Tilray Brands, Inc. (TLRY - Free Report) closed the most recent trading day at $5.03, moving +1.82% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 0.3%. Meanwhile, the Dow experienced a drop of 0.16%, and the technology-dominated Nasdaq saw an increase of 0.86%.
The company's stock has dropped by 11.15% in the past month, falling short of the Medical sector's gain of 3.12% and the S&P 500's gain of 1.92%.
The investment community will be paying close attention to the earnings performance of Tilray Brands, Inc. in its upcoming release. The company is forecasted to report an EPS of -$0.01, showcasing a 105% downward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $268.17 million, indicating a 19.43% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of -$0.58 per share and a revenue of $885.3 million, representing changes of -680% and +7.79%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Tilray Brands, Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Tilray Brands, Inc. currently has a Zacks Rank of #3 (Hold).
The Medical - Products industry is part of the Medical sector. With its current Zacks Industry Rank of 147, this industry ranks in the bottom 40% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
NEUMÜNSTER, Germany, June 10, 2026 (GLOBE NEWSWIRE) -- Tilray Medical Germany, a division of Tilray Brands, Inc. (NASDAQ: TLRY; TSX: TLRY) and a global leader in medical cannabis, today announced the launch of ARX™, its first premium medical cannabis brand developed and cultivated in Germany. ARX will make its official debut at Mary Jane Berlin 2026, where attendees can visit Tilray Medical at Hall 20, Stand B21 to learn more.
The introduction of ARX marks a significant step forward in the quality of medical cannabis available in Germany and reflects more than two years of development at the Aphria RX facility in Neumünster. Built through disciplined cultivation practices and deep operational expertise, ARX is grounded in the belief that patients and healthcare professionals require consistent, high-quality products.
Built on this foundation, ARX combines genetics sourced from the Broken Coast renowned library with cultivation expertise developed through years of premium cannabis production in Canada and executed with German precision. Produced and manufactured at Tilray Medical’s Aphria RX facility, the brand is supported by the company’s established German infrastructure, including national distribution through CC Pharma and 14U Pharma.
Rajnish Ohri, President, International, Tilray Brands, stated: “The launch of ARX marks an important milestone for Tilray in Germany as our first premium medical cannabis brand developed and cultivated in-market. Germany continues to lead the evolution of medical cannabis in Europe, and we are committed to supporting that growth with locally produced, high-quality products that meet the needs of patients and healthcare professionals. With ARX, we are strengthening our position in this critical market while advancing consistency, supply reliability, and long-term patient access.”
Raising the Standard of Commitment to Patients in Germany
ARX begins with a strong foundation. All strains are sourced exclusively from Broken Coast’s genetic library. Since 2014, Broken Coast has been recognized as one of Canada’s original Licensed Producers of medical cannabis and remains a leading producer of premium cannabis products, with deep expertise in strain selection and phenotyping.
ARX is produced under strict EU-GMP standards at the Aphria RX facility in Neumünster. Drawing on Broken Coast’s cultivation expertise, the production process is designed to support consistency and product integrity. Individual, climate-controlled grow rooms allow each cultivar to be developed under tailored conditions, while continuous monitoring and real-time adjustments help maintain quality throughout cultivation. This approach reflects a core belief: patients deserve consistent, high-quality products. Fully integrated, in-house operations reduce handling and delays, helping support product consistency without the need for irradiation.
Patients and healthcare professionals can learn more by visiting Tilray Medical at Hall 20, Stand B21 at Mary Jane Berlin 2026 or by speaking with participating pharmacies nationwide. To learn more about ARX please visit, arxcannabis.de
About Tilray Medical
Tilray Medical is dedicated to transforming lives and fostering dignity for patients in need through safe and reliable access to a global portfolio of medical cannabis brands, including Tilray Medical, Good Supply, Redecan, ARX, and Broken Coast. Tilray grew from being one of the first companies to become an approved licensed producer of medical cannabis in Canada to building the first GMP-certified cannabis production facilities in Europe, first in Portugal and later in Germany. Today, Tilray Medical is one of the largest suppliers of medical cannabis to patients, physicians, hospitals, pharmacies, researchers, and governments, in 20 countries and across five continents.
For more information on Tilray Medical, visit Tilray Medical Europe, Tilray Medical Canada, and Tilray Medical Australia-New Zealand.
About Tilray Brands
Tilray Brands, Inc. (“Tilray”) (Nasdaq: TLRY; TSX: TLRY), is a leading global lifestyle and consumer packaged goods company with operations in Canada, the United States, Europe, Australia, and Latin America that is leading as a transformative force at the nexus of cannabis, beverage, wellness, and entertainment, elevating lives through moments of connection. Tilray’s mission is to be a leading premium lifestyle company with a house of brands and innovative products that inspire joy and create memorable experiences. Tilray’s unprecedented platform supports over 40 brands in over 20 countries, including comprehensive cannabis offerings, hemp-based foods, and craft beverages.
For more information on how we are elevating lives through moments of connection, visit Tilray.com and follow @Tilray on all social platforms.
Forward-Looking Statements
Certain statements in this communication that are not historical facts constitute forward-looking information or forward-looking statements (together, “forward-looking statements”) under Canadian securities laws and within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are intended to be subject to the “safe harbor” created by those sections and other applicable laws. Forward-looking statements can be identified by words such as “forecast,” “future,” “should,” “could,” “enable,” “potential,” “contemplate,” “believe,” “anticipate,” “estimate,” “plan,” “expect,” “intend,” “may,” “project,” “will,” “would” and the negative of these terms or similar expressions, although not all forward-looking statements contain these identifying words. Certain material factors, estimates, goals, projections, or assumptions were used in drawing the conclusions contained in the forward-looking statements throughout this communication. Forward-looking statements include statements regarding our intentions, beliefs, projections, outlook, analyses, or current expectations concerning, among other things, the Company’s ability to commercialize new and innovative products worldwide. Many factors could cause actual results, performance, or achievement to be materially different from any forward-looking statements, and other risks and uncertainties not presently known to the Company or that the Company deems immaterial could also cause actual results or events to differ materially from those expressed in the forward-looking statements contained herein. Forward‑looking statements in this communication also include statements regarding the Company’s market positioning, ability to meet evolving medical cannabis demand in regulated pharmaceutical environments, and expectations concerning the effectiveness of strategic partnerships, including the Company’s collaboration with Molteni to support the development of the Italian medical cannabis market. For a more detailed discussion of these risks and other factors, see the most recently filed annual information form of Tilray and the Annual Report on Form 10-K (and other periodic reports filed with the SEC) of Tilray made with the SEC and available on EDGAR. The forward-looking statements included in this communication are made as of the date of this communication and the Company does not undertake any obligation to publicly update such forward-looking statements to reflect new information, subsequent events, or otherwise unless required by applicable securities laws.
ELLON, Scotland, June 10, 2026 (GLOBE NEWSWIRE) -- Scottish Brewer, BrewDog, by Tilray Brands, Inc. (NASDAQ: TLRY; TSX: TLRY), is celebrating the highly anticipated U.K. launch of 24 Tilray-owned American craft beers, bringing some of the most iconic and recognizable U.S. craft brands across the United Kingdom beginning this week. Launching exclusively through BrewDog initially, the collaboration marks the first step in a broader strategy to expand Tilray’s American craft beer portfolio across additional retail, grocery, and on-trade channels throughout the U.K. and Europe over time.
As a long-time champion of great craft beer, BrewDog will serve as the gateway for U.K. consumers to discover these authentic American craft beer styles, fresh from the U.S., primarily available on draught in all BrewDog bars and direct to consumers through Brewdog.com. This introduction signifies the expansion of BrewDog’s offering beyond its own-brewed portfolio, with the ambition to roll out the craft brands further into U.K. grocery and on-trade, eventually brewing at BrewDog’s home of craft beer, in Ellon.
Rajnish Ohri, President, International, Tilray Brands, stated: “Launching Tilray’s American craft beer brands across BrewDog’s U.K. platform is a major milestone in our global beverage strategy. We are bringing some of the most widely known American craft beers in the U.S. to new consumers internationally through a powerful retail and distribution platform. This is just the beginning. We see significant long-term opportunity to continue expanding our craft beverage portfolio globally across beer, spirits, non-alcoholic beverages, and ready-to-drink categories as we build a scaled international beverage business.”
Lauren Carrol, Chief Commercial Officer, BrewDog adds, “BrewDog has always championed great craft beer and bold innovation. Bringing these authentic American craft brands to the U.K. expands choice for consumers, introduces exciting new beer styles, and reinforces BrewDog’s role at the centre of craft beer culture. With an established distribution network and strong consumer reach, BrewDog is well positioned to scale premium American craft beer brands across the U.K. We’ve carefully curated this portfolio to deliver the brands, styles, and flavour profiles we believe will resonate most with U.K. drinkers — from engaged craft beer fans to consumers discovering the category for the first time. This is what we do best – delivering quality liquid to people that love beer, and with the support of Tilray we’re excited to establish a place for great-tasting authentic American craft beer in the U.K. market.”
Arriving directly from U.S. breweries on Thursday 11th June, in time for an epic summer of sport, the launch of these fresh, authentic, brews, curated by BrewDog, marks the first time many of them will be available to the U.K. market1. The line-up includes:
Sweetwater Brewing Company – a collection of six fruity IPAs and American-style lagers, brewed in Atlanta
420 Extra Pale Ale (5.7% ABV)Atlanta’s OG IPA (6.3% ABV)G13 Hazy IPA (6% ABV)American Lager (4.5% ABV)Ice Cold Phatty – High Gravity Lager (7% ABV)Goin Coastal – Pineapple IPA (6.1% ABV) 10 Barrel Brewing Co. – four American IPAs, a Double IPA and Japanese-Style Lager from Oregon
Always Down Double IPA (9% ABV)Apocalypse West Coast IPA (6.8% ABV)Cloud Mentality Hazy IPA (7% ABV)Money Cat Japanese-Style Lager (4.8% ABV)Camp Colide Northwest IPA (5% ABV)Juicy Drama Imperial IPA (9% ABV) Montauk Brewing Co. – two high-quality approachable craft ales, from a premium lifestyle craft beer brand, established in Montauk, New York
Wave Chaser IPA (6.4% ABV)Summer Ale (5.5% ABV) Shock Top – a refreshing Belgian-style wheat beer offering an escape from the mundane
Belgian White Wheat Beer (5.2% ABV) Terrapin Beer Co. – two high-octave Double IPAs and a Czech-style Pils from Georgia
Imperial Hopsecutioner Killer Double IPA (9.8% ABV)Imperial Luau Krunkles – Passion Fruit – Orange – Guava Double IPA (9% ABV)Sound Czech – Czech-style Pilsner (5.2% ABV) Blue Point Brewing Co. – welcomes its flagship Toasted Lager and Summer Ale, also from New York
Summer Ale (4.5% ABV)Toasted Lager (5.5% ABV) Green Flash Brewing Co. – the pioneering benchmark for West Coast IPA
West Coast IPA (7% ABV) Alpine Beer Company – this small-town Californian brewery introduces two 7% ABV IPAs
Nelson IPA (7% ABV)Duet IPA (7% ABV) Runner’s High Brewing Company – Golden Wheat – a naturally crafted non-alcoholic brew
Golden Wheat (<0.5% ABV) Initial research shows the appeal for authentic craft beer fresh from the U.S. is there. A BrewDog study identified over 50% of beer drinkers find the new brands either very appealing or somewhat appealing, particularly for drinkers aged 18-342, with the new styles delivering even higher levels of appeal with existing craft beer drinkers3.
To celebrate the launch, BrewDog bars across the U.K. will serve curated U.S. Beer Flights featuring four 1/3 pint pours for £12.95, giving drinkers the chance to explore some of America’s well-known craft beer styles in one experience. Supported by high-energy in-bar activations tied to the summer’s biggest sporting moments, including the World Cup and Independence Day celebrations, BrewDog is set to become the destination for fans looking to discover authentic American craft beer culture this summer.
About BrewDog
BrewDog has always had one mission: making people as passionate about great beer as we are.
From iconic classics like Punk IPA, to crowd-pleasers like Lost Lager and Wingman, to boundary-pushing innovations like NanoDog, BrewDog has been brewing bold, distinctive beers since 2007.
Born in Scotland and built by a passionate community of beer lovers, BrewDog has grown into one of the world’s most recognizable craft beer brands, with a global presence spanning breweries, bars and distribution across multiple international markets. BrewDog’s future will continue to be shaped by the three things that matter most: People, Planet and Beer.
For more information, visit www.brewdog.com or follow @BrewDog on social media.
About Tilray Brands
Tilray Brands, Inc. (“Tilray”) (Nasdaq: TLRY; TSX: TLRY), is a leading global lifestyle and consumer packaged goods company with operations in Canada, the United States, Europe, Australia and Latin America that is leading as a transformative force at the nexus of cannabis, beverage, wellness, and entertainment elevating lives through moments of connection. Tilray’s mission is to be a leading premium lifestyle company with a house of brands and innovative products that inspire joy and create memorable experiences. Tilray’s unprecedented platform supports over 40 brands in over 20 countries, including comprehensive cannabis offerings, hemp-based foods and craft beverages.
