Core Viewpoint - Investors are shifting towards defensive stocks amid heightened market volatility and concerns about potential bubbles in technology sectors, particularly artificial intelligence [2][4]. Group 1: Market Trends - The Nasdaq Composite Index experienced a decline of 1.4%, indicating a sell-off in many tech stocks as risk appetites diminish [2]. - Gold and silver prices have shown significant volatility, prompting investors to seek more stable stores of value [3]. Group 2: Defensive Stocks Performance - Walmart's market capitalization surpassed $1 trillion for the first time, driven by increased consumer traffic to its stores and e-commerce platforms [5]. - Verizon is regaining customers in the wireless and fiber internet sectors under new leadership, with expectations of free cash flow growth of approximately 7% to over $21 billion by 2026 [5]. - Altria, despite facing challenges from declining smoking rates, paid $7 billion in dividends in 2025 and anticipates adjusted earnings per share growth of up to 5.5% in 2026 [6]. Group 3: Investment Strategy - Defensive dividend stocks are becoming attractive to risk-conscious investors as they provide reliable income and stability during challenging market conditions [4].

Lumen Technologies forecast annual free cash flow exceeding Wall Street estimates on Tuesday, after posting a surprise adjusted profit in the fourth quarter, driven by strong demand for its connectivi... ...

Core Viewpoint - Democratic Senator Maria Cantwell has accused Verizon and AT&T of obstructing the release of crucial documents related to a significant Chinese espionage operation, known as Salt Typhoon, which has allegedly infiltrated U.S. telecommunications networks. She is calling for the CEOs of these companies to testify before Congress to address these concerns [1]. Company and Industry Summary - Verizon and AT&T are being scrutinized for their role in withholding information regarding the Salt Typhoon operation, which raises concerns about national security and the integrity of U.S. telecommunications [1]. - The call for the CEOs of Verizon and AT&T to appear before Congress indicates a growing legislative interest in the security practices of major telecommunications companies and their potential vulnerabilities to foreign espionage [1].

Core Insights - Verizon Communications Inc. reported strong fourth-quarter 2025 results, with adjusted earnings and revenues exceeding Zacks Consensus Estimates due to robust mobility and broadband demand trends [1][8] - The company added 319,000 fixed wireless access subscribers, bringing the total to nearly 5.7 million, and is on track to reach 8-9 million subscribers by 2028 [1][8] Group 1: Financial Performance - Verizon's fourth-quarter results showed solid demand, with both earnings and revenue surpassing estimates [1][8] - The company has seen a decline in legacy services, leading to increased promotional spending and discounts that are impacting margins [6][14] Group 2: Strategic Developments - The acquisition of Frontier Communications has expanded Verizon's fiber footprint, enhancing its ability to deliver premium mobility and broadband services [3] - Verizon is focused on capital expenditures for the expansion of 5G mmWave and fiber infrastructure, which are critical for meeting growing traffic demands [2][7] Group 3: Market Position and Challenges - Verizon's stock has increased by 11.6% over the past year, outperforming industry peers like AT&T and T-Mobile [9] - Despite strong performance, there is skepticism about future growth, as earnings estimates for 2026 have decreased by 1.8% while those for 2027 have increased by 2.2% [9] Group 4: Future Outlook - The company is well-positioned to enhance connectivity through investments in fiber infrastructure and new technologies [13] - However, high capital expenditures and a competitive U.S. wireless market may continue to pressure margins and revenues [14]

