AT&T (NYSE:T) Trading Down 1.3% - Should You Sell?

Key Points

• AT&T shares fell 1.3% to $25.24 on Thursday with volume slightly below average, while Wall Street maintains a Moderate Buy consensus and a consensus price target of $30.55.
• The company beat quarterly estimates — $0.57 EPS vs $0.55 and revenue of $31.51B (up 2.9% YoY) — and set FY2026 guidance of $2.25–$2.35 EPS (analysts expect ~2.31).
• AT&T offers a sizable income profile with a $1.11 annualized dividend (yield ~4.4%) and trades at about P/E 8.47 (PEG ~0.95), signaling a relatively low valuation for income-oriented investors.

AT&T Inc. (NYSE:T - Get Free Report) shares dropped 1.3% on Thursday . The stock traded as low as $25.12 and last traded at $25.2410. Approximately 41,756,160 shares traded hands during trading, a decline of 3% from the average daily volume of 43,033,074 shares. The stock had previously closed at $25.57.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on T. Royal Bank Of Canada reiterated an "outperform" rating and issued a $31.00 target price on shares of AT&T in a research note on Thursday, February 12th. Wells Fargo & Company reduced their price objective on AT&T from $29.00 to $27.00 and set an "overweight" rating for the company in a report on Monday, January 26th. Barclays decreased their target price on AT&T from $28.00 to $26.00 and set an "equal weight" rating for the company in a research report on Tuesday, January 13th. Citigroup lifted their price objective on AT&T from $29.00 to $31.50 and gave the stock a "buy" rating in a report on Monday, March 23rd. Finally, BNP Paribas Exane reduced their target price on shares of AT&T from $28.00 to $26.00 and set a "neutral" rating for the company in a research note on Thursday, April 23rd. One analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and seven have given a Hold rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $30.55.

AT&T Stock Performance

The stock has a market capitalization of $175.38 billion, a P/E ratio of 8.47, a PEG ratio of 0.95 and a beta of 0.23. 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 company has a 50-day moving average price of $27.42 and a two-hundred day moving average price of $26.04.

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

AT&T Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, May 1st. Stockholders of record on Friday, April 10th were issued a $0.2775 dividend. The ex-dividend date of this dividend was Friday, April 10th. This represents a $1.11 annualized dividend and a dividend yield of 4.4%. AT&T's dividend payout ratio is presently 37.25%.

Institutional Investors Weigh In On AT&T

Several large investors have recently added to or reduced their stakes in T. Scarborough Advisors LLC increased its position in shares of AT&T by 17.2% in the first quarter. Scarborough Advisors LLC now owns 42,504 shares of the technology company's stock worth $1,232,000 after purchasing an additional 6,224 shares during the last quarter. Parallel Advisors LLC raised its position in shares of AT&T by 5.5% during the 1st quarter. Parallel Advisors LLC now owns 164,289 shares of the technology company's stock valued at $4,763,000 after buying an additional 8,523 shares in the last quarter. Resolute Wealth Strategies LLC lifted its holdings in shares of AT&T by 1.2% during the 1st quarter. Resolute Wealth Strategies LLC now owns 133,389 shares of the technology company's stock worth $3,867,000 after acquiring an additional 1,541 shares during the last quarter. AlphaCentric Advisors LLC lifted its holdings in shares of AT&T by 53.5% during the 1st quarter. AlphaCentric Advisors LLC now owns 17,619 shares of the technology company's stock worth $511,000 after acquiring an additional 6,138 shares during the last quarter. Finally, True North Advisors LLC purchased a new position in AT&T in the first quarter worth $221,000. 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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