiber expansion, and growth in its Advanced Connectivity segment. Management’s target for 2026 EBITDA growth of 3%–4%, accelerating to more than 5% annually from 2028, strengthens the long-term case. AT&T Doesn’t Need Heroic Results To Offer Heroic Upside Positive Sentiment: AT&T’s investment and partnership with Hark could position its network as an infrastructure provider for AI-native, always-connected consumer devices. The opportunity is early-stage but offers potential exposure to new connectivity demand beyond smartphones. Investors Reacting to AT&T Backing Hark’s AI-Native Device Ecosystem Neutral Sentiment: AT&T, T-Mobile, and Verizon are described as overcoming a shared competitive or regulatory challenge involving satellite-based connectivity. The development may ease concerns about satellite disruption, but the article provides limited detail on its direct financial impact. AT&T, T-Mobile, and Verizon Defeat a Common Foe Neutral Sentiment: AT&T will release third-quarter 2026 results before the market opens on October 21 and hold a conference call afterward. The announcement itself does not change fundamentals, but it gives investors a near-term catalyst to assess subscriber trends, fiber growth, margins, and guidance. AT&T to Release Third-Quarter 2026 Earnings on Oct. 21 Neutral Sentiment: AT&T is promoting free Turbo Live access at select football season openers and selling season passes. The campaign could support brand engagement and customer acquisition, but its immediate financial contribution is likely limited. AT&T Kicks Off Football Season with Free Turbo Live AT&T Profile (Free Report)
AT&T Inc is a global telecommunications company that provides a broad range of communications and digital entertainment services. Its core activities include consumer and business wireless services, broadband and fiber internet, and network infrastructure. The company operates branded wireless services through AT&T Mobility and deploys fixed-line and fiber networks to deliver high-speed internet and related home services.
AT&T’s product and service portfolio spans mobile voice and data plans, smartphones and device sales, home internet (including fiber-to-the-home where available), and managed connectivity solutions for enterprise customers.
Featured Stories Five stocks we like better than AT&T 3 Financial Stocks Positioned for the Fed’s Next Move After Jackson Hole IREN’s AI Pivot Looks Real, But the Market Wanted a Faster Payoff After Earnings Boeing’s $131B F-15 Win: Mach 1 Momentum or Just Altitude? Okta Stock Surges 29%—Is $200 the Next Stop?
Receive News & Ratings for AT&T Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for AT&T and related companies with MarketBeat.com's FREE daily email newsletter.
Csenge Advisory Group purchased a new position in shares of AT&T Inc. (NYSE:T – Free Report) during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund purchased 94,810 shares of the technology company’s stock, valued at approximately $1,963,000.
A number of other institutional investors and hedge funds have also recently bought and sold shares of T. Johnson Financial Group Inc. acquired a new stake in AT&T in the second quarter valued at approximately $2,126,000. Tocqueville Asset Management L.P. purchased a new position in shares of AT&T in the second quarter valued at $23,633,000. one8zero8 LLC acquired a new stake in AT&T during the 2nd quarter valued at $275,000. Addison Advisors LLC purchased a new stake in AT&T during the 2nd quarter worth $27,000. Finally, West Family Investments Inc. purchased a new stake in AT&T during the 2nd quarter worth $671,000. Hedge funds and other institutional investors own 57.10% of the company’s stock.
Key Stories Impacting AT&T Here are the key news stories impacting AT&T this week:
Positive Sentiment: AT&T’s post-earnings momentum remains constructive: the company reported quarterly EPS of $0.65 versus the $0.59 consensus estimate, while revenue increased 2.3% year over year. Analysts are watching whether earnings estimates and the stock’s advance can continue. AT&T Up 9.5% Since Last Earnings Report Positive Sentiment: AT&T’s Advanced Connectivity business is gaining traction through fiber expansion, customer convergence and rising demand for AI-related network capacity. This supports the company’s longer-term growth outlook and helps offset slower legacy operations. AT&T Rides on Strength in Advanced Connectivity Positive Sentiment: A partnership with Hark gives AT&T exposure to emerging AI-native consumer devices. AT&T will invest in Hark and provide connectivity, certification and infrastructure support, potentially creating incremental traffic and device-related revenue opportunities. Hark and AT&T Partner on Connectivity for Future AI Devices Positive Sentiment: AT&T reportedly reduced the cost of coding and other AI tasks by as much as 56% by using model-routing tools and open-source systems, with only a modest decline in output quality. Lower internal AI costs could support productivity and margins. AT&T Slashes AI Costs by Adopting Model Routers and Open Source Neutral Sentiment: Analysts continue to highlight AT&T as a highly ranked value and income stock, with a roughly 4.5% dividend yield and a low earnings multiple. However, the company’s growth is expected to remain moderate, making customer revenue increases important. AT&T Is a Top-Ranked Value Stock Negative Sentiment: Bernstein cautions that SpaceX’s potential telecom ambitions could intensify competition for AT&T, Verizon and T-Mobile. Meanwhile, heavy capital spending, elevated interest rates and industry balance-sheet pressures remain risks. Bernstein Remains Bullish on SpaceX Analyst Upgrades and Downgrades A number of brokerages recently commented on T. Barclays reduced their price target on AT&T from $26.00 to $24.00 and set an “equal weight” rating for the company in a report on Wednesday, July 8th. Morgan Stanley increased their target price on AT&T from $25.00 to $27.00 and gave the company an “overweight” rating in a research note on Thursday, July 23rd. Sanford C. Bernstein restated an “outperform” rating and issued a $25.00 price target on shares of AT&T in a research note on Monday, July 13th. The Goldman Sachs Group set a $30.00 price target on shares of AT&T in a report on Wednesday, July 22nd. Finally, TD Cowen raised their price objective on shares of AT&T from $32.00 to $33.00 and gave the stock a “hold” rating in a report on Thursday, July 23rd. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $29.19. Get Our Latest Report on AT&T
AT&T Price Performance NYSE T opened at $25.33 on Monday. The company has a 50-day moving average price of $22.83 and a two-hundred day moving average price of $25.27. AT&T Inc. has a 52 week low of $19.89 and a 52 week high of $29.79. The stock has a market cap of $173.57 billion, a price-to-earnings ratio of 8.39, a price-to-earnings-growth ratio of 1.03 and a beta of 0.23. The company has a current ratio of 0.97, a quick ratio of 0.93 and a debt-to-equity ratio of 1.06.
AT&T (NYSE:T – Get Free Report) last released its quarterly earnings results on Wednesday, July 22nd. The technology company reported $0.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.59 by $0.06. The company had revenue of $31.56 billion during the quarter, compared to analysts’ expectations of $31.80 billion. AT&T had a return on equity of 12.86% and a net margin of 16.94%.The company’s revenue for the quarter was up 2.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.54 earnings per share. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS. Analysts forecast that AT&T Inc. will post 2.34 EPS for the current year.
AT&T Dividend Announcement The firm also recently announced a quarterly dividend, which was paid on Monday, August 3rd. Investors of record on Friday, July 10th were issued a $0.2775 dividend. This represents a $1.11 dividend on an annualized basis and a dividend yield of 4.4%. The ex-dividend date was Friday, July 10th. AT&T’s payout ratio is presently 36.75%.
AT&T Profile (Free Report)
AT&T Inc is a global telecommunications company that provides a broad range of communications and digital entertainment services. Its core activities include consumer and business wireless services, broadband and fiber internet, and network infrastructure. The company operates branded wireless services through AT&T Mobility and deploys fixed-line and fiber networks to deliver high-speed internet and related home services.
AT&T’s product and service portfolio spans mobile voice and data plans, smartphones and device sales, home internet (including fiber-to-the-home where available), and managed connectivity solutions for enterprise customers.
Recommended Stories Five stocks we like better than AT&T VIG, VYM, and VYMI: Which Vanguard Dividend ETF Is Right for You? 3 Closed-End Funds to Maximize Dividend Payments Rocket Lab’s Sell-Off Is Fading—Is It Finally Safe to Buy? $27 Billion in Buybacks: 3 Stocks Betting Their Strong Runs Aren’t Over
Receive News & Ratings for AT&T Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for AT&T and related companies with MarketBeat.com's FREE daily email newsletter.
E Fund Management Co. Ltd. ve 2. čtvrtletí nově nakoupila 25 791 akcií AT&T za zhruba 534 000 USD. AT&T zároveň oznámila čtvrtletní EPS 0,65 USD, nad odhadem 0,59 USD.
E Fund Management Co. Ltd. acquired a new stake in shares of AT&T Inc. (NYSE:T – Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 25,791 shares of the technology company’s stock, valued at approximately $534,000.
A number of other large investors have also added to or reduced their stakes in T. Rachor Investment Advisory Services LLC bought a new position in shares of AT&T during the 4th quarter valued at $25,000. Safe Harbor Fiduciary LLC bought a new stake in shares of AT&T in the fourth quarter worth $25,000. Cresta Advisors Ltd. bought a new stake in shares of AT&T in the fourth quarter worth $26,000. Blueline Advisors LLC purchased a new stake in AT&T during the fourth quarter valued at $26,000. Finally, Winnow Wealth LLC increased its position in AT&T by 362.8% during the fourth quarter. Winnow Wealth LLC now owns 1,046 shares of the technology company’s stock valued at $26,000 after acquiring an additional 820 shares during the last quarter. Institutional investors own 57.10% of the company’s stock.
Wall Street Analysts Forecast Growth A number of research analysts have weighed in on the company. Barclays lowered their target price on AT&T from $26.00 to $24.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 8th. Wolfe Research raised shares of AT&T from a “peer perform” rating to an “outperform” rating and set a $29.00 price target for the company in a research report on Thursday, July 23rd. Wall Street Zen upgraded shares of AT&T from a “sell” rating to a “hold” rating in a research note on Saturday, June 20th. TD Cowen raised their price objective on shares of AT&T from $32.00 to $33.00 and gave the stock a “hold” rating in a report on Thursday, July 23rd. Finally, Scotiabank cut their target price on shares of AT&T from $31.00 to $29.25 and set a “sector perform” rating for the company in a research report on Wednesday, July 15th. One analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, AT&T presently has a consensus rating of “Moderate Buy” and an average price target of $29.19.
Check Out Our Latest Stock Report on AT&T AT&T News Roundup Here are the key news stories impacting AT&T this week:
Positive Sentiment: AT&T’s post-earnings momentum remains constructive: the company reported quarterly EPS of $0.65 versus the $0.59 consensus estimate, while revenue increased 2.3% year over year. Analysts are watching whether earnings estimates and the stock’s advance can continue. AT&T Up 9.5% Since Last Earnings Report Positive Sentiment: AT&T’s Advanced Connectivity business is gaining traction through fiber expansion, customer convergence and rising demand for AI-related network capacity. This supports the company’s longer-term growth outlook and helps offset slower legacy operations. AT&T Rides on Strength in Advanced Connectivity Positive Sentiment: A partnership with Hark gives AT&T exposure to emerging AI-native consumer devices. AT&T will invest in Hark and provide connectivity, certification and infrastructure support, potentially creating incremental traffic and device-related revenue opportunities. Hark and AT&T Partner on Connectivity for Future AI Devices Positive Sentiment: AT&T reportedly reduced the cost of coding and other AI tasks by as much as 56% by using model-routing tools and open-source systems, with only a modest decline in output quality. Lower internal AI costs could support productivity and margins. AT&T Slashes AI Costs by Adopting Model Routers and Open Source Neutral Sentiment: Analysts continue to highlight AT&T as a highly ranked value and income stock, with a roughly 4.5% dividend yield and a low earnings multiple. However, the company’s growth is expected to remain moderate, making customer revenue increases important. AT&T Is a Top-Ranked Value Stock Negative Sentiment: Bernstein cautions that SpaceX’s potential telecom ambitions could intensify competition for AT&T, Verizon and T-Mobile. Meanwhile, heavy capital spending, elevated interest rates and industry balance-sheet pressures remain risks. Bernstein Remains Bullish on SpaceX AT&T Price Performance Shares of AT&T stock opened at $25.33 on Monday. AT&T Inc. has a one year low of $19.89 and a one year high of $29.79. The stock’s fifty day moving average is $22.83 and its 200 day moving average is $25.27. The stock has a market cap of $173.57 billion, a P/E ratio of 8.39, a P/E/G ratio of 1.03 and a beta of 0.23. The company has a debt-to-equity ratio of 1.06, a quick ratio of 0.93 and a current ratio of 0.97.
AT&T (NYSE:T – Get Free Report) last released its earnings results on Wednesday, July 22nd. The technology company reported $0.65 earnings per share for the quarter, beating the consensus estimate of $0.59 by $0.06. AT&T had a return on equity of 12.86% and a net margin of 16.94%.The company had revenue of $31.56 billion for the quarter, compared to the consensus estimate of $31.80 billion. During the same period in the previous year, the business earned $0.54 earnings per share. AT&T’s quarterly revenue was up 2.3% compared to the same quarter last year. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS. Sell-side analysts anticipate that AT&T Inc. will post 2.34 earnings per share for the current year.
