AT&T (NYSE:T) Trading 2.3% Higher - Here's Why

Key Points

• AT&T shares rose 2.3% in mid-day trading, with unusually heavy volume of about 65.9 million shares, suggesting strong investor interest in the name.
• Recent analyst commentary was mixed but still broadly supportive: Morgan Stanley cut its price target to $25 from $30 but kept an overweight rating, while consensus remains a Moderate Buy with an average target of $30.23.
• The company continues to lean on its value and income appeal, highlighted by a 5.3% dividend yield, recent earnings that beat estimates, and a new 5G mobility trial with Ericsson and MediaTek that could support network performance.

AT&T Inc. (NYSE:T - Get Free Report) shot up 2.3% during mid-day trading on Tuesday . The stock traded as high as $21.27 and last traded at $21.0530. Approximately 65,921,099 shares were traded during mid-day trading, an increase of 39% from the average daily volume of 47,559,340 shares. The stock had previously closed at $20.58.

More AT&T News

Here are the key news stories impacting AT&T this week:

• Positive Sentiment: Morgan Stanley cut its price target on AT&T to $25 from $30, but kept an overweight rating, signaling it still sees upside from current levels despite the lower target. Benzinga
• Positive Sentiment: New coverage highlighting AT&T as a long-term value stock may be reinforcing the view that the shares are attractive for investors focused on cash flow, valuation, and dividend support. Zacks
• Positive Sentiment: AT&T, Ericsson and MediaTek completed North America’s first in-field trial of enhanced 5G mobility features, which could improve network reliability and support better user experience for latency-sensitive services. PR Newswire
• Neutral Sentiment: AT&T’s expanded Build-A-Plan offering adds more bundle flexibility for wireless and home internet customers, which supports its strategy but is not an immediate catalyst on its own. Yahoo Finance
• Neutral Sentiment: Several articles ahead of AT&T’s upcoming earnings date are keeping attention on the stock, but they mainly reflect anticipation rather than a confirmed business update. Motley Fool
• Negative Sentiment: Recent commentary also notes AT&T’s weak share performance over the past year, along with concerns about debt, competition and heavy capital spending, which may be limiting enthusiasm. Zacks

Analyst Upgrades and Downgrades

A number of research firms recently commented on T. Wall Street Zen upgraded shares of AT&T from a "sell" rating to a "hold" rating in a report on Saturday, June 20th. BNP Paribas Exane lowered their price target on AT&T from $28.00 to $26.00 and set a "neutral" rating for the company in a research note on Thursday, April 23rd. Royal Bank Of Canada reaffirmed an "outperform" rating and issued a $31.00 price target on shares of AT&T in a research report on Wednesday, May 20th. Morgan Stanley cut their target price on shares of AT&T from $30.00 to $25.00 and set an "overweight" rating for the company in a research report on Tuesday. Finally, Weiss Ratings lowered AT&T from a "buy (b)" rating to a "buy (b-)" rating in a report on Friday, May 29th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have given a Hold rating to the company. According to MarketBeat.com, AT&T presently has a consensus rating of "Moderate Buy" and an average target price of $30.23.

AT&T Trading Up 2.3%

The business's fifty day moving average is $23.89 and its two-hundred day moving average is $25.52. The company has a quick ratio of 0.87, a current ratio of 0.92 and a debt-to-equity ratio of 1.05. The firm has a market cap of $146.28 billion, a price-to-earnings ratio of 7.06, a price-to-earnings-growth ratio of 0.84 and a beta of 0.24.

AT&T (NYSE:T - Get Free Report) last announced its quarterly earnings data on Wednesday, April 22nd. The technology company reported $0.57 EPS for the quarter, topping analysts' consensus estimates of $0.55 by $0.02. The business had revenue of $31.51 billion during the quarter, compared to analysts' expectations of $31.29 billion. AT&T had a return on equity of 12.49% and a net margin of 16.94%.The firm's quarterly revenue was up 2.9% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.51 earnings per share. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS. Equities analysts anticipate that AT&T Inc. will post 2.31 earnings per share for the current fiscal year.

AT&T Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, August 3rd. Stockholders of record on Friday, July 10th will be issued a dividend of $0.2775 per share. The ex-dividend date of this dividend is Friday, July 10th. This represents a $1.11 dividend on an annualized basis and a dividend yield of 5.3%. AT&T's dividend payout ratio (DPR) is currently 37.25%.

Institutional Investors Weigh In On AT&T

Several institutional investors and hedge funds have recently bought and sold shares of T. Rachor Investment Advisory Services LLC bought a new position in shares of AT&T during the fourth quarter valued at $25,000. Safe Harbor Fiduciary LLC bought a new stake in AT&T in the fourth quarter worth approximately $25,000. Cresta Advisors Ltd. acquired a new position in AT&T in the fourth quarter valued at approximately $26,000. Blueline Advisors LLC bought a new position in shares of AT&T during the 4th quarter worth approximately $26,000. Finally, Winnow Wealth LLC grew its position in shares of AT&T by 362.8% during the 4th quarter. Winnow Wealth LLC now owns 1,046 shares of the technology company's stock worth $26,000 after buying an additional 820 shares during the period. Institutional investors own 57.10% of the company's stock.

About AT&T

AT&T Inc is a global telecommunications company that provides a broad range of communications and digital entertainment services. Its core activities include consumer and business wireless services, broadband and fiber internet, and network infrastructure. The company operates branded wireless services through AT&T Mobility and deploys fixed-line and fiber networks to deliver high-speed internet and related home services.

AT&T's product and service portfolio spans mobile voice and data plans, smartphones and device sales, home internet (including fiber-to-the-home where available), and managed connectivity solutions for enterprise customers.

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