AT&T (NYSE: T) posted stronger-than-expected wireless postpaid subscriber growth in the first quarter, as its strategy of bundling premium services and offering discounted plans helped drive demand.
The telecom giant added 290,000 postpaid wireless subscribers during the quarter, surpassing the Street estimate of 280,272. Although this figure marked a 25% decline from the prior year, it still highlighted solid underlying demand in a competitive market.
Adjusted earnings per share were in line with earlier guidance, supported by initiatives aimed at boosting sales through bundled packages that combine 5G wireless service with high-speed fiber internet.
Revenue rose 2% year-over-year to $30.6 billion, slightly ahead of projections. Gains in the company’s mobility segment helped offset softer performance in its Latin American business.
Looking ahead, AT&T (NYSE: T) reaffirmed its 2025 guidance, forecasting low-single-digit growth in consolidated service revenue and a 3% or greater increase in adjusted EBITDA. The company also confirmed plans to complete the sale of its remaining 70% stake in DirecTV to TPG by mid-2025.
The company has a consensus rating of “Overweight”, with an average price target of $27.60, which implies just a 2.2% potential upside from the current stock price.
The company’s shares have gained 18.71% year-to-date. In comparison, the S&P 500 is down 7.35% since the start of the year.
David Kirakosyan is a seasoned financial journalist with nearly a decade of hands-on experience in covering the U.S. stock markets. Since 2016, he has written thousands of equity news articles, detailed market analyses, and investment insights for trusted platforms like Benzinga, Investing.com, and StreetInsider. David holds a Master of Science in Finance and is a Level 2 CFA® candidate, reflecting his deep commitment to financial expertise and ethical standards. His reporting combines real-world market experience with a strong academic foundation, helping readers make informed decisions backed by reliable information. Read Full Bio
