AT&T snaps seven straight sessions of gains

AT&T (NYSE:T) shares snapped seven straight sessions of gains as the stock fell 2% during Wednesday trading hours.

The Texas-based telecommunications company gained 9.1% in the preceding seven sessions. The stock has gained about 27.2% so far this year, compared to the over 15.2% rise in the broader S&P 500 Index.

T is up 9% over the past one month. The stock closed 0.98% higher on Tuesday, at $21.71.

AT&T (T) and Nokia (NOK) signed an agreement last week for fiber network expansion in the U.S.

Nokia said it will provide the Lightspan MF and Altiplano platforms, which are Build America, Buy America-compliant, to expand and upgrade AT&T’s current fiber network under a five-year deal.

Analysts are hopeful regarding the company’s fiber network expansion and are largely bullish on the stock. Seeking Alpha’s Quant rating considers the stock a HOLD, giving it a rating of 3.47 out of 5. The company has received an A+ in terms of profitability and an F on the prospect of growth.

Looking at the Wall Street Community, 16 out of 27 analysts recommend BUY and above, 9 recommend to HOLD the stock while 2 recommend a STRONG SELL.

Seeking Alpha analysts are bullish on the stock and see the stock as a BUY.

Analyst Jeremy LaKosh believes AT&T’s transformation from wireline to fiber is progressing, with substantial growth in fiber customers and revenue, supporting future earnings and free cash flow.

“Investors should watch the wireline business as it transitions into new technology, but from all accounts, AT&T appears poised to handle the transition without an earnings decline and to the benefit of shareholders,” LaKosh said.