T gains 4.7% YTD as fiber and wireless growth support momentum, while heavy investment, competition and debt remain key challenges.
AT&T, Inc.'s T consolidated operating income increased 8.3% year over year to $7.04 billion in the second quarter. Adjusted operating income rose to $7.46 billion from $6.49 billion, while adjusted EBITDA improved 5.2% to $12.34 billion.
AT&T (T) is poised for faster growth due to recent bolt-on acquisitions. I remain confident in T's growth and income story. Quarterly free cash flow volatility is less important than a solid, long-term business strategy.
In the latest trading session, AT&T (T) closed at $25.96, marking a +2.06% move from the previous day.
AT&T offers an undervalued, defensive opportunity with an 11x forward P/E and over 4% forward dividend yield. T provides slow but steady top and bottom-line growth, supporting its appeal for long-term, risk-averse investors. Solid fundamentals and outstanding margins suggest potential for multiple expansion if current momentum persists.
AT&T remains a 'strong buy' due to its deeply discounted valuation and robust cash flows. Modest revenue and profitability growth are driven by the Advanced Connectivity segment, notably from fiber expansion and recent acquisitions. Management projects EBITDA growth of 3–4% in 2026, accelerating to 5%+ annually from 2028, despite legacy segment headwinds.
AT&T (T) reported earnings 30 days ago. What's next for the stock?
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AT&T's Advanced Connectivity growth gains traction, fueled by fiber expansion, customer convergence and rising AI-driven network demand.
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AT&T's fiber expansion, wireless gains and bundled services support growth, but high capex, debt and competition raise key concerns.
‘It's something that we feel like we can manage,' says company's chief data and AI officer