In the latest trading session, AT&T (T - Free Report) closed at $33.76, marking a -0.44% move from the previous day. The stock lagged the S&P 500's daily loss of 0.13%. Meanwhile, the Dow lost 0.26%, and the Nasdaq, a tech-heavy index, added 0.18%.
Prior to today's trading, shares of the telecommunications company had gained 3.29% over the past month. This has outpaced the Computer and Technology sector's gain of 0.35% and the S&P 500's gain of 1.71% in that time.
T will be looking to display strength as it nears its next earnings release, which is expected to be October 24, 2018. In that report, analysts expect T to post earnings of $0.94 per share. This would mark year-over-year growth of 27.03%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $45.56 billion, up 14.85% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.53 per share and revenue of $174.63 billion, which would represent changes of +15.74% and +8.77%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for T. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.48% lower within the past month. T is currently a Zacks Rank #3 (Hold).
Investors should also note T's current valuation metrics, including its Forward P/E ratio of 9.62. Its industry sports an average Forward P/E of 39.28, so we one might conclude that T is trading at a discount comparatively.
We can also see that T currently has a PEG ratio of 2.7. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Wireless National stocks are, on average, holding a PEG ratio of 2.32 based on yesterday's closing prices.
The Wireless National industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 65, which puts it in the top 25% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.