For more information on how we are elevating lives through moments of connection, visit
Tilray.com and follow @Tilray on all social platforms.
Forward-Looking Statements
Certain statements in this communication that are not historical facts constitute forward-looking information or forward-looking statements (together, “forward-looking statements”) under Canadian and U.S. securities laws and within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are intended to be subject to the “safe harbor” created by those sections and other applicable laws. Forward-looking statements can be identified by words such as “forecast,” “future,” “should,” “could,” “enable,” “potential,” “contemplate,” “believe,” “anticipate,” “estimate,” “plan,” “expect,” “intend,” “may,” “project,” “will,” “would” and the negative of these terms or similar expressions, although not all forward-looking statements contain these identifying words. Certain material factors, estimates, goals, projections, or assumptions were used in drawing the conclusions contained in the forward-looking statements throughout this communication. Forward-looking statements include statements regarding our intentions, beliefs, projections, outlook, analyses, or current expectations. Many factors could cause actual results, performance, or achievement to be materially different from any forward-looking statements, and other risks and uncertainties not presently known to the Company or that the Company deems immaterial could also cause actual results or events to differ materially from those expressed in the forward-looking statements contained herein. For a more detailed discussion of these risks and other factors, see the most recently filed annual information form of Tilray and the Annual Report on Form 10-K (and other periodic reports filed with the SEC) of Tilray made with the SEC and available on EDGAR. The forward-looking statements included in this communication are made as of the date of this communication and the Company does not undertake any obligation to publicly update such forward-looking statements to reflect new information, subsequent events, or otherwise unless required by applicable securities laws.
1 Green Flash and Shock Top have previously had minimal distribution through U.K. wholesalers
2 VYPR BESPOKE POLL – BEER DRINKERS ONLY (722) - ‘Do you find this beer brand appealing’, visual above provided
3 VYPR BESPOKE POLL – BEER DRINKERS ONLY (722) - ‘Do you find this beer brand appealing’, visual above provided - 71% for Sweetwater and Montauk, 79% for Shocktop, 83% for Terrapin and 85% for Bluepoint
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/5507d563-c9de-4f28-9683-17f0a8359eb9
ELLON, Scotland, June 11, 2026 (GLOBE NEWSWIRE) -- BrewDog, one of the U.K.’s leading and most recognizable craft beer brands, part of Tilray Brands, Inc. (NASDAQ: TLRY; TSX: TLRY), is rolling pint prices back to approximately 1998 levels across its Scottish bar estate for a 72-hour bank holiday weekend, while also launching a limited-time e-commerce bundle to give fans multiple ways to celebrate the Scottish national team’s return to the international stage.
For one weekend only, fans can enjoy Headliner beers for £2 a pint, a nod to the last time Scotland competed at this level and celebrate being part of the worldwide tournament.
Lauren Carrol, Chief Commercial Officer, BrewDog, said, “It’s been a long wait. Scotland stepping back onto the international stage is a proper moment, and we wanted to mark it in true BrewDog style, no complicated mechanics, just great BrewDog beer at 1998 prices and a reason to get everyone together.”
The in-bar offer runs from Sunday June 14 through Tuesday June 16 and is available on a walk-in basis across BrewDog’s Scottish locations, including:
BrewDog DogTap EllonBrewDog CastlegateBrewDog Merchant CityBrewDog Edinburgh Lothian RoadBrewDog DogHouse Edinburgh The promotion applies to BrewDog’s Headliner range, with pricing aligned to the average cost of a pint in Scotland in 1998.
Across the weekend, select locations will also feature guest taps from Tilray’s U.S. craft beer portfolio, introducing additional variety and reinforcing BrewDog’s connection to a broader global beer network.
Alongside the bar activation, BrewDog is launching a limited-time online offer designed for at-home occasions. The “Back Since ’98” Match Day Bundle features 20 cans for £19.98 and is available from 12:00 a.m. on June 12 through 11:59 p.m. on June 15 via BrewDog.com: https://brewdog.com/products/back-since-98
The bundle includes:
4 x Hazy Jane4 x Wingman4 x Juice Shack4 x Cold Beer4 x Lost Lager BrewDog is also introducing limited-edition Tartan Army-inspired cans, available online:
https://brewdog.com/products/scotland-punk-ipa
The Scotland-focused activation forms part of BrewDog’s wider ‘Underdog’ summer football campaign across the U.K., spanning retail, bars and e-commerce, with local executions designed to drive footfall and create standout fan moments.
The promotion is available for a limited time across participating BrewDog bars in Scotland and via BrewDog.com. BrewDog encourages responsible consumption. Terms and conditions apply.
About BrewDog
BrewDog has always had one mission: making people as passionate about great beer as we are.
From iconic classics like Punk IPA, to crowd-pleasers like Lost Lager and Wingman, to boundary-pushing innovations like NanoDog, BrewDog has been brewing bold, distinctive beers since 2007.
Born in Scotland and built by a passionate community of beer lovers, BrewDog has grown into one of the world’s most recognizable craft beer brands, with a global presence spanning breweries, bars and distribution across multiple international markets.
BrewDog’s future will continue to be shaped by the three things that matter most: People, Planet and Beer.
For more information, visit www.brewdog.com or follow @BrewDog on social media.
About Tilray Brands
Tilray Brands, Inc. (“Tilray”) (Nasdaq: TLRY; TSX: TLRY), is a leading global lifestyle and consumer packaged goods company with operations in Canada, the United States, Europe, Australia and Latin America that is leading as a transformative force at the nexus of cannabis, beverage, wellness, and entertainment elevating lives through moments of connection. Tilray’s mission is to be a leading premium lifestyle company with a house of brands and innovative products that inspire joy and create memorable experiences. Tilray’s unprecedented platform supports over 40 brands in over 20 countries, including comprehensive cannabis offerings, hemp-based foods and craft beverages.
For more information on how we are elevating lives through moments of connection, visit Tilray.com and follow @Tilray on all social platforms.
Forward-Looking Statements
Certain statements in this communication that are not historical facts constitute forward-looking information or forward-looking statements (together, “forward-looking statements”) under Canadian and U.S. securities laws and within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are intended to be subject to the “safe harbor” created by those sections and other applicable laws. Forward-looking statements can be identified by words such as “forecast,” “future,” “should,” “could,” “enable,” “potential,” “contemplate,” “believe,” “anticipate,” “estimate,” “plan,” “expect,” “intend,” “may,” “project,” “will,” “would” and the negative of these terms or similar expressions, although not all forward-looking statements contain these identifying words. Certain material factors, estimates, goals, projections, or assumptions were used in drawing the conclusions contained in the forward-looking statements throughout this communication. Forward-looking statements include statements regarding our intentions, beliefs, projections, outlook, analyses, or current expectations. Many factors could cause actual results, performance, or achievement to be materially different from any forward-looking statements, and other risks and uncertainties not presently known to the Company or that the Company deems immaterial could also cause actual results or events to differ materially from those expressed in the forward-looking statements contained herein. For a more detailed discussion of these risks and other factors, see the most recently filed annual information form of Tilray and the Annual Report on Form 10-K (and other periodic reports filed with the SEC) of Tilray made with the SEC and available on EDGAR. The forward-looking statements included in this communication are made as of the date of this communication and the Company does not undertake any obligation to publicly update such forward-looking statements to reflect new information, subsequent events, or otherwise unless required by applicable securities laws.
Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/66f29885-bdbb-4b4c-98c5-a51e8a0c3f71
https://www.globenewswire.com/NewsRoom/AttachmentNg/f213c198-214f-40ef-9b1b-787ab256bdc9
Tilray operates primarily as a cannabis wholesaler in Canada and Europe. Trulieve, one of the largest multistate cannabis operators in the U.S., is about to start trading on the New York Stock Exchange.
At GTC Taipei, NVIDIA introduced the RTX Spark Superchip, a platform capable of delivering up to 1 petaflop of AI performance while bringing the company’s CUDA and RTX ecosystem to Windows PCs.
Arm Momentum Continues“NVIDIA’s entry into the AI PC market has the potential to reshape what has become a relatively mature PC industry by creating a new category of local AI inference machines,” the analysts wrote.
Why NVIDIA May Be DifferentCounterpoint argued that RTX Spark could stand apart from existing Arm-based PCs because it combines a high-performance GPU, unified memory architecture, and direct compatibility with NVIDIA’s widely used AI software stack.
The firm said the platform could become one of the most compelling systems for running large language models, AI agents, and generative AI applications directly on a PC.
NVIDIA’s extensive CUDA developer ecosystem and links to its broader AI infrastructure portfolio could also help reduce software bottlenecks and speed adoption.
Key Challenges RemainDespite the opportunity, Counterpoint said NVIDIA still must prove that Windows on Arm software compatibility is mature enough for broad adoption.
Pricing could also be a hurdle. The firm noted that high-performance AI hardware typically comes with higher costs, making market positioning critical.
Counterpoint added that widespread adoption will ultimately depend on whether local AI inference becomes a mainstream consumer use case rather than remaining limited to developers and AI professionals.
The report was authored by Counterpoint Research analysts Minsoo Kang and David Naranjo and published on Friday.
NVDA Price Action: NVIDIA shares were up 0.61% at $206.11 during premarket trading on Friday, according to Benzinga Pro data.
Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
Nvidia Corporation remains a compelling buy as new growth catalysts and robust Q1 results reinforce the bullish thesis despite recent share price weakness. NVDA's Q1 revenue surged 85% Y/Y to $81.62B, with strong guidance, an $80B buyback, and a dividend hike signaling enduring growth momentum. Expansion into AI CPUs, PC superchips, and deepening partnerships with Apple, Microsoft, and SK hynix open significant new addressable markets for NVDA.
Key Takeaways NVIDIA is expanding beyond GPUs with Vera, a CPU built for agentic AI and next-gen AI factories.NVIDIA aims to combine CPUs, GPUs, networking and software to boost AI workload efficiency.NVDA's data center revenues surged 92% YoY to $75.25B in Q1'27, mainly driven by AI-led demand. NVIDIA Corporation (NVDA - Free Report) is no longer focused solely on graphics processing units (GPUs). The company is making a bigger push into the central processing units (CPU) market as it looks to capture a larger share of the rapidly growing artificial intelligence (AI) infrastructure industry. Its latest move is the introduction of the Vera CPU, a processor designed specifically for agentic AI and next-generation AI factories.
NVIDIA’s CPU strategy is built around combining CPUs, GPUs, networking and software into a single integrated platform. This approach differs from traditional x86 vendors that mainly sell CPUs. By integrating Vera with its Blackwell and future Rubin AI systems, NVIDIA aims to improve performance, reduce bottlenecks and increase efficiency for AI workloads.
The opportunity is significant. NVIDIA generated a record $75.25 billion in data center revenues in the first quarter of fiscal 2027, up 92% year over year. Management believes that agentic AI, which requires massive computing power for reasoning and decision-making tasks, could create a new wave of CPU demand. The company has already stated that AI-driven workloads represent an important growth opportunity for its CPU business.
However, challenging established x86 leaders will not be easy. The server CPU market remains dominated by Intel Corporation (INTC - Free Report) and Advanced Micro Devices, Inc. (AMD - Free Report) , both of which have decades of experience and deep customer relationships. AMD’s EPYC processors continue gaining market share, while Intel remains a major force in enterprise computing.
Still, NVIDIA’s expanding AI ecosystem and platform-first strategy could help it carve out a meaningful position in the CPU market over the long term. The strategy is likely to drive further momentum in data center revenues. The Zacks Consensus Estimate for fiscal 2027 data center revenues is currently pegged at $363.78 billion, indicating a year-over-year increase of approximately 88%.
Intel and AMD Remain NVDA’s Key Rivals in CPU MarketWhile NVIDIA is expanding its CPU ambitions, Intel and Advanced Micro Devices remain its biggest competitors in the server processor market.
Intel continues to hold a large installed base across enterprise data centers worldwide. The company’s data center and AI segment revenues rose 22% year over year to $5.05 billion in the first quarter of 2026, supported by strong demand for Xeon server CPUs for AI workloads, higher ASIC sales and new long-term customer deals with leading firms like Google.
Intel is also integrating AI capabilities into its CPUs to defend its market position. Its long-standing relationships with enterprises and cloud providers give it an advantage, as customers often prefer proven platforms for mission-critical workloads.
Advanced Micro Devices has emerged as a stronger challenger in recent years. The company’s data center segment revenues increased 57% year over year to $5.78 billion in the first quarter of 2026, driven by robust demand for EPYC server processors.
Advanced Micro Devices has steadily gained market share from Intel by offering competitive performance and energy efficiency. The company is also pairing its CPUs with Instinct AI accelerators to provide a broader AI computing platform.
NVIDIA’s Price Performance, Valuation and EstimatesShares of NVIDIA have rallied around 41.5% over the past year compared with the Zacks Computer and Technology sector’s gain of 38.7%.
NVIDIA One-Year Price Return Performance
Image Source: Zacks Investment Research
From a valuation standpoint, NVDA trades at a forward price-to-earnings ratio of 19.98, below the sector’s average of 24.01.
