Should I buy AT&T stock in 2025?

Why trust HelloSafe?

At HelloSafe, our expert has been monitoring the performance of AT&T for over three years. Every month, hundreds of thousands of Canadians rely on us to analyze market trends and highlight the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In line with our code of ethics, we have never received, and will never receive, compensation from AT&T.

What is AT&T?

How much is AT&T stock?

The price of AT&T stock is rising this week. As of now, AT&T shares are trading at $27.59 USD, showing a 1.04% gain over the past 24 hours but a 1.45% decrease over the last week. The company’s market capitalization stands at $195.96 billion, with an average three-month trading volume of 44.16 million shares.

AT&T features a Price/Earnings ratio of 16.90, a healthy dividend yield of 4.03%, and a low beta of 0.41, indicating less volatility than the broader market. This combination of stable performance and attractive dividends may appeal to Canadian investors looking for dependable income with moderate price movement.

Our full analysis on AT&T stock

After a comprehensive review of AT&T’s (NYSE: T) most recent financial performance and a meticulous examination of the stock’s trajectory over the past three years, our proprietary analytical models—integrating diverse financial metrics, technical behaviour, and peer benchmarking—have brought to light several strengths underpinning this telecom powerhouse’s evolution. With Sector fundamentals shifting and capital markets in flux, AT&T’s current positioning compels a fresh strategic perspective for Canadian and North American investors alike. So, why might AT&T stock once again become a strategic entry point into the global telecom and connectivity sector in 2025?

Recent Performance and Market Context

AT&T’s stock has delivered a notable resurgence, underlined by a 63% rally over the past year and an impressive 24.75% gain in the last six months, pushing shares to $27.59 as of the end of April 2025. This rebound stands out in the broader context of market volatility, where many telecom peers have lagged amid shifting investor sentiment and macroeconomic headwinds. Notably, AT&T’s daily range ($27.32–$27.89) and its near-annual high signal underlying demand and price stability.

• Q1 2025 results showcased 2.0% year-over-year revenue growth, bolstered by rising operating income and net margin expansion.
• Robust subscriber momentum—with 261,000 AT&T Fiber net additions and strong uptake in wireless plans—underscores successful execution in high-growth verticals.
• Strategic investments, particularly in 5G and fiber, continue to fuel infrastructure leadership and service quality, creating a differentiated market position.
• The Canadian market’s continuing embrace of North American telecom infrastructure, paired with relatively stable interest rates and consumer resilience, forms a constructive backdrop for large-cap dividend payers like AT&T.

Overall, the prevailing sector and macro environment seem especially favourable for high-quality, income-generating telecom equities, reinforcing renewed optimism toward AT&T’s narrative.

Technical Analysis

Technical indicators on AT&T stock are showing sustained bullish undercurrents, with near-term price action supporting a constructive view:

• RSI (14 days) at 67.16—reflects robust buying interest, approaching but not breaching overbought levels, thus indicating continued upside potential without immediate technical exhaustion.
• MACD remains positive (0.13)—bullish momentum is persisting, suggesting that the current uptrend has further scope to develop, especially as pullbacks remain shallow.
• Bullish moving average alignment confirms the ongoing trend:
• The 5-day ($26.96) and 50-day ($26.51) averages are both below the current market price,
• The 200-day moving average remains comfortably beneath, corroborating the transition into a medium-term bullish phase.
• Multiple technical signals—including support at $26.33–$27.20 and resistance near $27.47—indicate that the stock is consolidating above key levels, setting the stage for a potential breakout if current momentum persists.

The combination of positive momentum indicators and strongly defined support levels suggests AT&T may be entering a new chapter of technical leadership within the sector—attracting both short-term traders and long-term investors seeking advantageous entry points.

Fundamental Analysis

Diving into AT&T’s fundamentals reveals a compelling mix of growth, value, and strategic differentiation:

• Revenue for Q1 2025 reached $30.6 billion, up 2.0% year-over-year, while operating income and adjusted EBITDA grew 3.1% and 4.5%, respectively—a testament to both top-line expansion and margin discipline in a competitive environment.
• Net income surged to $4.7 billion, outpacing industry peers and reflecting the impact of disciplined management post-media asset divestitures.
• Valuation remains attractively positioned:
• P/E ratio (TTM) of 16.90 and a forward P/E of just 13.32 signal appealing relative value,
• A PEG ratio of 1.11 suggests that the company’s growth justifies current multiples,
• Price/sales at 1.60 and price/book at 1.89 provide further support for a well-anchored valuation.
• Structural strengths include:
• Market-leading fiber rollout paired with ongoing 5G investments,
• Diversified revenue sources spanning wireless, wireline, enterprise, and digital services,
• A trusted North American brand with global reach, fortifying the company’s competitive moat.

