AT&T(US:T) ZACKS·2026-03-04 23:46Core Viewpoint - AT&T's stock has shown resilience and growth, outperforming major indices, and is set to report earnings that indicate positive growth expectations for the upcoming quarter and fiscal year [1][2][3]. Group 1: Stock Performance - AT&T closed at $28.98, with a daily increase of 1.08%, outperforming the S&P 500's gain of 0.78% [1] - The stock has increased by 6.86% over the past month, contrasting with a 3.59% loss in the Computer and Technology sector and a 1.33% loss in the S&P 500 [1] Group 2: Earnings Expectations - The upcoming earnings report on April 22, 2026, is anticipated to show an EPS of $0.55, reflecting a 7.84% increase from the same quarter last year [2] - Revenue is expected to reach $31.13 billion, marking a 1.65% increase from the prior-year quarter [2] - For the entire fiscal year, earnings are projected at $2.29 per share and revenue at $128.04 billion, indicating increases of 8.02% and 1.9% respectively from the previous year [3] Group 3: Analyst Estimates and Ratings - Recent modifications to analyst estimates for AT&T suggest a positive outlook on the company's business operations and profit generation capabilities [4] - The Zacks Rank system, which evaluates estimate changes, currently ranks AT&T at 3 (Hold), with a slight decrease of 0.04% in the consensus EPS estimate over the past month [5][6] Group 4: Valuation Metrics - AT&T's Forward P/E ratio stands at 12.53, which is lower than the industry average of 16.13, indicating a potential discount [7] - The PEG ratio for AT&T is currently 1.07, compared to the industry average of 1.78, suggesting favorable growth expectations relative to its valuation [8] Group 5: Industry Context - The Wireless National industry, to which AT&T belongs, has a Zacks Industry Rank of 147, placing it in the bottom 40% of over 250 industries [8] - Research indicates that industries in the top 50% of the Zacks Rank tend to outperform those in the bottom half by a factor of 2 to 1 [9]