AT&T Dividend Announcement The business also recently disclosed a quarterly dividend, which was paid on Monday, August 3rd. Stockholders of record on Friday, July 10th were given a dividend of $0.2775 per share. This represents a $1.11 dividend on an annualized basis and a dividend yield of 4.4%. The ex-dividend date of this dividend was Friday, July 10th. AT&T’s payout ratio is presently 36.75%.
About AT&T (Free Report)
AT&T Inc is a global telecommunications company that provides a broad range of communications and digital entertainment services. Its core activities include consumer and business wireless services, broadband and fiber internet, and network infrastructure. The company operates branded wireless services through AT&T Mobility and deploys fixed-line and fiber networks to deliver high-speed internet and related home services.
AT&T’s product and service portfolio spans mobile voice and data plans, smartphones and device sales, home internet (including fiber-to-the-home where available), and managed connectivity solutions for enterprise customers.
Further Reading Five stocks we like better than AT&T VIG, VYM, and VYMI: Which Vanguard Dividend ETF Is Right for You? 3 Closed-End Funds to Maximize Dividend Payments Rocket Lab’s Sell-Off Is Fading—Is It Finally Safe to Buy? $27 Billion in Buybacks: 3 Stocks Betting Their Strong Runs Aren’t Over
Receive News & Ratings for AT&T Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for AT&T and related companies with MarketBeat.com's FREE daily email newsletter.
AT&T má podle trailing 12měsíčního payout ratio 36 % a podle cash dividend payout ratio 45 %, což naznačuje dostatečné krytí dividendy. V prvním pololetí 2026 navíc snížila výplatu dividend díky zpětnému odkupu akcií.
AT&T (T +0.56%) is part of a cellphone oligopoly in the United States. Essentially, the telecom giant and its main competitors dominate the sector, making it difficult for a newcomer to break in. However, that hasn't stopped companies from trying, including cable operators offering bundled services and, perhaps, even Space Exploration Corporation's (SPCX +2.22%) Starlink. Here's how investors should view AT&T's ability to maintain its well-above-market 4.4% dividend yield as more companies try to break into the lucrative cellphone market.
Competition has always been intense The first thing to consider when looking at AT&T's business is the competitive landscape. It has always been intense, as the members of the cellphone oligopoly fight tooth and nail for market share. There's a good reason for that, however: customer revenues tend to be annuity-like. That provides a solid foundation for paying the dividend. And while the involvement of cable companies and SpaceX increases competition, AT&T should be able to hold its own as a business.
Image source: Getty Images.
That big picture view of the situation, however, doesn't mean it will be able to continue paying its dividend at the current level. Most investors assessing dividend support will look to the payout ratio to determine whether the company can continue paying nearly $2 billion in dividends each quarter. The 36% trailing 12-month payout ratio suggests the answer is yes.
Today's Change
(
0.56
%) $
0.14
Current Price
$
25.29
But that $2 billion in dividends number came from the cash flow statement, not the income statement, where earnings live. This is because earnings aren't what pay the dividend; cash flow is. When you compare the dividend to cash flow, using the cash dividend payout ratio, you get a slightly lower coverage rate of 45%. That, however, still looks like ample coverage.
AT&T paid less in dividends year over year There's another factor to consider here, as well. AT&T uses its cash flow for many purposes, including buying back shares. In the first half of 2026, it repurchased $4.669 billion worth of stock. The reduced share count benefited the company by lowering its dividend outlay, which dropped from $4.135 billion in the first half of 2025 to $3.973 billion in the same period of 2026. So the dividend is actually on even stronger footing now than it was just a year ago. If you are a dividend investor, there doesn't appear to be a material reason to worry about AT&T's dividend right now.
Gables Capital Management Inc. purchased a new position in shares of AT&T Inc. (NYSE:T – Free Report) during the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm purchased 36,283 shares of the technology company’s stock, valued at approximately $751,000.
Other hedge funds and other institutional investors have also bought and sold shares of the company. Rachor Investment Advisory Services LLC purchased a new stake in shares of AT&T during the 4th quarter valued at $25,000. Safe Harbor Fiduciary LLC bought a new stake in shares of AT&T during the 4th quarter worth $25,000. Cresta Advisors Ltd. purchased a new position in shares of AT&T in the 4th quarter worth about $26,000. Blueline Advisors LLC purchased a new position in shares of AT&T in the 4th quarter worth about $26,000. Finally, Winnow Wealth LLC grew its position in AT&T by 362.8% during the fourth quarter. Winnow Wealth LLC now owns 1,046 shares of the technology company’s stock valued at $26,000 after buying an additional 820 shares during the period. Hedge funds and other institutional investors own 57.10% of the company’s stock.
Trending Headlines about AT&T Here are the key news stories impacting AT&T this week:
Positive Sentiment: AT&T’s post-earnings momentum remains constructive: the company reported quarterly EPS of $0.65 versus the $0.59 consensus estimate, while revenue increased 2.3% year over year. Analysts are watching whether earnings estimates and the stock’s advance can continue. AT&T Up 9.5% Since Last Earnings Report Positive Sentiment: AT&T’s Advanced Connectivity business is gaining traction through fiber expansion, customer convergence and rising demand for AI-related network capacity. This supports the company’s longer-term growth outlook and helps offset slower legacy operations. AT&T Rides on Strength in Advanced Connectivity Positive Sentiment: A partnership with Hark gives AT&T exposure to emerging AI-native consumer devices. AT&T will invest in Hark and provide connectivity, certification and infrastructure support, potentially creating incremental traffic and device-related revenue opportunities. Hark and AT&T Partner on Connectivity for Future AI Devices Positive Sentiment: AT&T reportedly reduced the cost of coding and other AI tasks by as much as 56% by using model-routing tools and open-source systems, with only a modest decline in output quality. Lower internal AI costs could support productivity and margins. AT&T Slashes AI Costs by Adopting Model Routers and Open Source Neutral Sentiment: Analysts continue to highlight AT&T as a highly ranked value and income stock, with a roughly 4.5% dividend yield and a low earnings multiple. However, the company’s growth is expected to remain moderate, making customer revenue increases important. AT&T Is a Top-Ranked Value Stock Negative Sentiment: Bernstein cautions that SpaceX’s potential telecom ambitions could intensify competition for AT&T, Verizon and T-Mobile. Meanwhile, heavy capital spending, elevated interest rates and industry balance-sheet pressures remain risks. Bernstein Remains Bullish on SpaceX AT&T Stock Up 0.7% Shares of NYSE T opened at $25.33 on Friday. AT&T Inc. has a one year low of $19.89 and a one year high of $29.79. The company has a debt-to-equity ratio of 1.06, a current ratio of 0.97 and a quick ratio of 0.93. The business’s fifty day moving average price is $22.83 and its 200-day moving average price is $25.27. The stock has a market capitalization of $173.57 billion, a PE ratio of 8.39, a P/E/G ratio of 1.03 and a beta of 0.23. AT&T (NYSE:T – Get Free Report) last posted its quarterly earnings results on Wednesday, July 22nd. The technology company reported $0.65 earnings per share for the quarter, topping the consensus estimate of $0.59 by $0.06. AT&T had a return on equity of 12.86% and a net margin of 16.94%.The company had revenue of $31.56 billion during the quarter, compared to the consensus estimate of $31.80 billion. During the same quarter in the prior year, the company earned $0.54 EPS. The firm’s quarterly revenue was up 2.3% compared to the same quarter last year. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS. On average, equities research analysts anticipate that AT&T Inc. will post 2.34 EPS for the current year.
AT&T Dividend Announcement The firm also recently disclosed a quarterly dividend, which was paid on Monday, August 3rd. Shareholders of record on Friday, July 10th were issued a dividend of $0.2775 per share. The ex-dividend date of this dividend was Friday, July 10th. This represents a $1.11 annualized dividend and a yield of 4.4%. AT&T’s dividend payout ratio is 36.75%.
Analysts Set New Price Targets A number of analysts recently issued reports on the stock. Oppenheimer downgraded shares of AT&T from an “outperform” rating to a “market perform” rating in a report on Wednesday, June 3rd. Sanford C. Bernstein reiterated an “outperform” rating and issued a $25.00 target price on shares of AT&T in a research note on Monday, July 13th. Argus reduced their target price on shares of AT&T from $33.00 to $30.00 and set a “buy” rating for the company in a research report on Thursday, July 23rd. Wolfe Research raised shares of AT&T from a “peer perform” rating to an “outperform” rating and set a $29.00 target price for the company in a research report on Thursday, July 23rd. Finally, TD Cowen raised their price target on shares of AT&T from $32.00 to $33.00 and gave the stock a “hold” rating in a research note on Thursday, July 23rd. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $29.19.
Get Our Latest Stock Report on T
AT&T Company Profile (Free Report)
AT&T Inc is a global telecommunications company that provides a broad range of communications and digital entertainment services. Its core activities include consumer and business wireless services, broadband and fiber internet, and network infrastructure. The company operates branded wireless services through AT&T Mobility and deploys fixed-line and fiber networks to deliver high-speed internet and related home services.
AT&T’s product and service portfolio spans mobile voice and data plans, smartphones and device sales, home internet (including fiber-to-the-home where available), and managed connectivity solutions for enterprise customers.
Featured Stories Five stocks we like better than AT&T 2 Biotech Stocks Shaping Up for Major Breakouts 3 Stocks Came Roaring Back—Now They’re Flashing Warning Signs 3 Beaten-Down Stocks That Haven’t Gotten the Message About the S&P 500’s Record Run Darden Restaurants Just Hit a 52-Week High–Is the Olive Garden Comeback Story Legit?
Receive News & Ratings for AT&T Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for AT&T and related companies with MarketBeat.com's FREE daily email newsletter.
AT&T za poslední měsíc přidala asi 9,5 % a překonala index S&P 500. Ve 2. čtvrtletí zvýšila upravený zisk na akcii na 65 centů a potvrdila výhled pro rok 2026.
It has been about a month since the last earnings report for AT&T (T - Free Report) . Shares have added about 9.5% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is AT&T due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important catalysts.
AT&T Surpasses Q2 Earnings Estimates on Fiber & Wireless Growth
AT&T reported relatively modest second-quarter 2026 results with adjusted earnings of 65 cents per share, up 20.4% year over year and above the Zacks Consensus Estimate of 59 cents by 10.2%. Revenues increased 2.3% to $31.56 billion but missed the consensus mark of $32.04 billion by 1.5%.
Results benefited from higher fiber and wireless revenues and improving profitability. AT&T added more than 1 million Advanced Connectivity customers, including 646,000 Internet net additions and 432,000 postpaid phone net additions.
T Gains from Advanced Connectivity Momentum
Advanced Connectivity revenues rose 4.1% year over year to $28.62 billion. Service revenues increased 5.1% to $23.48 billion, supported by growth across Wireless, Advanced Home Internet and Business Fiber offerings.
Operating income for the segment surged 20.3% to $7.35 billion, while EBITDA advanced 8% to $12.03 billion. The EBITDA margin expanded 150 basis points to 42%, reflecting stronger service revenue and lower depreciation expense.
AT&T Posts Strong Internet Customer Growth
Advanced home Internet revenues jumped 27.3% year over year to $2.93 billion. Business Fiber and Advanced Connectivity revenues increased 10% to $1.95 billion, partly offset by a 16.6% decline in Business Transitional and Other revenues.
AT&T recorded 367,000 fiber net additions and 279,000 fixed wireless net additions. Fiber connections rose 22.8% year over year to 12.87 million, while fixed wireless connections climbed 77.4% to 2.61 million. The company reached 38.6 million consumer and business locations with fiber and remained on track to exceed 40 million by year-end.
T Benefits from Wireless Subscriber Expansion
Wireless service revenues increased 3.3% year over year to $17.41 billion. Growth was driven by higher retail wireless subscribers, expansion in converged accounts and pricing actions, partly offset by promotional discounts associated with subscriber additions.
Postpaid phone net additions totaled 432,000, up from 401,000 in the year-ago quarter. Postpaid phone churn improved one basis point to 0.86%. The Advanced Home Internet convergence rate reached 42.5%, indicating that a growing share of Internet customers also subscribed to AT&T wireless services.
AT&T Navigates Legacy Declines and Mexico Costs
Legacy segment revenues fell 25.9% year over year to $1.63 billion as demand for copper-based services continued to decline. Operating income plunged 45.5% to $523 million, while the operating margin contracted 1,160 basis points to 32%.
Latin America revenues rose 16.1% to $1.22 billion, aided by favorable foreign exchange rates and postpaid subscriber growth. However, operating expenses increased 17.7%, causing operating income to decline 17.4% to $38 million. Segment EBITDA increased 12.9% to $227 million.
