AT&T (T)

Communication Services · $175B market cap · SEC CIK 0000732717

Next reports on Oct 21, 2026, with analysts expecting $0.61 in earnings per share.

The case for T

• Cheap on earnings at 8.1×, well under the market's usual 20×.
• Generated $19.4B of free cash flow in FY2025, 15% of revenue.
• Free cash flow of 11.1% of its market value a year: a lot of cash for the price.
• Earnings per share up 72.2%.
• Pays a 6.8% dividend while you wait.
• A PEG of 0.11: a P/E of 8.1× is low for EPS growing 72%.

The case against

• Revenue has shrunk 2.6% a year over five years.
• Current liabilities exceed current assets (ratio 0.97).
• Long-term debt of $135B against $18.2B of cash.
• Revenue grew only 2.6%, roughly the pace of inflation.

What the score is made of

Each factor is half a curve over reported figures and half a rank among the other Communication Services companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.

• Each factor except momentum is half fixed thresholds, half rank among the 19 Communication Services companies.

Key numbers

Five years of financials, as filed

Pulled from AT&T's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.

Share count is down 4.3% over 4 years. Buybacks have been shrinking the pie.

What AT&T says it does

Information required by Item 408(b) of Regulation S-K is incorporated herein by reference pursuant to General Instruction G(3) from the registrant’s Proxy Statement under the heading "Insider Trading Policy." ITEM 11. EXECUTIVE COMPENSATION Information required by this Item is incorporated herein by reference pursuant to General Instruction G(3) from the registrant’s Proxy Statement under the headings "Director Compensation," "2025 Director Compensation Table," "CEO Pay Ratio," "Pay Versus Performance," and the pages beginning with the heading "Compensation Discussion and Analysis" and ending with, and including, the pages under the heading "Potential Payments upon Change in Control." Information required by Item 407(e)(5) of Regulation S-K is included in the registrant’s Proxy Statement under the heading "Compensation Committee Report" and is incorporated herein by reference pursuant to General Instruction G(3) and shall be deemed…

Risk factors T lists in its 10-K

• Adverse changes in the U.S. securities markets, a higher interest rate environment, rising inflation and medical costs could materially increase our benefit plan costs and future funding requirements
• Inflationary pressures on costs, such as inputs for devices we sell and network components, labor and distribution costs, may impact our network construction, our financial condition or results of operations
• Adverse changes in global financial markets could limit our ability and our larger customers’ and suppliers’ ability to access capital or increase the cost of capital needed to fund business operations
• Our international operations increase our exposure to political instability, to changes in the international economy and to regulation on our business, and these risks could offset our expected growth opportunities
• Increasing competition could materially adversely affect our operating results
• Intellectual property rights may be inadequate to take advantage of business opportunities, which may materially adversely affect our operations
• Incidents or public assertions leading to damage to our reputation or questions about our business conduct, and any resulting lawsuits, claims or other legal proceedings, could have a material adverse effect on our business
• Our business is subject to risks related to public health crises
• Company-Specific Financial Factors
• Customer adoption of new software-based technologies may require higher-quality services from us, and meeting these demands could create supply chain issues and could increase capital costs
• We depend on various suppliers to provide equipment to operate our business and satisfy customer demand, and interruption or delay in supply can adversely impact our operating results
• Increasing costs to provide services and failure to renew agreements on favorable terms, or at all, could adversely affect operating margins
• A significant portion of our workforce is represented by labor unions, and we could incur additional costs or experience work stoppages as a result of the renegotiation of our labor contracts
• Unfavorable litigation or governmental investigation results could require us to pay significant amounts or lead to onerous operating procedures

Filings

Other Communication Services companies