AT&T Stock Rallies After Strong Q2 Earnings Amid Sector Volatility
Since early July, AT&T (NYSE: T) has experienced a significant stock rally of nearly 18%, reversing earlier losses tied to concerns over SpaceX's public market debut. The telecom giant reported solid second-quarter results with revenue rising slightly above $31.6 billion and earnings per share increasing from $0.62 to $0.66 year-over-year. The company also added a strong number of new customers, including 646,000 advanced connectivity internet net adds and 432,000 postpaid phone subscribers in Q2 — up significantly compared to the first quarter. These results suggest continued resilience despite sector headwinds from emerging competitors like SpaceX. Analysts are cautiously optimistic about AT&T's future performance due to its attractive valuation (10 times estimated earnings) and a high dividend yield of 4.6%. However, some experts remain skeptical given recent market overreactions and the broader telecom landscape.
Topics: AT&T Q2 earnings SpaceX telecom sector