AT&T Stock (T) on December 6, 2025: Latest News, Price Targets, Dividend and 2026 Forecast

Published: December 6, 2025 – This article is for information only and is not investment advice.

AT&T stock today: price, yield and valuation snapshot

AT&T Inc. (NYSE: T) is trading around $25.28 per share as of the close on December 5, 2025. That puts the telecom giant down slightly on the day (about –0.4%) and roughly 15% below its 52‑week high of $29.79, but still about 18% above its 52‑week low near $21.38. ^[1]

At this level, AT&T carries a market capitalization of roughly $180 billion and a forward dividend yield of about 4.4%, based on an annualized dividend of $1.11 per share. ^[2] The stock trades at:

Trailing P/E: around 8–9x earnings
Forward P/E: about 11x based on next year’s expected EPS of roughly $2.2 ^[3]

That puts AT&T firmly in “value stock” territory compared with the broader market, while still offering a high single‑digit earnings multiple and a mid‑single‑digit cash yield.

Institutional investors remain important holders of the stock: recent filings suggest around 57% institutional ownership, with several notable investors adding to positions in recent quarters. ^[4]

Fresh catalysts on (and around) December 6, 2025

1. FCC approves $1.02 billion spectrum deal, but with a DEI twist

On December 4, the U.S. Federal Communications Commission approved AT&T’s $1.02 billion purchase of wireless spectrum licenses from UScellular, a key building block for its 5G coverage. The catch: AT&T agreed to end all formal Diversity, Equity and Inclusion (DEI) programs as a condition of the deal, reflecting new regulatory expectations under the current administration. ^[5]

The FCC argues the transaction should enhance AT&T’s coverage and performance, potentially supporting network quality and competitiveness. Rural-industry advocates, however, warn that further spectrum consolidation could reduce competition and increase prices in less densely populated areas. ^[6]

From a stock perspective, the message is mixed:

Positive: more spectrum strengthens AT&T’s 5G network, which underpins both wireless and fixed‑wireless growth.
Negative: the forced rollback of DEI policies introduces reputational and ESG risk and highlights how political/regulatory pressure can directly shape corporate governance.

2. DEI rollback, EchoStar exposure and liquidity concerns

A new analysis published December 6 digs deeper into AT&T’s decision to eliminate DEI programs. It frames the move not just as regulatory compliance, but as part of a broader cash‑preservation strategy in the face of large pending commitments and legal uncertainty. ^[7]

Key points from that piece:

AT&T has a planned ~$23 billion acquisition of EchoStar spectrum assets, announced earlier in the year, which still awaits final regulatory clearance. ^[8]
The company is also facing ongoing class‑action litigation, with worst‑case scenarios that could place additional strain on cash reserves if outcomes are unfavorable. ^[9]
Eliminating DEI organizations and roles lowers operating expenses and helps preserve liquidity, but risks damaging employee morale and undermining AT&T’s ESG profile with some investors. ^[10]

For shareholders, this highlights a critical trade‑off: stronger spectrum position and near‑term cash protection vs. long‑term brand, culture and governance concerns.

3. New fees and plan changes heading into 2026

Separate reporting today outlines several customer‑facing changes AT&T is rolling out as it heads into 2026: ^[11]

The “Administrative & Regulatory Cost Recovery Fee” is rising from about $3.49 to $3.99 per line per month, effectively pushing ARPU slightly higher.
AutoPay discounts are being tweaked, generally becoming less generous for customers who pay by credit card.
Device protection plans under the Protect Advantage brand have been repriced and adjusted, including changes to same‑day replacement and the end of unlimited photo storage for some customers.
Newly deployed 5G spectrum—linked in part to prior EchoStar transactions—is expected to boost speeds materially across thousands of cities, supporting network‑quality marketing claims.

These updates can support revenue and profitability on a per‑subscriber basis, but they also risk incremental churn if customers feel nickel‑and‑dimed.

4. Big money buying: new institutional stakes reported today

Two fresh institutional filings dated December 6 point to continued appetite for AT&T at current levels: ^[12]

Ardmore Road Asset Management LP opened a new position of about 2.5 million shares in AT&T in Q2, worth roughly $72 million, making T its third‑largest holding at around 6% of its portfolio.
Baird Financial Group Inc. increased its stake by about 9% to nearly 1.2 million shares, valued around $34.7 million.

Both reports also reiterate that AT&T:

Delivered Q3 EPS of $0.54, in line with consensus
Posted quarterly revenue of ~$30.7 billion, slightly below expectations but up about 1.7% year‑over‑year ^[13]

The institutional buying doesn’t guarantee future performance, but it does support the narrative that value and income‑oriented investors still see AT&T as attractive around $25.

How AT&T’s business is actually performing in 2025

5G and mobility: steady, not spectacular

In the third quarter of 2025, AT&T reported: ^[14]

Communications segment revenue of $29.5 billion, up 1.5% year‑over‑year
Mobility service revenue up 2.3%, with 405,000 postpaid phone net adds
Mobility EBITDA and operating income both growing in the low single digits

Earlier in the year, Q1 results showed Mobility service revenue up 4.1%, reflecting healthy demand for 5G mobile services and higher‑value postpaid subscribers. ^[15]

In other words, wireless is growing modestly but consistently, and remains the core profit engine.

