HSBC analyst Adam Rumley maintains $AT&T (T.US)$ with a buy rating, and adjusts the target price from $19 to $25.
According to TipRanks data, the analyst has a success rate of 59.6% and a total average return of 4.3% 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 AT&T's announcement of its agreement to divest its majority stake in DirecTV, the company is poised to receive cash distributions beginning with the fourth quarter. The transaction, anticipated to conclude in the second half of 2025 and pending regulatory endorsement due to spectrum control changes, stands independently and is not reliant on any other deal. The sale of DirecTV is seen as a favorable development for AT&T's stock as it shifts the focus of investors towards the expanding wireless and consumer broadband segments, and away from the satellite TV business, which is experiencing a downward trend.
The firm slightly adjusted its Q3 EPS estimate downward by one cent to 58 cents, accounting for reduced equipment revenue and the timing differences in free cash flow distribution in the latter half of the year. Additionally, the firm's unchanged postpaid phone net addition estimates stand at 450K, supported by a churn rate of 0.75% which is a modest 4 basis points lower year-over-year, and a slight 3% decline in gross additions, consistent with the Q2 trend.
Note:
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