Is It Time to Buy AT&T?

Is It Time to Buy AT&T?

AT&T Inc. (T) reports Q3 2021 earnings on Thursday morning, with analysts looking for a profit of $0.80 per-share on $42.24 billion in revenue. If met, earnings-per-share (EPS) will mark a slight improvement compared to the same quarter in 2020. The stock booked a small gain after beating Q2 top and bottom line estimates in July but quickly turned tail, dropping more than 10% into last week’s 11-year low in the mid-20s.

The telecomm giant rallied to a 52-week high in May after announcing a merger with Discovery Inc. (DISCA). The news triggered a flurry of upgrades but the mood soured after analysts realized the dividend would need to be slashed to complete the transaction. Income-minded shareholders headed for the exits, triggering a steep slide that relinquished more than 25% of the stock’s value into the October low. The merger is expected to close in the middle of 2022.