Fiber and consumer wireline: the primary growth driver

Fiber is where AT&T is seeing the fastest momentum:

Q3 2025 fiber revenue grew 16.8% year‑over‑year, driving overall consumer wireline broadband revenue up 8.2%. ^[16]
The company added 288,000 AT&T Fiber net adds and 270,000 AT&T Internet Air net adds in Q3, marking the ninth consecutive quarter of positive broadband net adds. ^[17]
In Q1, consumer fiber broadband revenue was up 19%, and fiber locations passed reached ~29.5 million. ^[18]

AT&T expects its combination of organic build‑out, its planned acquisition of Lumen’s Mass Markets fiber business, and open‑access partnerships to take it to 60 million fiber locations by 2030—roughly double today’s footprint. ^[19]

This fiber expansion is central to the long‑term bullish case: it supports higher ARPU, improves bundling with wireless (so‑called “convergence”), and can reduce churn as customers become more deeply embedded in AT&T’s ecosystem. Third‑party analysis of Q3 results notes that fiber‑mobility bundles now account for over 40% of fiber subscribers, which enhances cross‑sell economics. ^[20]

Free cash flow, debt and leverage

On the cash‑flow side, AT&T’s 2025 story is one of gradual improvement but still‑heavy leverage:

Q1 2025 free cash flow (FCF) came in at $3.1 billion, up from $2.8 billion a year earlier. ^[21]
Q3 FCF rose to $4.9 billion, vs. $4.6 billion in the prior‑year quarter. ^[22]
Management has reiterated full‑year 2025 FCF guidance of at least $16 billion, alongside low single‑digit consolidated service revenue growth and at least 3% adjusted EBITDA growth. ^[23]

Debt remains the main overhang:

Total debt at the end of Q3 was $139.5 billion with net debt of $118.8 billion. ^[24]
Earlier in the year, net debt was around $119.1 billion, so leverage is essentially flat so far in 2025. ^[25]
AT&T’s CEO has reiterated a target of returning net debt‑to‑adjusted EBITDA to roughly 2.5x within about three years of closing the EchoStar spectrum deal, and has outlined $20 billion of share repurchase capacity for 2025–2027 if that plan stays on track. ^[26]

External credit analysts expect Mobility EBITDA to grow about 3–4% in both 2025 and 2026, supported by cost cuts and operating leverage, and have moved AT&T’s outlook to “stable,” signaling reduced concern about a further downgrade so long as FCF execution holds. ^[27]

Dividend, buybacks and capital returns

Dividend status: high yield, flat growth

AT&T currently pays a quarterly dividend of $0.2775 per share, or $1.11 annually. The company has maintained this payout level since its post‑WarnerMedia reset in 2022, with no increases so far. ^[28]

At the current share price:

Forward yield: ~4.4% ^[29]
Forward payout ratio: around 50% of next‑year EPS, based on consensus earnings forecasts between $2.09 and $2.28 per share. ^[30]

Independent dividend research sites rate AT&T’s dividend safety as strong, with a low stock beta and an estimated 20% upside to fair value based on sell‑side targets. ^[31]

A recent analysis of AT&T’s FCF argues that, if the company delivers on its $16+ billion FCF goal, it can comfortably cover the dividend, continue paying down debt and even support a modest share repurchase program, with buybacks equivalent to roughly 2–3% of market cap annually already underway. ^[32]

The consensus view among many income‑focused commentators is that dividend growth could resume in the medium term—but only if:

FCF consistently exceeds guidance, and
The EchoStar and Lumen transactions do not materially weaken the balance sheet.

Capital allocation priorities

AT&T’s stated capital priorities are: ^[33]

Invest in 5G and fiber (capex in the ~$22 billion range for 2025)
Support the current dividend
Reduce leverage toward 2.5x net debt/EBITDA
Return excess capital via share repurchases (up to $20 billion of capacity through 2027)

The tension for the stock is straightforward: every dollar used for buybacks or dividends is a dollar not used to de‑risk the balance sheet, and vice versa.

Wall Street forecasts and price targets for 2026 and beyond

Consensus rating: from “Hold” to “Moderate Buy”

While some earlier 2025 research tagged AT&T as a “Hold” with an average target near $28, more recent aggregators now describe sentiment as “Moderate Buy” to “Buy.” ^[34]

Across several major data providers:

StockAnalysis:
- 20 analysts, consensus rating: “Buy”
- Average 12‑month target: $30.8 (about 22% upside vs. $25.28)
- Target range: $27–$34 ^[35]
MarketBeat:
- Consensus “Moderate Buy”
- Around 25 analysts; mix of 1 strong buy, 16 buys, 8 holds
- Average target: ~$30.6 (just over 20% implied upside) ^[36]
TickerNerd:
- 44 analysts tracked
- Median target: $31 (roughly 22–23% upside)
- 17 Buy, 8 Hold, 0 Sell; overall rating “Strong Buy” (8.4/10) ^[37]
GuruFocus and others:
- Average target in the high‑$20s to around $30, with upside usually in the low‑double‑digit to ~20% range depending on dataset and reference price. ^[38]

In short, most analysts see modest double‑digit upside over the next 12 months, but few expect explosive growth; this is treated as an income and value story, not a hyper‑growth one.

