AT&T: Don’t Chase (Rating Change)


  • AT&T reported mixed Q4’22 results with weak ’23 EPS guidance.
  • The wireless company continues to fail to extract higher economics from a very expensive 5G network.
  • The stock is fairly valued, trading at 8.5x updated ’23 EPS targets.

AT&T central office. AT&T wrapped up its merger with WarnerMedia and now controls HBO, CNN and DirecTV


A few months ago, AT&T (NYSE:T) plunged to a low below $15 and the bottom was set in the process. The wireless giant is much better poised to produce consistent results with the spinoff of the media business, but

Finviz Chart

Source: FinViz

Subscriber slide

Source: AT&T Q4’22 presentation

5G network slide

Source: RootMetrics

Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure: The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock, you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal.

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