With a profit margin of nearly 10% and return on equity above 10%, AT&T is executing efficiently even as the operating landscape shifts. These metrics reinforce the long-term viability and resilience of the business model—a noteworthy signal for value-focused Canadian investors.

Volume and Liquidity

AT&T’s trading liquidity is a significant plus-point for institutional and retail participants alike:

• Average daily volume of 44.16 million shares provides deep liquidity, ensuring efficient trade execution and minimizing slippage.
• Public float of 7.17 billion shares supports price discovery and enables significant inflows without undue volatility—a feature highly prized in core portfolio holdings.
• Short interest sits at a modest 1.27%, reflecting a lack of material bearish conviction and further affirming growing market confidence in the stock’s trajectory.

Such robust trading activity is indicative of healthy institutional participation and aligns with the broader revaluation trend seen across leading communication services names, positioning AT&T’s shares for continued dynamism.

Catalysts and Positive Outlook

AT&T’s outlook is underpinned by several catalysts that may propel earnings and valuation higher in the months ahead:

• Expanding 5G and fiber network continues to unlock new revenue streams and improve customer experience, particularly as North American and Canadian consumers demand ever-faster connectivity.
• Subscriber growth momentum—across both residential fiber and wireless—suggests that service uptake will drive recurring cash flow in coming quarters.
• Aggressive free cash flow targets: The company has raised its internal bar with an expectation of exceeding $16 billion in 2025, providing capital flexibility for both dividends and future strategic investments.
• ESG and innovation leadership: With substantial capital allocated to next-generation infrastructure and sustainability projects, AT&T remains positioned at the confluence of technology transformation and environmental responsibility.
• Analyst sentiment is constructive, with consensus price targets coalescing around $29.26 (approx. 30% above current levels), indicating material upside potential. This positive bias amongst institutional analysts further strengthens the investment narrative.

Additional upside could emerge from:

• Evolving regulatory frameworks that encourage infrastructure investment,
• Potential M&A activity or strategic partnerships,
• Acceleration of digital transformation trends, benefiting core telecom operators.

Investment Strategies

Given the current technical, fundamental, and macro context, a range of entry strategies appear attractive for Canadian investors:

• Short-term positioning: With technical momentum building and RSI not yet overextended, swing traders may see merit in entries near current support ($26.33–$27.20), targeting a breakout above near-term resistance at $27.47 for potential quick gains.
• Medium-term approach: Positioning ahead of further quarterly catalysts or on modest pullbacks allows investors to balance technical entry with upcoming catalysts—such as dividend dates or additional subscriber data releases.
• Long-term allocation: Investors seeking stable income and capital appreciation may find an ideal entry point at today’s levels. With a forward P/E of 13.32, PEG of 1.11, and an above-average 4.03% dividend yield, AT&T fits well within income-focused or core defensive portions of a diversified Canadian portfolio.

The stock’s current consolidation near key support, just below major resistance, suggests a window of opportunity for positioning ahead of the next significant upward move, especially as sector rotation and institutional flows favour established, cash-generative telecom players.

Is it the Right Time to Buy AT&T?

In sum, AT&T presently exhibits a powerful blend of operational excellence, prudent capital deployment, and market momentum. The company continues to capitalize on expansion in fiber and 5G, while balancing robust free cash flow generation with an attractive, secure dividend yield. Valuation metrics point toward the stock’s continued underappreciation relative to both its earnings power and sector benchmarks, making the case for renewed investor attention at current levels.

The stock’s broad-based recovery—over 60% in twelve months—alongside improving fundamentals and constructive technical backdrops, suggest that the company’s long-standing presence in North American telecommunications is entering a new growth phase. For Canadian investors focused on income, stability, and participation in ongoing digital infrastructure upgrades, AT&T seems to represent an excellent opportunity within a sector primed for continued secular expansion.

While vigilance regarding competitive intensity and leverage remains essential, the combined weight of compelling fundamentals, powerful technical signals, and favourable macro context strongly support the thesis that AT&T may be entering a new bullish phase. Thus, with dynamic upside potential and income appeal, AT&T merits serious consideration for investors seeking both reliable returns and capital appreciation in their North American equities allocation.

For those looking to blend growth, defense, and income in their portfolio strategy, AT&T’s current positioning—supported by clear catalysts and a disciplined management team—offers substantial conviction and a window of opportunity that appears both timely and well-justified.

How to buy AT&T stock in Canada?

Buying AT&T stock online is both simple and secure, thanks to the wide range of regulated Canadian and international brokers. Whether you’re looking to invest directly in AT&T shares (“spot” buying), or trade price movements via Contracts for Difference (CFDs), you can open an account, deposit Canadian funds, and place orders straight from a secure digital platform. Spot buying means you’ll own real shares, while CFDs let you trade on margin—increasing both risk and potential reward. To help you make an informed choice, you’ll find a complete, up-to-date broker comparison further down this page.

