AT&T Stock Price and Value Analysis

Should you buy AT&T stock? (NYSE:T). Let's see how it does in our automated value investing analysis system.

T Free Cash Flow Trend

Free Cash Flow trendline for T
Free Cash Flow trendline for AT&T

Based on historical returns, we believe that AT&T can grow its free cash at a rate of about 2%. That's positive!

AdvantagesDisadvantages
  • This company is a well-established bedrock.
  • This stock is available at a great discount!
  • This company has a large dividend yield!
  • This company has wild ups and downs.
  • This company is making money at a modest rate.

Inside the T Numbers

T Price
(AT&T stock price per share)
$29.62
[?] T Fair Price
(based on intrinsic value)
$55.47
[?] T Safety Price (based on a variable margin of safety) $47.15
[?] PE Ratio versus Sector 16% higher than other Technology stocks
[?] PE Ratio versus Industry 54% lower than other Telecom Services stocks
[?] Cash Yield 17.94%
[?] Free Cash Flow Jitter 46%
[?] Dividend Yield 7%
Shares Shorted 123,905,420

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 123,905,420 shares shorted. With 7,121,992,980 shares available for purchase and an average trading volume over the past 10 trading days of 52,628,414, it would take at least 2.354 days for all of the short holders to cover their shorts.

Is AT&T Stock on Sale?

We believe that AT&T may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Even better, AT&T looks like a stock on sale. Based on our analysis—if the company keeps making money the way it has been—you may be looking at a bargain. Keep this stock in mind as you put together your portfolio! See Before You Buy for your next steps (and read our disclaimer about investing risk).

Should You Buy T Stock?

Does AT&T have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.