T Expands Profitability and Cash Generation
Consolidated operating income increased 8.3% year over year to $7.04 billion. Adjusted operating income rose to $7.46 billion from $6.49 billion, while adjusted EBITDA improved 5.2% to $12.34 billion. The adjusted EBITDA margin expanded to 39.1% from 38%.
Cash from operating activities was $10.80 billion, up from $9.76 billion. Free cash flow increased 6.3% to $4.67 billion despite capital expenditures rising 16.4% to $5.70 billion. Capital investment, including vendor financing payments, totaled $6.13 billion.
AT&T Reaffirms Outlook and Accelerates Buybacks
AT&T reiterated its 2026 adjusted earnings guidance of $2.25-$2.35 per share. The company continues to expect adjusted EBITDA growth of 3-4%, free cash flow of more than $18 billion and capital investment of $23-$24 billion.
The company returned $4.1 billion to shareholders during the quarter, including about $2.2 billion through share repurchases. AT&T now expects approximately $10 billion of repurchases in 2026. It ended the quarter with $17.57 billion in cash, net debt of $126.38 billion and a net debt-to-adjusted EBITDA ratio of 2.68.
How Have Estimates Been Moving Since Then?It turns out, estimates revision have trended downward during the past month.
VGM ScoresCurrently, AT&T has a average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, AT&T has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
AT&T ve 2. čtvrtletí zvýšila výnosy segmentu Advanced Connectivity o 4,1 % na 28,62 miliardy USD. Přidala také více než 1 milion optických přípojek, celkem jich má 38,6 milionu.
Key Takeaways T's Advanced Connectivity revenues rose 4.1% year over year to $28.62 billion in the second quarter.T added more than 1 million fiber locations in Q2, bringing its total to 38.6 million.T's convergence strategy is gaining traction, while AI-driven demand could support long-term growth. AT&T, Inc. (T - Free Report) is benefiting from solid traction in the Advanced Connectivity segment. The segment revenues rose 4.1% year over year to $28.62 billion. There are multiple growth drivers in this segment. Fiber is one of the largest growth drivers. The company added more than 1 million fiber locations in the second quarter. The total number of fiber locations has now reached 38.6 million. T remains on track to exceed 40 million by year-end 2026 and 60 million by 2030.
Growth in converged fiber and wireless customers is another catalyst. In the second quarter, 42.5% of advanced home Internet households had an AT&T postpaid wireless account. The convergence strategy is gaining strong traction, helping AT&T retain customers and deepen relationships. By combining wireless and home Internet services, the company is creating more cross-selling opportunities and increasing customer lifetime value.
Internet subscriber growth remains a major contributor to segment revenues. AT&T generated 646,000 Internet net adds, consisting of 367,000 fiber and 279,000 fixed wireless additions.
The company is witnessing solid traction in the wireless vertical as well. AT&T added 432,000 postpaid phone subscribers in the second quarter. An increase in retail wireless subscribers, particularly in underpenetrated categories and the rising number of converged customers are propelling this growth.
Artificial intelligence (AI)-driven demand for advanced connectivity is an emerging growth driver. The expansion of AI workloads is expected to increase demand for faster, higher-capacity and lower-latency networks. As AI processing moves closer to end users, demand for fiber-enabled networks will further increase. This will likely be a long-term growth driver for the Advanced Connectivity segment.
How Are Competitors Faring?The company faces stiff competition from Verizon Communications, Inc. (VZ - Free Report) and T-Mobile US, Inc. (TMUS - Free Report) in the telecom market. In the second quarter of 2026, Verizon’s Mobility and broadband service revenues increased 2.8% year over year to approximately $23.4 billion. Verizon continues to broaden its addressable market through fiber expansion and broadband growth, while strengthening convergence opportunities. In second-quarter 2026, the company added 348,000 broadband subscribers, including continued contributions from fixed wireless access and fiber, increasing total fixed wireless access and fiber broadband connections to approximately 17.1 million.
T-Mobile continues to benefit from healthy demand trends across wireless and broadband services. In the second quarter 2026, the company added 277,000 postpaid net accounts while postpaid ARPA increased 2% to $152.91. Service revenues increased 9% year over year, supported by premium plans, business wireless and broadband adoption.
T’s Price Performance, Valuation & EstimatesAT&T shares have lost 14.6% over the past year against the industry’s 80% growth.
Image Source: Zacks Investment Research
From a valuation standpoint, AT&T trades at a forward price-to-sales ratio of 1.31, below the industry average of 8.04.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have increased 1.3% to $2.35 over the past 60 days, while the same for 2027 have increased 1.2% to $2.57.
Image Source: Zacks Investment Research
AT&T currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Odhady zisku pro AT&T pro fiskální roky 2026 a 2027 za posledních 60 dní vzrostly o 1,29 % na 2,35 USD a o 1,18 % na 2,57 USD. Firma zároveň ve 2. čtvrtletí přidala přes 1 milion lokací s optickou sítí a 432 000 paušálních telefonních zákazníků.
Key Takeaways AT&T added over 1M fiber locations in Q2, reaching 38.6M, and targets 40M by year-end.AT&T added 432,000 postpaid phone customers as bundled services helped create higher switching friction.High capex and debt remain concerns as AT&T plans $23-$24B in annual investment and $10B in 2026 buybacks. Earnings estimates for AT&T, Inc. (T - Free Report) for fiscal 2026 and fiscal 2027 have moved up 1.29% to $2.35 and 1.18% to $2.57, respectively, over the past 60 days. The positive estimate revision depicts bullish sentiments about the stock’s growth potential.
Image Source: Zacks Investment Research
T Rides on Solid Wireless and Fiber Traction, Convergence StrategyAT&T is aggressively expanding its fiber footprint. It added more than 1 million fiber locations in the second quarter. Total fiber locations reached are now 38.6 million. The company expects to exceed 40 million locations by the end of 2026 and reach more than 60 million by 2030. The acquisition of Lumen's mass-market fiber business has accelerated AT&T’s fiber expansion strategy.
Wireless remains a major contributor to overall growth. AT&T added 432,000 postpaid phone customers in the second quarter, with churn of just 0.86%. The company added 279,000 fixed wireless connections in the second quarter. The company has been taking several steps to become the customer's single connectivity provider by bundling home internet and wireless. In the second quarter, 42.5% of advanced home internet customers also had an AT&T postpaid wireless account. When customers get dependent on multiple services from a single vendor, it becomes difficult for them to change service providers. This higher switching friction lowers churn rate and boosts customer retention. This significantly boosts the company’s cross-selling opportunities as well.
AI Infrastructure Expansion Can Be a Growth Opportunity in the Long RunThe rising usage of Agentic AI is driving network traffic growth. To support the significant surge of data traffic, the companies need a network that can support near-real-time communication, high bandwidth and significantly greater uplink capacity. A major part of AI processing is expected to move closer to the end user, or the edge, to reduce latency. With a dense metro fiber network combined with nationwide wireless spectrum, AT&T can benefit from this AI infrastructure expansion initiative.
Major Challenges for TAT&T's growth strategy is heavily reliant on continued investment in fiber and wireless infrastructure. The company is expanding fiber aggressively while also investing in its wireless network and spectrum. Such a high capex requirement may impact free cash flow growth in the near term.
AT&T is competing for both wireless and broadband customers. Rivals like Verizon and T-Mobile are also expanding network infrastructure and taking several approaches to drive customer addition. Verizon has also taken a convergence strategy to improve churn rate. Stiff competition in a saturated telecom market is impacting margins.
Amid this high investment requirement, AT&T’s leveraged balance sheet remains a major concern. Net debt-to-adjusted EBITDA was 2.68X at the end of second-quarter 2026, with total debt of $144 billion and cash and equivalents of $17.6 billion. Management expects leverage to rise to about 3.2X after the planned EchoStar spectrum acquisition, before returning to the 2.5X range within about three years. The company also plans $23 to $24 billion of annual capital investment and $10 billion of 2026 buybacks, leaving less flexibility if operating execution weakens.
Price PerformanceAT&T has lost 14% in the past year compared with the Wireless National industry’s decline of 78.9%. The stock has also underperformed the Zacks Computer & Technology sector and the S&P 500’s growth during this period.
Image Source: Zacks Investment Research
The company has underperformed its peers like Verizon Communications Inc. (VZ - Free Report) but outperformed T-Mobile, US, Inc. (TMUS - Free Report) . Verizon has gained 9.3%, while T-Mobile has lost 29.2% year to date.
Key Valuation Metric of TFrom a valuation standpoint, AT&T appears to be trading relatively cheaper compared to the industry and trading below its mean. Going by the price/earnings ratio, the company shares currently trade at 9.86 forward earnings, lower than 33.07 for the industry.
Image Source: Zacks Investment Research
End NoteRapid fiber expansion, healthy traction in the postpaid wireless business are major growth drivers. Effort to reduce churn through bundled product offering is a positive factor. Upward estimate revision underscores growing investors’ confidence on stock’s growth potential. However, fierce competition is weighing on margin. High capex requirement amid elevated debt obligation remains major concern. With a Zacks Rank #3 (Hold), AT&T appears to be treading in the middle of the road, and new investors could be better off if they trade with caution. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AT&T čelí nové konkurenci od Starlinku, ale podle článku zůstává levnější a méně rizikové díky 4,7% dividendovému výnosu a P/E 8. SpaceX je naopak ztrátové a bez dividendy.
AT&T (T +1.23%) appears to face a significant threat from Space Exploration Technologies (SPCX -5.55%). COO Gwynne Shotwell announced that SpaceX's connectivity segment, Starlink, will compete with AT&T, Verizon, and T-Mobile as a full-fledged wireless carrier.
Admittedly, such a move appears bleak for AT&T shareholders, since Starlink can cover the entire planet if the law allows, whereas AT&T can cover only the populated parts of the U.S. However, AT&T's 4.7% dividend yield stands out compared to SpaceX, which offers no dividend.
Moreover, AT&T trades at a massive valuation discount to SpaceX, and even with a recent pullback, the competitive threat from SpaceX probably does not justify a discounted valuation for AT&T stock for two reasons.
Image source: Getty Images.
1. The extent of SpaceX's competitive advantage is uncertain At first glance, competition from SpaceX appears to put AT&T at a competitive disadvantage. Starlink plans to build a terrestrial coverage network, claiming it will use low-cost ground small cells and femtocells to improve signal where coverage is weak. It believes it offers a lower-cost approach to coverage than the massive networks of existing carriers.
Still, AT&T investors should remember that satellite internet has not threatened its own internet business. Also, Starlink's internet service comes with critical limitations. It needs a line of sight to a satellite, and adverse weather, network congestion, and other factors can negatively affect its service. That is why it needs its own terrestrial network to compete.
Nonetheless, this also raises challenges, suggesting Starlink's service may not add significant value. For one, Starlink has a partnership with T-Mobile in which satellite-to-cell service can take over when the terrestrial network is unavailable. T-Mobile CEO Srini Gopalan said that this type of service accounts for only 0.0003% of its network usage, even during the busiest times of the summer.
Another issue is capital expenditures (capex). Even if Starlink can deliver wireless service at a lower cost, the capex costs could still be considerable. The connectivity segment of SpaceX (Starlink) spent just over $4.9 billion on capex over the trailing 12 months. Connectivity accounted for nearly 12% of SpaceX's capex over that period. That will have to increase, which could affect other parts of SpaceX.
Today's Change
(
1.23
%) $
0.30
Current Price
$
24.35
2. An unclear investor benefit The main reasons to invest in SpaceX's stock, aside from Elon Musk's reputation as an innovator, are a near-monopoly on space launches and the prospect of AI data centers in space. The massive growth of Starlink also contributes to its success, but its satellite-based internet remains a niche market.
Furthermore, investing in SpaceX is considerably riskier than owning AT&T stock. SpaceX does not have a P/E ratio, reflecting ongoing losses. That's one less tool in the standard value investor toolbelt. Buying SpaceX stock today means one pays 85 times sales for a money-losing enterprise that does not pay dividends.
Also, AT&T derives nearly all of its revenue from serving as a wireless carrier and a wireless and fiber-based internet service provider. That makes the company much simpler to understand than SpaceX from an investor standpoint.
Additionally, it produced over $16 billion in free cash flow over the trailing 12 months. Around $8 billion of that free cash flow funds a $1.11-per-share annual dividend, which offers the aforementioned yield of 4.7%, well above the S&P 500's (^GSPC -0.29%) average yield of 1.2%. Also, it sells at a P/E ratio of just 8, and the P/S ratio of 1.3 is a tiny fraction of SpaceX's sales multiple.
To be sure, AT&T still has its challenges. The company's stock is inexpensive because it has run up massive debt. It has spent heavily on capex and lost tens of billions of dollars in failed satellite TV and media content ventures years ago, leaving it with a strained balance sheet that may concern its investors. Still, its profitability should reassure risk-averse investors, especially when compared with SpaceX.
Choose AT&T stock Investors should probably stay with AT&T despite SpaceX's plan to become a wireless carrier.
