AT&T Inc. (NYSE:T) is set to provide investors with an update on its multi-year growth strategy as Chief Financial Officer Pascal Desroches participates in a fireside chat at the Deutsche Bank Media, Internet & Telecom Conference on March 9.
Details
The discussion will focus on AT&T’s multi-year growth strategy. It will include advancements in 5G and fiber technologies, following its acquisition of Lumen’s Mass Markets fiber business.
Additional insights include AT&T’s new segment reporting strategy set to commence with its first-quarter 2026 results. This provides clearer insights into the financial returns from its growth investments.
This new framework is part of AT&T’s broader effort to enhance transparency regarding its earnings from advanced connectivity solutions, distinguishing these from its declining legacy segments.
Guidance
AT&T reiterates all full-year 2026 and multi-year financial and operational guidance and capital return plans provided earlier.
The company reaffirms its full-year 2026 adjusted EPS of $2.25 to $2.35 in 2026 (versus an analyst consensus estimate of $2.21) and targets a double-digit three-year CAGR through 2028.
The company continues to project adjusted EBITDA growth of 3% to 4% in 2026, then sees that improving to 5% or better by 2028 as gains in Advanced Connectivity more than offset declines in Legacy.
Also, the company continues to expect to send back more than $45 billion to shareholders from 2026 to 2028 through dividends and buybacks.
Technical Analysis
Over the past 12 months, AT&T has seen a modest gain of 4.99%. Currently, the stock is trading above several key moving averages, which signals bullish sentiment.
Specifically, it is 1.1% above its 20-day SMA and 11.3% above its 100-day SMA. The RSI stands at 63.74, indicating a neutral market momentum, while the MACD presents a bearish crossover, suggesting potential downward pressure.
Earnings & Analyst Outlook
AT&T is slated to provide its next financial update on April 22, 2026. With the earnings date approaching, here’s a detailed look at the expectations:
- EPS Estimate: 55 cents (Up from 51 cents YoY)
- Revenue Estimate: $31.21 billion (Up from $30.63 billion YoY)
- Valuation: P/E of 9.4x (Indicates value opportunity)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $30.07. Recent analyst moves include:
- Wells Fargo: Overweight (Lowers Target to $27.00) (Jan. 26)
- Bernstein: Outperform (Lowers Target to $30.00) (Jan. 16)
- Barclays: Equal-Weight (Lowers Target to $26.00) (Jan. 13)
Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for AT&T, highlighting its strengths and weaknesses compared to the broader market:
- Value: Neutral (Score: 40.5) — Reflects a balanced valuation metric.
- Quality: Neutral (Score: 63.88) — Indicates a solid quality score relative to peers.
- Momentum: Weak (Score: 33.33) — Suggests some challenges in maintaining upward momentum.
The Verdict: AT&T’s Benzinga Edge signal reveals a mixed performance outlook. While the Quality score indicates robust fundamentals, the low Momentum score suggests potential short-term challenges, underscoring the importance of strategic initiatives like the expansion into 5G and fiber for future growth.
Top ETF Exposure
- State Street Communication Services Select Sector SPDR ETF (NYSE:XLC): 5.02% Weight
- The Communication Services Select Sector SPDR Fund (NYSE:XLC): 4.30% Weight
- 6 Meridian Hedged Equity-Index Option Strategy ETF (NYSE:SIXH): 5.07% Weight
Significance: Because T carries significant weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
T Price Action: AT&T shares were down 0.80% at $28.41 during premarket trading on Monday, according to Benzinga Pro data.
Photo by Jason Taylor AG via Shutterstock