What is T's intrinsic value?

TickerWorth's blended fair value for AT&T Inc. (T) is $28.96 per share, versus a market price of $23.20 (priced within our range of $21.23 – $35.55).

Is T overvalued or undervalued?

Priced within our range of $21.23 – $35.55 at $23.20. We don't call T overvalued or undervalued from a range. This is an educational estimate, not advice.

What discount rate is used for T?

A WACC of 6.7% and a terminal growth rate of 2.0%.

Is AT&T stock undervalued?

TickerWorth's fair value for AT&T Inc. (T) is $28.96 against a market price of $23.20. Our read: Priced within our range of $21.23 – $35.55. This is a model estimate, not investment advice.

AT&T (T) DCF valuation and fair value

Our fair value for AT&T Inc. (T) is $28.96, built on a 6.7% discount rate (WACC) and 2.0% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.

What growth is priced into AT&T stock?

Today's price implies revenue growth of −2.4% a year for 5 years; our model assumes 2.3% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $23.20. A model estimate, not investment advice.

AT&T (T) insider trading

The most recent insider filing (SEC Form 4) for AT&T Inc. (T): Cakaric Darcie M., SEVP and Chief HR Officer, option exercise on 2026-10-06. The latest filings are listed on this page. A disclosure, not a signal to trade.

T · Intrinsic value

Is AT&T Inc. (T) overvalued or undervalued?

Name: AT&T Inc. (T) DCF intrinsic value
Creator: TickerWorth

AT&T Inc. (T) trades at the delayed market price of $23.20 a share. That price already implies revenue growth of −2.4% a year for 5 years. TickerWorth's fair value is $28.96 a share (priced within our range of $21.23 – $35.55). We do not call it over- or undervalued from inside our range.

Model by Miraaj Patel · generated from a hand-researched model · Updated Oct 20, 2026 · How these pages are made

Open full T analysis

Is T fairly valued?

Fair value: $28.96
Market price: $23.20
Upside to fair value: +24.8%
Verdict: Priced within our range of $21.23 – $35.55

Price as of 20 Oct 2026, 12:57 UTC · Prices are delayed.

Fair value against the delayed market price: Priced within our range of $21.23 – $35.55.

Reverse DCF: Today's price implies revenue growth of −2.4% a year for 5 years; our model assumes 2.3% a year on average over the same horizon.

What is T's TickerWorth Score?

C53/100

Middle of the pack — real strengths and real weaknesses

Compared with Communication Services companies in US

Its strongest point: looks cheap on the numbers. Its weakest: balance sheet looks stretched.

Value · 71 of 100
Cheaper than 71% of Communication Services companies in US
Price vs worth · 63 of 100
Quality · 68 of 100
More profitable than 68% of Communication Services companies in US
Financial health · 27 of 100
Financially stronger than 27% of Communication Services companies in US
Growth · 32 of 100
Growing faster than 32% of Communication Services companies in US
Momentum · 32 of 100
Outperformed 32% of Communication Services companies in US over the past year

Confidence: High confidence · Scored 20 Oct 2026, 12:57 UTC

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Where the numbers come from

Hand-researched model

What the modeller flagged

TERMINAL VALUE IS ~81% OF ENTERPRISE VALUE — above the 75% line. With a 6.67% WACC and 2.0% terminal growth, only ~19% of the answer comes from the five forecast years. The sensitivity grid is the honest output, not the point estimate.
THE MODEL DISAGREES WITH THE MARKET BY A WIDE MARGIN, AND THE DISAGREEMENT IS ABOUT RISK, NOT ARITHMETIC. At today's price AT&T trades at ~7x adjusted EBITDA and a ~10.8% levered FCF yield on its own $18B guide. The model's discount rate (6.67%) reflects a regulated-like utility cash stream; the market is pricing either a much higher required return or a structural threat to that stream (satellite direct-to-device, cable MVNOs, Verizon/T-Mobile pricing). Reverse DCF on the engine: today's price needs a beta of ~1.06 (WACC ~7.7%), or revenue shrinking ~2.4% a year for five years, or a steady operating margin of ~19.5%, or terminal growth of ~0.7%.
NO UNLEVERED-FCF GAP TO DISCLOSE AGAINST THE MEMO, BUT THE MEMO IS NOT LIKE-FOR-LIKE. Year-1 model FCF is ~$18.2B vs AT&T's FY2025 $16.6B (+9%) and $18B+ 2026 guide. AT&T's figure is AFTER ~$7B of interest; the model's is before interest but AFTER a normalized 21% tax (~$5.7B) where AT&T actually pays ~$1.0-1.5B. The two adjustments roughly offset; on a strictly unlevered basis AT&T's own guide implies ~$24-25B.
PENSION AND OPEB ARE DEBT-LIKE HERE (unlike IBM, where the pension plans were in surplus). FY2025 year-end: pension unfunded $1,950M, retiree-medical unfunded $5,755M; $5.8B after tax is in net debt. AT&T expects ~$350M of pension contributions in 2026 and none significant until 2030.
LEVERAGE IS ELEVATED POST-ECHOSTAR. Management guides net debt/adjusted EBITDA to ~3.2x after the close, back to ~2.5x within about three years, while still returning $45B+ to shareholders over 2026-2028 (~$10B of buybacks in 2026). A downgrade would raise the 6.5% marginal cost of debt; not modeled.
AUGUST DEBT ISSUANCE NOT YET ON A BALANCE SHEET. AT&T sold ~€4.1B + £0.55B of notes on 2026-08-03 and ~€1.2B + $1.1B of floating notes on 2026-08-17, likely refinancing the 364-day term loan and 2026 maturities. Whether they are net new debt is unknowable until the Q3 10-Q; the bridge uses June 30 plus the disclosed EchoStar draw only.
SBC IS IMMATERIAL ($536M in FY2025, 0.4% of revenue) and stays expensed inside GAAP operating income.