Core Insights - AT&T Inc. reported strong fourth-quarter 2025 results, with adjusted earnings and revenues exceeding Zacks Consensus Estimates due to healthy mobility and broadband demand trends [2] - The company experienced solid wireless traction and customer additions, although this was partially offset by declining demand for legacy voice and data services [2] - AT&T aims to continue investing in 5G and fiber to drive long-term growth [2] Fiber Convergence - AT&T is benefiting from increased fiber convergence, with the fiber convergence rate rising 200 basis points year-over-year to 42% [3] - The company recorded net fiber additions of 283,000 and 221,000 subscribers for Internet Air during the fourth quarter [3] - By 2030, AT&T plans to reach approximately 50 million customer locations with its in-region fiber network [3] Business Model and Strategy - AT&T's customer-centric business model focuses on mid-band spectrum deployment and fiber densification [4] - The company plans to restructure its operating segments in Q1 2026 to better reflect its evolving business model [5] - New segments will include Advanced Connectivity, Legacy, and Latin America [5] Financial Outlook - AT&T expects to drive accelerated growth in adjusted EBITDA and double-digit adjusted EPS growth from 2026 to 2028 [6] - The company plans to return over $45 billion to shareholders through dividends and share repurchases [6] - AT&T achieved over $1 billion in cost savings in 2025 and anticipates an additional $4 billion in annual savings by 2028 [6] Capital Projects and Cash Flow - Major capital projects are expected to be completed by the end of 2030, which will enhance long-term cash flow [7] - Improved growth and declining capital intensity are likely to provide greater flexibility for shareholder returns [7] Market Performance - AT&T's stock has gained 8.4% over the past year, outperforming the industry decline of 4.4% [10] - The company has outperformed T-Mobile but lagged behind Verizon in stock performance [10] Challenges - Despite strong wireless traction, AT&T faces a decline in legacy services, with persistent losses in access lines due to competitive pressures [12] - The wireline division is struggling with contracting high-speed Internet revenues and margin pressures [12] Estimate Revisions - Earnings estimates for AT&T for 2026 have increased by 0.9% to $2.28, and for 2027, they have risen by 0.8% to $2.54, indicating bullish sentiment [13] Long-term Positioning - AT&T is well-positioned to bridge the digital divide and enhance connectivity through steady infrastructure investment and new technologies [15] - The uptrend in estimate revisions reflects optimism about the stock's growth potential [15]

Core Insights - AT&T Inc. has completed the acquisition of Lumen Technologies' mass-market fiber business for $5.75 billion, enhancing its fiber Internet service across 32 U.S. states [1][8] Group 1: Acquisition Details - The acquisition adds over one million fiber subscribers and more than four million fiber-enabled locations, including major cities like Denver, Seattle, and Salt Lake City [2][8] - AT&T has also secured Lumen's fiber construction capabilities in 11 states, facilitating the expansion of its fiber service beyond traditional areas [3] Group 2: Strategic Goals - The transaction supports AT&T's goal of reaching over 60 million fiber locations by 2030, aiming to provide high-speed Internet to more communities [3] - The acquisition strengthens AT&T's ability to offer integrated fiber broadband and 5G wireless services, which is expected to enhance customer retention and long-term value [3] Group 3: Market Context - The fiber broadband market is projected to grow due to increasing demand for high-speed Internet, remote work, streaming services, 5G expansion, and government initiatives [4] - The deal positions AT&T to stay ahead of competitors and improve U.S. connectivity while delivering greater value to customers and shareholders [4] Group 4: Competitive Landscape - AT&T faces competition from Verizon, which is expanding its fiber network through partnerships and acquisitions, and T-Mobile, which has launched T-Mobile Fiber with competitive plans [5][6] Group 5: Financial Performance - AT&T's stock has gained 8.5% over the past year, contrasting with a 4.7% decline in the industry [7] - The company trades at a forward price-to-sales ratio of 1.46, below the industry average of 1.84 [10] Group 6: Earnings Estimates - Earnings estimates for 2026 have increased by 1.8% to $2.28, with a slight increase in estimates for 2027 as well [11][12]

Bellevue, Washington-based T-Mobile US, Inc. (TMUS) provides mobile communications services. Valued at $220.6 billion by market cap, the company offers wireless voice, messaging, and data services. Shares of this leading telco operator have underperformed the broader market over the past year. TMUS has declined 16.3% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 15.5%. In 2026, TMUS stock is down 4%, compared to the SPX’s 1.9% rise on a YTD basis. More News from Barchar ...

