AT&T Q3 Beats: Adjusted EPS $0.65, 2026 Outlook Raised, Capex Cut
T sits 17% above its 52-week low of $19.89.
Summary
AT&T beat on Q3 adjusted EPS ($0.65 vs $0.54) with revenue up 5.3% to $32.3B, raised 2026 EPS guidance to ~$2.40 and lowered long-term capex, while a $2.6B non-cash Mexico impairment dragged GAAP EPS to $0.13.
Key Events · Earnings and Guidance · T
-
Q3 Beat With 5.3% Revenue Growth
Revenue $32.3B vs $30.7B a year ago; adjusted EPS $0.65 vs $0.54; adjusted EBITDA $12.5B, up 5.4%.
-
$2.6B Non-Cash Mexico Impairment
GAAP diluted EPS from continuing operations fell to $0.13 from $1.29, driven by a $2.6B non-cash write-down on the Mexico wireless business held for sale to Televisa for $2B; no cash impact.
-
2026 EPS Outlook Raised, Capex Lowered
2026 adjusted EPS now guided to the $2.40 range with double-digit 3-year CAGR through 2028; capital investment cut to $22-23B annually in 2027-2028 from the prior plan.
-
Record Internet Adds, 1M+ Connectivity Customers
769,000 internet net adds (442,000 fiber, 327,000 fixed wireless) and 379,000 postpaid phone net adds; second consecutive quarter above 1 million Advanced Connectivity additions.
Analysis · T · Technology
AT&T's third quarter came in ahead of last year on every operating line that matters: revenue up 5.3% to $32.3B, adjusted EPS of $0.65 versus $0.54, and adjusted EBITDA up 5.4% to $12.5B. The GAAP number ($0.13) looks ugly only because of a $2.6B non-cash impairment on the Mexico wireless business now held for sale — an accounting write-down tied to the pending $2B sale to Televisa, not cash leaving the business. More important for the thesis, management raised 2026 adjusted EPS guidance to the $2.40 range and cut long-term capital investment to $22-23B a year in 2027-2028, which is what funds the $18B+ 2026 and $21B+ 2028 free cash flow targets and the $45B+ of planned shareholder returns. The offset is leverage: net debt of $149.8B puts net debt/adjusted EBITDA at 3.13x, above the 2.5x target, after the $23B EchoStar spectrum close — deleveraging back to target is now a 2029 story.
How filings like this one have moved
In the 30 days to Oct 21, 2026, 37.2% of the 999 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.80%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, T was trading at $23.28 on NYSE in the Technology sector, with a market capitalization of approximately $160.5B. The 52-week trading range was $19.89 to $29.44. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.