NVIDIA Forward 12-Month P/E Ratio
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for NVIDIA’s fiscal 2027 and 2028 earnings implies a year-over-year increase of approximately 87% and 34.8%, respectively. Estimates for fiscal 2027 and 2028 have been revised upward over the past 30 days.
Image Source: Zacks Investment Research
NVIDIA currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
It hasn’t been all too clean a breakout for shares of AI chip giant Nvidia (NASDAQ:NVDA | NVDA Price Prediction), which is still down close to 13% after tumbling off its mid-May highs. Indeed, it seems like the company can do everything right and still get rewarded with a reaction that’s relatively muted compared to the rest of the semiconductor scene.
Even if some think that shares of Nvidia have run into a bit of a ceiling just shy of the $6 trillion market cap mark, I still think there are a lot of reasons it might make sense to give the GPU titan the benefit of the doubt.
Of course, the bears, including the likes of Michael Burry of The Big Short fame, also have compelling bear points. But, at the end of the day, it’s up to investors to consider the points from both camps before making a decision on a stock that may very well be among the most puzzling of the Magnificent Seven for more reasons than one.
In this piece, we’ll run through three reasons why Nvidia stock might still be worth keeping on the radar, even if it seems like any further appreciation will be more of a slog.
The stock is starting to look ridiculously cheap One of the top reasons for interested buyers has to be the valuation. The company is backing up its appreciation with earnings growth. And until that changes or the stock starts getting going again, shares are bound to stay cheap-looking. But just because the price-to-earnings (P/E) multiple is low at 31.3 times or just 22.8 times forward P/E does not mean shares are actually an undervalued bargain hiding in plain sight at the very top of the market.
Of course, it depends on whether demand for AI and the hardware that goes along with it will still stay strong. At this juncture, it’s looking like AI demand is only getting stronger. And as Nvidia readies for the Vera Rubin age while getting into the PC superchip market with RTX Spark, an argument could be made that the off-the-charts growth numbers aren’t about to reverse course, but continue higher.
Based on the market cap, Nvidia looks like another semiconductor stock in a bubble. But based on the financials, it’s a hyper-growth firm in a class of its own.
Competition exists, but Nvidia has stayed a step above It’s all about custom silicon these days. New ASIC innovations hold plenty of promise as the inference wave rolls in. But, at the same time, Vera Rubin is on the horizon, and it’s going to sell. Given the massive leaps Nvidia has made over the past generation, and where AI demand could go from here if some of the AI bulls are proven right, perhaps that big reversal might not be right around the corner.
Smart bets and collabs across the AI stack Nvidia’s rolling in big money, and it’s investing in across layers of the stack that go above and beyond the hardware layer.
Whether we’re talking about betting on connectivity or the formation of alliances with some of the other forces (think the top AI labs), helping to fuel the AI boom, every collaboration that the firm makes may very well give Nvidia exposure to the AI revolution. Whether we’re talking about the stakes in the interconnect plays
After a strong run, tech stocks have suddenly pulled back, with investors rotating into other sectors. The move shouldn't be a total surprise -- tech stocks had greatly outperformed the market over the past couple of months, and the sector really needed a breather.
The good news for investors is that this tech dip has created some good openings for some top stocks. Let's look at two to buy right now.
Nvidia Despite shifts in the artificial intelligence (AI) market, Nvidia (NVDA +0.15%) remains the king of AI infrastructure, and the stock is trading at an attractive valuation with a forward price-to-earnings ratio (P/E) below the 16.5 analyst estimates for fiscal 2028 (ending January 2028).
The company remains the dominant player in AI model training with its graphics processing units (GPUs). And its CUDA software platform, where most foundational AI code was written, gives it a powerful moat. It continues to be a growth machine, with revenue soaring 85% last quarter and expected to accelerate in the fiscal second quarter.
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Despite its dominance, the company hasn't been sitting still, positioning itself for the next stage of AI. It recently struck a licensing deal with Groq, incorporating its language processing units (LPUs) built for inference into its CUDA system.
At the same time, it has also made a big push into high-performance central processing units (CPUS) for data centers, which are seen as a potential $200 billion market with the rise of agentic AI. The company is now incorporating these chips along with its networking portfolio to deliver end-to-end systems designed specifically for various AI tasks, including training, inference, and agentic AI.
Nvidia still has a lot left in the tank, and the recent tech sell-off opens up an opportunity.
Image source: Getty Images.
Amazon Even after a big spring rally, Amazon (AMZN 1.24%) finds its stock up only about 5% on the year following the recent tech pullback. At a forward P/E of 28 times based on the 2026 consensus, the stock continues to trade at a historically low multiple. This is for a company with two world-class businesses that are hitting on all cylinders.
Amazon's largest segment by profitability and fastest growth is its cloud computing unit Amazon Web Services (AWS). The company created the entire infrastructure-as-a-service concept, and it remains the largest player today.
AWS growth has started to accelerate, with revenue climbing 28% last quarter to $37.6 billion. With partnerships and large commitments from Anthropic and OpenAI, AWS should continue to increase growth throughout the year.
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The company also looks well positioned for agentic AI, teaming up with OpenAI to release Amazon Bedrock Managed Agents, powered by OpenAI. This will provide developers with a secure place that lets "AI agents keep context, remember prior work, work across software tools and data sources, and access compute," according to management. It also has its own ARM-based custom CPUs, which are becoming increasingly important with agentic AI.
The company's chip business presents a big advantage that should not be overlooked. It is currently has a $20 billion run rate, and including internal use, it's closer to $50 billion. This helps Amazon get more out of its AI infrastructure spending and reduces inference costs.
Amazon is also the world's leading e-commerce company. It's a solid revenue-growing business, but what's going on behind the scenes is what makes it special. The company is the world's leading maker and operator of robots, with over 1 million robots used in its fulfillment centers coordinated by its DeepFleet AI model. With robots and AI, management is driving a lot of efficiencies, creating a lot of operating leverage in its e-commerce and helping profits soar.
Given its cloud and e-commerce leadership, this is a stock you want to buy and hold for the long term.
Nvidia Corporation is rated Overweight with a $305 price target, offering 50%+ upside, as the current 15x forward P/E deeply discounts growth durability. Networking revenue is compounding faster than compute, with NVDA's full-stack system and CUDA platform reinforcing a wide, stable moat against custom ASIC threats. Guidance excludes China Data Center compute, making any China reopening pure upside optionality not reflected in current estimates or valuation.
NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) and AMD (NASDAQ:AMD) both reported earnings in May, and the contrast says everything about today’s AI hardware market.
NVIDIA posted a $81.6 billion quarter built on Blackwell dominance. AMD posted $10.25 billion, with the Meta partnership reshaping its data center story. One is the incumbent. The other is the credible challenger finally getting customer commitments at scale.
Blackwell Carries NVIDIA. Meta and MI450 Carry AMD. NVIDIA’s Data Center segment hit $75.25 billion, up 92% year over year, with networking alone at $14.8 billion (+199%). That networking line is bigger than AMD’s entire data center business. Jensen Huang framed it bluntly: “The buildout of AI factories, the largest infrastructure expansion in human history, is accelerating at extraordinary speed.”
AMD’s quarter was smaller but accelerating. Data Center revenue reached $5.78 billion (+57%), and Lisa Su told investors “Customer engagement around MI450 Series and Helios is strengthening, with leading customer forecasts exceeding our initial expectations.”
The 6 GW Meta deployment, starting with a custom MI450 design, gives AMD something it has lacked: a flagship hyperscaler willing to bet on its accelerator roadmap.
One Sells the Whole Factory. The Other Sells the Best Alternative. NVIDIA’s platform sweep keeps widening. Vera Rubin pairs a custom CPU with Rubin GPUs, Dynamo 1.0 reportedly lifts Blackwell inference up to 7x, and partnerships with Marvell, Corning, Lumentum, and Coherent lock in the optics layer.
AMD’s counter is ROCm maturity, HBM4 collaboration with Samsung for the MI455X, and 6th Gen EPYC (Venice/Verano) with Meta as lead customer. Different shapes of moat.
Lens NVIDIA AMD Q1 Revenue Growth +85.2% YoY +37.9% YoY Non-GAAP Gross Margin 75.0% 55% Next-Q Guide $91.0B ~$11.2B Forward P/E 24 68 The valuation gap matters. AMD trades at a trailing P/E of 159 after a 128% YTD run. NVIDIA, despite reporting a $58 billion net income quarter, carries a forward multiple of 24. Cheaper than its smaller rival.
What Decides the Second Half I will watch three things. First, whether MI450 customer forecasts translate into firm orders that show up in AMD’s Q3 earnings report.
Second, NVIDIA’s China exposure, since Q2 guidance excludes any Data Center compute revenue from China, leaving upside if policy shifts.
Third, supply. NVIDIA already locked in $119 billion of supply commitments, while AMD is still negotiating HBM4 capacity with Samsung.
Why I Lean NVIDIA Heading Into Summer On a risk-adjusted basis, NVIDIA screens more favorably on the current data. The valuation spread is notable: AMD trades at 68x forward earnings while growing 38%, versus NVIDIA at 24x growing 85% with 75% gross margins, alongside a $80 billion fresh buyback and a 25x dividend hike.
NVIDIA shares have also cooled, down 8.2% since the May 20 report, while AMD rose 37.5%. The AMD case rests on Helios reshaping the competitive map; the NVIDIA case rests on scale, cash generation, and a cleaner near-term setup.
Amazon.com Inc. (NASDAQ:AMZN) has taken on $17.5 billion in new debt to fund its AI build-out, a striking move for a company that long ran on cash flow rather than borrowing.
The delayed-draw term loan came from a syndicate that includes Citibank, JPMorgan, Bank of America, HSBC and Wells Fargo, according to a filing dated June 8.
The structure lets Amazon draw the money as needed.
Amazon’s 2026 capital spending is tracking toward roughly $200 billion, while its trailing twelve-month free cash flow has collapsed to about $1.2 billion, down from roughly $26 billion a year earlier.
Big Tech Is Trading Cash For DebtAmazon is not alone in reaching for the debt markets. Combined AI spending across the largest tech firms is now expected to top $700 billion this year.
The cash-rich playbook that funded the cloud era is giving way to leverage.
What Prediction Markets Say About A PopKalshi’s “Recession this year?” market puts the odds of a 2026 downturn at about 20%, on $2.4 million in volume. Up from last week’s 15%, but still far below the 35% printed during the height of the Iran conflict.
Polymarket’s “AI bubble burst by…?” contract gives the industry a 22% chance of a downturn by Dec. 31, 2026, on roughly $3 million in volume.
One of the bubble market’s resolution triggers requires Nvidia Corp. (NASDAQ:NVDA) to fall 50% from its all-time high.
That ties the capex question straight back to the chipmaker soaking up the spending. Much of every dollar Amazon, Meta and Alphabet borrow is a dollar likely headed for Nvidia’s order book.
For now, those same traders are still pricing a continued bull market, suggesting they see the build-out, and the borrowing behind it, running a while longer.
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Nvidia stock edged lower on Friday even as the chipmaker continued to expand its global artificial intelligence footprint through new partnerships, product initiatives, and growing demand for its next-generation processors.
Shares of Nvidia NVDA slipped 0.18% during trading.
The modest decline came despite a series of developments that highlighted the company's efforts to strengthen its position in AI infrastructure markets both inside and outside the United States.
The company has reportedly begun informing Chinese customers that they can place orders for its new Vera central processing units, with shipments potentially beginning in August.
The move could provide Nvidia with another avenue into the Chinese market, where export restrictions have limited sales of some of its advanced AI products.
According to Reuters, one major Chinese cloud provider is preparing an initial order for more than 300 servers built around Nvidia Vera chips.
Customers are expected to first test the systems in overseas data centers before deciding whether to proceed with larger deployments.
Nvidia reportedly sees Vera as a potential $20 billion revenue opportunity by the end of its fiscal year in January.
Unlike the company's graphics processing units, which remain subject to tighter US export restrictions, the processor business may face fewer regulatory hurdles.
Beyond China, Nvidia continues to broaden its reach through major AI infrastructure agreements.
Australian cloud-infrastructure provider SharonAI Holdings announced a six-year partnership with Nvidia to build 72 megawatts of new data-center capacity across Australia.
The project will deploy up to 40,000 Nvidia AI processors to support startups, enterprises, and university researchers.
Under the agreement, Nvidia will receive revenue from processor sales as well as a share of cloud revenue generated through SharonAI's hosting services.
Additional signs of demand have emerged globally. Nebius Group plans to invest approximately $2.275 billion in next-generation facilities in the United Kingdom powered by Nvidia's Vera Rubin products.
Meanwhile, Nvidia's partnership with SK Telecom aims to build AI-capable cloud infrastructure in South Korea focused on both AI training and inference workloads.
“Inference is crucial to the outlook, as it is the application of AI and a much larger market segment than infrastructure and training,” Nvidia CEO Jensen Huang has previously emphasized, highlighting the growing importance of AI deployment beyond model development.
Analysts remain bullish on AI demandAnalysts continue to express confidence in Nvidia's outlook following recent industry events, including the Taiwan Computex conference.
