NEW YORK, Jan 27, 2026, 20:39 EST — The market has closed.
- AT&T shares dropped roughly 2% Tuesday, closing near $23, just ahead of Wednesday’s earnings report.
- With earnings approaching, the U.S. wireless group is under the spotlight for subscriber growth and its 2026 forecast.
- The Fed’s Wednesday decision, along with upcoming peer earnings, may steer telecom stocks this week.
AT&T (T) shares slipped roughly 2% to $23.00 on Tuesday, then held steady in late trading as investors digested ahead of the carrier’s Q4 earnings release set for Wednesday. The stock traded between $22.96 and $23.55, with volume hitting around 72 million shares.
This report marks the first major earnings update for the U.S. wireless sector this season. Investors are focused on whether customer growth and cash flow can withstand fierce subscriber competition. Wall Street forecasts around 425,000 postpaid net phone additions—meaning new customers on monthly billed plans—and adjusted earnings of 46 cents per share on $32.9 billion in revenue, Barron’s noted. The next market move will likely hinge on guidance for 2026. (Barron’s)
AT&T’s earnings call is scheduled for 8:30 a.m. ET Wednesday, according to its investor calendar—a timing that often triggers sharp stock moves. Investors will be focused on the 2026 outlook, particularly capital expenditures and free cash flow. (AT&T Investors)
On Monday, Wells Fargo maintained its Overweight rating on AT&T but lowered the price target from $29 to $27, according to GuruFocus. This move added to the cautious mood ahead of the earnings report. (GuruFocus)
The bigger question for the sector is if carriers are sliding into a price war that might squeeze ARPU — average revenue per user. “I’m not really seeing a price war,” Jeff Moore, principal at Wave7 Research, told Fierce Network. Roger Entner, founder of Recon Analytics, called the worries over price wars “overblown.” (Fierce Network)
AT&T still needs to prove it can grow its subscriber base without resorting to steeper discounts. Signs of rising churn—the pace at which customers drop service—or falling margins would probably keep pressure on the stock.
Telecom stocks are also reacting to the rate narrative, as investors eye dividends and watch Treasury yields closely. The Federal Reserve will reveal its policy decision Wednesday at 2 p.m. ET, with a press conference set for 2:30 p.m. (Federal Reserve)
The S&P 500 reached a record high Tuesday amid earnings season and the start of the Fed’s two-day meeting, according to a Reuters report. That rally has pushed many stocks to levels that seem to price in positive outcomes. (Reuters)
Verizon will release its fourth-quarter earnings on Friday, Jan. 30, with a webcast planned for 8 a.m. ET, the company announced. (Verizon)
T-Mobile’s investor page shows the Q4 2025 earnings call and a capital markets update scheduled for Feb. 11 at 8:30 a.m. ET. (T-Mobile Investor Relations)
AT&T faces a clear trigger: Wednesday’s earnings and the guidance tone, followed by the Fed’s announcement a few hours later. If either misses the mark, telecom shares could struggle to regain footing before Verizon wraps up the week with its report.
