In the latest trading session, AT&T (T) closed at $35.20, marking a -1.48% move from the previous day. This move was narrower than the S&P 500's daily loss of 3.17%. At the same time, the Dow lost 3.77%, and the tech-heavy Nasdaq lost 2.28%.
Coming into today, shares of the telecommunications company had lost 4.54% in the past month. In that same time, the Computer and Technology sector lost 7.24%, while the S&P 500 lost 8.05%.
Wall Street will be looking for positivity from T as it approaches its next earnings report date. In that report, analysts expect T to post earnings of $0.87 per share. This would mark year-over-year growth of 1.16%. Meanwhile, our latest consensus estimate is calling for revenue of $44.66 billion, down 0.38% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.60 per share and revenue of $182.38 billion. These totals would mark changes of +0.84% and +0.66%, respectively, from last year.
Any recent changes to analyst estimates for T should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.55% lower within the past month. T currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, T is holding a Forward P/E ratio of 9.92. This represents a discount compared to its industry's average Forward P/E of 19.14.
We can also see that T currently has a PEG ratio of 1.87. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Wireless National industry currently had an average PEG ratio of 2.55 as of yesterday's close.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 106, which puts it in the top 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow T in the coming trading sessions, be sure to utilize Zacks.com.
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