Analysts at Wedbush and UBS believe demand for GPUs remains strong while supply capacity continues to lag, creating favorable conditions for Nvidia in the coming quarters.
Wedbush also suggested that the AI hardware upgrade cycle may be accelerating as demand for Nvidia's Blackwell platform remains stronger than expected later in its product cycle.
The company is currently covered by 54 analysts, with approximately 95% maintaining Buy recommendations.
Nvidia has also continued investing in technologies designed to strengthen its long-term AI ecosystem.
One of its latest acquisitions is Kumo AI, an enterprise-focused predictive agent platform that helps forecast operational needs using customer data.
The technology is expected to complement Nvidia's broader physical AI strategy, including warehouse automation applications.
At the same time, Nvidia continues to invest heavily in future production capacity and supply-chain resilience.
While industry-wide constraints remain, analysts view Nvidia as one of the best-positioned companies to navigate potential shortages and meet rising AI demand.
There are several strong artificial intelligence (AI) stock picks available in the market right now. The AI infrastructure build-out is expected to last through at least 2030, so scooping up shares now with a long-term investing mindset is a smart way to approach the current market environment. These five in particular look like solid buys right now.
Image source: Getty Images.
Nvidia Nvidia (NVDA +0.15%) has been the top AI stock pick since 2023 for a good reason: Its products sit at the core of the AI build-out. Nvidia makes GPUs (graphics processing units), which are the primary computing units deployed in data centers to handle AI workloads. Though it's already the world's largest company by market cap, Nvidia continues to see incredible growth, with its revenue rising 85% in its most recent quarter.
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Its growth is far from over, given projections that annual data center capital expenditures will rise to the $3 trillion to $4 trillion range by 2030. That's a major, long-term investing opportunity. With Nvidia's chips likely to be at the center of that, it's well worth buying its shares now.
Sandisk Because of the AI infrastructure build-out, demand for memory chips now far exceeds supply, and the companies that make those chips are profiting from the shortage. When the supply of any commodity lags behind rising demand, basic economics dictates that the commodity price will soar, and that's exactly why Sandisk (SNDK +5.24%) has done so well lately. It makes NAND memory for solid-state drives (SSDs) for long-term data storage in data centers. Its revenues and profits are undergoing monstrous growth, and even though the stock has risen by a tremendous amount over the past year, it doesn't appear to be stopping.
Wall Street analysts expect 336% growth during Q4 of its fiscal 2026 (which ends this month), and 122% in fiscal 2027. With the memory chip crunch expected to persist for years, that makes Sandisk a solid investment pick right now.
Microsoft Microsoft (MSFT +0.11%) used to be one of the more popular investment options in the AI realm. However, the market has lost some faith in it, and the stock is down around 25% from its all-time high. Yet all that Microsoft has been doing is growing its two primary AI divisions.
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Microsoft's annual recurring AI revenue (from products like Copilot) crossed $37 billion last quarter, up 123% year over year. Its cloud computing division, Azure, saw 40% revenue growth, reflecting the huge demand for AI computing resources. Microsoft looks like a bargain buy right now, and investors should scoop up shares of this proven winner before it returns to setting new all-time highs.
Meta Platforms Meta Platforms (META 0.14%) is probably the biggest wildcard among the four AI hyperscalers. It doesn't rent out its computing capacity to others, as CEO Mark Zuckerberg claims it's using it all. So, all of its AI spending has gone into boosting its own capabilities, which has worked out well for it on the advertising front.
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Meta Platforms operates the social media platforms Instagram, Facebook, Threads, and WhatsApp, and advertising on these platforms generates nearly all of Meta's revenue. Meta has used its AI investments to improve the effectiveness of its ad platform, which has led to solid 33% revenue growth. However, investors want more.
Meta is working on "more" with some products like AI glasses and a personal superintelligence model. If either of these two is a hit, Meta's stock could be primed for a major upside. Even if they don't pan out, Meta's ad business is still a solid reason to buy and hold the stock.
Amazon Although many may focus on Amazon's (AMZN 1.24%) e-commerce business, as an investor, I prefer to look at its cloud computing unit, Amazon Web Services (AWS). AWS provides more than half of Amazon's operating profits, so it's one of its most important business units. In Q1, it grew revenue by 28% year over year -- its best pace in nearly four years. With demand for cloud computing capacity booming and Amazon spending $200 billion on data center capital expenditures this year alone, the growth rate for AWS will likely explode in the next few years.
Given that AWS' profit margins are substantially better than those of the e-commerce segment, this should lead to outsize growth on the bottom line, which is why I expect Amazon to be one of the best-performing stocks over the next few years.
SpaceX (SPCX) closed out the week with a $2 trillion IPO at the Nasdaq, but it wasn't the only stock that moved markets today. Marley Kayden and Sam Vadas talk about the historic public trading debut, along with Mag 7 headlines in Nvidia (NVDA) and Meta Platforms (META).
Finding stocks that are nearly set-it-and-forget-it options is nice for many investors. Instead of buying a broad index fund and accepting market-average returns, identifying stocks that have the potential to beat the market over the next decade can be a phenomenal investment strategy. The key is to find companies that have long-term growth plans that position them to meet your return requirements. I think I've identified three such stocks in Nvidia (NVDA +0.15%), Microsoft (MSFT +0.11%), and Amazon (AMZN 1.24%).
Image source: Getty Images.
Nvidia Nvidia may be the most controversial stock on this list, but I think it's worth an inclusion. It makes graphics processing units (GPUs) that are the primary computing units deployed in data centers for artificial intelligence (AI) workloads. There have been investor worries since the start of the AI infrastructure build-out about what will happen to Nvidia's stock when this phase of the cycle wraps up. However, I think investors are looking at it the wrong way.
In 2026, the four AI hyperscalers plan to spend a record-setting total of $650 billion on data center capital expenditures. Next year, Nvidia estimates that the figure will reach $1 trillion. By the end of 2030, Nvidia expects $3 trillion to $4 trillion in annual global data center capital expenditures. That's huge growth and will create a massive footprint of cloud infrastructure. However, the computing units being installed during this build-out phase won't last forever.
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AI processors in data centers are run aggressively and often burn out after a handful of years of service. By the time 2030 rolls around, there will be countless GPUs in use that will be more than five years old and need replacing. That will create another revenue stream for Nvidia, and allow it to continue succeeding long after the core infrastructure build-out is complete.
As a result, I think Nvidia is a stock that investors can confidently buy and hold over the next decade. With the impressive growth rates that it's expecting over the next few years, it just might get all of the returns it needs to outperform in the market for a decade in just a few years.
Microsoft and Amazon On the surface, Microsoft and Amazon may appear to occupy two completely different positions in the tech sphere. However, they have one business line in common that makes both of them solid, long-term investments: cloud computing. Each operates a thriving cloud computing platform (Amazon Web Services and Microsoft Azure) that heavily influences their overall results.
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Cloud computing will also be how these two monetize AI for years to come. Because most AI companies don't have the means, desire, or technical wherewithal to build their own data centers, they rent the capacity they need out from cloud computing providers like AWS or Azure. The pricing on this is usually determined by usage, so as long as AWS and Azure's clients continue using computing resources (a very likely bet), these two businesses will have solid subscription-like revenue streams.
Furthermore, these two should experience monster growth over the next few years. Both Amazon and Microsoft are spending hundreds of billions of dollars on building new data centers, and once they come online, that will eventually translate into growth for their cloud computing wings. That will result in much higher overall growth rates for each business, which should boost the stocks to market-crushing status.
The major investments Microsoft and Amazon are making right now will have multiyear payoffs, so investors should also have a long-term mindset when it comes to their stocks. While the amount of capital being spent to achieve this growth is scary, Amazon CEO Andy Jassy pointed out in his annual shareholder letter that the faster AWS grows, the more money the company has to spend to sustain it. That can be said for all cloud computing providers, so soaring capital expenditure bills shouldn't scare you; they should excite you.
Keithen Drury has positions in Amazon, Microsoft, and Nvidia. The Motley Fool has positions in and recommends Amazon, Microsoft, and Nvidia. The Motley Fool has a disclosure policy.
American Airlines is rated Buy despite a challenged balance sheet and volatile fuel costs, as the market is undervaluing structural revenue recovery. Premium cabin load factors and AAdvantage loyalty enrollment are at record highs, with corporate and SME travel revenue up 13% and 28%, respectively. Management reduced debt by $1.8 billion in Q1, prioritizing free cash flow and balance sheet improvement over aggressive fleet expansion.
Stock in global air carrier American Airlines Group (AAL +2.25%)closed Friday at $13.50, up 1.50%, as commentary highlighted growth potential behind the fuel-driven profitability pressures.
Trading volume reached 105.7 million shares, coming in about 75% above its three-month average of 67.4 million shares. American Airlines Group IPO'd in 2005 and has fallen 36% since going public.
How the markets moved todayThe S&P 500 (SNPINDEX: ^GSPC) fell 2.64% to 7,384, while the Nasdaq Composite (NASDAQINDEX: ^IXIC) dropped 4.18% to 25,709. Among airline stocks, Delta Air Lines (DAL +1.50%) closed down 0.11% at $79.42, and United Airlines (UAL +2.58%) finished up 0.75% at $105.73, reflecting mixed moves across industry peers.
What this means for investorsAmerican Airlines gained against a backdrop of stock market losses today as investors rotated out of high-risk tech stocks. However, the stock is still down almost 8% across the week, as investors eye elevated jet fuel prices — particularly as the firm announced it would temporarily suspend certain routes in the coming months.
However, some analysts argue that fuel headwinds hide a potential growth story. Demand is strong, and American Airlines is successfully focusing on growing its loyalty program, increasing premium demand, and reducing debt. Not only did its Q1 2026 earnings beat expectations, but it had reduced its debt to $34.7 billion — its lowest level in more than 10 years.
It isn’t clear how long oil supply disruptions through the Strait of Hormuz will continue. But when oil prices do ease, it looks like American Airlines could be wheels-up for longer-term recovery.
Emma Newbery has no position in any of the stocks mentioned. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.
American Airlines is temporarily suspending six domestic routes this summer as elevated fuel costs linked to the Iran conflict continue to pressure carriers across the airline industry.
The major air carrier said the affected routes will be paused only during August and September and emphasized that no routes are being eliminated permanently, according to FOX 5 New York.
A separate report from Simple Flying said the routes will be out of service from Aug. 5 through Oct. 5.
"American has seasonally adjusted service on select routes in August and September as the airline refines its capacity growth for 2026," American said.
AMERICAN AIRLINES JOINS WAVE OF CARRIERS HIKING CHECKED BAG FEES AS JET FUEL PRICES SKYROCKET
An American Airlines airplane approaches Miami International Airport for landing in Miami, Florida. (Ronen Tivony/NurPhoto via Getty Images / Getty Images)
According to Simple Flying, the affected routes include:
Los Angeles (LAX) to Cleveland (CLE)Los Angeles (LAX) to Columbus (CMH)Los Angeles (LAX) to Pittsburgh (PIT)Los Angeles (LAX) to Washington Dulles (IAD)Charlotte (CLT) to Ontario (ONT)Charlotte (CLT) to Sacramento (SMF)Simple Flying noted that the Los Angeles-to-Cleveland route was one of the newest additions to American's network, having launched in April. The suspension announcement comes just after two months of service.
Passengers affected by the schedule changes will be offered alternative travel arrangements or refunds, FOX 5 reported.
"Travelers on impacted routes will be offered alternate travel arrangements or a refund in line with American’s customer-friendly schedule change policy," the airline said.
UNITED AIRLINES RAISING TICKET PRICES UP TO 20% AS FUEL COSTS SURGE AMID IRAN WAR
Cars move through the horseshoe for arrival pickups and departure drop-offs near Terminal 2 at Los Angeles International Airport (LAX) on March 24, 2026, in Los Angeles, California. (Luke Hales/Getty Images / Getty Images)
American previously announced in April that it would raise checked baggage fees by at least $10 as the airline grapples with rising jet fuel costs, mirroring similar moves by other carriers, including United, Delta, Southwest and JetBlue.
Since fighting in the Middle East intensified earlier this year, airlines across the industry have implemented a range of cost-cutting measures amid volatile fuel prices, including reducing flight schedules and raising fares to offset higher operating expenses.
UNITED AIRLINES SLASHES FLIGHTS AS IRAN WAR SENDS FUEL PRICES SOARING
American Airlines aircraft seen at Phoenix Sky Harbor International Airport on Feb. 22, 2020. (Alex Tai/SOPA Images/LightRocket via Getty Images / Getty Images)
Last month, United Airlines released a staff memo announcing plans to cut about 5% of capacity by trimming less profitable routes, citing an expected prolonged period of elevated fuel prices.
In April, United also said it had been incrementally raising fares — up to 20% since last year — in an effort to "recover 100% of the increase in jet fuel prices as quickly as possible."
Ticker Security Last Change Change % AAL AMERICAN AIRLINES GROUP INC. 14.96 +0.32 +2.15% GET FOX BUSINESS ON THE GO BY CLICKING HERE
American's decision to suspend select routes also follows the collapse of budget carrier Spirit Airlines, whose financial troubles were compounded by years of mounting losses and higher fuel costs.
