NEW YORK, March 28, 2026, 4:03 PM EDT
AT&T edged up 0.6% to $29.10 after hours Friday, buoyed by news of a 27.75-cent quarterly common dividend. Verizon and T-Mobile, on the other hand, slipped at last check, putting AT&T ahead of its main wireless competitors going into the weekend.
The dividend doesn’t raise eyebrows—it’s business as usual. What investors are watching is the cash picture. Based on Friday’s close, the dividend yield lands near 3.8% annualized. AT&T is set to report its first-quarter numbers on April 22.
AT&T has spent the past two months working to persuade investors that its approach—leaning on fiber and 5G—can keep boosting earnings. Back in January, the company projected 2026 adjusted earnings per share between $2.25 and $2.35, topping analyst expectations at that point. AT&T also noted that 42% of its fiber customers signed up for wireless too, a nod to its convergence plan aimed at bundling home internet and mobile under one roof.
The debate resurfaced this week. At a New Street Research event on March 26, AT&T’s network boss Igal Elbaz pointed to swelling AI and video traffic as drivers of higher demand on the company’s wireless network, saying all of AT&T’s mid-band spectrum is now “putting to work”—those are the frequencies that juggle both coverage and speed. Elbaz also noted the company is working on building out two sizable platforms in 5G and metro fiber. AT&T Investors
Execution is the next hurdle. CFO Pascal Desroches, speaking at a Deutsche Bank event, called 2026 “about execution” following AT&T’s close of its Lumen fiber acquisition back in February. The company, he said, is aiming to surpass 40 million fiber locations by the end of the year. First-quarter EBITDA, though, will likely see only low single-digit growth, and free cash flow—what’s left after operating and capital expenses—should come in between $2 billion and $2.5 billion, with integration costs weighing. AT&T Investors
Management insists it’s not after growth at any cost. COO Jeff McElfresh made it clear—AT&T isn’t chasing “promos,” but betting on “performance and value” as it rolls out fiber-wireless bundles in fresh territory. That approach faces a real test: cable rivals keep pushing their own bundles, and AT&T is moving further into crowded broadband markets. AT&T Investors
AT&T isn’t dialing back its spending any time soon. Earlier this month, the company announced plans to pour more than $250 billion into U.S. network infrastructure over the next five years. “It has to spend hard, but it also has to spend smart,” AJ Bell analyst Danni Hewson noted, pointing to the AST SpaceMobile partnership as a key area drawing investor attention. Reuters
The dividend adds to AT&T’s income story, but leaves bigger questions hanging. Watch April 10 for the dividend record date, May 1 for the payout, and April 22 when earnings land. The real point for investors: can AT&T’s fiber expansion deliver more paying customers, or will integration costs muddy the Q1 numbers?