Indeed, Musk has built a reputation for technological transformation, and investors should not forget SpaceX stock. Nonetheless, investors should remember that Starlink has not threatened AT&T's internet service business. Moreover, the massive costs of entering a competitive industry like wireless services offer no obvious benefit to investors.
In contrast, AT&T's stable dividend and low valuation probably make it a less risky investment choice than SpaceX stock. Hence, if you're choosing between these stocks, the safer move is to buy AT&T and collect its generous dividend.
AT&T continues investing in its nationwide wireless network to help customers stay connected with improved coverage, better performance, and more reliable calls
Key Takeaways:
AT&T has selected Ericsson to provide 600 MHz dual-band radios to support deployment of newly acquired spectrum from EchoStar. The new spectrum and advanced radios will improve capacity, reliability, coverage, and performance for customers. Customers can expect more reliable connections in more places, including indoors and in rural areas where coverage can sometimes be harder to deliver. These upgrades help prepare the network for growing demand from everyday apps, connected devices, AI-enabled tools, and data-heavy experiences, both now and in the future. , /PRNewswire/ -- AT&T is working with Ericsson to put its newly acquired 600 MHz spectrum to work for its customers. Ericsson's advanced radios help AT&T use this spectrum to strengthen its wireless network and deliver a better everyday experience.
The 600 MHz spectrum AT&T acquired from EchoStar is especially valuable because it can travel farther and provide stronger coverage inside buildings compared to some higher-frequency spectrum. This helps customers stay connected in more places – at home, at work, on the road – in both urban and rural areas.
Progress customers can experience
AT&T is more than 60% of the way through its wireless network modernization effort, which has greatly improved customer experience. In areas with upgraded Ericsson infrastructure, AT&T customers are seeing:
Up to 2x improvement in average speeds Improved call reliability, with a 10% reduction in dropped and blocked calls Reduced occurrences of slower data speeds by up to 70% By standardizing equipment at the top of cell towers, customers could experience reduced uplink interference by up to 80% These upgrades are designed to help America's largest wireless network carry more data, respond faster, and keep customers connected more consistently as wireless demand grows.
Strengthening performance for the AI era
Through an open and competitive process, Ericsson was selected as a supplier of 600 MHz dual-band radios, enabling AT&T to deploy uplink-enhancing 8RX technology across low bands for the first time. This work supports future connectivity needs while strengthening the network for AI-driven creation, sharing, and real-time interaction.
This work also builds on AT&T and Ericsson's previously announced collaboration to accelerate Open RAN deployment.
"We're more than halfway through our wireless network modernization, and we're executing to plan," said Yigal Elbaz, SVP and Network CTO, AT&T. "By combining our newly acquired 600 MHz spectrum with Ericsson's advanced radios, we're improving coverage and performance for customers while building a more modern, flexible network for the future."
"AT&T's network modernization is a powerful proof point for how open architectures and advanced capabilities can transform performance at scale," said Dyon Agnew, SVP and Head of Customer Unit AT&T, Ericsson Americas. "Together, we're helping deliver faster speeds, more reliable coverage, and a more consistent customer experience across the United States."
AT&T will provide additional details about its 600 MHz deployment plans, including timing and commercial availability, at a later date.
The expected capital investments associated with this agreement are reflected in the financial outlook and capital allocation plan provided in AT&T's second-quarter 2026 earnings release.
About AT&T
We help more than 100 million U.S. families, friends and neighbors, plus nearly 2.5 million businesses, connect to greater possibility. From the first phone call 150+ years ago to our 5G wireless and multi-gig internet offerings today, we @ATT innovate to improve lives. For more information about AT&T Inc. (NYSE: T), please visit us at about.att.com. Investors can learn more at investors.att.com.
About Ericsson
Ericsson's high-performing, programmable networks provide connectivity for billions of people every day. For 150 years, we've been pioneers in creating technology for communication. We offer mobile communication and connectivity solutions for service providers and enterprises. Together with our customers and partners, we make the digital world of tomorrow a reality. www.ericsson.com
AT&T Internet Air dosáhl 2 milionů zákazníků a druhý milion přidal zhruba za polovinu času než ten první. Více než polovina předplatitelů zároveň využívá i mobilní služby AT&T wireless.
, /PRNewswire/ -- AT&T's 5G home internet hit 2 million subscribers in roughly a year, and more than half of them pair it with AT&T wireless
Key Takeaways
AT&T Internet Air reached 2 million customers, adding its second million in about half the time it took to reach its first. More than 50% of AT&T's 5G home internet subscribers are converged customers, meaning they also choose AT&T for wireless. Starting next month, customers can order AT&T Internet Air in-store and leave with the equipment on the spot. What's the News? AT&T Internet Air® has reached 2 million subscribers, marking a major milestone for AT&T's 5G home internet service. At the same time, 1 million AT&T Internet Air subscribers also have AT&T wireless, proving customers are increasingly choosing AT&T as their primary source for connectivity.
Why it Matters: After taking roughly two years to reach its first 1 million subscribers, AT&T Internet Air added its second million in about a year — doubling its customer base in about half the time.
Beyond its rapid adoption, the momentum shows a bigger trend: customers are increasingly choosing AT&T as their one-stop connectivity provider, with simple home internet and wireless service working together under one roof.
Quotable: "People want simple internet from a provider they trust, and that's what AT&T Internet Air delivers," said Josh Goodell, vice president, broadband product development, AT&T. "Today's milestone shows it's resonating with customers, and when they pair it with AT&T wireless, we're seeing industry-leading satisfaction. That tells us customers see the value in Internet Air and that it is an important part of how AT&T keeps them connected."
What's Next: AT&T is continuing to make Internet Air easier to get and start using. Starting next month, customers will be able to order AT&T Internet Air in stores and take their equipment home on the spot. It's another way we're making the experience simpler and helping customers get online faster.
More Details: Bringing internet and wireless together means more value and big savings for AT&T customers. Those who combine AT&T Internet Air with an eligible AT&T wireless plan, can get home internet for as low as $35/month. And with both services backed by the AT&T Guarantee, customers get more than savings – they get confidence in the connections they count on every day. Because when the connection matters – it has to be AT&T.
Frequently Asked Questions
What is AT&T Internet Air?
AT&T Internet Air brings you strong Wi-Fi at home. Delivered over the AT&T 5G network, you can set up home internet in minutes without waiting for cables or complicated installations. Plus, there are no surprise charges or equipment rental fees.
It's designed to support the whole household, including streaming, gaming, remote work, homework, and everyday browsing, all with unlimited data and no annual contract. AT&T Internet Air is a great fit for busy families, remote workers, and anyone looking for reliable, high-speed home internet with the flexibility of wireless technology.
Where is AT&T Internet Air available?
AT&T Internet Air is offered across the contiguous U.S., including the state of New York. However, availability varies by address. Please visit att.com/internet to see what internet technology is available at your location.
What is the AT&T Guarantee?
We value our customers, and we believe that connecting changes everything. We're committed to providing reliable connectivity with value-led pricing and customer-first care, or we'll make it right.
With the AT&T Guarantee, customers can expect:
Connectivity you depend on. In the rare event of a network outage, we'll automatically credit your bill. And, when you have AT&T Fiber with Wireless we provide Internet Backup for no extra cost. Guaranteed.1 Deals you want. Our best deals on smartphones don't require the most expensive plan.2 And no hidden fees or equipment charges with fiber. Guaranteed. Prompt, friendly service you deserve. Speak to a friendly tech expert within five minutes or schedule a callback at a time that you choose.3 Plus, same or next day technician availability. Guaranteed. 1Credit for fiber and Internet Air downtime lasting 20 minutes or more; or for wireless and downtime lasting 60 minutes or more caused by a single incident impacting 8 or more towers. Must be connected to impacted tower at onset of outage. Restrictions and exclusions apply. Internet Backup: Fiber internet only. Requires eligible wireless service, activation, and power source; speeds vary; AT&T may slow data speeds if the network is busy. Backup may not be available in all locations. See att.com/guarantee for full details.
2Offers vary by device. Restrictions may apply.
3Five minutes begins once customer is routed to technical support assistance. AT&T Fiber and postpaid wireless customers only. For small business customers, learn more about the AT&T Guarantee at att.com/businessguarantee.
About AT&T
We help more than 100 million U.S. families, friends, and neighbors, plus nearly 2.5 million businesses, connect to greater possibility. From the first phone call 150 years ago to our 5G wireless and multi-gig internet offerings today, we @ATT innovate to improve lives. For more information about AT&T Inc. (NYSE:T), please visit us at about.att.com. Investors can learn more at investors.att.com.
AT&T dokončila nákup spektrálních licencí od EchoStar za zhruba 23 miliard USD. Přidává přibližně 30 MHz pásma 3,45 GHz a přibližně 20 MHz pásma 600 MHz, tedy asi 50 MHz, a posiluje 5G kapacitu i rychlost stahování napříč USA.
Transaction boosts AT&T's 5G capacity nationwide, giving customers across the U.S. a stronger, faster connection
Key Takeaways:
Acquisition adds approximately 50 MHz of low-band and mid-band spectrum to AT&T's holdings – covering virtually every market across the U.S., strengthening AT&T's position in advanced connectivity across 5G and fiber. AT&T reiterates the financial outlook and capital allocation plan provided in its second-quarter 2026 earnings release. , /PRNewswire/ -- AT&T (NYSE:T) has closed its previously announced transaction to acquire certain wireless spectrum licenses from EchoStar (NASDAQ: ECHO) for approximately $23 billion. The acquired spectrum covers virtually every market across the U.S., adding approximately 30 MHz of nationwide 3.45 GHz mid-band spectrum and approximately 20 MHz of nationwide 600 MHz low-band spectrum to AT&T's portfolio.
The added spectrum enables AT&T to boost its 5G capacity and download speeds while helping the Company deliver an AI-ready connected experience as it engineers the spectrum to enhance the superior uplink capabilities of its wireless network.
AT&T reiterates the financial outlook and capital allocation plan provided with its second-quarter 2026 earnings release.
To automatically receive AT&T financial news by email, please subscribe to email alerts.
About AT&T
We help more than 100 million U.S. families, friends and neighbors, plus nearly 2.5 million businesses, connect to greater possibility. From the first phone call 150 years ago to our 5G wireless and multi-gig internet offerings today, we @ATT innovate to improve lives. For more information about AT&T Inc. (NYSE:T), please visit us at about.att.com. Investors can learn more at investors.att.com.
Cautionary Language Concerning Forward-Looking Statements
Information set forth in this news release contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. A discussion of factors that may affect future results is contained in AT&T's filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update and revise statements contained in this news release based on new information or otherwise. This news release may contain certain non-GAAP financial measures. Reconciliations between the non-GAAP financial measures and the GAAP financial measures are available on the Company's website at investors.att.com.
AT&T ve 2. čtvrtletí zvýšila tržby o 2,3 % na 31,6 miliardy USD a upravený zisk na akcii o zhruba 20 % na 0,65 USD. Zároveň navýšila plán zpětného odkupu akcií na asi 10 miliard USD.
The market has spent years treating AT&T (T +4.77%) as a bond that happens to trade on an exchange. Slow growth, a big dividend, and not much to think about in between.
The company's second-quarter report, delivered on Wednesday, July 22, mostly confirms that description on the revenue line. Second-quarter revenue rose 2.3% year over year to $31.6 billion. But nobody is buying this stock for the top line anyway.
What the quarter did change is the size of the indirect "payments" shareholders get via share repurchases. Management lifted its 2026 buyback plan to about $10 billion from $8 billion, and the stock closed Friday at $24.13 after a 5.1% gain in the session -- still about 19% below its 52-week high of $29.79, and yielding 4.6%.
So does the cash actually cover everything management has now promised?
Image source: AT&T.
A slow top line and a fast bottom line Notably, underneath that 2.3% revenue figure, the profit lines are moving considerably faster.
Non-GAAP (adjusted) earnings per share came in at $0.65, up from $0.54 a year earlier -- growth of about 20% year over year. Diluted earnings per share from continuing operations rose to $0.66 from $0.62. And adjusted EBITDA margin expanded 110 basis points to 39.1%.
Free cash flow, the figure that actually pays the dividend, was $4.7 billion in the second quarter, up from $4.4 billion in the year-ago period.
And the operating detail behind it is better than the revenue growth rate suggests. AT&T added 432,000 postpaid phone subscribers and 646,000 internet customers, split between 367,000 fiber and 279,000 fixed wireless. Fiber now passes 38.6 million locations, up by a million in three months.
That mix matters. Fiber and postpaid phone customers are the higher-margin, longer-tenured end of this business, and the margin expansion is what a shift toward them looks like in the numbers.
Where the free cash flow goes Here is the arithmetic that decides the investment case.
AT&T pays $1.11 per share annually across about 6.9 billion shares, which comes to about $7.6 billion of dividends. Add the roughly $10 billion of repurchases management now plans, and the company intends to hand shareholders somewhere near $18 billion this year.