Fox News Digital reached out to American Airlines for more information.
Fox News Digital's Eric Revell and Michael Dorgan contributed to this report.
June 09, 2026 10:00 ET | Source: American Airlines, Inc.
FORT WORTH, Texas, June 09, 2026 (GLOBE NEWSWIRE) -- American Airlines Group Inc. (NASDAQ: AAL) invites its stockholders, team members and other interested parties to attend its virtual annual meeting of stockholders on Wednesday, June 10, at 9 a.m. CT. Anyone can attend the annual meeting by registering in advance or on the day of the meeting at proxydocs.com/AAL and clicking the “Register Here” button.
Stockholders can submit questions in writing on the day of the meeting through the virtual annual meeting website. The webcast of the virtual annual meeting of stockholders will be available to the public for two weeks after the meeting at aa.com/investorrelations.
About American Airlines Group (NASDAQ: AAL)
American Airlines is a premium global airline connecting more of the U.S. to the world. With roots tracing back to an air mail carrier in the Midwestern United States in 1926, American now operates more than 6,000 daily flights to more than 350 destinations in more than 60 countries and serves more than 200 million customers annually. Powered by a proud and talented team of 130,000 aviation professionals, American’s team lives out the airline’s purpose of caring for people on life’s journey every day.
The world’s largest airline proudly celebrates its centennial year in 2026, reaching a milestone that reflects a century of innovation and the Forever ForwardSM spirit that changed the industry and the world. American introduced the first scheduled air cargo service, the first airport lounge and the first airline loyalty program and continues to reinvent the customer experience today. The airline is also a founding member of the oneworld alliance, whose members serve more than 900 destinations around the globe.
Get the latest about American at news.aa.com and @AmericanAir.
This is the largest of its kind deal between an airline and a single corporate buyer.
• American Airlines Group shares are advancing steadily. Why is AAL stock advancing?
DetailsThe deal will enable the delivery of 35 million gallons (132 million liters) of SAF over three years. The company expects it to reduce nearly 300,000 metric tons of CO₂ equivalent emissions.
The agreement also supports a long-term SAF supply arrangement with Valero Marketing and Supply Company, reinforcing American Airlines' broader commitment to scaling sustainable aviation fuel.
Apart from this, American Airlines collaborated with Google, Flightkeys and Contrails.org on a 16-week 2025 pilot program that embedded contrail avoidance into flight planning.
The trial delivered a statistically significant 62% reduction in contrail formation, along with a meaningful decrease in associated warming impacts.
Earnings & Analyst OutlookLooking further out, the next major catalyst for the stock arrives with the July 23 (estimated) earnings report.
EPS Estimate: 2 cents (Down from 95 cents year-over-year) Revenue Estimate: $16.65 billion (Up from $14.40 billion YoY) Valuation: P/E of 43.9x (Indicates premium valuation relative to peers) Analyst Consensus & Recent Actions: The stock carries a Buy rating with a consensus price target of $16.08 (high: $31; low: $7) across 27 analysts. Recent analyst moves include:
Morgan Stanley: Overweight (Raises target to $24 on June 1) Deutsche Bank: Buy (Raises target to $18 on May 29) UBS: Buy (Raises target to $18 on May 26) Benzinga Edge RankingsBelow is the Benzinga Edge scorecard for American Airlines, highlighting its strengths and weaknesses compared to the broader market:
The Verdict: American Airlines’ Benzinga Edge signal reveals a growth-leaning profile with neutral momentum and only moderate value support. For longer-term bulls, the chart looks healthiest as long as price holds above the $12.50 support zone while it works toward $16 resistance.
Top ETF Exposure Invesco S&P MidCap 400 Revenue ETF (NYSE:RWK): 2.22% Weight US Global Jets ETF (NYSE:JETS): 10.57% Weight Significance: Because American Airlines carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely trigger automatic buying or selling of the stock.
AAL Stock Price Activity: American Airlines Group shares were up 3.79% at $14.12 at the time of publication on Tuesday, according to Benzinga Pro data.
Photo via Shutterstock
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American Airlines Group (AAL +2.25%), a major passenger and cargo carrier, closed Tuesday at $14.09, up 3.60%. The stock advanced after the company announced a sustainable aviation fuel deal with Alphabet’s Google. Falling oil prices and recent analyst upgrades helped boost its price.
Trading volume reached 149.7 million shares, coming in about 127% above its three-month average of 66.0 million shares. American Airlines Group IPO'd in 2005 and has fallen 33% since going public.
How the markets moved todayThe S&P 500 (^GSPC +0.50%) slipped 0.26% to finish at 7,387, while the Nasdaq Composite (^IXIC +0.31%) fell 0.97% to 25,679. Among airline stocks, industry peers Delta Air Lines (DAL +1.50%) gained 3.78% to close at $81.17, and United Airlines (UAL +2.58%) finished up 4.09% at $109.63 as investors weighed fuel-cost pressures and resilience in travel demand.
What this means for investorsAirline stocks, including American Airlines, got a boost today from falling oil prices. But the main tailwind for the firm was news that it will partner with Google on sustainable aviation fuel (SAF) certificates. Often made using waste oils, such as used cooking oil, SAFs are a way to reduce carbon emissions.
The deal is groundbreaking and takes the airline closer to its goal of using SAF for 10% of its fuel by 2030. However, it doesn’t do that much to tackle American’s reliance on expensive jet fuel today. Without a peace agreement between the U.S. and Iran, there’s no end in sight for elevated oil prices, which will weigh on the firm’s profits.
Emma Newbery has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.
American Airlines (AAL - Free Report) closed at $13.42 in the latest trading session, marking a -4.76% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 1.62% for the day. Meanwhile, the Dow lost 1.87%, and the Nasdaq, a tech-heavy index, lost 1.98%.
The stock of world's largest airline has risen by 11.03% in the past month, leading the Transportation sector's gain of 3.78% and the S&P 500's loss of 0.03%.
Analysts and investors alike will be keeping a close eye on the performance of American Airlines in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of -$0.02, marking a 102.11% fall compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $16.68 billion, up 15.88% from the year-ago period.
AAL's full-year Zacks Consensus Estimates are calling for earnings of -$0.07 per share and revenue of $61.94 billion. These results would represent year-over-year changes of -119.44% and +13.38%, respectively.
Investors should also note any recent changes to analyst estimates for American Airlines. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 30% higher. Currently, American Airlines is carrying a Zacks Rank of #3 (Hold).
The Transportation - Airline industry is part of the Transportation sector. At present, this industry carries a Zacks Industry Rank of 205, placing it within the bottom 16% of over 250 industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.
American Airlines (AAL) witnessed a jump in share price last session on above-average trading volume. The latest trend in earnings estimate revisions for the stock doesn't suggest further strength down the road.
American Airlines unveiled its America 250th aircraft logo at DFW in April: CEO Robert Isom spoke.
American Airlines
For the American Airlines hub in Philadelphia, this is a busy and historic summer, with new transatlantic flights, a hub redesign, a new station manager, key sports events including baseball’s All-Star game and soccer World Cup games, and the celebration of the country’s 250th birthday in the city where Congress first met.
“I’m in the right place at the right time,” said Cesar Marchese, who took over last month as new vice president of operations for Philadelphia. “It’s an eventful summer for Philadelphia with a lot of attention to the city,” he said Friday in an interview.
Philadelphia is hosting a year-long, citywide celebration for the 250th anniversary: events include concerts, museum exhibitions and a gathering for members of Congress at Independence Hall on July 2nd, exactly 250 years after the Second Continental Congress voted for American independence. As for sports, the city will host six World Cup games, starting Sunday with Ecuador vs. Ivory Coast and ending on July 4th with an elimination game. Meanwhile, on July 14th, the baseball All-Star game will be played in Philadelphia.
American, which made Philadelphia its primary transatlantic gateway after it merged with US Airways in 2013, will offer 20 daily international departures to 19 destinations. Last month, American launched three new international routes to Prague, Budapest and Santiago, Domenica Republic. The first two indicate that the carrier is seeking to match competitors by offering secondary European routes – also including Edinburgh, Naples and Venice -- as well as the major ones, including London, Paris, Amsterdam, Frankfurt and Rome.
American said last week that it will not restart its Philadelphia-Doha flight, but Qatar stepped in quickly, and will offer daily Doha service starting August 1. Qatar will codeshare with American, enabling connections at PHL.
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In a press release, the airport said it expects to welcome nearly 9.4 million passengers between June and August, about a 6.3% increase over summer 2025. July would be the airport’s busiest month, with an estimated 3.2 million passengers. American will offer about 380 daily departures include 183 mainline departures. American’s schedule is about 10% bigger than last year, reflecting both international and domestic growth.
American has touted its rebanking in Dallas-Fort Worth, but it has done the same in Philadelphia, expanding to seven banks from six, effective April 15th. “It’s going really well,” Marchese said. “It creates a better experience: It allows more time. We spread it out, especially on the PM side.” Besides adding flights, the carrier boosted block times for flights. The changes have brought improvements in arrival and departure metrics, less gate congestion, faster security screening, better baggage delivery, and fewer misconnections, among other improvements.
The busiest bank, in the morning, has about 70 departures, while most have around 40. Marchese noted that PHL is “almost two different airports in the same day,” because the morning banks tend to serve local passengers, known as “origin and destination” passengers, while the evening banks serve connecting passengers, primarily to international flights. “From 2 p.m. onward, it becomes a connecting hub,” he said.
Another unique feature at the PHL hub is that all of the transatlantic flights utilize the Boeing 787 Dreamliner. American has a 787-maintenance base at the airport.
Marchese started out with American as a baggage service agent in Sao Paulo in 1999, a time when the Brazilian economy was expanding along with those in other BRIC countries. He made frequent trips to Miami, the headquarters for American’s Latin America destinations. He advanced through an array of stations in Paris, London, Charlotte and Miami, overseeing ramp operations in the latter two. “I have been blessed with the opportunity to get to know this airline,” he said. In Philadelphia, he replaces Lakshman Amaranayaka, who retired.
Charlotte, Marchese said, “is the quintessential domestic hub” with “quick short connectivity gate to gate” and 80% connecting traffic.” Philadelphia has the larger catchment area for passengers, but its connects come late in the day. In Philadelphia, Marchese oversees about 10,000 employees including pilots, flight attendants, airport agents, mechanics and fleet service workers. “I love Philadelphia,” he said. “We have a very passionate and proud team. I click with that.”
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What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
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Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.
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To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: AT&T (T - Free Report) Based in Dallas, TX, AT&T Inc. is the second largest wireless service provider in North America and one of the world’s leading communications service carriers. Through its subsidiaries and affiliates, the company offers a wide range of communication and business solutions that include wireless, local exchange, long-distance, data/broadband and Internet, video, managed networking, wholesale and cloud-based services.
T is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 10.22; value investors should take notice.
Seven analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.01 to $2.30 per share. T also boasts an average earnings surprise of +5.2%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, T should be on investors' short list.
Key Takeaways AT&T is expanding fiber, adding customers and targeting 60M fiber locations by decade-end.AT&T's bundled wireless and broadband strategy improved postpaid phone churn to 0.89% in Q1 2026.T faces pressure from legacy revenue declines, intense competition and higher leverage after the Lumen deal. AT&T, Inc. (T - Free Report) has lost 19.3% in three months compared with the Wireless National industry’s decline of 15.8%. The stock has also underperformed the Zacks Computer & Technology sector and the S&P 500’s growth during this period.
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The company has underperformed its peers like Verizon Communications Inc. (VZ - Free Report) but outperformed Charter Communications (CHTR - Free Report) . Verizon has declined 9.5%, while Charter has lost 43.5% year to date.
Major ChallengesAT&T continues to experience steep declines in legacy wireline and copper-based services as customers migrate to newer technologies. In first-quarter 2026, Legacy service revenues declined about 25% year over year, and management expects a decline of 20% plus for full-year 2026. 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.
It faces stiff competition in the U.S. wireless and broadband market. 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. Spending on promotional activities and lucrative discounts will put pressure on the margin.
Verizon has been aggressively bundling wireless and broadband services through its myPlan and myHome offerings. The company has also been expanding its fiber footprint through the Frontier acquisition and growing fixed wireless access to deepen customer relationships and increase cross-selling opportunities. These strategies from Verizon can impact AT&T’s customer acquisition efforts to some extent.
AT&T's leverage increased following the Lumen transaction. Net debt-to-adjusted EBITDA ended first-quarter 2026 at 2.71x, up from 2.53x at the end of fourth-quarter 2025, primarily due to the Lumen transaction close. As of the first quarter of 2026, T’s current ratio stands at 0.92. A current ratio lower than unity suggests that it might face difficulties in fulfilling its short-term debt obligations.
Key Growth DriversAT&T is rapidly expanding its fiber infrastructure nationwide through organic deployments and strategic acquisitions. The company added strong fiber and fixed wireless customers during the first quarter. Management expects fiber reach to exceed 60 million locations by the end of the decade.
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's postpaid phone churn improved sequentially to 0.89% in the first quarter of 2026 from 0.98% in the fourth quarter of 2025, reflecting stronger customer retention.
