AT&T Inc. [NYSE: T] stock went on a downward path that fall over -1.94% on Monday, amounting to a one-week price decrease of less than -2.42%. The company report on July 19, 2021 that DIRECTV Announces Proposed Notes Offering.
DIRECTV Entertainment Holdings LLC (“DIRECTV”), a wholly owned subsidiary of AT&T Inc. (“AT&T”), announced a proposed offering of $3.1 billion aggregate principal amount of Senior Secured Notes due 2027 (the “Notes”) by its indirect wholly owned subsidiaries, DIRECTV Financing, LLC, a Delaware limited liability company, and DIRECTV Financing Co-Obligor, Inc., a Delaware corporation (together with DIRECTV Financing, LLC, the “Issuers”).
The timing of pricing of the Notes is subject to market conditions and other factors. Concurrently with the anticipated completion of the transactions contemplated by the Contribution Agreement, dated February 25, 2021, among AT&T, AT&T MVPD Holdings LLC (formerly known as V Holdco LLC), DIRECTV and TPG VIII Merlin Investment Holdings, L.P (the “Separation Transaction”), DIRECTV Financing, LLC is seeking to enter into new senior secured credit facilities (collectively, the “new credit facility”). The Issuers intend to use the net proceeds of the issuance of the Notes, together with the net proceeds from the new credit facility, to pay down, in cash, intracompany indebtedness owed to AT&T and to pay or fund the reimbursement of certain financing expenses and shared transaction expenses, in connection with the anticipated completion of the Separation Transaction.
Over the last 12 months, T stock dropped by -8.13%. The one-year AT&T Inc. stock forecast points to a potential upside of 9.45. The average equity rating for T stock is currently 2.80, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $199.05 billion, with 7.16 billion shares outstanding and 7.13 billion shares in the current float. Compared to the average trading volume of 44.43M shares, T stock reached a trading volume of 57607484 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on AT&T Inc. [T]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for T shares is $30.69 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on T stock is a recommendation set at 2.80. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Redburn have made an estimate for AT&T Inc. shares, keeping their opinion on the stock as Sell, with their previous recommendation back on June 25, 2021. While these analysts kept the previous recommendation, Scotiabank raised their target price from $28 to $31. The new note on the price target was released on June 16, 2021, representing the official price target for AT&T Inc. stock. Previously, the target price had yet another raise from $32 to $35, while UBS kept a Buy rating on T stock.
The Average True Range (ATR) for AT&T Inc. is set at 0.37, with the Price to Sales ratio for T stock in the period of the last 12 months amounting to 1.15. The Price to Book ratio for the last quarter was 1.20, with the Price to Cash per share for the same quarter was set at 1.58. Price to Free Cash Flow for T in the course of the last twelve months was 13.76 with Quick ratio for the last quarter at 0.80.
T Stock Performance Analysis:
AT&T Inc. [T] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -2.42. With this latest performance, T shares dropped by -3.31% in over the last four-week period, additionally sinking by -4.73% over the last 6 months – not to mention a drop of -8.13% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for T stock in for the last two-week period is set at 32.88, with the RSI for the last a single of trading hit 28.62, and the three-weeks RSI is set at 35.98 for AT&T Inc. [T]. The present Moving Average for the last 50 days of trading for this stock 29.43, while it was recorded at 28.22 for the last single week of trading, and 29.26 for the last 200 days.
Insight into AT&T Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and AT&T Inc. [T] shares currently have an operating margin of +14.97 and a Gross Margin at +36.87. AT&T Inc.’s Net Margin is presently recorded at -3.01.
Return on Total Capital for T is now 6.83, given the latest momentum, and Return on Invested Capital for the company is -1.49. Return on Equity for this stock declined to -2.99, with Return on Assets sitting at -0.96. When it comes to the capital structure of this company, AT&T Inc. [T] has a Total Debt to Total Equity ratio set at 113.18. Additionally, T Total Debt to Total Capital is recorded at 53.09, with Total Debt to Total Assets ending up at 34.80. Long-Term Debt to Equity for the company is recorded at 108.85, with the Long-Term Debt to Total Capital now at 51.06.
Reflecting on the efficiency of the workforce at the company, AT&T Inc. [T] managed to generate an average of -$22,504 per employee. Receivables Turnover for the company is 6.93 with a Total Asset Turnover recorded at a value of 0.32.AT&T Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.80 and a Current Ratio set at 0.80.
T Stock EPS
The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for T. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for AT&T Inc. go to 1.46%.
AT&T Inc. [T] Insider Position Details
There are presently around $102,286 million, or 52.60% of T stock, in the hands of institutional investors. The top three institutional holders of T stocks are: VANGUARD GROUP INC with ownership of 561,751,567, which is approximately 0.908% of the company’s market cap and around 0.10% of the total institutional ownership; BLACKROCK INC., holding 492,116,917 shares of the stock with an approximate value of $13.68 billion in T stocks shares; and STATE STREET CORP, currently with $8.0 billion in T stock with ownership of nearly 0.075% of the company’s market capitalization.
Positions in AT&T Inc. stocks held by institutional investors increased at the end of July and at the time of the July reporting period, where 1,270 institutional holders increased their position in AT&T Inc. [NYSE:T] by around 182,170,651 shares. Additionally, 1,273 investors decreased positions by around 199,532,342 shares, while 192 investors held positions by with 3,298,974,745 shares. The mentioned changes placed institutional holdings at 3,680,677,738 shares, according to the latest SEC report filing. T stock had 155 new institutional investments in for a total of 18,023,083 shares, while 124 institutional investors sold positions of 8,226,391 shares during the same period.