Its guidance for 2026 free cash flow is at least $18 billion.
In other words, the dividend and the buyback together consume essentially all of it. That isn't a hidden problem. It's the plan, and management said as much. But it does define what an investor is buying: a payout covered with almost no cushion this year -- unless, of course, you consider the company's capital allocated for repurchases a cushion for the dividend. And this would be a fair way to think about it.
But the company's multi-year outlook suggests there could be greater breathing room for the dividend in the future. Management guided for free cash flow above $19 billion in 2027 and above $21 billion in 2028, against a commitment to return more than $45 billion to shareholders across the three years. Stack those up and the company expects to generate about $58 billion while returning $45 billion, which leaves some runway for paying down debt.
Of course, debt is the part income investors should look at hardest. Net debt stood at $126.4 billion at quarter's end, or 2.68 times adjusted EBITDA. Management expects that ratio to climb to about 3.2 times once its transaction with EchoStar closes, then work back toward 2.5 times over about three years.
So leverage is going up before it comes down, at a company already returning all of its free cash flow.
Today's Change
(
4.77
%) $
1.10
Current Price
$
24.06
That is the trade-off, and I think it's a fair one at this price. The stock trades at about eight times earnings, though the sharper comparison uses the $2.25 to $2.35 in adjusted earnings per share management guided to for 2026, which puts shares closer to 10 times. Even at the 52-week high of $29.79, that guidance would imply under 13 times.
A 4.6% yield covered by contracted, recurring revenue, from a company that grew adjusted earnings about 20% year over year last quarter while buying back its own stock, is a reasonable thing to own. CEO John Stankey said the accelerated repurchase reflects a gap between the company's operating fundamentals and how the market values the shares, and the numbers back that up more than they don't.
I wouldn't call it a bargain, though. AT&T grows revenue 2% a year -- a concerning rate, and one that is just a few percentage points from flipping to a decline.
Still, for income investors, this quarter made the case stronger. The dividend is covered, the fiber business is finally producing the margin expansion it promised, and the stock sits nearly a fifth below its 52-week high. I'd own it for the yield, keep the position modest, and treat the buyback as a bonus rather than the reason.
AT&T ve 2. čtvrtletí přidala 367 000 zákazníků optické sítě a meziročně zvýšila pokročilé domácí internetové služby o 29,5 %. Firma chce do konce roku 2026 přesunout 70 % bezdrátového provozu na platformy schopné otevřeného provozu.
Key Takeaways T added 367,000 fiber customers as advanced home Internet connections rose 29.5% year over year.Converged households churn at roughly half the rate and deliver a high-single-digit revenue uplift.AT&T targets 70% of wireless traffic on open-capable platforms and $4 billion in annual savings. AT&T Inc. (T - Free Report) is trying to turn connectivity demand into a more durable growth model. Its strategy now leans on fiber, 5G and business network services rather than old media and video assets.
Execution matters. Fiber reach, wireless scale and edge demand can support revenues and margins, while capital intensity and competition remain checks.
AT&T Rides the Fiber Convergence TrendFiber is central to AT&T because it supports more than stand-alone broadband additions. In the second quarter of 2026, the company recorded more than 1 million advanced connectivity net additions, including 646,000 Internet net additions and 432,000 postpaid phone net additions.
AT&T added 367,000 fiber customers in the quarter, while advanced home Internet connections rose 29.5% year over year. The convergence rate reached 42.5%, meaning a growing share of those Internet customers also had an AT&T postpaid wireless plan.
That mix matters because management indicated that converged households churn at roughly half the rate of stand-alone accounts and carry a high-single-digit average revenue per account uplift. AT&T ended the quarter with 38.6 million consumer and business fiber locations reached.
T Uses 5G to Broaden Internet ReachAT&T’s 5G strategy supports the fiber push rather than replacing it. The company uses millimeter-wave spectrum in dense areas and mid- and low-band holdings elsewhere to balance capacity and coverage.
Management has tied fiber and 5G together in a converged network that reaches more than 90 million customer locations with advanced Internet services over either fiber or 5G. Fixed wireless is one sign of that broader reach, with AT&T adding 279,000 fixed wireless customers in the second quarter.
T-Mobile US, Inc. (TMUS - Free Report) remains a relevant benchmark in wireless and home broadband competition. Its presence keeps pressure on carriers to pair network quality with attractive customer offers.
AT&T Pushes Toward AI-Ready NetworksAT&T’s edge and artificial intelligence-related network strategy is an emerging growth angle, not an immediate earnings reset. Management expects AI-ready connectivity needs to grow as users require lower latency, stronger uplink capacity and reliable traffic management.
The building blocks are dense fiber, 5G backhaul, spectrum depth, mobile edge computing zones and private 5G deployments. AT&T has cited more than 20 metro mobile edge computing zones live and more than 150 active private 5G and edge trials.
The planned EchoStar 600 MHz spectrum acquisition is intended to strengthen low-band uplink capacity. That could become more useful if AI workloads gradually lift backbone traffic and demand more reliable two-way network performance.
T Seeks Efficiency Through Open RANGrowth alone is not enough for AT&T’s investment case. The company also needs to run its network more efficiently as fiber, spectrum and 5G spending remain high.
Open radio access network, or Open RAN, is part of that effort. AT&T plans to use Ericsson technology to deploy a commercial-scale Open RAN buildout and aims to move 70% of wireless network traffic across open-capable platforms by late 2026.
The broader transformation plan includes vendor rationalization, artificial intelligence enablement, digitalization and lower legacy operating support costs. Management is targeting $4 billion in annual cost savings by the end of 2028. Verizon Communications Inc. (VZ - Free Report) offers another large-scale network comparison for investors focused on network cost discipline.
How AT&T’s Ratings Frame the Trend TradeAT&T offers exposure to several important connectivity trends, but the stock is not a clean growth call. Fiber convergence, fixed wireless adoption, edge workloads and Open RAN efficiency give the company a credible roadmap, while legacy declines and promotional wireless competition still limit improvement.
The stock currently carries a Zacks Rank #3 (Hold). Its Value Score of A points to a favorable valuation profile, but the Growth Score of D and Momentum Score of F show weaker signals on earnings growth characteristics and near-term price trend.
The VGM Score of C places the combined style picture in the middle. Investors may see value in T’s connectivity exposure and income profile, but the market is still waiting for stronger growth and momentum signals.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AT&T Inc. (T) Q2 2026 Earnings Call July 22, 2026 8:30 AM EDT
Company Participants
Brett Feldman - Senior Vice President of Finance & Investor Relations
John Stankey - CEO, President & Chairman
Pascal Desroches - Senior EVP & CFO
Conference Call Participants
Sean Diffley - Morgan Stanley, Research Division
John Hodulik - UBS Investment Bank, Research Division
David Barden - New Street Research LLP
Craig Moffett - MoffettNathanson LLC
Michael Rollins - Citigroup Inc., Research Division
Samuel McHugh - BNP Paribas, Research Division
Peter Supino - Wolfe Research, LLC
Presentation
Operator
Good morning, and welcome to AT&T's Second Quarter 2026 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to turn the conference call over to our host, Brett Feldman, Treasurer and Head of Investor Relations. Please go ahead.
Brett Feldman
Senior Vice President of Finance & Investor Relations
Thank you, and good morning. Welcome to our second quarter call. I'm Brett Feldman, Treasurer and Head of Investor Relations for AT&T. Joining me on the call today are John Stankey, our Chairman and CEO; and Pascal Desroches, our CFO. Before we begin, I need to call your attention to our safe harbor statement. It says that some of our comments today may be forward-looking. As such, they are subject to risks and uncertainties described in AT&T's SEC filings. Results may differ materially. Additional information as well as our earnings materials are available on the Investor Relations website.
With that, I'll turn things over to John.
John Stankey
CEO, President & Chairman
Thanks, Brett, and good morning, everyone. I do appreciate you joining us today. Earlier this year, we provided an outlook for accelerated growth and execution of our strategy, and that's exactly what we delivered in the second quarter. We gained more than 1 million advanced connectivity subscribers from fiber, fixed wireless and postpaid phones, with all 3
For the quarter ended June 2026, AT&T (T - Free Report) reported revenue of $31.56 billion, up 2.3% over the same period last year. EPS came in at $0.65, compared to $0.54 in the year-ago quarter.
The reported revenue represents a surprise of -1.49% over the Zacks Consensus Estimate of $32.04 billion. With the consensus EPS estimate being $0.59, the EPS surprise was +10.17%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how AT&T performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Internet Connections - Fiber: 12.87 million versus 12.81 million estimated by three analysts on average.Internet Connections- AT&T Business Fiber: 724 thousand versus the three-analyst average estimate of 722.67 thousand.Internet Net Adds- AT&T Business Fiber: 23 thousand compared to the 21.67 thousand average estimate based on three analysts.Internet Net Adds- AT&T Fiber: 344 thousand compared to the 290 thousand average estimate based on three analysts.Operating Revenues- Corporate and Other: $87 million versus the five-analyst average estimate of $90.93 million. The reported number represents a year-over-year change of -7.5%.Operating Revenues- Latin America: $1.22 billion versus $1.13 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +16.1% change.Operating Revenues- Legacy: $1.63 billion versus $1.67 billion estimated by five analysts on average.Operating Revenues- Advanced Connectivity: $28.62 billion compared to the $29.05 billion average estimate based on five analysts.Operating Revenues- Advanced Connectivity- Other service: $151 million versus the three-analyst average estimate of $155.96 million.Operating Revenues- Advanced Connectivity- Advanced home internet: $2.93 billion versus the three-analyst average estimate of $3.01 billion.Revenues- Latin America- Wireless equipment: $444 million compared to the $427.92 million average estimate based on three analysts. The reported number represents a change of +13.3% year over year.Revenues- Latin America- Wireless service: $780 million compared to the $678.12 million average estimate based on three analysts. The reported number represents a change of +17.8% year over year.View all Key Company Metrics for AT&T here>>>
Shares of AT&T have returned -2.4% over the past month versus the Zacks S&P 500 composite's +0.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
AT&T oznámila za 2. čtvrtletí výnosy 31,56 mld. USD a zisk 0,65 USD na akcii, oba výsledky nad odhady. Šéf John Stankey odmítl obavy ze Starlinku a řekl, že firma je v silné pozici.
Dallas-headquartered AT&T Inc (T) is extending gains on Wednesday morning after reporting Q2 earnings that came in handily above Street estimates.
The company posted $31.56 billion in revenue – up 2.3% on a year-over-year basis – on $0.65 per share of earnings (EPS), representing an exciting 20.4% increase from last year.
More importantly, responding to rising fears of Starlink competition in a CNBC interview, AT&T’s chief executive John Stankey said: “We can compete with anybody that comes in; we’re in a very strong position with the best product out there.”
That said, AT&T stock remains down over 20% versus its year-to-date high.
According to Stankey, new entrants like Starlink face severe structural hurdles trying to “replicate” ground-based connectivity.
While low-Earth orbit (LEO) satellites grab headlines, he pointed out that new rivals are “coming to the game very late after this industry has already been established.”
Crucially, satellite networks can’t really replace the tens of billions of dollars invested over decades to bring high-speed fiber and 5G connectivity into “dense environments” like hospitals, university campuses, stadiums, and high-rise office buildings.
AT&T currently handles more than 98% of the data traffic generated by its converged customers, leaving satellite coverage to fill only the coverage gaps when users walk entirely off the terrestrial grid, he added.
While there’ve been concerns that legacy carriers might repeat past missteps by signing wholesale network agreements that empower new competitors, Stankey dismissed the notion entirely.
According to him, AT&T does not need a wholesale partnership with Starlink to defend its market position, adding that the company pursues wholesale arrangements only when a segment of the market cannot be reached through its own brand, distribution, or fiber footprint.
In primary metropolitan and suburban US markets, AT&T’s combination of fiber buildouts and 5G spectrum allows it to “acquire and retain” both consumer and business accounts directly – making satellite-based distribution unnecessary for core market coverage.
Rather than surrendering distribution to a single satellite giant, AT&T Inc is leveraging an industry joint venture alongside T-Mobile and Verizon to manage off-grid coverage efficiently.
Stankey highlighted that the consortium allows carriers to aggregate consumer traffic volumes and contract across the entire satellite ecosystem – whether sourcing capacity from SpaceX, Amazon’s Kuiper, or AST SpaceMobile.
By maintaining flexibility across multiple satellite constellations, AT&T can handle the remaining fraction of off-network traffic at economical rates without undermining its primary connectivity offerings.
This pragmatic approach reinforces AT&T Inc’s core “fiber and wireless strategy” while offering seamless, affordable backup connectivity for subscribers wherever they travel.
Wall Street currently has a consensus Overweight rating on AT&T stock, with the mean price target of $29 indicating significant further upside from here.