Recent upgrades and downgrades

2025 has brought a flurry of rating changes:

Upgrades:
- KeyBanc recently upgraded AT&T to “Overweight/Buy” with a $30 target. ^[39]
- Several firms (e.g., Raymond James, Tigress Financial, Goldman Sachs) maintain bullish targets in the low‑$30s. ^[40]
Downgrades / more cautious views:
- Barclays cut the stock to “Equal‑Weight”, citing concerns about future earnings growth, while keeping a target around $28–$30. ^[41]
- Scotiabank shifted to “Sector Perform” from a more bullish stance. ^[42]
- Wells Fargo trimmed its target from $31 to $29, but kept an “Overweight” rating. ^[43]

This pattern—incremental downgrades but still positive absolute targets—matches the stock’s profile: a solid cash‑generating business with clear headwinds.

Earnings and revenue forecasts

Analyst models point to modest top‑line growth and better EPS over the next two years: ^[44]

Revenue 2025: about $127.4B, up ~4% vs. 2024
Revenue 2026: about $129.3B, up ~1.5%
EPS 2025: around $2.09, up ~40% vs. 2024, helped by margin improvements and lapping one‑off items
EPS 2026: around $2.28, implying high‑single‑digit earnings growth

Those numbers assume AT&T continues to execute on fiber growth, modest wireless expansion and cost discipline, while avoiding major negative surprises on litigation or regulatory fronts.

Long‑term projections from some algorithmic models and broker research even envision the stock in the $40–50+ range by 2030 in bullish scenarios, though these are best treated as scenario ranges, not hard predictions. ^[45]

Key risks investors should watch

Despite the improving story on free cash flow and the generous yield, AT&T stock is not risk‑free. Among the most important issues:

High leverage and interest‑rate sensitivity
- With net debt around $119 billion, even small increases in interest costs or slower EBITDA growth can pressure credit metrics. ^[46]
- Independent forecast providers continue to flag debt and rates as structural headwinds, limiting upside if macro conditions worsen. ^[47]
Regulatory and political risk around DEI and spectrum
- The FCC’s requirement to end DEI programs to approve spectrum deals is a striking example of policy risk directly affecting corporate governance. ^[48]
- Reputational and ESG backlash—especially from institutions with formal sustainability mandates—could weigh on valuation over time.
Execution risk in large transactions (EchoStar, Lumen)
- AT&T is committing tens of billions to spectrum and fiber assets that must be integrated and monetized over many years. ^[49]
- Delays, regulatory conditions or weaker‑than‑expected returns could squeeze both FCF and leverage targets.
Competitive pressure from Verizon, T‑Mobile and cable operators
- Wireless remains a three‑horse race in the U.S., and all major carriers are pushing 5G and fixed‑wireless aggressively.
- Cable operators are ramping mobile offerings and converged bundles, increasing competitive intensity in broadband.
Legacy business decline
- Business wireline revenues are shrinking mid‑teens annually as legacy voice and data products fade, requiring continued cost cuts just to keep margins stable. ^[50]

Bottom line: what the latest data means for AT&T stock

As of December 6, 2025, the AT&T investment case looks something like this:

The bull case
- A nearly 4.5% forward dividend yield that appears sustainably covered by free cash flow under current guidance. ^[51]
- Growing fiber and 5G franchises with clear evidence of subscriber and revenue growth, and a long runway to expand to 60 million fiber locations. ^[52]
- Double‑digit percentage upside implied by most 12‑month analyst price targets, with consensus ratings in the “Moderate Buy / Buy” range. ^[53]
- Potential for future dividend growth and share buybacks if AT&T hits its FCF and leverage goals.
The bear case
- Heavy debt and a capital‑intensive business model that leave little margin for error if growth disappoints or interest rates stay higher for longer. ^[54]
- Regulatory and political overhang tied to DEI rollbacks and large pending transactions, which may deter ESG‑focused capital and introduce headline risk. ^[55]
- Competitive and legacy pressures that keep revenue growth in the low single digits, limiting the scope for multiple expansion.

For income‑oriented investors comfortable with telecom and policy risk, AT&T around $25 continues to offer a high, seemingly well‑supported yield plus moderate upside potential if management executes on its 5G/fiber and deleveraging strategy.

For more growth‑focused or risk‑averse investors, the combination of debt, regulatory uncertainty and modest top‑line growth may still be a reason to stay cautious.

Either way, the latest December 6 developments—spectrum approvals tied to DEI cuts, fresh institutional buying, and new fee changes—underscore that AT&T in 2025 is as much a regulatory and capital‑allocation story as it is a pure telecom one. Anyone considering the stock should weigh both sides carefully and align decisions with their own risk tolerance, time horizon and income needs.