AT&T Inc. (T) Upgraded to Hold by Zacks Investment Research
AT&T Inc. (NYSE:T) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research note issued on Monday.
According to Zacks, “Acquisitions and strategic collaborations have played a major role in shaping AT&T’s growth. The acquisition of DIRECTV and QuickPlay Media Inc. by AT&T has positioned it as the leader in the U.S. pay-TV market and boosted AT&T’s earnings and revenues. AT&T’s recent collaboration with Intel should boost software-based network services and IoT. Additionally, AT&T is focused on expanding its 4G LTE wireless networks and field testing the next-gen 5G technology. However, AT&T operates in a saturated wireless market where spectrum crunch is a big issue. Moreover, loss in access lines, stringent regulatory measures and union issues are major headwinds. Additionally, persistent losses in its wireline division is a worry. The company has also been facing intense competition from peers, compelling it to lower the price of its services. This will dent AT&T's margins going ahead.”
A number of other analysts also recently issued reports on T. Jefferies Group reissued a “buy” rating on shares of AT&T in a research report on Wednesday, August 3rd. S&P Equity Research set a $46.00 target price on AT&T and gave the stock a “buy” rating in a research report on Sunday, July 24th. Robert W. Baird reissued a “neutral” rating and issued a $41.00 target price on shares of AT&T in a research report on Monday, July 25th. Citigroup Inc. downgraded AT&T from a “buy” rating to a “neutral” rating and raised their target price for the stock from $42.00 to $46.00 in a research report on Thursday, July 7th. They noted that the move was a valuation call. Finally, Deutsche Bank AG reissued a “buy” rating and issued a $45.00 target price on shares of AT&T in a research report on Sunday, July 17th. Two analysts have rated the stock with a sell rating, eleven have assigned a hold rating and fourteen have issued a buy rating to the company’s stock. The stock currently has a consensus rating of “Hold” and a consensus target price of $41.86.
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AT&T (NYSE:T) opened at 39.22 on Monday. The firm has a market cap of $241.28 billion, a PE ratio of 16.91 and a beta of 0.30. The stock’s 50 day moving average price is $40.33 and its 200-day moving average price is $40.51. AT&T has a 12-month low of $32.22 and a 12-month high of $43.89.
AT&T (NYSE:T) last issued its quarterly earnings results on Thursday, July 21st. The company reported $0.72 EPS for the quarter, meeting the Zacks’ consensus estimate of $0.72. The company earned $40.50 billion during the quarter, compared to the consensus estimate of $40.75 billion. AT&T had a return on equity of 13.93% and a net margin of 8.76%. Equities research analysts anticipate that AT&T will post $2.86 earnings per share for the current fiscal year.
The firm also recently declared a quarterly dividend, which will be paid on Tuesday, November 1st. Investors of record on Monday, October 10th will be issued a dividend of $0.48 per share. The ex-dividend date of this dividend is Wednesday, October 5th. This represents a $1.92 dividend on an annualized basis and a yield of 4.90%. AT&T’s dividend payout ratio is presently 83.12%.
In other AT&T news, CEO John T. Stankey sold 2,131 shares of AT&T stock in a transaction that occurred on Friday, July 22nd. The stock was sold at an average price of $43.38, for a total transaction of $92,442.78. Following the sale, the chief executive officer now directly owns 13,583 shares of the company’s stock, valued at approximately $589,230.54. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.07% of the company’s stock.
A number of hedge funds have recently bought and sold shares of T. Spirit of America Management Corp NY boosted its stake in AT&T by 12.9% in the third quarter. Spirit of America Management Corp NY now owns 82,989 shares of the company’s stock valued at $3,370,000 after buying an additional 9,500 shares during the last quarter. Advisor Consultant Network Inc. bought a new stake in shares of AT&T during the third quarter worth approximately $15,821,000. Integrated Investment Consultants LLC boosted its stake in shares of AT&T by 4.5% in the third quarter. Integrated Investment Consultants LLC now owns 19,494 shares of the company’s stock worth $767,000 after buying an additional 836 shares in the last quarter. Charter Trust Co. boosted its stake in shares of AT&T by 0.5% in the third quarter. Charter Trust Co. now owns 244,825 shares of the company’s stock worth $9,942,000 after buying an additional 1,116 shares in the last quarter. Finally, BTR Capital Management Inc. boosted its stake in shares of AT&T by 7.9% in the third quarter. BTR Capital Management Inc. now owns 69,210 shares of the company’s stock worth $2,811,000 after buying an additional 5,075 shares in the last quarter. 53.62% of the stock is currently owned by institutional investors and hedge funds.
AT&T Company Profile
AT&T Inc is a holding company. The Company offers communications and digital entertainment services in the United States and the world. It operates through four segments: Business Solutions, Entertainment Group, Consumer Mobility and International. The Business Solutions segment includes various categories, including wireless service, fixed strategic services, legacy voice and data services, other services and wireless equipment.
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