AT&T ve 2Q překonal odhady díky 432 000 čistým přírůstkům postpaid zákazníků, vyššímu očištěnému EPS i očištěné EBITDA. Firma potvrdila celoroční výhled pro rok 2026.
Americký telekomunikační operátor AT&T zveřejnil hospodářské výsledky za druhé čtvrtletí roku 2026. Čistý přírůstek postpaid mobilních zákazníků překonal průměrný odhad analytiků. Nad očekáváním byly rovněž očištěný zisk na akcii a očištěná EBITDA.
Výsledky společnosti AT&T (T) za 2Q 2026 2Q 2026 Konsensus 2Q 2026 2Q 2025 Výnosy (mld. USD) 31,56 31,77 30,85 Čistý zisk (mld. USD) 4,59 -- 4,46 Očištěný zisk na akcii (EPS, USD/akcie) 0,65 0,59 0,54 Výsledky za 2Q Výnosy meziročně vzrostly o 2,6 % na 31,56 mld. USD.
Čistý přírůstek postpaid mobilních zákazníků dosáhl 432 000, nad odhadem 325 264. Míra odchodovosti (churn) u postpaid zákazníků s pouze mobilním tarifem činila 0,86 %.
Očištěná EBITDA vzrostla meziročně o 5,1 % na 12,3 mld. USD, nad odhadem 12,1 mld. USD.
Volný hotovostní tok dosáhl 4,7 mld. USD.
Výhled na FY 2026 Firma potvrzuje celoroční výhled pro rok 2026:
Volný hotovostní tok alespoň 18 mld. USD (konsensus: 18,17 mld. USD). Očištěný zisk na akcii 2,25–2,35 USD (konsensus: 2,32 USD). Růst očištěné EBITDA o 3 % až 4 %. Komentář vedení John Stankey, předseda představenstva a generální ředitel AT&T, uvedl: „Zrychlený růst, kterého jsme dosáhli v tomto čtvrtletí, ukazuje naše strukturální výhody vést další éru konektivity. Zrychlujeme tempo plánovaných zpětných odkupů akcií na letošní rok na přibližně 10 mld. USD, což odráží naši důvěru v naši tržní pozici. Díky vedoucímu postavení ve vláknové optice – nejlepší dostupné konektivní technologii – věříme, že náš výkon sítě a provozní rozsah nemají konkurenci.“
Návrat kapitálu akcionářům Společnost za čtvrtletí vrátila akcionářům 4,1 mld. USD, z toho přibližně 2,2 mld. USD formou zpětného odkupu akcií v rámci programu z roku 2024.
Návrat kapitálu akcionářům, zdroj: AT&T
Akcie AT&T Akcie AT&T (T) v předburzovní fázi obchodování rostou o 3,23 % na 22,98 USD.
Akcie AT&T Inc (T) před výsledky uzavřely na 22,26 USD Ukazatel Ukazatel Kapitalizace (mld. USD) 154,7 P/E 12,4 Vývoj za letošní rok (%) -10,4 Očekávané P/E 9,6 52týdenní minimum (USD) 19,9 Prům. cílová cena (USD) 29,2 52týdenní maximum (USD) 29,8 Dividendový výnos (%) 5,0 Zdroj: AT&T, Bloomberg
AT&T zveřejní výsledky za 2. čtvrtletí před otevřením trhu ve středu; analytici čekají zisk 59 centů na akcii a tržby 31,82 miliardy USD. Akcie v úterý vzrostly o 1,4 % na 22,26 USD.
AT&T Inc. (NYSE:T) will release its second quarter earnings report before the opening bell on Wednesday, July 22.
Analysts expect the Dallas, Texas-based company to report quarterly earnings of 59 cents per share, up from 54 cents per share in the year-ago period. The consensus estimate for AT&T’s quarterly revenue is $31.82 billion. It reported $30.85 billion last year, according to Benzinga Pro.
On July 7, AT&T, Ericsson and MediaTek completed North America’s first in-field trial of enhanced mobility features tied to Ericsson’s 5G Advanced Critical IoT subscription.
Shares of AT&T rose 1.4% to close at $22.26 on Tuesday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.
Considering buying T stock? Here’s what analysts think:
Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
Andra AP fonden reduced its position in shares of AT&T Inc. (NYSE:T – Free Report) by 40.3% during the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 728,787 shares of the technology company’s stock after selling 491,513 shares during the quarter. Andra AP fonden’s holdings in AT&T were worth $21,128,000 at the end of the most recent quarter.
Other institutional investors and hedge funds have also modified their holdings of the company. Norges Bank acquired a new stake in shares of AT&T during the fourth quarter worth approximately $2,181,977,000. Amundi boosted its stake in shares of AT&T by 67.5% during the 3rd quarter. Amundi now owns 42,295,492 shares of the technology company’s stock valued at $1,094,184,000 after buying an additional 17,040,328 shares during the period. Alyeska Investment Group L.P. grew its holdings in shares of AT&T by 620.8% during the 4th quarter. Alyeska Investment Group L.P. now owns 11,891,778 shares of the technology company’s stock valued at $295,392,000 after acquiring an additional 10,241,949 shares in the last quarter. State Street Corp grew its holdings in shares of AT&T by 2.6% during the 4th quarter. State Street Corp now owns 332,089,723 shares of the technology company’s stock valued at $8,249,109,000 after acquiring an additional 8,314,678 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership increased its stake in shares of AT&T by 49.2% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 25,155,597 shares of the technology company’s stock worth $624,865,000 after acquiring an additional 8,297,201 shares during the last quarter. Hedge funds and other institutional investors own 57.10% of the company’s stock.
Analysts Set New Price Targets A number of equities research analysts have recently weighed in on the company. Citigroup raised their price target on AT&T from $29.00 to $31.50 and gave the stock a “buy” rating in a research note on Monday, March 23rd. Barclays dropped their price objective on AT&T from $26.00 to $24.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 8th. KeyCorp raised their price objective on shares of AT&T from $30.00 to $36.00 and gave the company an “overweight” rating in a research report on Wednesday, March 25th. Weiss Ratings downgraded shares of AT&T from a “buy (b)” rating to a “buy (b-)” rating in a research report on Friday, May 29th. Finally, Wells Fargo & Company initiated coverage on shares of AT&T in a research note on Wednesday, July 8th. They set an “underweight” rating and a $18.00 price target on the stock. One research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $29.14.
Get Our Latest Stock Analysis on T
Trending Headlines about AT&T Here are the key news stories impacting AT&T this week:
Positive Sentiment: AT&T is set to raise some home internet plan prices by $5, which could lift average revenue per user and improve near-term margins. These AT&T home internet plans are getting a $5 price hike Positive Sentiment: EDO said AT&T had one of the most engaging ads during FIFA World Cup 2026™, suggesting its marketing is resonating with viewers and potentially supporting brand strength. Kalshi, Oura Ring, and AT&T Score the Most Engaging Ads of the FIFA World Cup 2026™, ranked by TV outcomes data on edo.com/worldcup Neutral Sentiment: AT&T is working with major peers on a network-level tool to fight AI-driven identity fraud and is also testing low-latency 5G mobility technology, highlighting ongoing innovation but no immediate financial impact. AT&T (T) Takes On Identity Fraud While Testing Real Time 5G Mobility Neutral Sentiment: AT&T disclosed $2.65 million in Q2 lobbying spending, focused on broadband, spectrum, cybersecurity, and telecom policy issues that are important to the business but unlikely to move the stock on their own. Lobbying Update: $2,650,000 of AT&T SERVICES INC AND ITS AFFILIATES lobbying was just disclosed Neutral Sentiment: RBC Capital lowered its price target on AT&T to $27 from $31 while keeping an outperform rating, which is mildly positive overall but signals a slightly less optimistic valuation view. AT&T had its price target lowered by Royal Bank Of Canada from $31.00 to $27.00. Negative Sentiment: News that AT&T may raise home internet prices for lower-income customers could trigger churn concerns and political backlash, partially offsetting the benefit of higher pricing. AT&T is raising prices again, and this time low-income customers won’t be spared AT&T Stock Performance Shares of NYSE T opened at $22.00 on Tuesday. The business’s 50-day simple moving average is $22.92 and its 200-day simple moving average is $25.28. The company has a debt-to-equity ratio of 1.05, a quick ratio of 0.87 and a current ratio of 0.92. AT&T Inc. has a 52 week low of $19.89 and a 52 week high of $29.79. The firm has a market cap of $152.83 billion, a price-to-earnings ratio of 7.38, a P/E/G ratio of 0.86 and a beta of 0.24.
AT&T (NYSE:T – Get Free Report) last announced its earnings results on Wednesday, April 22nd. The technology company reported $0.57 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.55 by $0.02. AT&T had a return on equity of 12.49% and a net margin of 16.94%.The firm had revenue of $31.51 billion during the quarter, compared to analysts’ expectations of $31.29 billion. During the same quarter in the prior year, the business earned $0.51 earnings per share. The company’s revenue was up 2.9% on a year-over-year basis. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS. As a group, equities research analysts expect that AT&T Inc. will post 2.32 earnings per share for the current fiscal year.
AT&T Dividend Announcement The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 3rd. Stockholders of record on Friday, July 10th will be paid a $0.2775 dividend. The ex-dividend date is Friday, July 10th. This represents a $1.11 dividend on an annualized basis and a dividend yield of 5.0%. AT&T’s payout ratio is presently 37.25%.
AT&T Profile (Free Report)
AT&T Inc is a global telecommunications company that provides a broad range of communications and digital entertainment services. Its core activities include consumer and business wireless services, broadband and fiber internet, and network infrastructure. The company operates branded wireless services through AT&T Mobility and deploys fixed-line and fiber networks to deliver high-speed internet and related home services.
AT&T’s product and service portfolio spans mobile voice and data plans, smartphones and device sales, home internet (including fiber-to-the-home where available), and managed connectivity solutions for enterprise customers.
Read More Five stocks we like better than AT&T The Ugliest Stocks in the Market Just Got a Very Expensive Vote of Confidence Is Domino’s Stock Serving Up a Buying Opportunity? A $1T Black Hole: SpaceX Eyes Pentagon AI to Break Free Why Gold Miners Could Be the Market’s Biggest Comeback Story
Receive News & Ratings for AT&T Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for AT&T and related companies with MarketBeat.com's FREE daily email newsletter.
« PREVIOUS HEADLINELowe’s Companies, Inc. $LOW Shares Sold by Andra AP fonden
NEXT HEADLINE »iShares MSCI EAFE Value ETF $EFV Stock Holdings Trimmed by Assetmark Inc.
Key Takeaways AT&T reports Q2 earnings on July 22, with the model indicating a likely earnings beat.T expanded enterprise connectivity, connected car services and flexible consumer wireless offerings.AT&T is investing in fiber expansion, but intense telecom remain a challenge. AT&T Inc. (T - Free Report) is scheduled to report second-quarter 2026 earnings on July 22, before the opening bell. The Zacks Consensus Estimate for revenues and earnings is pegged at $32.04 billion and 59 cents per share, respectively. The earnings estimate for AT&T for 2026 has increased 0.43% to $2.32 per share over the past 60 days, while the same for 2027 has increased 0.79% to $2.55 per share.
Image Source: Zacks Investment Research
Earnings Surprise HistoryThe communications service provider delivered a trailing four-quarter earnings surprise of 5.19%, on average.
Image Source: Zacks Investment Research
Earnings WhispersOur proven model predicts a likely earnings beat for AT&T for the second quarter. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is exactly the case here. AT&T currently has an ESP of +4.83% and a Zacks Rank #3.
You can see the complete list of today’s Zacks #1 Rank stocks here.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Factors Shaping the Upcoming ResultsDuring the quarter, AT&T strengthened its enterprise connectivity portfolio with several strategic initiatives. The company launched North America's first Post-Quantum Cryptography (PQC)-enabled Software-Defined Wide Area Network (SD-WAN) service in collaboration with Cisco. The solution is designed to help enterprises protect sensitive data against emerging quantum computing-related cyber threats.
The company also expanded its connected vehicle ecosystem by extending its collaboration with Cisco and LiveOne. The enhanced Connected Car platform integrates in-vehicle connectivity with digital entertainment services. Such innovative product launches are expected to have a positive impact on upcoming results.
In the to be reported quarter, the company continued to expand its consumer connectivity offerings by introducing the Unlimited Day Pass for eligible iPad users. The on-demand service provides flexible wireless connectivity without requiring a long-term subscription.
AT&T also reaffirmed its long-term commitment to fiber and wireless expansion by announcing a $19 billion investment in California through 2030. The initiative aims to extend fiber connectivity to more than 4 million additional households and businesses.
However, AT&T continues to face intense competition in the U.S. telecom market from Verizon Communications, Inc. (VZ - Free Report) and Charter Communications (CHTR - Free Report) . This could limit subscriber additions and weigh on revenue growth.
