AT&T (T) closed at $28.48 in the latest trading session, marking a +0.71% move from the prior day. The stock's performance was ahead of the S&P 500's daily gain of 0.38%. Elsewhere, the Dow saw a downswing of 0.03%, while the tech-heavy Nasdaq appreciated by 0.87%.
The telecommunications company's shares have seen an increase of 2.02% over the last month, surpassing the Computer and Technology sector's loss of 8.94% and the S&P 500's loss of 5.59%.
The investment community will be closely monitoring the performance of AT&T in its forthcoming earnings report. The company is scheduled to release its earnings on April 23, 2025. It is anticipated that the company will report an EPS of $0.52, marking a 5.45% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $30.51 billion, reflecting a 1.6% rise from the equivalent quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.14 per share and a revenue of $124.15 billion, indicating changes of -5.31% and +1.48%, respectively, from the former year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for AT&T. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.72% lower. Currently, AT&T is carrying a Zacks Rank of #3 (Hold).
Looking at its valuation, AT&T is holding a Forward P/E ratio of 13.22. This represents a discount compared to its industry's average Forward P/E of 21.98.
One should further note that T currently holds a PEG ratio of 3.24. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Wireless National industry had an average PEG ratio of 3.24.
The Wireless National industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 29, finds itself in the top 12% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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AT&T Inc. (T): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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