Now entering the fiscal home stretch, it's almost time for telecommunications giant AT&T
What analysts say:
- Buy, sell, or hold the line? Of the 25 analysts weighing in on AT&T, 16 say the stock is a buy, while nine say hold. AT&T ranks as a four-star stock in our Motley Fool CAPS community, with 4,073 members weighing in with an opinion on the company.
- Revenue. On average, analysts expect revenue of $31.3 billion this quarter, 4% higher than last year.
- Earnings. The average analyst expectation for non-GAAP profits is $0.71 per share.
What management says:
The Apple
The company believes the strong Apple brand behind the device will win out against more competition springing up from Research In Motion's
What management does:
While the iPhone is helping AT&T sign up plenty of customers, it's not running away with the market; Verizon
Metric |
3/07 |
6/07 |
9/07 |
12/07 |
3/08 |
6/08 |
---|---|---|---|---|---|---|
Net Additions (millions) |
1.2 |
1.5 |
2.0 |
2.7 |
1.3 |
1.3 |
Churn |
1.7% |
1.6% |
1.7% |
1.7% |
1.7% |
1.6% |
ARPU |
$49.21 |
$50.63 |
$50.82 |
$50.28 |
$50.18 |
$50.60 |
Source: AT&T. For the three months ending in the stated month.
One Fool says:
AT&T looks well-positioned to weather a more constrained consumer spending holiday season. The new iPhone has a cheap entry price, and the company is heavily pushing its bundled services to save consumers and businesses money. It's also pushing its packages into more markets; its U-verse TV and Internet offerings will arrive on more than 600 Circuit City
Like all telecommunication carriers, AT&T will certainly see line disconnects rise as people cut back on expenses. But a lower stock price and 6.3% yield on shares keeps many investors excited about AT&T's long-term prospects.
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