Price PerformanceOver the past year, AT&T has declined 17.5% against the industry’s growth of 83.2%, outperforming its peers like Charter but underperforming Verizon. Charter has declined 65%, while Verizon has improved 8.8% during this period.
Image Source: Zacks Investment Research
Key Valuation MetricFrom a valuation standpoint, AT&T appears to be trading relatively cheaper than the industry and below its mean. Going by the price/earnings ratio, the company shares currently trade at 9.03 forward earnings, lower than 44.18 for the industry and the stock’s mean of 11.4
Image Source: Zacks Investment Research
Investment ConsiderationsAT&T is aggressively expanding its fiber footprint. The company has reached more than 37 million fiber locations, the highest in America. It is aiming to expand this footprint to more than 60 million locations by the end of the decade. Fiber is emerging as a critical component for AI native connectivity, cloud applications, streaming, gaming, enterprise workloads and next-generation digital experiences. Amid this backdrop, AT&T’s continuous investment in developing a robust fiber architecture nationwide will likely bring long-term benefits.
However, the U.S. telecom market is highly competitive. Major rivals like Verizon and Charter are also aggressively investing in fiber, fixed wireless access, and customer acquisition. T must continue offering attractive pricing, bundled services and network improvements to maintain subscriber growth. In the wireless domain, T-Mobile is also rapidly expanding its 5G network. This could pose a threat to AT&T’s wireless subscriber growth.
It has been implementing several initiatives to drive customer retention over the past several quarters. Its convergence strategy has become one of the central pillars of these retention efforts. The company is focused on increasing the number of households that subscribe to both AT&T wireless and broadband services, including AT&T Fiber and AT&T Internet Air.
When customers get dependent on multiple services from a single vendor, it becomes difficult for them to change service providers. From a user’s point of view, opting for fiber and wireless services from a single vendor reduces complexity for them as well. This trend improves customer retention, lowers churn and increases long-term customer value.
AT&T continues to experience steep declines in legacy wireline and copper-based services as customers migrate to newer technologies. The company's long-term growth story relies on massive investments in fiber and wireless infrastructure. It is accelerating fiber deployment, investing $19 billion in California alone through 2030, which places pressure on free cash flow.
End NoteAT&T continues to invest in fiber and 5G to expand advanced Internet reach and drive more households to buy wireless and home Internet together. Management expects fiber reach to grow by about 8 million locations in 2026, including over 4 million locations acquired from Lumen, and remains on track to reach over 40 million total fiber locations by the end of 2026. The effort of portfolio expansion and venture into new high-growth markets, such as network security and automotive, is a positive.
However, the U.S. wireless market remains saturated. This makes the market highly price sensitive and limits average revenue per user growth. Amid stiff competition from other major players, the company has to continuously invest in network upgrades and improve customer experience to maintain its market share, which impacts profitability. With a Zacks Rank #3 (Hold), AT&T appears to be treading in the middle of the road, and new investors could be better off if they trade with caution.
AT&T a Ericsson předvedly živý test detekce dronů přes 5G mimo AT&T Stadium s využitím Massive MIMO a AI. Síť dokázala v reálném čase sledovat polohu, výšku i rychlost více dronů, které létaly ve výšce 300 až 400 stop.
Key Takeaways T demonstrated live 5G drone detection with Ericsson using Massive MIMO radios outside AT&T Stadium.AT&T used AI and signal processing to track drone location, altitude and speed in real time.T plans to advance network sensing with Ericsson for enterprises, governments and public venues. AT&T Inc. (T - Free Report) , in collaboration with Ericsson (ERIC - Free Report) , has demonstrated advanced drone detection during a live trial outside AT&T Stadium in Arlington, TX. The initiative highlighted how AT&T’s existing 5G infrastructure can support real-time environmental sensing, marking a key step toward future 6G capabilities.
AT&T used Ericsson's Massive MIMO radios to detect, locate and track multiple drones flying at altitudes of 300 to 400 feet. AI-powered sensing and advanced signal processing enabled the network to generate real-time information on each drone's location, altitude and speed. The trial showed how the company's existing 5G network can enhance monitoring for large venues, critical infrastructure and public-sector applications without the need for dedicated sensing systems.
The project reflects AT&T's efforts to expand sensing capabilities through software enhancements and advanced radio technologies. The company also sees network-based sensing improving event operations by providing better visibility into vehicle movement, enhancing coordination of temporary infrastructure and increasing public-sector awareness of low-altitude drone activity.
AT&T will continue working with Ericsson to advance Integrated Sensing and Communication. The collaboration aims to expand practical network sensing applications for enterprises, governments and major public venues while supporting the evolution of next-generation wireless technologies.
How Are Competitors Performing to Improve Connectivity?AT&T faces stiff competition from Verizon Communications, Inc. (VZ - Free Report) and T-Mobile, US, Inc. (TMUS - Free Report) . Verizon is strengthening its connectivity by expanding its 5G network, enhancing fiber infrastructure and using AI to optimize network performance. The company is advancing private 5G and edge computing solutions to deliver faster, more reliable and secure connectivity. Verizon’s strong network meets the growing demand for high-speed, low-latency connectivity.
T-Mobile is improving connectivity by enhancing its nationwide 5G network and expanding coverage to more areas. The company is growing its T-Satellite service to help customers stay connected in places without traditional cellular coverage. T-Mobile has expanded its collaboration with Qualcomm to accelerate the evolution from 5G Advanced to 6G.
T’s Price Performance, Valuation & EstimatesAT&T shares have lost 22.2% over the past year against the industry’s growth of 94.8%.
Image Source: Zacks Investment Research
From a valuation standpoint, AT&T trades at a forward price-to-sales ratio of 1.11, below the industry tally of 8.87.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have increased 0.4% to $2.32 over the past 60 days, while the same for 2027 have increased 0.4% to $2.54.
Image Source: Zacks Investment Research
AT&T currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AT&T se drží poblíž 52týdenního minima, ale dividenda 5,3 % vypadá podle firmy dobře krytá. Společnost čeká letos volný cash flow přes 18 miliard USD při nákladech na dividendu kolem 8 miliard USD.
AT&T (T +1.92%) isn't a stock that usually makes headlines. But lately it has been pulled into one of the market's hottest stories, SpaceX (SPCX 4.51%), and the result is a beaten-down share price and a mouth-watering dividend yield.
At about $21 as of this writing, just above its 52-week low of $19.89, AT&T's $1.11 annual dividend yields about 5.3%. Part of the reason the stock sits so low is a growing worry that SpaceX's satellite network could eventually eat into AT&T's business.
So is that fear justified? And with the yield this high, is the dividend safe? Those are the two questions that matter for income investors here.
Image source: Getty Images.
How real is the SpaceX threat? Capturing the concern weighing on the stock, Oppenheimer downgraded AT&T stock in June, pointing to SpaceX's Starlink satellites as a structural threat to the telecom's long-term broadband and wireless growth. SpaceX has been developing a direct-to-phone service, and it is reportedly plans to launch a Starlink mobile service for U.S. consumers.
That is worth taking seriously. A satellite network that can beam service straight to ordinary phones, with no cell towers required, could chip away at a traditional carrier over time.
But this threat could take years to morph into something meaningful, if it does at all.
Just how significant is the threat? Oppenheimer estimated that AT&T's fiber build could top out nearer 50 million homes rather than 60 million-plus management targets by 2030.
Those are meaningful figures, but they play out through 2030, not the next few quarters. They also sit against a business that is currently growing, not shrinking.
Here's what AT&T is actually doing right now. In the first quarter of 2026, revenue rose about 3% year over year, adjusted earnings per share climbed nearly 12%, and the company posted its best-ever first quarter for advanced connectivity internet net additions. Additionally, it ended the quarter with more than 37 million fiber locations and reaffirmed its target of 60 million by 2030 -- the very number Oppenheimer doubts it will reach. Far from being disrupted, AT&T's core businesses are among its brightest spots.
Is the yield safe? For income investors, this is the question that counts.
The good news is that the dividend looks well protected. AT&T expects to generate more than $18 billion in free cash flow this year, while its dividend costs about $8 billion. That is a payout of less than half of free cash flow -- comfortable coverage, even with the company investing heavily in its network and buying back stock. On top of the dividend, management plans about $8 billion in buybacks this year, another way it returns cash to shareholders. Measured against profit, the payout is just as comfortable: AT&T earned about $2.99 per share over the past year against a $1.11 dividend, well under half its earnings.
It's true that free cash flow dipped in the first quarter, to $2.5 billion from $3.1 billion a year earlier, as capital spending rose. That dip reflects investment in the very fiber and wireless network winning those customers, not a business in trouble. Management still expects capital spending of $23 billion to $24 billion for the year and free cash flow above $18 billion.
The valuation adds to the appeal.
AT&T trades at about 7 times trailing earnings and 9 times expected earnings -- a deep discount to the broader market, which sits in the low-to-mid 20s. That kind of multiple is normal for a no-growth telecom, yet AT&T is still growing, which makes the discount look overdone. For a profitable, cash-generative business, that is cheap.
Today's Change
(
1.92
%) $
0.40
Current Price
$
21.16
So, is AT&T stock oversold?
I think so. The concern is legitimate, and satellite-to-phone technology is worth watching. But it is a slow-moving, decade-long risk, and the market is arguably pricing it as if it were imminent, into a stock whose advanced connectivity internet business just posted a best-ever first quarter for net additions. For income investors who can tolerate a slow grower, a well-covered yield above 5% from a stock trading near a 52-week low looks more like an opportunity than a trap.
AT&T won't grow quickly, and I wouldn't expect much from the share price, but the dividend, at least, looks like it's on solid ground.
AT&T rozšířila 400G konektivitu do více než 40 amerických metropolí a dokončila akvizici fiber aktiv Lumen, která přidala 1,1 milionu fiber zákazníků a více než 4 miliony fiber lokalit. Současně potvrdila výhled na rok 2026.
Key Takeaways AT&T expanded 400G connectivity, added Lumen fiber assets and reaffirmed its 2026 outlook.T added 294,000 postpaid phone users as its wireless and fiber convergence strategy gained traction.T faces elevated debt and intense competition, while AI network monetization remains a long-term prospect. AT&T, Inc. (T - Free Report) stock plunged 27.5% over the past year compared with the Wireless National industry’s decline of 21.7%. The stock has underperformed compared to the Zacks Computer & Technology sector and the S&P 500’s growth during this period.
Image Source: Zacks Investment Research
The company has underperformed its peers like Verizon Communications Inc. (VZ - Free Report) and T-Mobile US, Inc. (TMUS - Free Report) over the past year. Shares of Verizon have dipped 0.5%, while TMUS stock has plummeted 25.3% during the same period.
Key Growth DriversAT&T expanded 400G wavelength connectivity to 40+ U.S. metros, enabling AI-ready, high-capacity enterprise networking. T’s 400G capability now covers 440,000 properties serving more than 2.3 million business tenants. The expansion has significantly boosted AT&T’s capability in the AI and enterprise networking space.
The company is benefiting from solid traction in the wireless vertical. It has added 294,000 postpaid phone subscribers during the quarter. Postpaid phone churn was 0.89%. The company is focused on increasing the number of households that subscribe to both AT&T wireless and broadband services, including AT&T Fiber and AT&T Internet Air. Its convergence strategy is paying off well, as evidenced by recent quarterly results. Around 42% of AT&T’s advanced home Internet users also subscribe to its wireless services. T recently introduced AT&T OneConnect. The product combines fiber and wireless into a single subscription. Growing adoption of such plans will deepen customer relationships and increase convergence.
AT&T continued to execute on its long-term connectivity strategy by strengthening its fiber footprint. During the first quarter, the company completed the Lumen fiber acquisition ahead of schedule. The buyout has added 1.1 million fiber customers and more than 4 million fiber locations. Along with these developments, AT&T continues to execute on its transformation initiatives, including AI-driven automation and digitalization, to support its target of $4 billion in annual cost savings by 2028.
The company has reaffirmed its guidance for 2026. It is targeting 3-4% adjusted EBITDA growth in 2026. Free cash flow is targeted at more than $18 billion in 2026, in excess of $19 billion in 2027 and in excess of $21 billion in 2028, alongside an adjusted earnings outlook of $2.25 to $2.35 per share for 2026. Given the highly competitive nature of the industry, this is a positive outlook.
Major Challenges for TThe U.S. wireless market remains highly saturated. The company faces strong competition from other players such as Verizon and T-Mobile. Verizon is also aggressively expanding its fiber footprint. It is also offering wireless and fiber bundled solutions to increase customer retention. Such initiatives could hinder AT&T’s fiber expansion and convergence strategy to some extent.
Amid intense competition, AT&T expects to invest $23-$24 billion annually through 2028 to expand fiber and maintain its wireless network. Sustaining such high capex for a few years may impact free cash flow growth and put pressure on margin at least in the near term. The company is also expanding its AI networking infrastructure, but AI monetization remains a long-term growth prospect, not an immediate revenue generator.