Core Viewpoint - AT&T Inc. is highlighted as a strong investment opportunity for 2026, with UBS maintaining a Buy rating and a price target of $31, driven by solid Q4 results and positive growth guidance [1]. Financial Performance - For Q4 2025, AT&T reported adjusted earnings of $0.52 per share, exceeding analyst expectations of $0.46, attributed to over $1 billion in cost savings and growth in its convergence strategy [2]. - Quarterly revenues reached $33.5 billion, a 3.6% increase year-over-year, surpassing Wall Street's expectations of approximately $32.9 billion [3]. - The adjusted EBITDA for the quarter increased by over 4% year-over-year, with margins expanding by 20 basis points, driven by service revenue growth in 5G, fiber, and fixed wireless offerings [3]. Annual Performance - For the full fiscal year, adjusted earnings were $2.12 per share, nearly 9% higher than 2024, and free cash flow totaled $16.6 billion, near the upper end of management's target range [4]. - Management projected adjusted earnings for 2026 to be between $2.25 and $2.35 per share, with free cash flow expected to exceed $18 billion, supported by anticipated organic growth in advanced home internet revenues of over 20% annually through 2028 [5]. Business Overview - AT&T provides a range of telecommunications, media, and technology services, including wireless and wireline communications, broadband, and pay-TV offerings across the United States [5].

AT&T Inc. (NYSE:T) ranks among the stocks with the lowest forward PE ratios. On January 28, AT&T Inc. (NYSE:T) reported its fourth-quarter 2025 earnings results, showcasing modest service revenue growth and sustained momentum in its fiber division. For the fourth quarter of 2025, the telecom giant reported a 1.0% year-over-year increase in consolidated service revenue, with adjusted EBITDA growing by 4.1%. Meanwhile, the total revenue for the quarter came in at $33.5 billion, beating analyst projections of ...

Core Insights - Chunghwa Telecom reported a full-year revenue increase of 2.7% year-over-year to TWD 236.11 billion for 2025, driven by higher mobile handset volumes and strong performance in semiconductor testing and ICT contributions [1][5][8] - The company achieved an all-time high in full-year revenue and an EPS of TWD 4.99, marking an 8-year high and the sixth consecutive year of growth [4][8] - Fourth quarter revenue reached TWD 65.65 billion, up 0.5% year-over-year, attributed to strong mobile device sales and sustained momentum in core telecom services [3][5] Financial Performance - Full-year income from operations rose 3.6%, while net income increased by 4%, resulting in an EPS of TWD 4.99 compared to TWD 4.8 the previous year [1] - Fourth quarter income from operations fell 2.2% year-over-year due to one-off impairment losses related to the 3G network sunset [2] - EBITDA for the full year increased by 2.6% to TWD 88.77 billion, with an EBITDA margin of 37.6% [1] Market Position and Trends - Chunghwa maintained a 41% market share in mobile revenue and a 39.7% subscriber market share in Taiwan, with 5G subscriber market share reaching 39.2% by the end of 2025 [9] - The average monthly fee uplift from 5G migration remained at 41%, indicating strong demand for higher-tier services [9] - Fixed broadband ARPU rose to NT$819 per month, up 3.8% year-over-year, driven by high-speed upgrade promotions [10] ICT and Consumer Services - Group ICT revenue declined 6% year-over-year in the fourth quarter, although full-year ICT revenue still grew, supported by AIoT and IDC services [13] - Consumer application services saw a 17% year-over-year increase in multiple-play packages, marking 16 consecutive quarters of growth [11] - Hami Video's ARPU increased by over 25% year-over-year in the fourth quarter, despite an overall decline in subscriptions [12] 2026 Outlook and CapEx - Management projects approximately 2% revenue growth for 2026, with EPS guidance of NT$4.82 to NT$5.02 [6][17] - CapEx is budgeted at TWD 31.91 billion, with a 6.3% decrease in mobile CapEx and increased non-mobile spending for IDC and satellite services [6][18] - Rising costs are anticipated due to investments in AI talent and electricity [20] International Business and Network Investments - International subsidiary revenue fell 7% year-over-year in the fourth quarter, while revenue from South Asia and Southeast Asia increased by 12% [14] - The completion of the SJC2 submarine cable and the first phase of Apricot contributed to a 2.2% year-over-year growth in fixed line services revenue [16]