AT&T is strengthening its presence in the connected car market through partnerships with major automakers. Recent agreements with Lexus and Rivian expand AT&T's 5G connectivity solutions into next-generation vehicles. T is supporting over-the-air software updates, enhanced infotainment, navigation, and personalized in-car services. It is broadening its Connected Car platform through collaborations with LiveOne and Cisco. For automakers, the AT&T platform streamlines the deployment of digital entertainment offerings in vehicles. Venturing into this market diversifies T’s revenue stream beyond its legacy telecom business and boosts resilience in its business model.
T is planning to invest $19 billion in California for network modernization. The company plans to expand fiber access to more than four million additional locations and add over 1,200 wireless sites by 2030. Such strategic investment is expected to improve service reliability and also support the company’s convergence strategy.
Estimate Revision Trend of TEarnings estimates for AT&T for 2026 have increased over the past 60 days, while for 2027, the estimates have remained unchanged.
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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 9.83 forward earnings, lower than 11.33 for the industry.
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End NoteAT&T's growth is being driven by aggressive fiber deployment, expanding 5G coverage. Rising adoption of bundled wireless and broadband services is boosting user retention. Its effort to venture into the automotive market is a positive factor. However, AT&T is progressing on decommissioning its copper-based network, but the transition continues to pressure reported growth and profitability. Fierce competition in the U.S. telecom market is hindering margins. 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 (T +2.52%), a provider of telecommunications and technology services worldwide, closed Thursday at $22.79, down 3.23%. The stock fell after the Supreme Court ruled 8-1 in favor of the Federal Communications Commission, which had imposed $57 million in penalties against the company. This news comes one day after an analyst at Oppenheimer downgraded T stock to neutral due to increased competition from satellite constellations. Trading volume reached 72.1 million shares, about 79% above its three-month average of 40.2 million shares. AT&T IPO'd in 1983 and has grown 487% since going public.
How the markets moved todayThe S&P 500 added 0.41% to finish at 7,585, while the Nasdaq Composite slipped 0.09% to 26,831. Within telecommunications, industry peers Verizon Communications closed at $44.87 (-3.82%), and T-Mobile U.S. finished at $177.02 (-2.44%) as investors weighed the court’s decision.
What this means for investorsWhile a $57 million fine is chump change for a $160 billion stock like AT&T, losing the decision to the FCC shows that the FCC still wields measurable sway over how business is done in the U.S. The case arose from the FCC's finding that AT&T sold confidential customer location data, prompting sanctions for violating federal telecommunications laws. Said another way, today’s ruling means that AT&T -- and the other carriers -- will likely remain under tighter scrutiny going forward, rather than the FCC being weakened.
This news, paired with yesterday’s Oppenheimer’s statement that AT&T was “most at risk” from satellite internet access, has helped T stock slide 8% over the last week.
Josh Kohn-Lindquist has no position in any of the stocks mentioned. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy.
AT&T stock is trading near recent lows. What’s next for T stock? Legal And Cybersecurity PressuresThe stock faced intense pressure yesterday after the U.S. Supreme Court ruled that wireless carriers cannot demand a jury trial when fined by the FCC, limiting legal recourse. Compounding this, a Bloomberg report revealed a whistleblower accused AT&T and IBM of covering up foreign hacks, sparking security concerns.
Analyst Downgrade Vs. Fiber StrategyOppenheimer recently downgraded AT&T to Perform from Outperform, citing competitive risks from low Earth orbit satellite providers that could pressure broadband and mobile growth. Analysts also questioned if AT&T can hit its target of 7 million new fiber passings this year.
To counter these threats, AT&T is simplifying home internet pricing starting June 7, rolling out four fiber tiers with advertised bundle savings up to $420 annually.
With broader markets leaning risk-off on Friday, AT&T’s modest green print highlights its traditional role as a defensive cushion when growth sectors pull back.
Critical Support and Resistance Levels For AT&TThe longer-term trend remains pressured: AT&T is trading 7.2% below its 20-day SMA ($24.70) and 13.1% below its 200-day SMA ($26.38), keeping rallies vulnerable to supply near overhead averages. The "death cross" that formed in May (50-day SMA below the 200-day SMA) reinforces that the primary trend has been down.
Momentum is the key near-term tell right now, and RSI is deeply oversold at 24.25, which signals the selloff has become stretched and can be prone to sharp snapback rallies or sideways digestion. RSI is essentially a "stretch gauge" that measures how extended buying or selling has become; oversold conditions can persist, but they often raise the odds of a pause if sellers stop pressing.
Key Resistance: $26.00 — a round-number area that also lines up with the 50-day SMA ($26.00), where rebounds can stall AT&T Benzinga Edge Scorecard BreakdownBelow is the Benzinga Edge scorecard for AT&T, highlighting its strengths and weaknesses compared to the broader market:
The Verdict: AT&T’s Benzinga Edge signal reveals a growth-tilted setup with weak momentum, which is a classic mix for "cheap-looking" stocks that still need technical repair. If the stock can base and start reclaiming moving averages, the growth/valuation combo can matter more; until then, momentum is the main headwind.
AT&T Stock Price Activity On FridayT Stock Price Activity: AT&T shares were trading 0.53% higher at $22.89 at the time of publication on Friday, according to Benzinga Pro data.
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Key Takeaways AT&T expands its Connected Car platform with LiveOne and Cisco to enhance in-vehicle entertainment.T brings LiveOne's Slacker Radio to select connected vehicles with stations, playlists and live audio.AT&T uses Cisco SIM management and multi-party billing to run connectivity and content via one embedded. AT&T Inc. (T - Free Report) is expanding its Connected Car platform through a collaboration with LiveOne, Inc. (LVO - Free Report) and Cisco Systems, Inc. (CSCO - Free Report) to enhance in-vehicle entertainment services. The partnership enables automakers to offer premium entertainment experiences while reducing the complexity of managing connectivity and billing services.
Per the arrangement, LiveOne’s Slacker Radio will be available in select AT&T-connected vehicles, providing drivers and passengers with access to personalized stations, curated playlists and live audio programming. These additions broaden AT&T’s entertainment ecosystem and enhance the digital experience available to vehicle users.
The company will utilize Cisco’s Subscriber Identity Module (SIM) management platform and multi-party billing capabilities to support both connectivity and content services through a single embedded SIM. This simplifies operations for automakers, improves scalability and strengthens the efficiency of AT&T’s Connected Car platform.
In addition, AT&T and Rivian are working together to bring 5G connectivity to the Rivian R2, supporting advanced vehicle capabilities and the overall driving experience. With these initiatives, the company continues to invest in automotive technologies, positioning itself to benefit from the growing demand for smarter transportation solutions.
How Are Competitors Performing in the Automotive Industry?AT&T faces stiff competition from Verizon Communications, Inc. (VZ - Free Report) and T-Mobile, US, Inc. (TMUS - Free Report) . Verizon is strengthening its presence in the automotive industry through connected vehicle and 5G technologies. The company is investing in platforms that improve vehicle connectivity, safety and real-time communication. Verizon is working with automakers and transportation partners to support the development of next-generation connected and autonomous vehicles.
T-Mobile’s 5G network helps automakers offer better connectivity and digital services in vehicles. The company supports features such as over-the-air software updates, real-time navigation and advanced infotainment experiences. T-Mobile provides IoT connectivity solutions that help manufacturers monitor and manage their automotive fleets more efficiently.
T’s Price Performance, Valuation & EstimatesAT&T shares have lost 18.9% over the past year compared with the industry’s decline of 19.1%.
Image Source: Zacks Investment Research
From a valuation standpoint, AT&T trades at a forward price-to-sales ratio of 1.2, below the industry tally of 1.61.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have increased 0.4% to $2.30 over the past 60 days, while the same for 2027 have remained static at $2.52.
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 (T - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this telecommunications company have returned -9.6% over the past month versus the Zacks S&P 500 composite's +1.9% change. The Zacks Wireless National industry, to which AT&T belongs, has lost 7.9% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, AT&T is expected to post earnings of $0.59 per share, indicating a change of +9.3% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $2.3 points to a change of +8.5% from the prior year. Over the last 30 days, this estimate has changed +0.1%.
For the next fiscal year, the consensus earnings estimate of $2.52 indicates a change of +9.4% from what AT&T is expected to report a year ago. Over the past month, the estimate has remained unchanged.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for AT&T.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For AT&T, the consensus sales estimate for the current quarter of $31.99 billion indicates a year-over-year change of +3.7%. For the current and next fiscal years, $129.78 billion and $133.47 billion estimates indicate +3.3% and +2.8% changes, respectively.
Last Reported Results and Surprise HistoryAT&T reported revenues of $31.51 billion in the last reported quarter, representing a year-over-year change of +2.9%. EPS of $0.57 for the same period compares with $0.51 a year ago.
Compared to the Zacks Consensus Estimate of $31.19 billion, the reported revenues represent a surprise of +1.01%. The EPS surprise was +3.64%.
Over the last four quarters, AT&T surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
AT&T is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AT&T. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
AT&T Inc. (NYSE:T) shares are flat on Monday. But there is a chance that they are about to head higher.
The shares are oversold and at support, and these can be bullish dynamics. This is why AT&T is the Stock of the Day.
• Where are T shares going today?
If a stock is trending lower, the market is out of equilibrium. There is more supply, or shares for sale, than there is demand or shares to be bought. Traders and investors who wish to sell are forced to undercut each other to draw buyers into the market.
This forces the shares into a downtrend.
When a downtrend reaches a support level, it ends or pauses. This is because there is more demand than supply. Traders can sell all they wish without pushing the price lower.
As you can see on the chart, AT&T has support around the $22.75 level. There is support here because it was a support level in January.
Many of the people who sold at the support regretted doing so after the price rallied.
Some of them decided that if they could eventually do so, they would repurchase the shares at the sale price. When AT&T dropped back to this level, they entered buy orders. These orders created resistance.
The stock is oversold.
This means it is trading below its typical or usual range. This will draw buyers into the market, who will be anticipating a reversal or move back into the range. Their buying could push the price higher.
Stocks tend to rally off support levels. This happens when some of the investors and traders who created the support become impatient.
They begin to outbid each other. This results in a snowball effect that forces the shares into an uptrend.
Being oversold while at a support level can set the stage for a move higher. AT&T may be about to rally.
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Tomorrow, AT&T's Chief Financial Officer will participate in a fireside chat at 9:00 a.m. ET to discuss the Company's progress on its multi-year growth strategy Key Takeaways: AT&T reiterates all 2026 and multi-year financial and operational guidance and capital return plans shared during its first-quarter 2026 results AT&T to webcast fireside chat with Pascal Desroches at the 2026 Mizuho Technology Conference DALLAS, June 8, 2026 /PRNewswire/ -- Pascal Desroches, Chief Financial Officer, AT&T (NYSE:T), will speak tomorrow at the Mizuho Technology Conference where he will provide an update to shareholders.
In the latest trading session, AT&T (T - Free Report) closed at $22.50, marking a -1.1% move from the previous day. The stock fell short of the S&P 500, which registered a gain of 0.3% for the day. Elsewhere, the Dow saw a downswing of 0.16%, while the tech-heavy Nasdaq appreciated by 0.86%.
The telecommunications company's shares have seen a decrease of 9.58% over the last month, not keeping up with the Computer and Technology sector's gain of 3.7% and the S&P 500's gain of 1.92%.
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 July 22, 2026. The company is forecasted to report an EPS of $0.59, showcasing a 9.26% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $31.99 billion, indicating a 3.71% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $2.3 per share and a revenue of $129.78 billion, demonstrating changes of +8.49% and +3.29%, respectively, from the preceding year.
It is also important to note the recent changes to analyst estimates for AT&T. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.08% higher. AT&T is currently a Zacks Rank #3 (Hold).
Looking at valuation, AT&T is presently trading at a Forward P/E ratio of 9.88. Its industry sports an average Forward P/E of 13.06, 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 0.95. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Wireless National stocks are, on average, holding a PEG ratio of 1.06 based on yesterday's closing prices.
The Wireless National industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 165, finds itself in the bottom 33% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow T in the coming trading sessions, be sure to utilize Zacks.com.
This work builds on AT&T’s 2024 strategic investment to advance safer, smarter connected vehicle infrastructure.
DETROIT--(BUSINESS WIRE)--Derq, the intelligent transportation company enabling cities to prevent fatalities using proven, real-world AI at intersections, today announced it is collaborating with AT&T to accelerate the deployment of real-time safety and traffic intelligence across connected transportation ecosystems.
“Together with AT&T, we’re bringing near real-time safety intelligence into the infrastructure cities rely on to manage traffic, reduce risk and protect all road users at scale.” —Dr. Georges Aoude, Co-Founder and CEO of Derq
Share The agreement expands the relationship from initial investment to commercial collaboration, building on AT&T’s strategic investment in Derq in late 2024. Under the agreement, the companies will work together to integrate Derq’s transportation intelligence into AT&T’s Intelligent Transportation Platform (ITP) solution for cities and agencies.
Cutting-Edge Safety Intelligence Becomes Part of Transportation Infrastructure
Derq’s AI platform will serve as a key data input into AT&T’s ITP, supporting more responsive, connected, and safety-focused mobility systems.
