MEXICO CITY, August 17, 2026, 17:22 CST
América Móvil, S.A.B. de C.V. NYSE:AMX gained 0.96% on Monday, with Mexico’s peso remaining near 17 per dollar. The shift provided the telecom company’s U.S.-listed shares some protection from currency fluctuations. However, it also brought renewed attention to concerns over international revenue.
The peso’s appreciation presents mixed results for investors. América Móvil records its financials in Mexican pesos, yet generates revenue throughout Latin America and Europe. When the peso is strong, it lowers the converted value of the company’s foreign sales.
The strain is evident in trading. The ADR ended at $23.675, a gain from Friday but 0.9% lower than its August 10 finish. During the week, the USD/MXN slipped 0.6%, indicating a stronger peso. On Monday, the exchange rate closed just 0.0343 peso above the 17 mark.
| Market measure | Earlier level | August 17 close | Change |
|---|---|---|---|
| USD/MXN from December 31 | 18.0080 | 17.0343 | -5.4% |
| USD/MXN from July 31 | 17.3207 | 17.0343 | -1.7% |
| USD/MXN from August 10 | 17.1414 | 17.0343 | -0.6% |
| AMX ADR from August 10 | $23.89 | $23.675 | -0.9% |
The impact of currency translation is evident in the second-quarter results. Service revenue increased by 3.4% in reported pesos, compared to a 5.1% rise at constant exchange rates, creating a difference of 1.7 percentage points. EBITDA growth also lagged by 1.5 percentage points.
| Q2 2026 measure | Reported growth | Constant-currency growth | Translation gap |
|---|---|---|---|
| Service revenue | 3.4% | 5.1% | -1.7 pts |
| EBITDA | 3.8% | 5.3% | -1.5 pts |
| EBITDA excluding Mexico charge | Not released | 6.7% | Not comparable |
Operational performance stayed solid despite currency headwinds. Group revenue climbed 3.1% to 241 billion pesos. EBITDA totaled 96 billion pesos, with net profit advancing 9.2% to 24.3 billion pesos. The company reported gaining 3.5 million postpaid subscribers and 531,000 new broadband customers.
Growth extended across regions. Colombia and Central America posted EBITDA increases in the double digits. Mexico trailed behind following a regulatory charge. Stripping out that charge, EBITDA in Mexico rose 4.3%.
| Q2 2026 region | Revenue growth | EBITDA growth |
|---|---|---|
| Mexico | 3.2% | 0.6% (4.3% adjusted) |
| Brazil | 5.4% | 5.1% |
| Colombia | 5.8% | 12.5% |
| Peru | 8.1% | 7.5% |
| Central America and Caribbean | 7.6% | 12.5% |
| Austria and Eastern Europe | 4.2% | 4.0% |
Chief Executive Daniel Hajj discussed the impact of currency fluctuations following the results. Commenting on the weaker dollar, he stated, “In CapEx, it’s not helping. In terms of revenues, it’s helping.” The company maintains its estimate of around $7 billion in capital expenditure for the year. Q2 earnings-call transcript
The balance sheet can withstand some market swings. Net debt amounted to 402 billion pesos, equivalent to 1.31 times trailing EBITDA post-leases. Capital expenditure for the first half reached 48.1 billion pesos. Net debt was lowered by 30.9 billion pesos through cash flow activities.
The peso gained as the dollar eased globally on Monday. The U.S. currency fell to a two-month low after disappointing retail data prompted traders to reduce expectations for further Federal Reserve rate hikes. However, that environment may shift rapidly.
Wall Street holds a generally positive outlook, but opinions vary. On average, analysts set a target of $29.44, representing a roughly 24% premium to Monday’s closing price. The lowest price target stands at $20.80, suggesting potential for declines. The highest forecast reaches $35.
| Analyst measure | Current reading |
|---|---|
| Consensus | Buy |
| Strong Buy / Buy | 7 / 1 |
| Hold / Sell / Strong Sell | 5 / 1 / 0 |
| Average target | $29.44 |
| Target range | $20.80-$35.00 |
Investors face two key challenges in the week ahead. One is watching if USD/MXN can move below the 17 level and maintain it. The other is whether AMX manages to overcome its one-week underperformance, even as the currency backdrop supports its dollar-denominated ADR.
Risks: If the peso reverses, the ADR would lose its translation buffer. Additional gains could widen the reported revenue shortfall. Separate challenges include regulation, competition, and the rising dollar cost of capital expenditures.
