AT&T stock upgraded to Outperform by Wolfe Research
Wolfe Research analysts upgraded shares of telecom company AT&T (T) to Outperform with a $21 per share price target. AT&T customers experienced a network outage in late February.
Yahoo Finance Live examines analyst sentiments on AT&T's stock.
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Editor's note: This article was written by Luke Carberry Mogan.
Video Transcript
- Next catalyst call is from Wolfe Research, feeling bullish on AT&T. They upgraded this name to outperform, citing better cash flow, less debt, and greater efficiency. So there was, of course, that embarrassing outage just recently, network ads, and we talked about that. But the team at Wolfe Research, they look past that Julie, they're fans, they raised the rate to outperform. Their target goes to 21. Average price target looks like on the street, by the way, is around 20. It says fundamentally AT&T is on course, likes what they see in a number of areas, including churn, which he now says is at peer levels.
- Yeah. And it's an interesting call here because, for lack of a better word, Wolfe's Peter Supino was meh, on AT&T for quite a long time.
- Technical term.
- And on Telecom more broadly they say it's time to take T, AT&T that is, seriously as along. Among other reasons they look at as a step function margin improvement. In other words, a significant step up in margins in the consumer wireline business, according to Supino. And also looking at postpaid phone subscriber results, he says, that have weathered competitive pressures. And we know that telecom business is very competitive.
- And by the way, Bloomberg citing the sources. Says CEO John Stankey has quietly joined the elite Augusta National Golf Club. So at the Masters next month, Julie, I know you'll be watching. Look for Mr. Stankey and that iconic green jacket.
- You know I will not be watching. Are you a golf guy? Do you watch golf?
- No, I'm not. But if I was, this would be the club.
- Sure, sure, sure.
