Analyst Waxes Pessimistic on Verizon Rival

Analysts were mostly split heading into today

by Laura McCandless

Published on Mar 23, 2020 at 10:41 AM

AT&T Inc. (NYSE:T) is down 4.1% to trade at $28.45 at last check. The telecommunications name was downgraded at Cowen and Company to "market perform" from "outperform," and recieved a price-target cut to $37 from $43. The brokerage believes AT&T complex programs such as WarnerMedia will create uncertainty in comparison to rival Verizon (VZ).

T has seen a recent bear gap alongside the broader market sell-off, dipping below its 320-day moving average for the first time since last June. The equity is down 27.2% year-to-date and earlier hit an annual low of $26.27.

Analysts are split on AT&T stock, with eight out of 15 considering a "strong buy" or "buy" and seven sporting a "hold" or worse recommendation. However, the 12-month consensus price target of $38.67 is still a 35.9% premium to current levels.

In the options pits, puts are being favored, per T's 10-day put/call volume ratio of 1.46 at the the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which sits higher than 94% of readings from the past year.In other words, puts have been purchased over calls at a faster-than-usual clip.


A Schaeffer's exclusive!

The Expert's Guide

Access your FREE trading earning announcements before it's too late!


 
 

Partnercenter


NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories


Look Who's Going Bankrupt Next in America
Porter Stansberry is making a concerning prediction.
First Week in April Provides More Coronavirus-Related Volatility
A slew of coronavirus-related news sent markets on another weekly roller coaster ride
Netflix Stock Heading into Historically Bullish Quarter
NFLX's 10-day moving average has stepped up as support lately
The Latest Investor's Guide to Precious Metals
Learn how to protect savings and maximize returns by investing in precious metals.