UBS has reiterated a Buy recommendation on AT&T Inc. stock, maintaining a price target of $31.00 in the wake of AT&T’s fourth-quarter results. The firm characterized the company’s quarter as "solid" and drew attention to guidance that it said indicates accelerating growth and the potential for upside relative to long-term street estimates as AT&T leverages an industry-leading fiber network.
In its assessment, UBS emphasized AT&T’s convergence footprint as a strategic advantage that should contribute to accelerating profit expansion and higher free cash flow over time. The firm also argued that concerns about intensifying wireless competition may be overstated, suggesting those worries are largely reflected in current stock pricing given prevailing promotional dynamics in the market.
AT&T’s reported fourth-quarter 2025 results provided concrete data points that informed analysts’ views. The company posted earnings per share of $0.52, versus the consensus forecast of $0.46. Quarterly revenue came in at $33.5 billion, ahead of the expected $32.87 billion. UBS’s maintained price target of $31.00 reflects the firm’s confidence in AT&T’s strategic positioning despite competitive pressures across the telecommunications sector.
Other broker responses to the quarter were mixed. TD Cowen reduced its price target for AT&T to $32.00 from $33.00 and kept a Hold rating, citing uneven results in phone subscriber additions even though EBITDA exceeded expectations. By contrast, KeyBanc reiterated an Overweight rating with a $30.00 target, pointing to AT&T’s steady strategy and growth prospects. KeyBanc expects adjusted EBITDA growth to accelerate from 3.5% in 2026 to more than 5% in 2028.
These divergent analyst reactions illustrate differing interpretations of the same financial release: UBS focuses on convergence, fiber-led upside and margin/cash-flow improvement; TD Cowen flagged subscriber metrics as a caution; KeyBanc sees an accelerating EBITDA trajectory under the company’s current plan.
For investors and market participants, the quarter and subsequent analyst commentary underscore several themes relevant to the telecom sector: the potential for broadband and convergence to drive higher-margin revenue, the ongoing role of promotional dynamics in wireless, and the way near-term subscriber trends can temper otherwise favorable earnings beats.