T Relative Valuation
T's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, T is overvalued; if below, it's undervalued.
Historical Valuation
AT&T Inc (T) is now in the Overvalued zone, suggesting that its current forward PE ratio of 11.70 is considered Overvalued compared with the five-year average of 8.91. The fair price of AT&T Inc (T) is between 18.05 to 25.17 according to relative valuation methord. Compared to the current price of 25.32 USD , AT&T Inc is Overvalued By 0.6%.
Relative Value
Fair Zone
18.05-25.17
Current Price：25.32
0.6%
Overvalued
11.73
PE
1Y
3Y
5Y
Trailing
Forward
7.16
EV/EBITDA
AT&T Inc. (T) has a current EV/EBITDA of 7.16. The 5-year average EV/EBITDA is 7.34. The thresholds are as follows: Strongly Undervalued below 5.85, Undervalued between 5.85 and 6.59, Fairly Valued between 8.08 and 6.59, Overvalued between 8.08 and 8.82, and Strongly Overvalued above 8.82. The current Forward EV/EBITDA of 7.16 falls within the Historic Trend Line -Fairly Valued range.
12.84
EV/EBIT
AT&T Inc. (T) has a current EV/EBIT of 12.84. The 5-year average EV/EBIT is 13.30. The thresholds are as follows: Strongly Undervalued below 10.00, Undervalued between 10.00 and 11.65, Fairly Valued between 14.94 and 11.65, Overvalued between 14.94 and 16.59, and Strongly Overvalued above 16.59. The current Forward EV/EBIT of 12.84 falls within the Historic Trend Line -Fairly Valued range.
1.42
PS
AT&T Inc. (T) has a current PS of 1.42. The 5-year average PS is 1.20. The thresholds are as follows: Strongly Undervalued below 0.77, Undervalued between 0.77 and 0.98, Fairly Valued between 1.41 and 0.98, Overvalued between 1.41 and 1.63, and Strongly Overvalued above 1.63. The current Forward PS of 1.42 falls within the Overvalued range.
4.25
P/OCF
AT&T Inc. (T) has a current P/OCF of 4.25. The 5-year average P/OCF is 4.03. The thresholds are as follows: Strongly Undervalued below 2.46, Undervalued between 2.46 and 3.24, Fairly Valued between 4.81 and 3.24, Overvalued between 4.81 and 5.59, and Strongly Overvalued above 5.59. The current Forward P/OCF of 4.25 falls within the Historic Trend Line -Fairly Valued range.
10.30
P/FCF
AT&T Inc. (T) has a current P/FCF of 10.30. The 5-year average P/FCF is 8.45. The thresholds are as follows: Strongly Undervalued below 4.70, Undervalued between 4.70 and 6.57, Fairly Valued between 10.32 and 6.57, Overvalued between 10.32 and 12.20, and Strongly Overvalued above 12.20. The current Forward P/FCF of 10.30 falls within the Historic Trend Line -Fairly Valued range.
AT&T Inc (T) has a current Price-to-Book (P/B) ratio of 1.63. Compared to its 3-year average P/B ratio of 1.42 , the current P/B ratio is approximately 14.55% higher. Relative to its 5-year average P/B ratio of 1.30, the current P/B ratio is about 25.01% higher. AT&T Inc (T) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 13.20%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 13.45% , the current FCF yield is about -100.00% lower.
1.63
P/B
Median3y
1.42
Median5y
1.30
11.12
FCF Yield
Median3y
13.20
Median5y
13.45
Competitors Valuation Multiple
The average P/S ratio for T's competitors is 0.76, providing a benchmark for relative valuation. AT&T Inc Corp (T) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 1.64%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of T increased by 14.12% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 0.48 to 31.51.
The secondary factor is the Revenue Growth, contributed 1.64%to the performance.
Overall, the performance of T in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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FAQ
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