AT&T Set to Release Quarterly Results, Focus on Subscriber Growth and Cash Flow
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 12 hours ago
0mins
Source: seekingalpha
- Earnings Expectations: AT&T is projected to report an EPS of $0.55 for the quarter, reflecting an almost 8% increase year-over-year, with revenues expected to reach $31.24 billion, indicating solid performance in the market.
- New Reporting Segments: Starting this quarter, AT&T will report under three segments: 'Advanced Connectivity,' 'Legacy,' and 'Latin America,' aiming to provide clearer insights into the growth potential of its 5G and fiber services, which may enhance investor understanding of the company's operations.
- Acquisition Strategy: AT&T's nearly $6 billion acquisition of Lumen's consumer fiber business and a $23 billion acquisition of EchoStar's spectrum license have garnered positive reactions from analysts and investors, demonstrating the company's commitment to expanding its network and improving service quality.
- Cash Flow Outlook: Free cash flow is expected to exceed $18 billion in 2026, $19 billion in 2027, and $21 billion in 2028, indicating that the company's financial health is set to improve significantly over the next few years.
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Analyst Views on T
Wall Street analysts forecast T stock price to rise
15 Analyst Rating
8 Buy
5 Hold
2 Sell
Moderate Buy
Current: 26.180
Low
20.00
Averages
28.27
High
33.00
Current: 26.180
Low
20.00
Averages
28.27
High
33.00
About T
AT&T Inc. is a holding company. The Company is a provider of telecommunications and technology services globally. The Company’s segments include Communications and Latin America. The Communications segment provides wireless and wireline telecom and broadband services to consumers located in the United States and businesses globally. The business units of the Communication segment include Mobility, Business Wireline, and Consumer Wireline. Mobility provides nationwide wireless service and equipment. Business Wireline provides advanced Ethernet-based fiber services, Internet Protocol (IP) Voice and managed professional services, as well as legacy voice and data services and related equipment, to business customers. Consumer Wireline provides broadband services, including fiber connections. Consumer Wireline provides legacy telephony voice communication services. The Latin America segment provides wireless services and equipment in Mexico.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Industry Dynamics: Boeing's shares have dropped 12% in the last three months and are 14% off their 52-week high, highlighting concerns in the aerospace manufacturing sector.
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- Additional Earnings Announcements: In addition to the major companies, several others, including ABB, BSX, and CME, are also slated to report earnings before Wednesday's open, providing further market insights.
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- New Reporting Segments: Starting this quarter, AT&T will report under three segments: 'Advanced Connectivity,' 'Legacy,' and 'Latin America,' aiming to provide clearer insights into the growth potential of its 5G and fiber services, which may enhance investor understanding of the company's operations.
- Acquisition Strategy: AT&T's nearly $6 billion acquisition of Lumen's consumer fiber business and a $23 billion acquisition of EchoStar's spectrum license have garnered positive reactions from analysts and investors, demonstrating the company's commitment to expanding its network and improving service quality.
- Cash Flow Outlook: Free cash flow is expected to exceed $18 billion in 2026, $19 billion in 2027, and $21 billion in 2028, indicating that the company's financial health is set to improve significantly over the next few years.
See More
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- Fine Overview: In 2024, the FCC imposed nearly $200 million in fines on wireless carriers, including an $80 million fine on T-Mobile, a $57 million fine on AT&T, and a $47 million fine on Verizon, with the legality of these fines now being challenged.
- Legal Procedure Challenge: Verizon and AT&T have paid the fines and filed appeals, with AT&T arguing that the FCC's initial penalty deprived it of its constitutional right to a jury trial, potentially rendering the FCC's internal procedures unconstitutional.
- Court's Conservative Leaning: The Supreme Court has taken a narrow view of federal agency power in several major rulings, with a recent SEC decision declaring that the agency's internal enforcement procedures violate the Seventh Amendment right to a jury trial, suggesting similar scrutiny may apply to the FCC case.
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