Stock Traders Buy High Volume of Call Options on AT&T (NYSE:T)

Key Points

• Unusual options activity: Traders bought 88,823 AT&T call options on Friday, about 42% above the stock’s typical daily call volume, signaling elevated bullish interest.
• Solid quarterly results: AT&T reported adjusted EPS of $0.65, beating expectations of $0.59, though revenue of $31.56 billion came in slightly below estimates. The company also raised confidence with FY 2026 EPS guidance of 2.25 to 2.35.
• Mixed analyst backdrop: Several firms remain constructive after earnings, citing improving wireless execution and fiber-led growth, but some have trimmed price targets. Argus cut its target to $30 from $33, even while keeping a Buy rating.

AT&T Inc. (NYSE:T - Get Free Report) saw some unusual options trading on Friday. Stock traders acquired 88,823 call options on the stock. This represents an increase of 42% compared to the typical daily volume of 62,428 call options.

Hedge Funds Weigh In On AT&T

Several institutional investors have recently made changes to their positions in the business. Norges Bank bought a new position in AT&T in the 4th quarter worth approximately $2,181,977,000. Amundi boosted its position in shares of AT&T by 67.5% during the third quarter. Amundi now owns 42,295,492 shares of the technology company's stock worth $1,094,184,000 after acquiring an additional 17,040,328 shares during the last quarter. Alyeska Investment Group L.P. increased its holdings in AT&T by 620.8% in the 4th quarter. Alyeska Investment Group L.P. now owns 11,891,778 shares of the technology company's stock valued at $295,392,000 after acquiring an additional 10,241,949 shares during the last quarter. State Street Corp grew its position in shares of AT&T by 2.6% during the fourth quarter. State Street Corp now owns 332,089,723 shares of the technology company's stock valued at $8,249,109,000 after purchasing an additional 8,314,678 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership boosted its stake in AT&T by 49.2% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 25,155,597 shares of the technology company's stock valued at $624,865,000 after buying an additional 8,297,201 shares during the last quarter. Institutional investors own 57.10% of the company's stock.

AT&T News Summary

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

• Positive Sentiment: AT&T beat second-quarter earnings estimates, reporting adjusted EPS of $0.65 versus expectations of $0.59, which helped lift sentiment around the stock. Why AT&T Stock Rallied Today
• Positive Sentiment: Analysts turned more constructive after the quarter, saying AT&T’s wireless execution was strong, subscriber growth was solid, and concerns about SpaceX/Starlink competition may be overblown. AT&T Stock Gets Upgraded. SpaceX Worries Are Overblown.
• Positive Sentiment: Wolfe Research upgraded AT&T after earnings, reinforcing the view that the company’s core business trends are improving. Wolfe Research Just Upgraded AT&T Stock. Here's Why.
• Positive Sentiment: Commentary from the Q2 earnings call highlighted a fiber-led growth path, margin expansion, and faster buybacks, which supports the long-term investment case. T Q2 Earnings Call Points to Fiber-Led Growth Path
• Neutral Sentiment: AT&T continues to be discussed as a momentum stock and as attractively valued, but those views mostly reinforce the existing thesis rather than add a new near-term catalyst. Here's Why AT&T (T) is a Strong Momentum Stock
• Neutral Sentiment: AT&T’s 2026 outlook still depends on fiber, 5G, and bundling growth, but investors remain aware of risks from wireless promotions, legacy declines, and heavy capital spending. AT&T Stock Outlook Hinges on Fiber Growth and Wireless Risks in 2026
• Negative Sentiment: Argus trimmed its price target on AT&T from $33 to $30, which may temper some of the post-earnings enthusiasm despite keeping a Buy rating. AT&T had its price target lowered by Argus

AT&T Stock Performance

T stock traded up $1.13 on Friday, hitting $24.09. The company had a trading volume of 56,821,836 shares, compared to its average volume of 51,051,695. The stock has a market cap of $167.40 billion, a price-to-earnings ratio of 7.97, a P/E/G ratio of 0.91 and a beta of 0.24. The company has a current ratio of 0.97, a quick ratio of 0.87 and a debt-to-equity ratio of 1.06. The stock's 50-day simple moving average is $22.79 and its 200 day simple moving average is $25.24. AT&T has a 12-month low of $19.89 and a 12-month high of $29.79.

AT&T (NYSE:T - Get Free Report) last released its quarterly earnings results on Wednesday, July 22nd. The technology company reported $0.65 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.59 by $0.06. AT&T had a return on equity of 12.86% and a net margin of 16.94%.The firm had revenue of $31.56 billion for the quarter, compared to the consensus estimate of $31.80 billion. During the same period last year, the business posted $0.54 EPS. The company's revenue for the quarter was up 2.3% on a year-over-year basis. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS. As a group, equities research analysts expect that AT&T will post 2.31 earnings per share for the current fiscal year.

AT&T Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, August 3rd. Shareholders of record on Friday, July 10th will be given a $0.2775 dividend. This represents a $1.11 annualized dividend and a yield of 4.6%. The ex-dividend date of this dividend is Friday, July 10th. AT&T's dividend payout ratio (DPR) is presently 37.25%.

Analyst Ratings Changes

Several brokerages have commented on T. Oppenheimer lowered AT&T from an "outperform" rating to a "market perform" rating in a research report on Wednesday, June 3rd. Scotiabank lowered their price target on shares of AT&T from $31.00 to $29.25 and set a "sector perform" rating for the company in a research report on Wednesday, July 15th. BNP Paribas Exane decreased 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. Wall Street Zen upgraded AT&T from a "sell" rating to a "hold" rating in a research note on Saturday, June 20th. Finally, Barclays reduced their price target on AT&T from $26.00 to $24.00 and set an "equal weight" rating for the company in a report on Wednesday, July 8th. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $29.19.

AT&T Company Profile

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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