AT&T logged higher profit and revenue in the first quarter, boosted in part by an increase in acquired customers.
AT&T (T) shares jumped in premarket trading Wednesday after the telecommunications giant reported first-quarter revenue and net phone subscriber additions above analysts' estimates.
AT&T beat Wall Street estimates for wireless subscriber additions in the first quarter on Wednesday, driven by steady demand for its plans that bundled high-speed fiber services and 5G mobile offerings.
Despite a high debt burden, fierce competition, strength in 5G and fiber, and a customer-oriented approach are key growth drivers for AT&T.
Market overreaction to tariff uncertainties has caused extreme implied volatility (IV) in AT&T stock. The extreme IV is disconnected from T's profit sensitivity to tariff rate changes. T's is domestically focused. Its tariff exposure is thus both indirect and also dampened.
Trump Tariffs are the 900 pound gorilla in this market. Increasing producer costs, they've become a headwind for many companies. AT&T is a notably tariff-resistant stock, as none of its services are considered exports. The company hasn't done much growing historically but is cheap enough to be worth it even if future growth is very modest.
Former Assistant U.S. Attorney General Jonathan Kanter discusses what the ad world could look like following Google's latest loss in court.
AT&T remains a buy with a revised price target of $31.90, representing a 17% upside, supported by strong execution, solid free cash flow, and a focused fiber and wireless strategy. Fiber expansion is key, with the potential acquisition of Lumen's consumer fiber business offering a faster, more capital-efficient path to growth than building from scratch. Q1 2025 earnings preview looks strong, with conservative guidance, positive momentum from Q4, and consistent performance beating expectations over 12 quarters.
AT&T's preferred shares offer a secure income stream with a 6.35% yield, making them attractive for conservative investors seeking stability over capital gains. The company's strong financials, with a net profit of $12.25B and minimal preferred dividend obligations, ensure robust dividend coverage. Series A preferred shares, trading below $20, present a potential 25% capital gain if called, though AT&T is unlikely to rush this.
Besides Wall Street's top -and-bottom-line estimates for AT&T (T), review projections for some of its key metrics to gain a deeper understanding of how the company might have fared during the quarter ended March 2025.
AT&T (T) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
AT&T (T) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.