BofA Securities analyst David Barden maintains $AT&T (T.US)$ with a buy rating, and adjusts the target price from $20 to $24.
According to TipRanks data, the analyst has a success rate of 61.0% and a total average return of -3.4% over the past year.
Furthermore, according to the comprehensive report, the opinions of $AT&T (T.US)$'s main analysts recently are as follows:
Following the announcement that AT&T will sell its 70% stake in DirecTV to TPG Capital for cash distributions totaling $7.6B starting with Q4, it is seen as a positive development for AT&T's shares. This transaction, which is anticipated to be finalized in the second half of 2025 and is subject to regulatory approval due to the change of control over spectrum, is independent of any other deals. This move is interpreted as beneficial because it shifts the focus of investors towards AT&T's expanding wireless and consumer broadband sectors and away from the satellite TV business, which is experiencing a decline.
Anticipation of AT&T's third-quarter financial results has prompted adjustments in expectations, with a slight decrease in the Q3 earnings per share forecast, now at 58 cents, to account for diminished equipment revenue and temporal variances in free cash flow throughout the latter half of the year. Additionally, consistent with recent statements from company leadership, projections for postpaid phone net additions remain steady at 450,000. This forecast is supported by an anticipated churn rate of 0.75%, a slight year-over-year improvement, and a modest 3% reduction in gross additions, aligning with the patterns observed in the second quarter.
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