AT&T (NYSE:T) Trading 5.4% Higher After Better-Than-Expected Earnings

AT&T Inc. (NYSE:T) rose 5.4% on Wednesday after the company announced better than expected quarterly earnings. The stock traded as high as $24.24 and last traded at $24.2450. Approximately 37,835,765 shares were traded during mid-day trading, a decline of 13% from the average daily volume of 43,651,855 shares. The stock had previously closed at $23.00.

The technology company reported $0.52 earnings per share for the quarter, topping analysts’ consensus estimates of $0.46 by $0.06. The business had revenue of $33.47 billion for the quarter, compared to analysts’ expectations of $32.91 billion. AT&T had a net margin of 17.87% and a return on equity of 12.72%. The company’s revenue for the quarter was up 3.6% compared to the same quarter last year. During the same quarter last year, the company earned $0.43 EPS. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS.

AT&T Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, February 2nd. Shareholders of record on Monday, January 12th will be given a dividend of $0.2775 per share. This represents a $1.11 dividend on an annualized basis and a yield of 4.6%. The ex-dividend date is Monday, January 12th. AT&T’s payout ratio is 36.04%.

AT&T News Summary

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

• Positive Sentiment: Q4 beat — AT&T reported $0.52 EPS vs. consensus ~ $0.46 and revenue of ~$33.47B, topping estimates and driven by wireless and fiber demand. AT&T Beats Q4 Earnings Estimates on Solid Wireless & Fiber Demand
• Positive Sentiment: Subscriber momentum — strong customer adds: ~283k fiber subs and ~421k net postpaid phone adds, boosting convergence (fiber + wireless) and supporting ARPU and churn improvements. AT&T’s earnings impress as subscriber growth booms and the stock soars
• Positive Sentiment: Buyback and shareholder returns — management authorized a meaningful buyback program (reported as ~$10B) and reiterated a multi‑year shareholder return plan ($45B+ through 2026–2028), lifting free‑cash‑flow allocation prospects. AT&T Reports Q4 Earnings, Authorizes New $10B Buyback
• Positive Sentiment: Upgraded outlook — AT&T set FY2026 EPS guidance of $2.25–$2.35 (slightly above consensus) and highlighted strategy: fiber build, spectrum deals and 5G monetization as drivers of higher adjusted EBITDA and EPS. AT&T bets on fiber, spectrum deals to forecast annual profit above expectations
• Neutral Sentiment: Execution details to watch — management emphasized capital allocation to fiber and spectrum deals and expects multi‑year FCF improvement, but value depends on execution pace of network builds and integration of new spectrum. AT&T Reports Strong Fourth-Quarter and Full-Year 2025 Financial Performance
• Negative Sentiment: Legacy pressures and profit mix — some legacy service revenue declines and a year‑over‑year drop in GAAP net income were noted; investors should monitor margin trends as fiber build raises near‑term capex and mix shifts. AT&T ($T) Releases Q4 2025 Earnings

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on T shares. Morgan Stanley reduced their price objective on shares of AT&T from $32.00 to $30.00 and set an “overweight” rating for the company in a report on Wednesday, December 10th. Wolfe Research downgraded shares of AT&T from an “outperform” rating to a “peer perform” rating in a research report on Monday, December 15th. Wall Street Zen lowered shares of AT&T from a “buy” rating to a “hold” rating in a research note on Saturday, November 8th. Wells Fargo & Company lowered their price objective on shares of AT&T from $29.00 to $27.00 and set an “overweight” rating on the stock in a research note on Monday. Finally, Loop Capital set a $29.00 target price on AT&T in a report on Friday, December 19th. One research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $29.78.

Institutional Investors Weigh In On AT&T

Institutional investors and hedge funds have recently modified their holdings of the stock. Front Row Advisors LLC purchased a new stake in AT&T during the second quarter valued at about $25,000. Mountain Hill Investment Partners Corp. boosted its stake in AT&T by 363.7% in the 3rd quarter. Mountain Hill Investment Partners Corp. now owns 895 shares of the technology company’s stock worth $25,000 after purchasing an additional 702 shares during the period. GGM Financials LLC purchased a new position in AT&T during the 3rd quarter worth approximately $25,000. OFI Invest Asset Management raised its stake in AT&T by 84.2% during the 4th quarter. OFI Invest Asset Management now owns 1,087,055 shares of the technology company’s stock valued at $27,000 after purchasing an additional 496,804 shares during the period. Finally, Kennebec Savings Bank lifted its holdings in shares of AT&T by 412.1% in the second quarter. Kennebec Savings Bank now owns 973 shares of the technology company’s stock valued at $28,000 after purchasing an additional 783 shares in the last quarter. 57.10% of the stock is owned by institutional investors and hedge funds.

AT&T Stock Up 4.6%

The firm has a market cap of $170.57 billion, a PE ratio of 7.81, a P/E/G ratio of 1.25 and a beta of 0.39. The company has a debt-to-equity ratio of 1.01, a current ratio of 1.01 and a quick ratio of 0.96. The business has a fifty day moving average price of $24.50 and a two-hundred day moving average price of $26.35.

About AT&T

AT&T Inc is a global telecommunications company that provides a broad range of communications and digital entertainment services. Its core activities include consumer and business wireless services, broadband and fiber internet, and network infrastructure. The company operates branded wireless services through AT&T Mobility and deploys fixed-line and fiber networks to deliver high-speed internet and related home services.

AT&T’s product and service portfolio spans mobile voice and data plans, smartphones and device sales, home internet (including fiber-to-the-home where available), and managed connectivity solutions for enterprise customers.