NEW YORK, Jan 30, 2026, 14:17 (EST) — Regular session
AT&T Inc. (T) shares jumped 3.7%, hitting $26.06 by 2:17 p.m. EST on Friday. T-Mobile US added 4.0%, while Verizon surged 10.9%, buoyed by a wider rally in U.S. telecom stocks.
The rally coincides with investors digging into carrier earnings for signs of pricing power and cash returns following a holiday season packed with heavy promotions. Verizon forecast adjusted earnings of $4.90 to $4.95 per share for 2026, alongside at least $21.5 billion in free cash flow. The company also greenlit a $25 billion share buyback under new CEO Dan Schulman. On top of that, Verizon is expanding its broadband footprint after acquiring Frontier Communications. 1
Dallas-based AT&T laid out a long-term plan through 2028 on Wednesday, focusing on fiber and 5G bundles while shifting to a new reporting format starting in Q1. The company predicts adjusted earnings of $2.25 to $2.35 per share in 2026 and free cash flow topping $18 billion—cash remaining after capital expenditures. It also aims to buy back roughly $8 billion in stock that year and maintain its $1.11 per share annual dividend. Net debt to adjusted EBITDA is expected to climb to about 3.2 times post-deals, then drop to around 3 times by the end of 2026. “With new investments in spectrum and fiber, we’re set to win more customers,” said CEO John Stankey. 2
AT&T posted fourth-quarter adjusted earnings of 52 cents per share on $33.5 billion in revenue, topping analysts’ 46-cent forecast, Investors Business Daily reported. The telecom giant gained 421,000 postpaid phone subscribers—those who pay monthly bills. It also added 283,000 fiber internet customers, noting that 42% of fiber households bundle its wireless service. 3
The strategy hinges on two deals in the pipeline: roughly a $6 billion acquisition of Lumen Technologies’s consumer fiber division, plus a $23 billion pact to buy spectrum licenses from EchoStar—the frequencies carriers use to handle mobile data. Stankey noted the Lumen assets are expected to enable reaching “over 40 million customer locations” with fiber by the end of the year. 4
Deutsche Bank’s Bryan Kraft bumped his AT&T price target to $33 from $31 on Thursday, maintaining a buy rating following the company’s latest update. His note focused more on the three-year outlook rather than the typical quarterly subscriber chatter. 5
Doubts linger over a potential wireless price war, and any pricing misstep could quickly boost churn—the rate at which customers depart. Oppenheimer & Co. lowered its price target to $29 from $32, pointing to rising churn and more aggressive promotions as signs the “price war” is already underway. 6
Investors are focused on those transactions closing on time and how they’ll impact spending and debt once integration kicks off. AT&T has indicated it expects both deals to wrap up early this year. 7
AT&T’s next quarterly dividend is set for Feb. 2, despite the record date already being behind us. Traders are eager for fresh updates or filings that clarify the closing dates for the Lumen and EchoStar transactions. 8