Net debt increased sequentially following the Lumen fiber acquisition. AT&T ended the first quarter with $11.96 billion of cash and cash equivalents and total debt of $138.41 billion. The time interest earned ratio has decreased to 4.8 from 5 in the fourth quarter of 2025. At the end of the first quarter, the company had a current ratio of 0.92 and a cash ratio of 0.24. It indicates the company may face challenges in meeting short-term debt obligations.
Estimate Revision Trend of TEarnings estimates for AT&T for 2026 and 2027 have remained unchanged over the past 60 days.
Image Source: Zacks Investment Research
Key Valuation Metric of TFrom a valuation standpoint, AT&T appears to be trading relatively cheaper compared to the industry and trading below its mean. Going by the price/earnings ratio, the company shares currently trade at 8.52 forward earnings, lower than 60.11 for the industry and the stock’s mean of 11.49.
Image Source: Zacks Investment Research
End NoteStrong fiber momentum and wireless customer additions are major growth catalysts. The convergence strategy is boosting customer retention. AI-ready network expansion supporting enterprise demand is a positive. However, stiff competition and elevated debt levels are major concerns for investors. Monetization of AI-ready infrastructure remains a long-term prospect. High capital investment to support infrastructure expansion may impact free cash flow growth to some extent. With a Zacks Rank #3 (Hold), AT&T appears to be treading in the middle of the road, and new investors could be better off if they trade with caution. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AT&T rozšiřuje Build-A-Plan o větší flexibilitu pro bezdrátové služby i domácí internet. Balíčky začínají na 70 USD měsíčně a umožňují přidat AT&T Fiber nebo Internet Air v jednom nákupu.
Key Takeaways T is expanding Build-A-Plan to offer more flexibility across wireless and home Internet services.AT&T customers can customize wireless and add Fiber or Internet Air in the same purchase process.AT&T's bundled packages start at $70 per month, helping customers manage costs and service choices. AT&T Inc. (T - Free Report) is aiming to extend its Build-A-Plan offering to give customers greater flexibility, personalization and value across wireless and home Internet services. The updated offering intends to deliver a more seamless and convenient experience for customers both at home and outside.
The enhanced Build-A-Plan allows customers to customize their wireless services to their needs and easily add home Internet options such as AT&T Fiber or AT&T Internet Air during the same purchase process. The plan offers greater control over service choices while helping customers manage costs, with bundled packages starting at $70 per month.
AT&T Fiber remains a key part of the initiative, offering high-speed Internet for households with growing connectivity needs. In areas where fiber is unavailable, AT&T Internet Air offers a dependable alternative through its wireless network, further strengthening the company’s customer-focused strategy.
How Are Competitors Performing?AT&T faces stiff competition from Verizon Communications, Inc. (VZ - Free Report) and T-Mobile, US, Inc. (TMUS - Free Report) . Verizon has strengthened its connectivity services by expanding its 5G network nationwide. The company continues to invest in infrastructure upgrades to deliver broader coverage and more stable network performance. This ongoing expansion positions Verizon to better support future technological advancements and digital innovation.
T-Mobile is improving connectivity by expanding its fixed wireless Internet services to reach more households. The company is focusing on enhancing network capacity to manage increasing data traffic. T-Mobile leverages its spectrum assets to improve network efficiency and strengthen overall service quality.
T’s Price Performance, Valuation & EstimatesAT&T shares have lost 27.8% over the past year compared with the industry’s decline of 23.5%.
Image Source: Zacks Investment Research
From a valuation standpoint, AT&T trades at a forward price-to-sales ratio of 1.08, below the industry tally of 1.5.
Image Source: Zacks Investment Research
Earnings estimates for both 2026 and 2027 remained static at $2.30 and $2.52, respectively.
Image Source: Zacks Investment Research
AT&T currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AT&T rozšiřuje Build-A-Plan o možnost snadno přidat domácí internet AT&T Fiber nebo AT&T Internet Air k upravitelnému bezdrátovému tarifu. Firma tím chce nabídnout více kontroly nad cenou i službami v jednom procesu.
Build-A-Plan empowers customers to adjust their wireless plan month to month based on their budget and needs—and now makes it easier to add America's Best and Fastest Home Internet1 for an awesome price.
Key Takeaways:
More Choice: Build-A-PlanSM customers can personalize their wireless plan to match their needs and their budget and easily add the best and fastest home internet in the process. More Control: The plan allows for flexibility, giving customers the option to add or remove wireless services at any time depending on their needs. More Value: More than half of customers now want the choice to personalize their wireless and have the ability to add broadband.2 With the improved Build-A-Plan experience, customers can now do that and save when they add America's Best and Fastest Home Internet, AT&T Fiber®, or AT&T Internet Air™ starting at $70/mo.3 , /PRNewswire/ -- What's new: On July 7, AT&T is expanding Build-A-Plan, giving customers the ability to customize their unlimited wireless plan and making it easier to add America's Best and Fastest Home Internet—all in one simple process. This builds on our commitment to keep customers connected at home and on the go, reinforcing AT&T's leadership in converged experience. And no other provider at our scale delivers the combined strength of wireless and home internet like AT&T.
Why it matters: Customers want seamless connectivity from a single provider. With Build-A-Plan, we are giving customers a simple, straightforward way to easily buy wireless and add AT&T home internet—while maintaining control over their budget.
More details: AT&T continues to lead in converged connectivity. We were first to offer a single subscription for wireless and home internet at one clear, all-included monthly price when we launched AT&T OneConnect. Now, Build-A-Plan delivers a customized option—letting customers tailor their wireless plan and easily add super-fast and reliable home internet, for a great price. This is our latest effort to simplify the connectivity experience, designed to flex around how people actually live.
Why AT&T Fiber: AT&T Fiber delivers America's Best and Fastest Home Internet—and customers notice. Fiber customers report the highest satisfaction, and those who bundle wireless and home internet see even greater value. With the nation's largest fiber network,4 AT&T is uniquely positioned to deliver a premium, converged experience.
Where fiber isn't available, AT&T Internet Air5 provides fast, reliable home internet powered by America's largest wireless network6—so customers stay connected anywhere they are.
Quotable: "Customers told us they want connectivity that works together seamlessly and the flexibility to choose what fits their lives," said Jenifer Robertson, executive vice president and general manager, AT&T Consumer. "With Build-A-Plan, we've already put customers in control of their wireless experience. Now, by making it easier for them to add AT&T Fiber or AT&T Internet Air, we're giving them even more opportunity to stay connected."
When the connection matters, it has to be AT&T. Start saving Tuesday, July 7: https://www.att.com/plans/build-a-plan/
FAQ
What is Build-A-Plan?
Build-A-Plan is AT&T's customizable connectivity experience that allows customers to personalize and adjust their plan month to month based on their needs and budget.
What is AT&T Fiber?
Fiber optic internet uses thin glass cables and light to send data, allowing for hyper fast speeds.
There are several key benefits to choosing fiber internet:
Fast speeds: Fiber internet can reach speeds that makes it ideal for streaming HD videos, online gaming, and using many devices at once. Equal upload and download speeds: Unlike most other internet types, fiber gives you the same fast speed whether you're uploading or downloading. This is great for video calls, sharing large files, and creating content online. Reliable connectivity: Fiber internet offers consistent speeds even during busy times when many people are online. This means fewer interruptions and a smoother online experience. Fiber optic internet offers fast, reliable, and consistent service, making it one of the best choices for anyone who wants a top-quality home internet connection.
What is AT&T Internet Air?
AT&T Internet Air is our wireless home internet delivered over the reliable AT&T 5G network.7
What is the difference between AT&T OneConnect and Build-A-Plan?
Both offer a simple way for people to get all of their connectivity from one provider.
AT&T OneConnect is a single subscription that combines fast, reliable home internet and wireless together across as many devices as needed,8 with one simple subscription and one all-in price.
Build-A-Plan is a plan designed to give customers more choice and control, with the ability to customize their wireless plan and easily add home internet at a great price, and adjust the wireless plan month to month as needed.
1AT&T Fiber, based on analysis by Ookla® of Speedtest Intelligence® data, 2H 2025. Limited availability.
2Build-A-Plan Concept Research, AT&T Brand Strategy, Dec 2025 – Jan 2026 (n=6,008 US wireless Consumers)
3Plus taxes & fees. $70/mo. for Build-A-Plan wireless ($15/mo + $20/mo unlimited data w/ SD streaming) and Internet 300 or Internet Air ($35/mo with elig wireless and Autopay & Paperless bill). Limit one line. Req's unlocked eSIM capable phone. Terms & restr's apply.
4Based on the number of fiber to the home households using publicly available data.
5In rare cases, if your usage is contributing to congestion on the network, AT&T will greatly reduce your speed for a min. of 30 min.
6Compares cellular networks, excluding satellite.
75G coverage not available in all areas
8Maximum number of wireless lines varies by plan. Limited to bring your own eSIM compatible, unlocked smartphones, tablets, and wearables.
About AT&T
We help more than 100 million U.S. families, friends and neighbors, plus nearly 2.5 million businesses, connect to greater possibility. From the first phone call 150 years ago to our 5G wireless and multi-gig internet offerings today, we @ATT innovate to improve lives. For more information about AT&T Inc. (NYSE:T), please visit us at about.att.com. Investors can learn more at investors.att.com.
The board of directors today declared a quarterly dividend of $0.2775 per share on the company's common shares, payable August 3, 2026.
Key Takeaways:
The board of directors declared a quarterly dividend of $0.2775 per share on the company's common shares. Dividends on common stock as well as Series A and Series C preferred stock are payable on August 3, 2026. , /PRNewswire/ -- The board of directors of AT&T (NYSE:T) today declared a quarterly dividend of $0.2775 per share on the company's common shares.
The board of directors also declared quarterly dividends on the company's 5.000% Perpetual Preferred Stock, Series A and the company's 4.750% Perpetual Preferred Stock, Series C. The Series A dividend is $312.50 per preferred share, or $0.3125 per depositary share. The Series C dividend is $296.875 per preferred share, or $0.296875 per depositary share.
Dividends on the common stock and Series A and Series C preferred stock are payable on August 3, 2026, to stockholders of record of the respective shares at the close of business on July 10, 2026.
To automatically receive AT&T financial news by email, please subscribe to email alerts.
About AT&T
We help more than 100 million U.S. families, friends and neighbors, plus nearly 2.5 million businesses, connect to greater possibility. From the first phone call 150 years ago to our 5G wireless and multi-gig internet offerings today, we @ATT innovate to improve lives. For more information about AT&T Inc. (NYSE:T), please visit us at about.att.com. Investors can learn more at investors.att.com.
Kalifornský regulátor vyzval soud i FCC, aby zamítly žádost AT&T o ukončení nabídky tradiční měděné telefonní služby novým zákazníkům. Spor se týká povinnosti udržovat základní službu na staré měděné síti.
The AT&T is displayed on the facade of one of its branches in Mexico City, Mexico September 10, 2025. REUTERS/Henry Romero Purchase Licensing Rights, opens new tab
WASHINGTON, June 18 (Reuters) - A California agency said on Thursday it has asked a U.S. court and the Federal Communications Commission to reject AT&T's (T.N), opens new tab request to stop offering traditional copper wire phone service to new customers.
The California Public Utilities Commission said AT&T was trying to get out of its obligations as a carrier of last resort and to ensure basic service.
The Reuters Inside Track newsletter is your essential guide during the World Cup. Sign up here.
The state agency said in a court filing its rules "are explicitly technology-neutral; it does not matter whether the carrier uses copper wire, wireless, Voice over Internet Protocol, or any other type of technology, so long as it meets the standard for 'basic service.'"
California requires the U.S. wireless carrier to spend $1 billion annually to maintain a century-old telephone network that few use, AT&T said, adding the network now serves just 3% of households in AT&T’s California territory.
"Although AT&T asserts that every customer affected by its
proposed discontinuances will have access to replacement services, it does not adequately demonstrate that to be true," the CPUC said.
AT&T declined to comment on the CPUC filings.
AT&T asked the FCC for permission to discontinue traditional phone service in parts of California where it has faster, more reliable service available. It also filed a petition with the FCC to declare that federal standards preempt California’s rules that effectively require AT&T to power, repair and sell traditional phone service, even after the FCC has authorized the service to be phased out.
California said AT&T wants to discontinue residential and business telephone service provided over legacy copper-based telephone network landlines across portions of the 360 wire centers in California effective in June 2027. AT&T says the 360 wire centers affect approximately 184,000 residential customers and 15,000 business customers.
The state said it is currently considering updates to California’s Carrier of Last Resort rules but added the goal of modernized networks cannot "override our obligation to protect California’s most vulnerable citizens, many of whom still rely on the functionality that AT&T’s wireline network provides."
Reporting by David Shepardson, Editing by Franklin Paul and David Gregorio
Our Standards: The Thomson Reuters Trust Principles., opens new tab