Derq’s platform provides detection and analysis of critical roadway events as they happen, including:
Collisions and wrong-way driving Close calls and safety hotspots Road hazards — including animals, debris, fire, and low visibility conditions Speed, congestion, and traffic pattern insights These continuous insights and alerts feed into AT&T’s ITP to support traffic management centers, emergency response coordination, and connected vehicle applications.
“Transportation agencies need intelligent ways to connect infrastructure at the edge while supporting cloud-based, scalable data lakes, AI/ML pipelines for predictive decision-making, and insights across increasingly complex mobility environments,” said Usman Zafar, AVP Emerging Solutions at AT&T. “Our ITP is designed to support that transformation, and Derq’s safety intelligence adds an important layer of roadway insight that enables AT&T's Intelligent traffic management and advanced connected transportation use cases at scale.”
Scaling Deployment Through AT&T’s Infrastructure and Public Sector Reach
“This collaboration marks an important step in scaling the impact of our industry-leading analytics and V2X applications,” said Dr. Georges Aoude, Co-Founder and CEO of Derq. “Together with AT&T, we’re bringing safety intelligence into the infrastructure that cities rely on to manage traffic, reduce risk, and protect all road users at scale.”
Derq’s safety intelligence will complement AT&T’s Transportation solutions, alongside its connectivity, data, and network capabilities, as part of a broader transportation platform designed to support safer, more connected mobility across urban and highway environments. This creates a pathway to bring Derq’s AI-powered safety insights into connected transportation systems that support traffic operations, public safety, and future V2X and V2N applications.
As Cities Seek More Proactive Safety Tools, Advanced Intelligence Gains Importance
While many solutions in the market today focus on analyzing historical data and streamlining workflows, Derq’s platform is designed to identify and surface risks, fueling earlier intervention and more proactive traffic and safety management.
Connect with Derq at ITS America 2026
Derq will participate in this year’s ITS America Conference & Expo in Detroit, where Derq Co-founder and COO Karl Jeanbart will join AT&T and other transportation technology leaders for the session, “Building Future-Ready Digital Infrastructure Through Connectivity and Real-Time Insights,” on Thursday, June 11, from 1:00–2:00 p.m. ET in Room 310B. Derq will also exhibit at booth #2030.
About Derq
Derq is an AI-powered intelligent transportation company helping agencies improve safety and optimize traffic flow for all road users. An MIT spinoff founded in 2016, Derq's award-winning technology is deployed across the U.S., Canada, and the GCC region, with 20 patents and global recognition from leaders in AI and mobility. Learn more at https://www.derq.com.
Unlimited Day PassSM gives eligible U.S. iPad Users — Including Verizon and T-Mobile Customers — Unlimited Data for $3 a Day, With No Contracts or Subscriptions.
Key Takeaways:
AT&T is the first and only major U.S. wireless provider to offer on-demand connectivity for eligible U.S. iPad users, regardless of the customer's carrier. AT&T Unlimited Day Pass includes unlimited data1 for just *$3 a day2 with no contracts, subscriptions or credit checks required. Customer's first day pass is complimentary, courtesy of AT&T (limit one iPad per customer)3. , /PRNewswire/ -- What's the News: Today, AT&T launched Unlimited Day Pass, a 24-hour unlimited wireless data1 connection for eligible U.S. iPad users, including non-AT&T customers, for a daily2 *$3 flat rate — with no contracts, subscriptions or credit checks required.
AT&T is the first and only major U.S. wireless provider to give eligible iPad users (with eSIM capabilities) the freedom to buy on-demand connectivity when they need it.
Why it Matters: Many consumers have iPads that are not connected to cellular plans4. We want to give those people — regardless of their wireless provider — the ability to connect their iPads anytime, anywhere with no long-term commitment. This new product is a flexible option that delivers dependable and secure access on demand for Wi-Fi + Cellular iPad users, ideal for travel days, busy workdays or moments when Wi‑Fi isn't available.
How it Works:
The first day pass is complimentary, courtesy of AT&T (limit one iPad per customer)3, and available for a flat, daily2 rate via credit or debit card after that. Activate Wi-Fi +Cellular iPad model directly from your device settings — no app or Wi-Fi connection required5. Open the Settings app, tap Cellular Data, add AT&T Unlimited Day Pass. 24-hour data activation begins shortly after purchase. Quotable: "Our goal with any product is to make it simple for people to connect wherever they are, across the devices they use most," said Josh Goodell, vice president, Consumer Product Management for AT&T. "Unlimited Day Pass delivers on-demand connectivity for Wi-Fi + Cellular iPad models on the nation's largest wireless network6, whether someone is an AT&T customer or not, for a flat daily fee. There is no long-term commitment — just the connectivity you need, when and where you need it."
More Details: AT&T Unlimited Day Pass is the latest example of how we are simplifying the connectivity experience by giving people more flexibility and value without locking them into monthly contracts or subscriptions. Unlimited Day Pass will continue to evolve to reach more customers on other 5G enabled wireless devices while delivering an even simpler, more seamless, on-demand connectivity experience in the near future.
For more information on AT&T Unlimited Day Pass, please visit https://www.att.com/wirelessdaypass
FAQ
Q: What iPads are eligible for Unlimited Day Pass?
All iPads must be cellular based with eSIM capabilities. The following iPads are currently eligible:
iPad Pro 11 (A2013) iPad Air 13-inch (M3) Ch A3271 iPad Pro 11in (3rd gen) A2301 (NA) iPad (A16) A3355 iPad Pro 12.9in (6th gen) - A2764 (WW) iPad Pro 13 A2926 (2024) iPad (A16) Ch A3356 iPad Air 11 A2903 (2024) iPad 9th Gen A2603 (NA) iPad (10th gen) - A2757 (WW) iPad Pro 12.9in (5th gen) A2379 (NA) iPad Mini 5G A2568 (NA-RoW) iPad Pro 11 A2837 (2024) iPad Pro 11in (4th gen) - A2435 (WW) iPad Air 13 A2899 (2024) iPad Pro 12-in. (4th generation) A2069 iPad 7 Gen A2200 A2126 7.9 iPad mini (5th Gen) A2153 10.5 iPad Air (3rd Gen) iPad Air 11-inch (M3) A3267 iPad Air (A2589) ROW 2022 iPad Air 13-inch (M3) A3269 iPad Air 11-inch (M3) Ch A3270 iPad Mini (2024) iPad Pro 11-in. (2nd generation) A2068 iPad 8th gen A2428 iPad Air (2020) A2324 iPad Pro 12.9 (A2014) iPad Pro A1652 Q: Does Unlimited Day Pass work for iPads only? What about other tablets?
At this moment, iPads are only eligible for Unlimited Day Pass. In the near future, other 5G-enabled devices like Android tablets, smartwatches, laptops, drones, etc. are planned to be eligible for Unlimited Day Pass.
Q: Do I have to sign up again every time I want a day pass? Can I buy multiple passes at a time?
At this moment, we are only offering 24-hour passes. In the near future, we plan to expand the Unlimited Day Pass experience to include multi-day options such as weekend and week-long passes.
Q: Do I need to be an existing AT&T mobile customer to purchase the Unlimited Day Pass?
No. Unlimited Day Pass is available to any customer whether you have AT&T mobile service or not. Any customer can purchase their Unlimited Day Pass directly on their eligible iPad with a debit/credit card.
1AT&T may temporarily slow data speeds if the network is busy.
2Req's elig. unlocked, eSIM-capable iPad. 24-hour data activation begins shortly after purchase.
3Subj. to change. First day pass on us with your initial eSIM activation. Limit one per tablet.
4According to 2024 Customer Survey commissioned by AT&T.
5iPad must be cellular enabled for activation.
6Compares ground-based cellular networks. No AT&T on-net coverage in select countries, including Canada.
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 now appears significantly more compelling on valuation after a period of underperformance versus Verizon. AT&T trades at about 6.7x EV/EBITDA and a 9x P/E, both at the low end of its historical range. The dividend yield remains attractive compared to peers, despite a recent increase in leverage from strategic acquisitions.
Key Takeaways AT&T launched Unlimited Day Pass for eligible U.S. iPad users needing instant cellular access.T offers unlimited wireless data for 24 hours at $3 per day, with each customer's first day free.AT&T plans to expand the on-demand connectivity service to more 5G devices in the future. AT&T Inc. (T - Free Report) has launched a new wireless connectivity solution called Unlimited Day Pass, designed to give eligible U.S. iPad users instant cellular access without requiring a long-term plan or subscription. The offering provides a convenient and flexible way for iPad users to stay connected without committing to a monthly data plan.
AT&T’s Unlimited Day Pass delivers unlimited wireless data for 24 hours at just $3 per day, with no contracts or subscriptions required, and the first day is free for each customer. Users can easily activate the service directly from their iPad through the Settings app by selecting Cellular Data and choosing the AT&T Unlimited Day Pass, with service starting shortly after payment.
With the latest option, AT&T becomes the first major U.S. wireless provider to offer on-demand Internet access for eligible iPads, even allowing rival subscribers to connect if their device supports eSIM technology. This service is useful for travelers, remote workers and users who need reliable Internet when Wi-Fi is unavailable. The company plans to expand it to more 5G devices in the future.
The introduction of this new product is likely to support AT&T’s future growth by attracting more users and generating additional revenues. By expanding its digital offerings and enhancing user experience, the company is further strengthening its position in the wireless market.
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 has been expanding its 5G network to provide faster and more reliable connectivity across the country. The company is investing in network infrastructure to improve coverage in both urban and rural areas. These efforts aim to enhance customer experience and strengthen Verizon’s position in the wireless market.
T-Mobile is strengthening its connectivity through its new satellite-based service, helping users stay connected even in remote areas without traditional network coverage. The company is using advanced spectrum assets to enhance speed and coverage. T-Mobile is working to improve network performance by increasing capacity in high-traffic areas.
T’s Price Performance, Valuation & EstimatesAT&T shares have lost 18.4% over the past year compared with the industry’s decline of 13.5%.
Image Source: Zacks Investment Research
From a valuation standpoint, AT&T trades at a forward price-to-sales ratio of 1.22, below the industry tally of 1.66.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have increased 0.4% to $2.30 over the past 60 days, while the same for 2027 have remained static at $2.52.
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.
Two Aristocrats That Stumbled Off the Pedestal For decades, AT&T (NYSE: T | T Price Prediction) and 3M (NYSE: MMM) were the kind of stocks retirees built portfolios around. Both raised dividends every year for decades. Both lost their crowns through messy corporate breakups.
AT&T’s media detour ended badly. After buying DirecTV and Time Warner, the company spun WarnerMedia into Warner Bros. Discovery in April 2022 and cut the quarterly dividend from $0.52 to $0.2775, a 46.6% reduction. CEO John Stankey has since refocused AT&T on converged 5G and fiber, closing the Lumen Mass Markets fiber acquisition in February 2026.
3M’s fall was slower and more painful. Mounting liabilities from Combat Arms Earplugs lawsuits and PFAS “forever chemicals” dragged the stock down for years. The April 2024 spin-off of healthcare unit Solventum brought a dividend reset and ended one of the longest aristocrat streaks on record. New CEO William Brown’s 3M eXcellence turnaround has produced four straight EPS beats.
What $1,000 Actually Became AT&T Total Return Horizon Ending Value Total Return S&P 500 1 Year $998 −0.23% $1,292 (29.20%) 5 Year $1,477 47.65% $1,694 (69.43%) 10 Year $1,598 59.76% $3,449 (244.93%) Price-adjusted return. Includes the WarnerMedia spin distribution.
3M Total Return Horizon Ending Value Total Return S&P 500 1 Year $1,079 7.85% $1,292 (29.20%) 5 Year $1,042 4.18% $1,694 (69.43%) 10 Year $1,435 43.53% $3,449 (244.93%) Price-adjusted return. Includes the Solventum distribution.
Both stocks underperformed the S&P 500 dramatically over a decade. Reinvested dividends would meaningfully improve AT&T’s tally given its long stretch as a high-yielder, but neither comes close to the index. Holding through the 2018 to 2023 grind required patience most investors do not have.
What to Do Today Putting $1,000 into AT&T today would be the choice for income and stability. The Q1 2026 earnings report — $31.51 billion in revenue and $0.57 adjusted EPS — plus the $45 billion shareholder return commitment through 2028 and a 4.24% yield at an 8 P/E, make this a credible cash-return story. Investors may want to avoid it if rising leverage from the $23 billion EchoStar spectrum deal pushes net debt past management’s comfort zone.
3M looks attractive for investors who trust Brown’s margin expansion, with 2026 guidance of $8.50 to $8.70 adjusted EPS, and PFAS manufacturing finally exited. The residual $10.3 billion PFAS settlement obligations and the risk that Combat Arms tail liabilities turn into fresh charges would be reasons for investors to step away.
The verdict: AT&T’s risk/reward looks tighter and more visible. 3M is the higher-variance bet on an industrial turnaround that is working but not finished. Neither owes long-term holders a comeback, and that is the lesson. Aristocrat status describes the past.
