AT&T (NYSE:T) Shares Gap Down – Time to Sell?

AT&T Inc. (NYSE:T) gapped down prior to trading on Wednesday. The stock had previously closed at $23.42, but opened at $21.89. AT&T shares last traded at $22.2050, with a volume of 16,237,986 shares changing hands.

More AT&T News

Here are the key news stories impacting AT&T this week:

• Positive Sentiment: AT&T reported third-quarter adjusted EPS of $0.65 and revenue of $32.32 billion, exceeding analyst estimates. Revenue increased roughly 5.2% year over year, supported by fiber and wireless growth. AT&T quarterly earnings results
• Positive Sentiment: Record Advanced Connectivity additions included 769,000 internet customers, 442,000 fiber additions and 379,000 postpaid phone additions. Management raised its 2026 adjusted EPS outlook to approximately $2.40 and plans roughly $10 billion in share repurchases. AT&T third-quarter results
• Positive Sentiment: Argus reaffirmed its buy rating with a $30 price target, while JPMorgan and KeyCorp maintained positive ratings despite reducing their targets to $31 and $33, respectively. Analyst ratings
• Neutral Sentiment: AT&T plans to reduce annual capital spending by about $1 billion in 2027–2028 while retaining its goal of reaching more than 60 million fiber locations by 2030. The lower spending supports cash flow but could raise questions about growth investment and fiber execution. AT&T fiber spending strategy
• Negative Sentiment: Investors are concerned that debt reduction is taking longer than expected. Net debt rose following the EchoStar spectrum transaction, and management now expects to return to its targeted net-debt-to-EBITDA range in 2029. A $2.6 billion noncash impairment tied to the Mexico wireless business also weighed on sentiment. AT&T debt and impairment analysis
• Negative Sentiment: Potential competition from SpaceX’s Starlink Mobile service is amplifying concerns about wireless subscriber growth, pricing and the need for additional customer incentives. Fiber introductory promotions are also pressuring pricing. Telecom stocks and Starlink concerns

Analyst Ratings Changes

T has been the topic of several recent research reports. Weiss Ratings raised shares of AT&T from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Monday, August 3rd. KeyCorp decreased their target price on shares of AT&T from $36.00 to $33.00 and set an “overweight” rating for the company in a research report on Thursday. Wolfe Research raised shares of AT&T from a “peer perform” rating to an “outperform” rating and set a $29.00 target price for the company in a research report on Thursday, July 23rd. Sanford C. Bernstein lowered shares of AT&T from an “outperform” rating to a “market perform” rating and set a $24.00 price target on the stock. in a research note on Tuesday, October 13th. Finally, Morgan Stanley cut their price target on shares of AT&T from $28.00 to $25.00 and set an “overweight” rating on the stock in a report on Thursday. Twelve research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $28.55.

AT&T Price Performance

The company has a current ratio of 0.87, a quick ratio of 0.93 and a debt-to-equity ratio of 1.22. The stock has a fifty day simple moving average of $24.86 and a 200-day simple moving average of $24.25. The stock has a market cap of $155.72 billion, a price-to-earnings ratio of 7.52, a price-to-earnings-growth ratio of 1.04 and a beta of 0.25.

AT&T (NYSE:T) last issued its quarterly earnings results on Wednesday, October 21st. The technology company reported $0.65 EPS for the quarter, topping analysts’ consensus estimates of $0.60 by $0.05. AT&T had a return on equity of 13.41% and a net margin of 10.19%. The company had revenue of $32.32 billion during the quarter, compared to analyst estimates of $31.69 billion. During the same period in the previous year, the company earned $0.54 earnings per share. The company’s quarterly revenue was up 5.2% compared to the same quarter last year. As a group, equities research analysts expect that AT&T Inc. will post 2.39 EPS for the current year.

AT&T Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, November 2nd. Investors of record on Monday, October 12th will be paid a dividend of $0.2775 per share. This represents a $1.11 annualized dividend and a yield of 4.9%. The ex-dividend date is Friday, October 9th. AT&T’s dividend payout ratio is presently 36.75%.

Institutional Trading of AT&T

Hedge funds have recently bought and sold shares of the stock. IFM Investors Pty Ltd raised its stake in shares of AT&T by 5.3% in the first quarter. IFM Investors Pty Ltd now owns 1,488,172 shares of the technology company’s stock valued at $43,142,000 after purchasing an additional 74,684 shares in the last quarter. Parr Mcknight Wealth Management Group LLC bought a new position in AT&T in the first quarter worth $2,901,000. Sound Income Strategies LLC lifted its position in AT&T by 19.8% in the third quarter. Sound Income Strategies LLC now owns 754,818 shares of the technology company’s stock worth $18,772,000 after purchasing an additional 124,997 shares during the period. Orographic Financial Advisors LLC acquired a new stake in AT&T during the first quarter worth $3,449,000. Finally, B.A. Schrock Wealth Management Inc. acquired a new stake in AT&T during the third quarter worth $1,583,000. 57.10% of the stock is owned by institutional investors.

About AT&T

AT&T Inc (NYSE: T) is a telecommunications company that provides wireless communications, broadband, and related connectivity services. Its offerings include mobile voice and data plans, internet access, fiber broadband, fixed wireless services, and business communications solutions.

The company serves consumers, businesses, government agencies, and other organizations primarily in the United States. AT&T’s business operations include wireless network services, wireline connectivity, fiber-optic internet, voice services, and networking solutions designed to connect locations, devices, and applications.

AT&T traces its history to the Bell System and has operated under its current corporate name since 2005, following the acquisition of AT&T Corp.