AT&T INC (1T.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1T - US00206R1023 - Common Stock
20.165 EUR
-0.28 (-1.35%)
Taking everything into account, 1T scores 5 out of 10 in our fundamental rating. 1T was compared to 36 industry peers in the Diversified Telecommunication Services industry. 1T has an average financial health and profitability rating. 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.
- 1T had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: 1T reported negative net income in multiple years.
- In the past 5 years 1T always reported a positive cash flow from operatings.
1.2 Ratios
- With a decent Return On Assets value of 5.24%, 1T is doing good in the industry, outperforming 77.78% of the companies in the same industry.
- 1T has a better Return On Equity (20.02%) than 77.78% of its industry peers.
- With a Return On Invested Capital value of 4.98%, 1T is not doing good in the industry: 63.89% of the companies in the same industry are doing better.
- Measured over the past 3 years, the Average Return On Invested Capital for 1T is below the industry average of 7.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.24% | ||
| ROE | 20.02% | ||
| ROIC | 4.98% |
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's Profit Margin of 17.81% is amongst the best of the industry. 1T outperforms 88.89% of its industry peers.
- In the last couple of years the Profit Margin of 1T has grown nicely.
- 1T has a Operating Margin of 19.44%. This is in the better half of the industry: 1T outperforms 69.44% of its industry peers.
- In the last couple of years the Operating Margin of 1T has grown nicely.
- The Gross Margin of 1T (59.67%) is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of 1T has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.44% | ||
| PM (TTM) | 17.81% | ||
| 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
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1T is destroying value.
- Compared to 1 year ago, 1T has more shares outstanding
- The number of shares outstanding for 1T has been reduced compared to 5 years ago.
- 1T has a better debt/assets ratio than last year.
2.2 Solvency
- 1T has an Altman-Z score of 0.85. This is a bad value and indicates that 1T is not financially healthy and even has some risk of bankruptcy.
- 1T has a Altman-Z score of 0.85. This is in the lower half of the industry: 1T underperforms 69.44% of its industry peers.
- The Debt to FCF ratio of 1T is 6.99, which is on the high side as it means it would take 1T, 6.99 years of fcf income to pay off all of its debts.
- With a decent Debt to FCF ratio value of 6.99, 1T is doing good in the industry, outperforming 66.67% of the companies in the same industry.
- A Debt/Equity ratio of 1.16 is on the high side and indicates that 1T has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.16, 1T perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 6.99 | ||
| Altman-Z | 0.85 |
ROIC/WACC0.75
WACC6.63%
2.3 Liquidity
- 1T has a Current Ratio of 1.01. This is a normal value and indicates that 1T is financially healthy and should not expect problems in meeting its short term obligations.
- With an excellent Current ratio value of 1.01, 1T belongs to the best of the industry, outperforming 86.11% of the companies in the same industry.
- A Quick Ratio of 0.96 indicates that 1T may have some problems paying its short term obligations.
- 1T's Quick ratio of 0.96 is amongst the best of the industry. 1T outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
- The earnings per share for 1T have decreased by -5.75% in the last year.
- The Earnings Per Share has been decreasing by -8.79% on average over the past years.
- The Revenue has been growing slightly by 1.98% in the past year.
- Measured over the past years, 1T shows a decrease in Revenue. The Revenue has been decreasing by -7.56% on average per year.
EPS 1Y (TTM)-5.75%
EPS 3Y-12.73%
EPS 5Y-8.79%
EPS Q2Q%-10%
Revenue 1Y (TTM)1.98%
Revenue growth 3Y-3%
Revenue growth 5Y-7.56%
Sales Q2Q%1.64%
3.2 Future
- Based on estimates for the next years, 1T will show a small growth in Earnings Per Share. The EPS will grow by 5.70% on average per year.
- Based on estimates for the next years, 1T will show a small growth in Revenue. The Revenue will grow by 2.26% on average per year.
EPS Next Y-7.41%
EPS Next 2Y0.35%
EPS Next 3Y3.73%
EPS Next 5Y5.7%
Revenue Next Year2.29%
Revenue Next 2Y1.87%
Revenue Next 3Y1.92%
Revenue Next 5Y2.26%
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
- 1T is valuated reasonably with a Price/Earnings ratio of 11.02.
- Compared to the rest of the industry, the Price/Earnings ratio of 1T indicates a somewhat cheap valuation: 1T is cheaper than 77.78% of the companies listed in the same industry.
- 1T is valuated cheaply when we compare the Price/Earnings ratio to 26.94, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 10.31, which indicates a very decent valuation of 1T.
- Based on the Price/Forward Earnings ratio, 1T is valued a bit cheaper than 75.00% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 23.94. 1T is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.02 | ||
| Fwd PE | 10.31 |
4.2 Price Multiples
- 61.11% of the companies in the same industry are more expensive than 1T, based on the Enterprise Value to EBITDA ratio.
