Pinnacle Associates Ltd. Sells 62,015 Shares of AT&T Inc. $T

Key Points

• Pinnacle Associates reduced its AT&T position by 13.9%, selling 62,015 shares and retaining 384,890 shares valued at approximately $9.4 million. Institutional investors collectively own 57.1% of AT&T.
• AT&T reported stronger-than-expected third-quarter results, with adjusted EPS of $0.65 and revenue of $32.32 billion, driven by fiber, fixed-wireless, and wireless customer growth. Management raised its 2026 adjusted EPS outlook to about $2.40 and plans roughly $10 billion in share repurchases.
• Despite the earnings beat, AT&T faces concerns over a $2.6 billion Mexico impairment, approximately $149.8 billion in net debt, and slower deleveraging. The stock opened at $21.95, while analysts maintain a “Moderate Buy” consensus with an average price target of $28.89; its quarterly dividend implies a 5.1% yield.

Pinnacle Associates Ltd. lowered its position in shares of AT&T Inc. (NYSE:T - Free Report) by 13.9% during the 3rd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 384,890 shares of the technology company's stock after selling 62,015 shares during the quarter. Pinnacle Associates Ltd.'s holdings in AT&T were worth $9,391,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. State Street Corp grew its holdings in shares of AT&T by 5.8% in the second quarter. State Street Corp now owns 334,273,613 shares of the technology company's stock valued at $6,919,464,000 after acquiring an additional 18,468,679 shares in the last quarter. Bank of America Corp DE lifted its holdings in AT&T by 4.6% during the first quarter. Bank of America Corp DE now owns 125,191,700 shares of the technology company's stock worth $3,629,307,000 after acquiring an additional 5,449,222 shares during the period. Bank of New York Mellon Corp lifted its holdings in AT&T by 3.5% during the second quarter. Bank of New York Mellon Corp now owns 75,323,574 shares of the technology company's stock worth $1,559,198,000 after acquiring an additional 2,559,065 shares during the period. GQG Partners LLC bought a new stake in AT&T during the second quarter worth $1,223,364,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in AT&T by 2.5% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 55,616,152 shares of the technology company's stock worth $1,151,254,000 after purchasing an additional 1,336,556 shares during the last quarter. Hedge funds and other institutional investors own 57.10% of the company's stock.

Key Headlines Impacting AT&T

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

• Positive Sentiment: AT&T reported adjusted third-quarter EPS of $0.65 and revenue of $32.32 billion, exceeding consensus estimates. Revenue increased approximately 5.2% year over year. Stock Market Today, Oct. 21: AT&T Beats Earnings on Strong Fiber Growth, Raises 2026 Profit Outlook
• Positive Sentiment: Growth was led by record Advanced Connectivity additions of 769,000, including 442,000 fiber and 327,000 fixed-wireless customers, along with 379,000 postpaid phone net additions. AT&T also added more than 1 million advanced-connectivity customers for a second consecutive quarter. T Q3 Earnings Beat Estimates on Fiber and Wireless Growth
• Positive Sentiment: Management raised its 2026 adjusted EPS outlook to approximately $2.40, maintained its long-term double-digit adjusted-earnings growth target, and plans roughly $10 billion in 2026 share repurchases. It also lowered planned annual capital investment for 2027 and 2028 to $22 billion-$23 billion. AT&T raises 2026 earnings outlook as fibre and wireless growth accelerates
• Neutral Sentiment: AT&T CEO John Stankey downplayed the threat from SpaceX’s Starlink Mobile, saying low-Earth-orbit networks are particularly useful for rural coverage. However, investors remain concerned that satellite competition could pressure wireless subscriber growth, pricing, and promotional spending. AT&T's CEO throws shade at Musk's Starlink mobile ambitions
• Negative Sentiment: Reported results included a $2.6 billion noncash impairment tied to the Mexico wireless business, while net debt rose to approximately $149.8 billion following the EchoStar spectrum transaction. Management now expects to return to its 2.5-times net-debt-to-adjusted-EBITDA target during 2029, signaling slower deleveraging than some investors expected. AT&T Slides After Earnings as Investors Focus on Debt, Spending and an Impairment Charge

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. Scotiabank reduced their price objective on AT&T from $27.50 to $26.50 and set a "sector perform" rating for the company in a research note on Friday, October 9th. The Goldman Sachs Group set a $27.00 target price on AT&T in a research report on Wednesday. Argus lowered their target price on AT&T from $33.00 to $30.00 and set a "buy" rating on the stock in a research note on Thursday, July 23rd. Wolfe Research upgraded AT&T from a "peer perform" rating to an "outperform" rating and set a $29.00 target price on the stock in a research note on Thursday, July 23rd. Finally, Weiss Ratings raised shares of AT&T from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, August 3rd. Eleven investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $28.89.

AT&T Stock Down 6.3%

T opened at $21.95 on Thursday. AT&T Inc. has a twelve month low of $19.89 and a twelve month high of $29.43. The company's 50-day moving average price is $24.90 and its two-hundred day moving average price is $24.29. The stock has a market cap of $150.38 billion, a price-to-earnings ratio of 7.27, a PEG ratio of 1.14 and a beta of 0.25. The company has a quick ratio of 0.93, a current ratio of 0.97 and a debt-to-equity ratio of 1.06.

AT&T (NYSE:T - Get Free Report) last issued its quarterly earnings results on Wednesday, October 21st. The technology company reported $0.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.60 by $0.05. AT&T had a net margin of 16.94% and a return on equity of 12.86%. The company had revenue of $32.32 billion during the quarter, compared to analyst estimates of $31.69 billion. During the same quarter last year, the business posted $0.54 EPS. AT&T's quarterly revenue was up 5.2% compared to the same quarter last year. As a group, equities analysts expect that AT&T Inc. will post 2.33 earnings per share for the current year.

AT&T Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, November 2nd. Investors of record on Monday, October 12th will be paid a $0.2775 dividend. The ex-dividend date is Friday, October 9th. This represents a $1.11 annualized dividend and a yield of 5.1%. AT&T's dividend payout ratio is presently 36.75%.

About AT&T

AT&T Inc NYSE: T is a telecommunications company that provides wireless communications, broadband, and related connectivity services. Its offerings include mobile voice and data plans, internet access, fiber broadband, fixed wireless services, and business communications solutions.

The company serves consumers, businesses, government agencies, and other organizations primarily in the United States. AT&T’s business operations include wireless network services, wireline connectivity, fiber-optic internet, voice services, and networking solutions designed to connect locations, devices, and applications.

AT&T traces its history to the Bell System and has operated under its current corporate name since 2005, following the acquisition of AT&T Corp.

Want to see what other hedge funds are holding T? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for AT&T Inc. (NYSE:T - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.