Spot Buying

A cash purchase—or “spot” trade—means buying actual AT&T shares through your brokerage, making you a direct shareholder. Most Canadian-friendly brokers charge a fixed commission per order, often between $5 and $10 CAD.

Important example

Example:
Suppose AT&T’s share price is $27.59 USD (about $37.50 CAD), and you want to invest $1,000 CAD. After accounting for a typical $5 commission, you could buy around 26 AT&T shares.
✔️ Gain scenario:
If AT&T’s share price rises 10%, your 26 shares would now be worth about $1,100 CAD in total.
Result: That’s a $100 gross gain, or +10% on your original investment.

Trading via CFD

CFDs (Contracts for Difference) are derivative instruments that allow you to speculate on AT&T’s share price without owning the underlying shares. Instead, you trade on margin, paying fees through the spread (the difference between buy/sell prices) and overnight financing if you hold positions long-term.

Important example

Example:
With $1,000 CAD, you open a CFD position on AT&T using 5x leverage—giving you $5,000 in equivalent market exposure.
✔️ Gain scenario:
If AT&T shares rise by 8%, your CFD position increases by 40% (8% × 5).
Result: That’s a $400 gain on your $1,000 margin (fees and currency conversion costs not included).

Final Advice

Before investing, it’s crucial to compare brokers on their fees, trading platforms, tools, and account features. Costs can vary, especially for commissions, spreads, and currency conversions. Ultimately, the best method for you depends on your objectives: long-term ownership and dividends (spot buying), or seeking short-term gains with leverage (CFDs). For detailed broker options and fee breakdowns, see the comparator further down the page. Happy investing!

Platforms

Minimum Deposit

Discover

#1

Tier 1 regulation, including ASIC and FSA

#1

Star Trader

4.9

Minimum Deposit

$50

Discover

with our partner Star Trader

#2

Broker specializing in Forex and CFDs

#2

IFC Markets

4.8

Minimum Deposit

$1

Discover

with our partner IFC Markets

#3

Broker regulated since 2006

#3

Avatrade

4.8

Minimum Deposit

$100

Discover

with our partner Avatrade

Our 7 tips for buying AT&T stock

The latest news about AT&T

AT&T reported strong Q1 2025 results with revenue and net income growth, exceeding analyst expectations. The company's first-quarter earnings showcased a 2% year-over-year revenue increase to $30.6 billion, alongside a notable jump in net income to $4.7 billion from $3.8 billion the previous year. Adjusted EBITDA rose by 4.5%, and diluted EPS reached $0.61. Market analysts reacted positively as revenue topped forecasts, supporting a resilient stock price following the release. This financial robustness underpins continued confidence among professional investors, a key factor for Canadian analysts monitoring reliable, dividend-paying U.S. stocks for client portfolios.

AT&T’s dividend yield of 4.03% and consistent quarterly payouts continue to attract Canadian income-focused investors. With an annual dividend of $1.11 per share and a recent ex-dividend date of April 10, 2025, AT&T remains a favoured U.S. blue-chip holding for Canadians seeking dependable cash flow. The company’s stable yield, coupled with potential for dividend growth, complements Canadian investors' needs for regular USD-denominated income—especially within tax-advantaged accounts where U.S. dividends can play a strategic role in portfolio diversification.

Technical indicators signal a bullish trend, with AT&T’s share price rising 63% year-over-year and outperforming major moving averages. The current share price of $27.59 is above key moving averages, and the relative strength index (RSI) at 67.16 confirms ongoing upward momentum, though the stock is nearing overbought territory. With a positive MACD and multiple moving averages converging upward, Canadian market watchers may interpret these signals as confirmation of sustained investor interest and near-term upside potential, all while maintaining vigilance for potential volatility if resistance levels are tested.

Ongoing investment in 5G and fiber positions AT&T for future growth in North American connectivity, including cross-border business relevance. The company’s substantial capital expenditures—between $21-$22 billion—are fueling its wireless and fiber network expansion, leading to strong net additions in both AT&T Fiber and Internet Air. These network improvements not only reinforce its leadership in the U.S. but also enhance connectivity for Canadian enterprises with U.S. operations or requiring cross-border data exchange, supporting the digital transformation of North American business corridors.

AT&T’s stock demonstrates notable resilience amid market volatility, providing stability prized by Canadian institutional investors. Recent trading sessions reveal the stock’s lower beta (0.41), indicating less volatility than the broader market—an attractive trait for conservative Canadian funds. Its strong brand, diversified services, and renewed operational focus following media asset divestitures further mitigate risk, ensuring that AT&T remains a dependable anchor within diversified North American equity strategies and supporting demand from Canadian pension funds and large asset managers.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.