AT&T expects its Advanced Connectivity Business Service revenue to grow at a low single-digit compound annual growth rate (CAGR) through 2028. The company shared this financial outlook during a conference call, providing investors with a specific timeline for revenue expectations in this business segment.

The guidance covers the performance of the Advanced Connectivity Business Service unit, highlighting a conservative growth trajectory over the next several years. This projection serves as a key metric for stakeholders to evaluate the company's future revenue streams from its connectivity services.

AT&T Inc shares traded higher on Friday as investors reacted to the successful completion of a 5G mobility field trial. The trial, conducted in partnership with Ericsson and MediaTek, focused on enhanced mobility features tied to Ericsson’s 5G Advanced Critical IoT subscription. The technology aims to provide faster, more reliable handovers and steadier data rates for devices in motion.

5G Trial Results

During the testing, Ericsson’s Low-Latency Mobility feature set reduced data interruption during cell changes by up to 25% versus legacy Layer 3 mobility. Rob Soni, VP of RAN Technology at AT&T, stated that the trials prove the technology dramatically improves mobility performance on the move. He added that the consistency ensures more reliable connections for cloud applications and immersive video while paving the way for next-gen XR and real-time AI-driven edge processing.

Stock Performance and Technical Levels

The stock’s upward movement occurred despite the company trading below key technical averages. At the time of publication on Friday, AT&T shares were up 0.81% at $21.21. The stock is trading 3.5% below its 20-day SMA of $21.92 and 17% below its 100-day and 200-day SMAs of $25.60 and $25.52, respectively. A death cross formed in May when the 50-day SMA dropped below the 200-day SMA.

Business Segments and Market Position

The wireless business contributes nearly 70% of AT&T’s revenue, and the company is the third-largest US wireless carrier with 74 million postpaid and 17 million prepaid phone customers. It also serves about 15 million in-home broadband customers, with residential services making up roughly 11% of revenue. Enterprise fixed-line services account for about 14% of revenue, including internet access, private networking, and voice. AT&T also holds 25 million wireless customers in Mexico, representing about 3% of revenue.

Upcoming Earnings and Analyst Ratings

The next major catalyst for the stock is the earnings report scheduled for July 22, 2026. Analysts expect an EPS of 59 cents, up from 54 cents year-over-year, and revenue of $31.83 billion, up from $30.80 billion year-over-year. The stock currently holds a Buy rating with an average price target of $28.25 and a P/E ratio of 7.1x.

Recent Analyst Actions