(T) AT&T - Overview
Sector: Communication Services | Industry: Telecom Services | Exchange: NYSE (USA) | Market Cap: 172.944m USD | Total Return: -14.5% in 12m
Avg Turnover: 919M
EPS Trend: -96.6%
Qual. Beats: 2
Rev. Trend: 90.4%
Qual. Beats: 0
Warnings
Altman Z'' 1.00 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
No distinct edge detected
AT&T Inc. is a global telecommunications provider operating through its Communications and Latin America segments. The company delivers wireless voice and data services, high-speed fiber broadband, and managed networking solutions to residential, business, and government clients. Its brand portfolio includes AT&T, Cricket, and AT&T Fiber, supported by a retail network of company-owned and third-party stores.
The business model relies on a capital-intensive infrastructure, where recurring revenue from subscription-based wireless and wireline services offsets the high costs of spectrum acquisition and network maintenance. As an Integrated Telecommunication Services provider, AT&T competes in a mature sector characterized by high barriers to entry and significant regulatory oversight.
Investors can further analyze the companys financial health and valuation metrics on ValueRay.
The Latin America segment extends the companys reach into Mexico, offering prepaid and postpaid wireless services under the AT&T and Unefon brands. Headquartered in Dallas, Texas, the firm transitioned from SBC Communications Inc. to its current identity in 2005, maintaining its position as a primary provider of essential digital connectivity.
- Postpaid wireless subscriber growth and low churn rates drive core revenue stability
- Fiber broadband expansion offsets legacy wireline declines and improves long-term margins
- High capital expenditure requirements for 5G buildouts impact free cash flow levels
- Significant debt load and interest rate sensitivity influence dividend sustainability and valuation
- Intense pricing competition among domestic wireless carriers pressures average revenue per user
| Net Income: 21.4b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA -0.78 > 1.0 |
| NWC/Revenue: -3.27% < 20% (prev -11.57%; Δ 8.30% < -1%) |
| CFO/TA 0.09 > 3% & CFO 38.8b > Net Income 21.4b |
| Net Debt (171b) to EBITDA (53.6b): 3.19 < 3 |
| Current Ratio: 0.92 > 1.5 & < 3 |
| Outstanding Shares: last quarter (7.03b) vs 12m ago -2.71% < -2% |
| Gross Margin: 42.82% > 18% (prev 47.26%; Δ -4.44% > 0.5%) |
| Asset Turnover: 30.91% > 50% (prev 30.93%; Δ -0.02% > 0%) |
| Interest Coverage Ratio: 4.70 > 6 (EBIT TTM 32.9b / Interest Expense TTM 7.01b) |
| A: -0.01 (Total Current Assets 46.3b - Total Current Liabilities 50.4b) / Total Assets 421b |
| B: 0.04 (Retained Earnings 17.6b / Total Assets 421b) |
| C: 0.08 (EBIT TTM 32.9b / Avg Total Assets 409b) |
| D: 0.37 (Book Value of Equity 110b / Total Liabilities 294b) |
| Altman-Z'' = 1.00 = BB |
| DSRI: 0.88 (Receivables 8.34b/9.23b, Revenue 127b/123b) |
| GMI: 1.10 (GM 47.26% / 42.82%) |
| AQI: 0.96 (AQ_t 0.52 / AQ_t-1 0.54) |
| SGI: 1.03 (Revenue 127b / 123b) |
| TATA: -0.04 (NI 21.4b - CFO 38.8b) / TA 421b) |
| Beneish M = -3.04 (Cap -4..+1) = AA |
As of June 08, 2026, the stock is trading at USD 22.75 with a total of 60,664,419 shares traded.
Over the past week, the price has changed by -8.27%,
over one month by -12.16%,
over three months by -20.65% and
over the past year by -14.47%.
AT&T has received a consensus analysts rating of 4.08. Therefore, it is recommended to buy T.
