AT&T: Fundamentals May Compensate For The Low Multiple

Summary

• AT&T's valuation is approaching all-time low multiples observed during the peak of the pandemic in early 2020, despite resilient fundamental performance still.
• Earlier concerns of lengthening payment collection cycles have also demonstrated signs of improvement while broad-based demand momentum remains robust even after price increases in May.
• The stock remains well-positioned for fundamental-driven upsides even if peer group multiples remain contracted under the risk-off market climate.

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The AT&T (NYSE:T) stock has traded down to almost its all-time low based on valuation multiples as it reels from both the broad-based market selloff, as well as shaky investors' confidence in the outlook of the company's strategic transformation following

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.