AT&T Unveils Tailored Plan for 55+: Will it Drive Customer Growth?

AT&T, Inc. T recently announced the launch of new wireless plans with enticing features tailored for people aged 55 and above. By opting for the plan, customers can get one line for $40/month or two lines for $35/month. The plan includes unlimited talk, text and data. The services are available in the United States, Mexico and Canada. It also includes 10Gb of hotspot data. To cater to seniors who rely on connectivity for multiple use cases, such as communication, browsing and streaming, AT&T is offering a bundled Internet plan. The plan includes two wireless lines + AT&T Internet 300 or AT&T Internet Air for $99/month.

The pricing makes AT&T’s 55+ plans relatively cheaper compared with plans offered by T-Mobile US, Inc. TMUS and Verizon Communications, Inc. VZ. T-Mobile’s most basic 55+ wireless plan is priced at $60/month for two phone lines offering unlimited talk and text with 50 GB of premium data. The most premium plan is priced at $130/month for two lines featuring unlimited premium data with various entertainment options such as Netflix, Apple TV+ and Hulu. Moreover, with the premium plans, the company is expected to launch satellite services in compatible devices, as part of the T-Mobile Startlink beta trial from July 2025. The premium plans come with unlimited hotspot data and with five-year price guarantee. 

Verizon’s plan is priced at $84/month for two lines offering unlimited talk, text and data services across the United States, Mexico and Canada. Although the company’s network is top tier for its rural coverage, the plan is only available for residents in Florida. Both AT&T and T-Mobile plans offer nationwide coverage. T-Mobile’s premium plans support services in several international destinations, along with Mexico and Canada.

AT&T’s plans are equipped with AT&T ActiveArmor, a comprehensive security feature offering fraud & spam call blocking, spam text protection, device security alerts and data breach alerts. Moreover, all the plans are backed by AT&T Guarantee, a feature that ensures a fast fix for network outages or credit for a full day of service based on certain conditions. 

AT&T’s new 55+ wireless plans aim to address some key customer pain points. Complex pricing structure, lack of transparency, and different plans and payment systems for fiber and wireless services make the whole system more complicated. The company’s senior-focused plans emphasize network reliability with affordability and ease of use. Moreover, AT&T’s bundled offering of wireless and broadband services at a reasonable price boosts its value proposition. These factors are expected to bolster AT&T’s competitive edge, improve customer loyalty and retention in the 55+ market segment.

T’s Price Performance, Valuation and Estimates

AT&T has gained 49.6% over the past year compared with the Wireless National industry’s growth of 25.8%.
 

Going by the price/earnings ratio, the company’s shares currently trade at 12.77 forward earnings, lower than 13.54 of the industry but above its mean of 10.29. It carries a Value Score of B.

AT&T is currently witnessing a downtrend in estimate revisions. Earnings estimates for 2025 have declined 3.27% to $2.07 over the past 60 days, while the same for 2026 has decreased 0.88% to $2.24.

AT&T currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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