- StrongBuy: 12
- Buy: 3
- Hold: 10
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 30.4 | 33.5% |
P/E Trailing = 8.1875
P/E Forward = 10.8342
P/S = 1.3668
P/B = 1.5728
P/EG = 1.747
Revenue TTM = 127b USD
EBIT TTM = 32.9b USD
EBITDA TTM = 53.6b USD
Long Term Debt = 127b USD (from longTermDebt, last fiscal year)
Short Term Debt = 6.82b USD (from shortTermDebt, last quarter)
Debt = 183b USD (from shortLongTermDebtTotal, last quarter) + Leases 18.9b
Net Debt = 171b USD (calculated: Debt 183b - CCE 12.0b)
Enterprise Value = 344b USD (173b + Debt 183b - CCE 12.0b)
Interest Coverage Ratio = 4.70 (Ebit TTM 32.9b / Interest Expense TTM 7.01b)
EV/FCF = 19.83x (Enterprise Value 344b / FCF TTM 17.4b)
FCF Yield = 5.04% (FCF TTM 17.4b / Enterprise Value 344b)
FCF Margin = 13.71% (FCF TTM 17.4b / Revenue TTM 127b)
Net Margin = 16.89% (Net Income TTM 21.4b / Revenue TTM 127b)
Gross Margin = 42.82% ((Revenue TTM 127b - Cost of Revenue TTM 72.3b) / Revenue TTM)
Gross Margin QoQ = 44.35% (prev 39.40%)
Tobins Q-Ratio = 0.82 (Enterprise Value 344b / Total Assets 421b)
Interest Expense / Debt = 3.83% (Interest Expense 7.01b / Debt 183b)
Taxrate = 13.25% (3.50b / 26.4b)
NOPAT = 28.5b (EBIT 32.9b * (1 - 13.25%))
Current Ratio = 0.92 (Total Current Assets 46.3b / Total Current Liabilities 50.4b)
Debt / Equity = 1.67 (Debt 183b / totalStockholderEquity, last quarter 110b)
Debt / EBITDA = 3.19 (Net Debt 171b / EBITDA 53.6b)
Debt / FCF = 9.86 (Net Debt 171b / FCF TTM 17.4b)
Total Stockholder Equity = 109b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.22% (Net Income 21.4b / Total Assets 421b)
RoE = 19.59% (Net Income TTM 21.4b / Total Stockholder Equity 109b)
RoCE = 13.94% (EBIT 32.9b / Capital Employed (Equity 109b + L.T.Debt 127b))
RoIC = 7.69% (NOPAT 28.5b / Invested Capital 371b)
WACC = 4.58% (E(173b)/V(356b) * Re(5.91%) + D(183b)/V(356b) * Rd(3.83%) * (1-Tc(0.13)))
Discount Rate = 5.91% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -11.11 | Cagr: -1.02%
[DCF] Terminal Value 73.80% ; FCFF base≈18.2b ; Y1≈16.6b ; Y5≈14.5b
[DCF] Fair Price = 8.50 (EV 230b - Net Debt 171b = Equity 59.1b / Shares 6.95b; r=8.35% [WACC [floored]]; 5y FCF grow -10.98% → 2.50% )
EPS Correlation: -96.60 | EPS CAGR: -6.03% | SUE: 1.08 | # QB: 2
Revenue Correlation: 90.36 | Revenue CAGR: 1.32% | SUE: 0.70 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.59 | Chg30d=-0.34% | Revisions=-14% | Analysts=17
EPS next Quarter (2026-09-30): EPS=0.61 | Chg30d=+0.07% | Revisions=+0% | Analysts=17
EPS current Year (2026-12-31): EPS=2.32 | Chg30d=+0.63% | Revisions=+58% | GrowthEPS=+9.2% | GrowthRev=+3.1%
EPS next Year (2027-12-31): EPS=2.55 | Chg30d=+0.26% | Revisions=+10% | GrowthEPS=+10.3% | GrowthRev=+2.3%
[Analyst] Revisions Ratio: +58%