AT&T (T) Delivers Steady Q2 2026 Growth with +2.3% Revenue Increase and Fiber Momentum
Key Takeaways
- Revenues reached $31.6 billion, up 2.3% year over year.
- Adjusted EPS rose to $0.65 from $0.54 in the prior-year quarter.
- Advanced Connectivity service revenue grew 5.1% to $23.5 billion.
- Over 1 million Advanced Connectivity customers added, including strong fiber and fixed wireless net adds.
- Free cash flow increased to $4.7 billion.
- Company reiterates full-year 2026 guidance and accelerates share repurchases.
Why These Results Stand Out
AT&T’s second-quarter performance highlights ongoing execution on its strategy centered on fiber and wireless convergence. The focus on higher-value Advanced Connectivity services continues to support revenue growth and margin improvement in a competitive environment. I’m watching these updates closely for indications of sustained subscriber trends and progress on legacy network retirement, both of which tie directly into cash flow and plans for returning capital to shareholders.
Breaking Down the Reported Figures
AT&T reported second-quarter 2026 revenues of $31.6 billion, a 2.3% increase from $30.8 billion a year earlier. Diluted EPS from continuing operations was $0.66 versus $0.62 previously, while adjusted EPS reached $0.65 compared with $0.54. Adjusted operating income totaled $7.5 billion, and adjusted EBITDA rose 5.2% to $12.3 billion. Free cash flow improved to $4.7 billion from $4.4 billion. The company added 646,000 Advanced Connectivity internet net adds and 432,000 postpaid phone net adds. Results came in ahead of expectations on subscriber growth and cash flow, with revenues and adjusted metrics generally in line with or above consensus estimates. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Market Reaction and Investor Sentiment
Following the July 22 release, market sentiment stayed constructive as AT&T pointed to record quarterly net adds in converged services and reaffirmed its full-year outlook. Emphasis on faster share repurchases and continued fiber buildout helped bolster confidence in execution. Stock movement reflected approval of the subscriber momentum and cash flow gains, with only modest reaction to expected legacy revenue declines.
Using AI Tools to Put Results in Context
One tool I find useful for deeper analysis is Tickeron’s AI Screener. It is an AI-powered stock and ETF discovery tool that helps traders and investors filter the market based on technical patterns, fundamentals, trends, volatility, and AI-driven signals. Users can scan thousands of stocks and ETFs using customizable filters such as industry, market capitalization, technical indicators, price patterns, and performance metrics. The screener helps identify trade ideas, trending stocks, breakout candidates, and market opportunities more efficiently than manual screening. I occasionally turn to the AI Screener when evaluating how companies like this one stack up against peers.
Forward Outlook and Factors to Watch
AT&T reaffirmed its full-year 2026 outlook, including adjusted EPS in the $2.25 to $2.35 range and free cash flow of $18 billion or more. The company expects service revenue growth in the low-single-digit range and Advanced Connectivity service revenue growth of 5% or higher for the year.
Investors should watch progress toward the 40 million fiber locations target by year-end 2026 and the pace of legacy network decommissioning. Continued convergence between home internet and wireless services remains a key growth driver. Capital allocation updates, including the accelerated $10 billion share repurchase target for 2026, will also be important. Broader industry dynamics such as competitive pricing in wireless and fiber markets, along with regulatory developments around spectrum and network infrastructure, warrant attention in coming quarters.
Disclaimer
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Financial writer and active order flow futures trader with a focus on fundamental analysis, macroeconomic factors, and equity research. I make in-depth blogs on stocks and ETFs, bridging the gap between raw market data and real-world trading decisions.
T in +2.98% Uptrend, advancing for three consecutive days on August 11, 2026
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where T advanced for three days, in of 308 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on August 12, 2026. You may want to consider a long position or call options on T as a result. In of 85 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for T just turned positive on July 10, 2026. Looking at past instances where T's MACD turned positive, the stock continued to rise in of 56 cases over the following month. The odds of a continued upward trend are .
T moved above its 50-day moving average on July 22, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for T crossed bullishly above the 50-day moving average on July 28, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In of 12 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 249 cases where T Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for T moved out of overbought territory on July 29, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 35 similar instances where the indicator moved out of overbought territory. In of the 35 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
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 .
T broke above its upper Bollinger Band on July 24, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously 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 (1.525) is normal, around the industry mean (10.216). P/E Ratio (8.112) is within average values for comparable stocks, (30.785). Projected Growth (PEG Ratio) (1.636) is also within normal values, averaging (10.321). Dividend Yield (0.045) settles around the average of (0.044) among similar stocks. P/S Ratio (1.364) is also within normal values, averaging (6.349).
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 84, placing this stock slightly better than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. T’s price grows at a higher 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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a provider of dsl internet, local and long-distance voice and data services
Industry MajorTelecommunications
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