Key Takeaways SWK tops Q1 estimates with 6.7% EPS growth and 2.7% sales rise, driven by Engineered Fastening strength.Tools & Outdoor sees organic decline, while Engineered Fastening posts 10% growth and 7% organic gains.SWK raises 2026 EPS outlook and targets stronger free cash flow despite margin pressure and EBITDA dip. Stanley Black & Decker, Inc. (SWK - Free Report) reported first-quarter 2026 adjusted earnings of 80 cents per share, which beat the Zacks Consensus Estimate of 61 cents. The bottom line increased 6.7% year over year.
Stanley Black’s net sales of $3.85 billion beat the consensus estimate of $3.74 billion. The top line increased 2.7% from the year-ago quarter.
Stanley Black’s Segmental DiscussionEffective from the first quarter of 2025, SWK has renamed the Industrial segment as the Engineered Fastening segment. It had no impact on the company's consolidated financial statements or segment results.
Revenues from the company’s primary segment, Tools & Outdoor, totaled $3.34 billion, which increased 2% from the year-ago quarter. However, the segment’s organic revenues decreased 1%. Our estimate was $3.29 billion.
Revenues from the Engineered Fastening segment grossed $511 million, up 10% year over year. The segment’s organic revenues increased 7%. Our estimate was $459.3 million.
SWK’s Margin ProfileStanley Black’s cost of sales was up 2.5% year over year to $2.69 billion. The gross profit increased 3.3% year over year to $1.16 billion. The gross margin increased 20 basis points (bps) year over year to 30.1%.
Selling, general and administrative expenses increased 2% year over year to $884.0 million. Adjusted EBITDA was $354.7 million, indicating a year-over-year decrease of 2%. The margin decreased 50 bps to 9.2%.
SWK’s Balance Sheet and Cash FlowWhile exiting the first quarter, Stanley Black had cash and cash equivalents of $333.7 million compared with $280.1 million at the end of fourth-quarter 2025. The long-term debt balance was $4.70 billion, in line with the figure reported at the end of fourth-quarter 2025.
In the first three months of 2026, net cash used for operating activities was $388.8 million compared with $420 million used in the year-ago period. Capital and software expenditures totaled $58.5 million, down from $65 million reported in the year-ago period. Free cash flow (before dividends) was ($447.3) million compared with ($485.0) million a year ago.
In the first three months of 2026, SWK paid out dividends worth $126 million to its shareholders, up 1.2% from the year-ago period.
SWK’s 2026 GuidanceStanley Black updated its 2026 guidance. The company now anticipates earnings to be $4.15-$5.35 per share compared with $3.15-$4.35 expected earlier. Adjusted earnings are projected to be $4.90-$5.70 per share. The company targets to generate annual free cash flow (non-GAAP) of $700-$900 million, increasing 16% at the midpoint.
SWK’s Zacks RankPerformance of Other CompaniesGraco Inc. (GGG - Free Report) posted quarterly earnings of 66 cents per share in the first quarter of 2026, missing the Zacks Consensus Estimate of 75 cents per share. This compares with earnings of 70 cents per share a year ago.
Graco posted revenues of $540.1 million for the quarter, missing the Zacks Consensus Estimate by 3.5%. This compares with year-ago revenues of $528.3 million.
Danaher Corporation’s (DHR - Free Report) first-quarter 2026 adjusted earnings of $2.06 per share beat the Zacks Consensus Estimate of $1.95. The bottom line increased 9.6% year over year.
Danaher reported net sales of $5.95 billion, which missed the consensus estimate of $5.99 billion. However, the metric increased 3.5% year over year.
3M Company (MMM - Free Report) delivered adjusted earnings of $2.14 per share in the first quarter of 2026, which surpassed the Zacks Consensus Estimate of $2.02. The bottom line increased 14% year over year.
MMM’s adjusted revenues of $6.00 billion missed the consensus estimate of $6.02 billion. On an adjusted basis, organic revenues increased 1.2% year over year.
Last summer, Clorox (CLX 1.51%) increased its quarterly dividend to $1.24 per share, marking its 48th consecutive annual dividend increase. That puts Clorox on track to reach the coveted 50-year dividend streak milestone and join a list of fewer than 60 other companies that can rightly be called Dividend Kings.
Clorox's aspirational regal standing, paired with its whopping 5.7% dividend yield, makes it a seemingly no-brainer buy for passive income. But Clorox has a lot of work to do if it wants to attain and retain its status as a Dividend King.
Clorox could be an incredible value stock for patient investors, but it has some red flags that are worth considering before you buy.
Image source: Getty Images.
Not all Dividend Kings stay on the throne To consistently raise a dividend year after year, a company has to grow its earnings and free cash flow (FCF). If earnings growth stalls or declines, the dividend will eventually become unaffordable, and a company will either have to stop raising its payout or cut the dividend.
3M (MMM +0.26%) is a recent example of a former Dividend King that slashed its payout in 2024. The decision to do so turned out to be the right one, as 3M freed up much-needed cash to turn the business around, and the stock has rebounded accordingly. In comparison, Coca-Cola (KO +0.13%) is about as reliable a Dividend King as you can find, thanks to its elite brand recognition, global exposure, high margins from an efficient supply chain, and consistent demand regardless of the market cycle.
Clorox continues to raise its dividend despite falling earnings and FCF -- making it more like 3M prior to its dividend cut than a stable stalwart like Coca-Cola. In the nine months ended March 31, 2026, Clorox paid $452 million in dividends but only generated $161 million in FCF. When adjusting for a one-time $476 million purchase for a larger interest in its Glad bags and wraps business, Clorox generated $637 billion in FCF, which easily covers the dividend. Similarly, adjusted earnings per share of $1.64 exceed the $1.24 dividend payment.
But as you can see in the following chart, Clorox's sales have been declining (partially due to divestitures), and its margin recovery has reversed course.
CLX Revenue (TTM) data by YCharts.
Although margins have recovered from their lows, they are still down from pre-pandemic levels. In the meantime, Clorox's balance sheet is in its worst shape in a decade, as net long-term debt and leverage ratios have skyrocketed -- corresponding with its falling stock price.
CLX data by YCharts.
A shaky reign in the making Clorox is doing a good job with its cost-cutting efforts, such as lower advertising investments and selling and administrative expenses to offset higher manufacturing and logistics costs. In February, Clorox completed its five-year, $580 million transition to a new enterprise resource planning system to boost efficiency. Those efforts are a step in the right direction to make Clorox a better-run company. But ultimately, its long-term growth depends on how its brands resonate with consumers, and if they are differentiated enough to retain pricing power despite competition from other name brands and private labels.
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At just 15.7 times forward earnings, value investors who are confident in the staying power of Clorox's brands may want to buy the stock. However, Clorox has a long way to go to gain the credibility of rock-solid stocks like Coca-Cola, even if it technically becomes a Dividend King in the next 15 months.
Multi-source agreement will accelerate open standards for optical connectivity
, /PRNewswire/ -- 3M (NYSE: MMM) today announced it has joined a group of leading technology companies to establish a new multi-source agreement (MSA) focused on advancing open, interoperable specifications for expanded beam optical (EBO) connectivity in AI infrastructure. Expanded beam optical technology is increasingly seen as a critical enabler for AI infrastructure, offering advantages in reliability, ease of maintenance, and performance in high-density environments. As hyperscale and enterprise AI deployments grow, standardized approaches to optical connectivity are expected to play a key role in reducing complexity and accelerating time to deployment.
3M has joined a coalition of leading technology companies to establish a multi-source agreement (MSA) advancing open, interoperable expanded beam optical (EBO) connectivity standards for AI infrastructure. The MSA brings together industry leaders including 3M, Accelink, Aperion, AMD, Amphenol, Arista Networks, Cisco, Meta, Molex, Nexthop-ai, Oracle, Senko, Source Photonics, Sumitomo, TE Connectivity, viaPhoton, and Xscape Photonics to collaboratively develop standardized specifications for a range of EBO connector solutions. The effort is designed to accelerate deployment of high-performance optical interconnects required to support the rapid scaling of AI data centers.
"As AI workloads scale, the physical layer of data centers is being pushed to new limits — requiring optical connectivity solutions that are not only high-performance, but also interoperable and scalable across a growing ecosystem," said Alex An, vice president, 3M data center vertical. "By participating in this MSA, 3M is helping enable an open, standards-based approach that can accelerate adoption, improve reliability, and support the next generation of AI infrastructure."
The MSA will provide a collaborative framework for members to contribute to a shared specification covering multiple EBO connector configurations.
"The increasing bandwidth density and scale of AI networks are driving the need for a highly resilient Layer 1, which today relies on multi-fiber physical contact connectors," said Rajagopal Subramaniyan, senior vice president, OCI networking, Oracle. "Strict connector hygiene requirements slow network builds and add operational overhead for ongoing link triage. Expanded beam technology can overcome these bottlenecks, enabling more resilient cluster topologies and future rack-scale optical architectures. Reflecting Oracle's commitment to innovation and industry leadership, we are pleased to serve as co-chair in the formation of the EBO MSA, which is essential to establishing a diverse supplier ecosystem for hyperscale cloud and AI operators."
3M's participation in the MSA builds on its broader commitment to advancing data center innovation through materials science — including solutions that help enable reliable connectivity, manage heat and power, and support resilient infrastructure at scale. As momentum builds across the ecosystem, additional contributors to the MSA are underscoring the importance of open, standardized approaches to expanded beam connectivity.
"As optical data networks scale and evolve rapidly, the industry faces increasing demand for solutions that deliver not only high performance, but also reliability and ease of deployment and operation," said Jim Hasegawa, president of the Optical Communications Division at SENKO Advanced Components, Inc. "Expanded beam optical technology directly addresses these needs, especially as the industry moves toward open, consistent standards that enable seamless integration across transceivers, backplanes, and cable assemblies."
The MSA is open to additional members across the data center and networking ecosystem. The initial technical working group has begun development of the first connector specification. More information can be found at www.ebomsa.org, or by contacting the EBO MSA administrator and co-chair, Richard Ward, at [email protected].
About 3M
3M (NYSE: MMM) is focused on transforming industries around the world by applying science and creating innovative, customer-focused solutions. Our multi-disciplinary team is working to solve tough customer problems by leveraging diverse technology platforms, differentiated capabilities, global footprint, and operational excellence. Discover how 3M is shaping the future at 3M.com/news.
• 3M stock is trading near recent lows. What’s next for MMM stock?
AI Infrastructure Connectivity InitiativeThe group will collaborate on interoperable specifications for EBO connector solutions designed for AI data centers.
Focus On Standardization and ScalabilityThe initiative aims to support high-performance optical interconnects, reduce deployment complexity and accelerate scaling of hyperscale and enterprise AI infrastructure.
The initial technical working group has already begun developing its first connector specification.
3M said expanded beam optical technology offers advantages in reliability, maintenance and performance in high-density environments. The MSA is also open to additional members across the data center and networking ecosystem.
Executive Commentary and Strategy"As AI workloads scale, the physical layer of data centers is being pushed to new limits — requiring optical connectivity solutions that are not only high-performance, but also interoperable and scalable across a growing ecosystem," said Alex An, vice president of 3M's data center vertical.
3M said the initiative aligns with its broader data center strategy focused on connectivity, heat and power management, and resilient infrastructure solutions.
MMM Technical Analysis: Trend, Momentum, and Key Levels3M’s stock has been trending downward, currently sitting at $142.16, which is 5.41% lower over the past 12 months.
The stock is trading 3% below its 20-day simple moving average (SMA) of $146.57 and 4% below its 50-day SMA of $148.19, indicating a bearish trend.
The moving average convergence divergence (MACD) is below its signal line, suggesting momentum is fading and may limit any upside unless the stock can reclaim that baseline.
Key Resistance: $158.50 — Nearby level where rebounds can stall. Key Support: $141.50 — Nearby level where buyers previously stepped in. 3M Earnings Preview: Next Update Date and Analyst Estimates3M Company is slated to provide its next financial update on July 17 (estimated).
EPS Estimate: $2.23 (Up from $2.16) Revenue Estimate: $6.38 billion (Up from $6.16 billion) Valuation: P/E of 27.6x (Indicates premium valuation) Analyst Consensus & Recent Actions: The stock carries a Hold rating with a consensus price target of $155. Recent analyst moves include:
Wells Fargo: Overweight (Raises target to $165 on April 22) RBC Capital: Underperform (Lowers target to $133 on April 22) Citigroup: Neutral (Lowers target to $166 on April 13) How 3M Ranks On Value, Growth, Quality and MomentumBelow is the Benzinga Edge scorecard for 3M, highlighting its strengths and weaknesses compared to the broader market:
Value: Weak (Score: 27.54) — Trading at a steep premium relative to peers. Growth: Neutral (Score: 53.64) — Moderate growth potential in current market conditions. Quality: Strong (Score: 75.41) — Solid fundamentals and operational efficiency. Momentum: Weak (Score: 13.5) — Stock is underperforming the broader market. The Verdict: 3M's Benzinga Edge signal showed strong quality metrics but weak momentum and value rankings, pointing to solid fundamentals amid softer stock performance.
MMM Stock Price Activity: 3M shares were down 0.45% at $142.70 at the time of publication on Tuesday, according to Benzinga Pro data.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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