Barrons·6d ago
Verizon and AT&T Dominate Communications Services. Why That's a Problem.Verizon and AT&T offer high, well-covered dividends, and relatively low volatility.
AT&T maintains a defensive market position with 2.9% year-over-year revenue growth as of 2026Q1, yet the firm faces significant structural headwinds from high capital expenditure requirements. While the company has successfully improved its retained earnings t...
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue growth remains stable at 2.9% year-over-year as of 2026Q1, though operating margins remain constrained by high fixed costs, fluctuating between 15.4% and 21.2% over the last several quarters.
AT&T's fiber network expansion is driving strong subscriber growth, marking the best consumer broadband growth in a decade.
The company projects free cash flow to exceed $18 billion in 2026, increasing to over $21 billion by 2028.
AT&T plans to return approximately $45 billion to shareholders through dividends and stock buybacks from 2026 to 2028.
AT&T's net debt leverage is expected to rise to 3.0 times EBITDA by the end of 2026, raising concerns about financial stability.
The company faces significant competition in the wireless and fixed-line sectors, impacting average revenue per customer.
Revenue from legacy wireline services is declining and expected to generate negative EBITDA after 2027.
Trailing total returns as of 9/23/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Jul 22, 2026 | $0.65+10.2% vs $0.59 | $31.6B-0.7% vs $31.8B |
Q2 2026 Apr 22, 2026 | $0.57+3.3% vs $0.55 | $31.5B+0.8% vs $31.2B |
Q1 2026 Jan 28, 2026 | $0.52+12.4% vs $0.46 | $33.5B+1.8% vs $32.9B |
Q4 2025 Oct 22, 2025 | $0.54+0.6% vs $0.54 | $30.7B-0.5% vs $30.9B |
Verizon and AT&T offer high, well-covered dividends, and relatively low volatility.
T expands customer benefits with complimentary LifeMD memberships, offering virtual care, prescriptions and pharmacy services.
Recently, Zacks.com users have been paying close attention to AT&T (T). This makes it worthwhile to examine what the stock has in store.
DALLAS, Sept. 15, 2026 /PRNewswire/ -- Through an exclusive collaboration with LifeMD, eligible AT&T wireless and fiber customers receive a complimentary LifeMD membership, a $228 annual value, with on-demand access to a nationwide virtual care and pharmacy platform.
Benchmark T against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for AT&T Inc. (T)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $25.12 | $172.13B | 8.26 | 2.71% | 17.42% | 17.6% | 4.54% | |
| $46.45 | $193.95B | 11.44 | 2.52% | 11.64% | 15.33% | — | |
| $162.41 | $174.21B | 16.71 | 8.49% | 11.45% | 18.22% | — | |
| $6.38 | $6.57B | -3.65 | -5.39% | -8.65% | -52.11% | — | |
| $117.26 | $15.8B | 3.24 | -0.56% | 9.05% | 23.71% | — | |
| $22.42 | $79.56B | 4.16 | -0.02% | 8.97% | 12% | — |
AT&T Inc. (T) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
AT&T Inc. (T) SEC filings — annual & quarterly reports (10-K, 10-Q)
Jul 28, 2026·SEC
Jul 22, 2026·SEC
Jun 16, 2026·SEC
Feb 9, 2026·SEC
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AT&T Inc. (T) stock FAQ — growth, dividends, profitability & financials explained
AT&T Inc. (T) reported $127.24B in revenue for fiscal year 2025. This represents a 405% increase from $25.20B in 1996.
AT&T Inc. (T) grew revenue by 2.7% over the past year. Growth has been modest.
Yes, AT&T Inc. (T) is profitable, generating $21.49B in net income for fiscal year 2025 (17.4% net margin).
Yes, AT&T Inc. (T) pays a dividend with a yield of 4.54%. This makes it attractive for income-focused investors.
AT&T Inc. (T) has a return on equity (ROE) of 17.6%. This is reasonable for most industries.
AT&T Inc. (T) generated $10.88B in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.
AT&T Inc. (T) has a dividend payout ratio of 37%. This suggests the dividend is well-covered and sustainable.
