AT&T (T, $33.02) Earnings Falls Short of Expectations, But Hopes High on WarnerMedia Division
AT&T reported mixed results for Q3 and indicated better days to come following its acquisition of media giant Time Warner this year.
The telecommunications company’s Q3 adjusted earnings came in at 90 cents per share, which is below average analyst expectations of earnings of 94 cents per share. It projects its full-year adjusted EPS at the high end of the $3.50 range.
Total operating income grew +25.2% in Q3 from the year-ago period. The growth was “primarily due to the Time Warner acquisition,” as suggested by the company.
As for revenues, they were $45.7 billion for the quarter, beating average expectations of $45.63 million, according to data compiled by Bloomberg.
Mirroring a general decline in Americans’ preference for traditional pay-TV, AT&T experienced a 346,000 net loss in traditional video customers. The company gained 49,000 subscribers in Q3 for its online video streaming DirecTV Now – a platform that the company is (quite naturally) looking to focus more on. AT&T’s WarnerMedia division – which includes HBO, Warner Bros, Turner Broadcasting, TNT, TBS and CNN - is also planning to launch a new streaming TV service by next year.
AT&T sure looks to have its hopes high on video streaming – a space already seeing ‘drama’tic growth as well as competition amongst players including Netflix and Amazon Prime Video.
T sees its 50-day moving average cross bearishly below its 200-day moving average
The 50-day moving average for T moved below the 200-day moving average on June 04, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on June 03, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on T as a result. In of 85 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for T turned negative on June 03, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 57 similar instances when the indicator turned negative. In of the 57 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where T declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for T entered a downward trend on June 11, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where T's RSI Indicator exited the oversold zone, of 35 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 6 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where T advanced for three days, in of 313 cases, the price rose further within the following month. The odds of a continued upward trend are .
T may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.446) is normal, around the industry mean (10.055). P/E Ratio (7.566) is within average values for comparable stocks, (31.651). Projected Growth (PEG Ratio) (1.606) is also within normal values, averaging (10.025). Dividend Yield (0.048) settles around the average of (0.041) among similar stocks. P/S Ratio (1.314) is also within normal values, averaging (6.572).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 82, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. T’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a provider of dsl internet, local and long-distance voice and data services
Industry MajorTelecommunications
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