AT&T INC (1T.MI) Stock Fundamental Analysis
Europe - BIT:1T - US00206R1023 - Common Stock
21.505 EUR
+0.46 (+2.21%)
1T gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 31 industry peers in the Diversified Telecommunication Services industry. 1T has a medium profitability rating, but doesn't score so well on its financial health evaluation. 1T has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year 1T was profitable.
In the past year 1T had a positive cash flow from operations.
In multiple years 1T reported negative net income over the last 5 years.
1T had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1T has a Return On Assets (3.12%) which is in line with its industry peers.
1T has a better Return On Equity (12.03%) than 61.29% of its industry peers.
With a Return On Invested Capital value of 5.25%, 1T perfoms like the industry average, outperforming 41.94% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1T is below the industry average of 7.62%.
The 3 year average ROIC (5.19%) for 1T is below the current ROIC(5.25%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.12% | ||
| ROE | 12.03% | ||
| ROIC | 5.25% |
ROA(3y)1.35%
ROA(5y)1.32%
ROE(3y)5.03%
ROE(5y)4.74%
ROIC(3y)5.19%
ROIC(5y)4.76%
1.3 Margins
1T has a better Profit Margin (10.21%) than 61.29% of its industry peers.
1T's Profit Margin has improved in the last couple of years.
1T's Operating Margin of 19.86% is fine compared to the rest of the industry. 1T outperforms 70.97% of its industry peers.
1T's Operating Margin has improved in the last couple of years.
1T has a Gross Margin (59.67%) which is in line with its industry peers.
1T's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.86% | ||
| PM (TTM) | 10.21% | ||
| GM | 59.67% |
OM growth 3Y0.54%
OM growth 5Y4.03%
PM growth 3Y-16.01%
PM growth 5Y2.75%
GM growth 3Y2.85%
GM growth 5Y2.22%
2. Health
2.1 Basic Checks
1T has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, 1T has more shares outstanding
Compared to 5 years ago, 1T has less shares outstanding
The debt/assets ratio for 1T has been reduced compared to a year ago.
2.2 Solvency
1T has an Altman-Z score of 0.86. This is a bad value and indicates that 1T is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of 1T (0.86) is worse than 70.97% of its industry peers.
1T has a debt to FCF ratio of 6.74. This is a slightly negative value and a sign of low solvency as 1T would need 6.74 years to pay back of all of its debts.
1T has a Debt to FCF ratio of 6.74. This is in the better half of the industry: 1T outperforms 64.52% of its industry peers.
A Debt/Equity ratio of 1.17 is on the high side and indicates that 1T has dependencies on debt financing.
With a decent Debt to Equity ratio value of 1.17, 1T is doing good in the industry, outperforming 61.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 6.74 | ||
| Altman-Z | 0.86 |
ROIC/WACC0.79
WACC6.65%
2.3 Liquidity
A Current Ratio of 0.81 indicates that 1T may have some problems paying its short term obligations.
1T's Current ratio of 0.81 is in line compared to the rest of the industry. 1T outperforms 48.39% of its industry peers.
A Quick Ratio of 0.76 indicates that 1T may have some problems paying its short term obligations.
The Quick ratio of 1T (0.76) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
The earnings per share for 1T have decreased by -4.78% in the last year.
1T shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -8.79% yearly.
Looking at the last year, 1T shows a small growth in Revenue. The Revenue has grown by 1.46% in the last year.
The Revenue has been decreasing by -7.56% on average over the past years.
EPS 1Y (TTM)-4.78%
EPS 3Y-12.73%
EPS 5Y-8.79%
EPS Q2Q%-5.26%
Revenue 1Y (TTM)1.46%
Revenue growth 3Y-3%
Revenue growth 5Y-7.56%
Sales Q2Q%3.52%
3.2 Future
1T is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.24% yearly.
1T is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.29% yearly.
EPS Next Y-7.63%
EPS Next 2Y0.15%
EPS Next 3Y4.04%
EPS Next 5Y5.24%
Revenue Next Year2.35%
Revenue Next 2Y1.86%
Revenue Next 3Y1.83%
Revenue Next 5Y2.29%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.38, the valuation of 1T can be described as very reasonable.
Based on the Price/Earnings ratio, 1T is valued cheaply inside the industry as 80.65% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of 1T to the average of the S&P500 Index (26.34), we can say 1T is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.98, the valuation of 1T can be described as reasonable.
Based on the Price/Forward Earnings ratio, 1T is valued a bit cheaper than the industry average as 74.19% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 34.43. 1T is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.38 | ||
| Fwd PE | 10.98 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1T indicates a somewhat cheap valuation: 1T is cheaper than 61.29% of the companies listed in the same industry.
64.52% of the companies in the same industry are more expensive than 1T, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.07 | ||
| EV/EBITDA | 6.59 |
4.3 Compensation for Growth
The decent profitability rating of 1T may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y0.15%
EPS Next 3Y4.04%
5. Dividend
5.1 Amount
1T has a Yearly Dividend Yield of 3.75%. Purely for dividend investing, there may be better candidates out there.
1T's Dividend Yield is comparable with the industry average which is at 4.93.
1T's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.75% |
5.2 History
The dividend of 1T decreases each year by -10.97%.
Dividend Growth(5Y)-10.97%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1T pays out 64.83% of its income as dividend. This is not a sustainable payout ratio.
