AT&T (NYSE:T) Shares Up 3.5% on Better-Than-Expected Earnings

AT&T Inc. (NYSE:T)’s stock price shot up 3.5% on Wednesday following a better than expected earnings announcement. The company traded as high as $23.65 and last traded at $23.0350. Approximately 187,202,083 shares were traded during mid-day trading, an increase of 270% from the average daily volume of 50,654,254 shares. The stock had previously closed at $22.26.

The technology company reported $0.65 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.59 by $0.06. AT&T had a return on equity of 12.86% and a net margin of 16.94%.The firm had revenue of $31.56 billion for the quarter, compared to analyst estimates of $31.80 billion. During the same period in the previous year, the company posted $0.54 earnings per share. The business’s revenue was up 2.3% on a year-over-year basis. AT&T has set its FY 2026 guidance at 2.250-2.350 EPS.

AT&T Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, August 3rd. Investors of record on Friday, July 10th will be paid a $0.2775 dividend. This represents a $1.11 dividend on an annualized basis and a yield of 4.8%. The ex-dividend date is Friday, July 10th. AT&T’s payout ratio is currently 37.25%.

Key AT&T News

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

• Positive Sentiment: AT&T beat Q2 earnings estimates with adjusted EPS of $0.65 versus expectations near $0.59, helping reinforce the case that its wireless and fiber strategy is working. AT&T Earnings Beat. CEO Stankey: Starlink Deal Not Needed At All
• Positive Sentiment: Revenue missed estimates, but investors focused more on the strong operational details: more than 1 million advanced connectivity customer additions, including solid postpaid wireless and broadband growth, plus improving free cash flow. AT&T’s stock rises after earnings. Here’s why investors are cheering.
• Positive Sentiment: Management reiterated its 2026 outlook and said it plans faster share repurchases, which supports the bull case for AT&T’s valuation and dividend/capital-return story. AT&T Delivers Strong Second-Quarter Results as Investment-Led Strategy Gains Momentum
• Positive Sentiment: Several analyst notes turned more constructive after the report, with commentary saying SpaceX/Starlink fears may be exaggerated and that AT&T’s wireless execution remains strong. AT&T Stock Gets Upgraded. SpaceX Worries Are Overblown.
• Neutral Sentiment: Some reports still highlighted the revenue miss and heavy capital spending as ongoing risks, even as the company’s growth narrative improved. AT&T Stock Outlook Hinges on Fiber Growth and Wireless Risks in 2026
• Neutral Sentiment: AT&T also faced a modest analyst price-target cut from Argus, though the firm kept a buy rating, suggesting valuation remains supportive but not without caution. Argus price target update

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on the stock. Morgan Stanley lifted their target price on shares of AT&T from $25.00 to $27.00 and gave the stock an “overweight” rating in a research note on Thursday. Wells Fargo & Company raised their price objective on shares of AT&T from $18.00 to $20.00 and gave the stock an “underweight” rating in a report on Thursday. Royal Bank Of Canada lowered their target price on shares of AT&T from $31.00 to $27.00 and set an “outperform” rating on the stock in a report on Monday. Scotiabank cut their price target on AT&T from $31.00 to $29.25 and set a “sector perform” rating for the company in a report on Wednesday, July 15th. Finally, Wolfe Research upgraded AT&T from a “peer perform” rating to an “outperform” rating and set a $29.00 price target for the company in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, AT&T currently has an average rating of “Moderate Buy” and an average price target of $29.19.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Rachor Investment Advisory Services LLC bought a new position in shares of AT&T in the fourth quarter worth $25,000. Safe Harbor Fiduciary LLC bought a new stake in AT&T during the fourth quarter valued at $25,000. Cresta Advisors Ltd. bought a new stake in AT&T during the fourth quarter valued at $26,000. Blueline Advisors LLC purchased a new position in AT&T during the fourth quarter worth about $26,000. Finally, Winnow Wealth LLC grew its position in AT&T by 362.8% during the fourth quarter. Winnow Wealth LLC now owns 1,046 shares of the technology company’s stock worth $26,000 after buying an additional 820 shares in the last quarter. 57.10% of the stock is owned by institutional investors.

AT&T Price Performance

The firm has a market capitalization of $159.44 billion, a P/E ratio of 7.60, a price-to-earnings-growth ratio of 0.91 and a beta of 0.24. The company has a debt-to-equity ratio of 1.06, a quick ratio of 0.87 and a current ratio of 0.97. The business has a 50 day simple moving average of $22.79 and a two-hundred day simple moving average of $25.24.

AT&T Company Profile

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.