AT&T (T) closed the most recent trading day at $28.86, moving -2.48% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.21%. Meanwhile, the Dow gained 0.25%, and the Nasdaq, a tech-heavy index, added 0.45%.
The telecommunications company's stock has climbed by 5.38% in the past month, exceeding the Computer and Technology sector's gain of 4.48% and the S&P 500's gain of 3.07%.
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 October 22, 2025. The company is predicted to post an EPS of $0.54, indicating a 10% decline compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $30.95 billion, indicating a 2.45% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $2.05 per share and revenue of $124.98 billion, which would represent changes of -9.29% and +2.16%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for AT&T. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.06% higher. Right now, AT&T possesses a Zacks Rank of #3 (Hold).
Investors should also note AT&T's current valuation metrics, including its Forward P/E ratio of 14.45. For comparison, its industry has an average Forward P/E of 20.28, which means AT&T is trading at a discount to the group.
Also, we should mention that T has a PEG ratio of 3.66. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Wireless National industry held an average PEG ratio of 3.42.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 97, which puts it in the top 40% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming 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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