DP64.83%
EPS Next 2Y0.15%
EPS Next 3Y4.04%
BIT:1T (11/7/2025, 7:00:00 PM)
21.505
+0.46 (+2.21%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners66.3%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap153.77B
Revenue(TTM)123.98B
Net Income(TTM)12.66B
Analysts78.89
Price Target25.6 (19.04%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.75% |
Yearly Dividend0.98
Dividend Growth(5Y)-10.97%
DP64.83%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.78%
Min EPS beat(2)2.7%
Max EPS beat(2)2.87%
EPS beat(4)4
Avg EPS beat(4)3.78%
Min EPS beat(4)2.7%
Max EPS beat(4)6.05%
EPS beat(8)6
Avg EPS beat(8)1.22%
EPS beat(12)10
Avg EPS beat(12)2.2%
EPS beat(16)13
Avg EPS beat(16)2.36%
Revenue beat(2)0
Avg Revenue beat(2)-0.96%
Min Revenue beat(2)-1.08%
Max Revenue beat(2)-0.84%
Revenue beat(4)0
Avg Revenue beat(4)-1.45%
Min Revenue beat(4)-2.71%
Max Revenue beat(4)-0.84%
Revenue beat(8)0
Avg Revenue beat(8)-1.68%
Revenue beat(12)0
Avg Revenue beat(12)-1.77%
Revenue beat(16)0
Avg Revenue beat(16)-5.8%
PT rev (1m)0.41%
PT rev (3m)0.74%
EPS NQ rev (1m)0.08%
EPS NQ rev (3m)-1.76%
EPS NY rev (1m)-0.3%
EPS NY rev (3m)0.12%
Revenue NQ rev (1m)-0.06%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.38 | ||
| Fwd PE | 10.98 | ||
| P/S | 1.44 | ||
| P/FCF | 9.07 | ||
| P/OCF | 4.35 | ||
| P/B | 1.69 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.59 |
EPS(TTM)1.89
EY8.79%
EPS(NY)1.96
Fwd EY9.11%
FCF(TTM)2.37
FCFY11.03%
OCF(TTM)4.95
OCFY23%
SpS14.98
BVpS12.72
TBVpS-10.99
PEG (NY)N/A
PEG (5Y)N/A
Graham Number23.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.12% | ||
| ROE | 12.03% | ||
| ROCE | 6.9% | ||
| ROIC | 5.25% | ||
| ROICexc | 5.41% | ||
| ROICexgc | 12.47% | ||
| OM | 19.86% | ||
| PM (TTM) | 10.21% | ||
| GM | 59.67% | ||
| FCFM | 15.83% |
ROA(3y)1.35%
ROA(5y)1.32%
ROE(3y)5.03%
ROE(5y)4.74%
ROIC(3y)5.19%
ROIC(5y)4.76%
ROICexc(3y)5.26%
ROICexc(5y)4.86%
ROICexgc(3y)12.3%
ROICexgc(5y)11.29%
ROCE(3y)6.83%
ROCE(5y)6.27%
ROICexgc growth 3Y10.1%
ROICexgc growth 5Y-1.63%
ROICexc growth 3Y4.68%
ROICexc growth 5Y2.35%
OM growth 3Y0.54%
OM growth 5Y4.03%
PM growth 3Y-16.01%
PM growth 5Y2.75%
GM growth 3Y2.85%
GM growth 5Y2.22%
F-Score7
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 6.74 | ||
| Debt/EBITDA | 2.7 | ||
| Cap/Depr | 102% | ||
| Cap/Sales | 17.2% | ||
| Interest Coverage | 3.62 | ||
| Cash Conversion | 89.93% | ||
| Profit Quality | 154.96% | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 0.86 |
F-Score7
WACC6.65%
ROIC/WACC0.79
Cap/Depr(3y)100.82%
Cap/Depr(5y)90.95%
Cap/Sales(3y)15.8%
Cap/Sales(5y)13.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.78%
EPS 3Y-12.73%
EPS 5Y-8.79%
EPS Q2Q%-5.26%
EPS Next Y-7.63%
EPS Next 2Y0.15%
EPS Next 3Y4.04%
EPS Next 5Y5.24%
Revenue 1Y (TTM)1.46%
Revenue growth 3Y-3%
Revenue growth 5Y-7.56%
Sales Q2Q%3.52%
Revenue Next Year2.35%
Revenue Next 2Y1.86%
Revenue Next 3Y1.83%
Revenue Next 5Y2.29%
EBIT growth 1Y0.41%
EBIT growth 3Y-2.47%
EBIT growth 5Y-3.83%
EBIT Next Year97.55%
EBIT Next 3Y28.51%
EBIT Next 5Y17.43%
FCF growth 1Y7.65%
FCF growth 3Y-11.18%
FCF growth 5Y-8.74%
OCF growth 1Y10.7%
OCF growth 3Y-2.6%
OCF growth 5Y-4.45%
AT&T INC / 1T.MI FAQ
What is the ChartMill fundamental rating of AT&T INC (1T.MI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1T.MI.
What is the valuation status of AT&T INC (1T.MI) stock?
ChartMill assigns a valuation rating of 6 / 10 to AT&T INC (1T.MI). This can be considered as Fairly Valued.
How profitable is AT&T INC (1T.MI) stock?
AT&T INC (1T.MI) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for 1T stock?
The Price/Earnings (PE) ratio for AT&T INC (1T.MI) is 11.38 and the Price/Book (PB) ratio is 1.69.
What is the expected EPS growth for AT&T INC (1T.MI) stock?
The Earnings per Share (EPS) of AT&T INC (1T.MI) is expected to decline by -7.63% in the next year.