AT&T raises 2026 earnings outlook as fibre and wireless growth accelerates
AT&T (NYSE:T) raised its 2026 adjusted EPS forecast to $2.40, citing growth in fibre and wireless customers. Q3 revenue rose 5.3% YoY to $32.3B, with adjusted EPS up to $0.65. The company plans to reduce capital investment to $22B-$23B annually in 2027-2028. Shares fell 6% in morning trade.
How this was made
The 30-second read
Why it matters
The guidance raise is a fresh, material development that could shift valuation multiples and attract new buying interest.
Market read
Guidance upgrades are rare for large telecoms and can move the stock and sector sentiment.
What to watch
Potential headwinds from the Mexico wireless divestiture and the $2.6 b impairment could temper enthusiasm.
Background
AT&T reported Q3 results, highlighted subscriber growth, and announced a higher 2026 earnings forecast while noting a recent impairment and a pending Mexico asset sale.
Ticker impact
AT&T raised its 2026 adjusted earnings outlook to $2.40 per share and added over 1 million advanced connectivity customers.
upward pressure as investors price in higher earnings and subscriber growth
The new guidance is a primary disclosure with double‑digit growth expectations and a sizable subscriber addition, which typically drives buying interest.
Market effects
Improves outlook for the U.S. telecom sector as AT&T's subscriber gains suggest demand for fiber and fixed wireless services.
U.S. equities may see modest upside, especially other telecoms and broadband providers.
Limited to U.S. markets; no immediate global macro impact.
Counterpoint
The share price fell 6% despite the guidance lift, indicating possible concerns about execution risk or higher capital spending.
Key entities
- CompanyAT&T Inc.
U.S. telecommunications giant providing fiber, wireless, and broadband services.