- 1T's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1T is cheaper than 72.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.33 | ||
| EV/EBITDA | 6.3 |
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 2Y0.35%
EPS Next 3Y3.73%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.47%, 1T is a good candidate for dividend investing.
- 1T's Dividend Yield is comparable with the industry average which is at 3.36.
- 1T's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.47% |
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 37.01% of its income as dividend. This is a sustainable payout ratio.
DP37.01%
EPS Next 2Y0.35%
EPS Next 3Y3.73%
BIT:1T (1/19/2026, 7:00:00 PM)
20.165
-0.28 (-1.35%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)10-22 2025-10-22/bmo
Earnings (Next)01-28 2026-01-28/amc
Inst Owners67.23%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap142.96B
Revenue(TTM)124.48B
Net Income(TTM)22.17B
Analysts78.82
Price Target25.44 (26.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.47% |
Yearly Dividend0.98
Dividend Growth(5Y)-10.97%
DP37.01%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.95%
Min EPS beat(2)-0.97%
Max EPS beat(2)2.87%
EPS beat(4)3
Avg EPS beat(4)2.66%
Min EPS beat(4)-0.97%
Max EPS beat(4)6.05%
EPS beat(8)5
Avg EPS beat(8)0.93%
EPS beat(12)9
Avg EPS beat(12)1.37%
EPS beat(16)12
Avg EPS beat(16)1.73%
Revenue beat(2)0
Avg Revenue beat(2)-1.65%
Min Revenue beat(2)-2.47%
Max Revenue beat(2)-0.84%
Revenue beat(4)0
Avg Revenue beat(4)-1.39%
Min Revenue beat(4)-2.47%
Max Revenue beat(4)-0.84%
Revenue beat(8)0
Avg Revenue beat(8)-1.81%
Revenue beat(12)0
Avg Revenue beat(12)-1.87%
Revenue beat(16)0
Avg Revenue beat(16)-4.61%
PT rev (1m)-3.12%
PT rev (3m)-0.6%
EPS NQ rev (1m)0.25%
EPS NQ rev (3m)2.21%
EPS NY rev (1m)0.02%
EPS NY rev (3m)0.25%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)0.24%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.02 | ||
| Fwd PE | 10.31 | ||
| P/S | 1.34 | ||
| P/FCF | 8.33 | ||
| P/OCF | 4.07 | ||
| P/B | 1.5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.3 |
EPS(TTM)1.83
EY9.08%
EPS(NY)1.96
Fwd EY9.7%
FCF(TTM)2.42
FCFY12%
OCF(TTM)4.96
OCFY24.57%
SpS15.1
BVpS13.43
TBVpS-10.4
PEG (NY)N/A
PEG (5Y)N/A
Graham Number23.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.24% | ||
| ROE | 20.02% | ||
| ROCE | 6.55% | ||
| ROIC | 4.98% | ||
| ROICexc | 5.27% | ||
| ROICexgc | 12.06% | ||
| OM | 19.44% | ||
| PM (TTM) | 17.81% | ||
| GM | 59.67% | ||
| FCFM | 16.03% |
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 Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 6.99 | ||
| Debt/EBITDA | 2.83 | ||
| Cap/Depr | 98.92% | ||
| Cap/Sales | 16.79% | ||
| Interest Coverage | 3.62 | ||
| Cash Conversion | 90.13% | ||
| Profit Quality | 90.02% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 0.85 |
F-Score7
WACC6.63%
ROIC/WACC0.75
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)-5.75%
EPS 3Y-12.73%
EPS 5Y-8.79%
EPS Q2Q%-10%
EPS Next Y-7.41%
EPS Next 2Y0.35%
EPS Next 3Y3.73%
EPS Next 5Y5.7%
Revenue 1Y (TTM)1.98%
Revenue growth 3Y-3%
Revenue growth 5Y-7.56%
Sales Q2Q%1.64%
Revenue Next Year2.29%
Revenue Next 2Y1.87%
Revenue Next 3Y1.92%
Revenue Next 5Y2.26%
EBIT growth 1Y-1.92%
EBIT growth 3Y-2.47%
EBIT growth 5Y-3.83%
EBIT Next Year98.37%
EBIT Next 3Y28.57%
EBIT Next 5Y17.67%
FCF growth 1Y0.95%
FCF growth 3Y-11.18%
FCF growth 5Y-8.74%
OCF growth 1Y9.69%
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 5 / 10 to 1T.MI.
What is the valuation status for 1T 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.
What is the valuation of AT&T INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AT&T INC (1T.MI) is 11.02 and the Price/Book (PB) ratio is 1.5.
How financially healthy is AT&T INC?
The financial health rating of AT&T INC (1T.MI) is 4 / 10.