T DCF valuation, input by input

TickerWorth's fair value for AT&T Inc. (T) is $28.96 a share, against the delayed market price of $23.20 (priced within our range of $21.23 – $35.55). We do not call it over- or undervalued from inside our range. It is a model estimate, and every input behind it is sourced below. This is an educational model, not a price target or a recommendation.

Read the full reasoning

One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values T at about $35.55 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.

The valuation discounts AT&T Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 6.7%, with a long-run terminal growth rate of 2.0%. About 81% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.

Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly -2.4% annual revenue growth for T. Our base case instead compounds to about 2.3% a year over the same forecast, so the market is pricing in slower growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.

Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, T's modeled DCF value ranges from about $15.74 to $100.63 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.

How to read this page: the DCF fair value is what AT&T Inc. would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of T's intrinsic value. Figures update as new filings and prices come in.

Every input behind T's DCF

Input	Value	Source
Base-year revenueAT&T FY2025 10-K (accession 0000732717-26-000120, filed 2026-02-09): Total operating revenues FY2025 (service $101,158M + equipment $24,490M); us-gaap:Revenues in the companyfacts feed ties. +2.7% vs FY2024 $122,336M. Unchanged as the base — the DCF grows this figure by forecast.revenue_growth, so 2026 belongs in the forecast. CROSS-CHECK: H1 2026 revenue was $63,064M, +2.6% on H1 2025's $61,473M (Q2 alone $31,558M, +2.3%), per the Q2 2026 10-Q. The first-half figure already includes the Lumen Mass Markets fiber CUSTOMERS acquired 2026-02-02; the acquired fiber NETWORK sits in a held-for-sale subsidiary reported as discontinued operations, so its revenue is not in this line (see net_debt).	$125,648,000,000	AT&T FY2025 10-K (accession 0000732717-26-000120, filed 2026-02-09): Total operating revenues FY2025 (service $101,158M + equipment $24,490M); us-gaap:Revenues in the companyfacts feed ties. +2.7% vs FY2024 $122,336M. Unchanged as the base — the DCF grows this figure by forecast.revenue_growth, so 2026 belongs in the forecast. CROSS-CHECK: H1 2026 revenue was $63,064M, +2.6% on H1 2025's $61,473M (Q2 alone $31,558M, +2.3%), per the Q2 2026 10-Q. The first-half figure already includes the Lumen Mass Markets fiber CUSTOMERS acquired 2026-02-02; the acquired fiber NETWORK sits in a held-for-sale subsidiary reported as discontinued operations, so its revenue is not in this line (see net_debt).
Base EBIT marginAT&T FY2025 10-K (accession 0000732717-26-000120, filed 2026-02-09): GAAP operating income $24,162M / revenue $125,648M = 19.23%. This is the reported line, and it carries $838M of 'asset impairments and abandonments and restructuring'; excluding that, 19.90%. AT&T's own adjusted operating income was $25.5B (20.3%). Operating income EXCLUDES $7,754M of FY2025 'other income (expense) – net' (largely the gain on the DIRECTV stake sale and non-cash pension credits) and $1,895M of equity-affiliate income — both excluded deliberately: they are not recurring cash from the network, and the remaining equity investments are credited in the net-debt bridge instead. CROSS-CHECK, H1 2026: operating income $13,696M / $63,064M = 21.72%, against 19.94% for H1 2025. Most of the +178bp is lower depreciation on fully depreciated copper assets (D&A fell $509M YoY in H1) plus Advanced Connectivity EBITDA up 6.8% — so the starting margin of the forecast is well above this base-year figure, and the forecast carries that.	19.2%	AT&T FY2025 10-K (accession 0000732717-26-000120, filed 2026-02-09): GAAP operating income $24,162M / revenue $125,648M = 19.23%. This is the reported line, and it carries $838M of 'asset impairments and abandonments and restructuring'; excluding that, 19.90%. AT&T's own adjusted operating income was $25.5B (20.3%). Operating income EXCLUDES $7,754M of FY2025 'other income (expense) – net' (largely the gain on the DIRECTV stake sale and non-cash pension credits) and $1,895M of equity-affiliate income — both excluded deliberately: they are not recurring cash from the network, and the remaining equity investments are credited in the net-debt bridge instead. CROSS-CHECK, H1 2026: operating income $13,696M / $63,064M = 21.72%, against 19.94% for H1 2025. Most of the +178bp is lower depreciation on fully depreciated copper assets (D&A fell $509M YoY in H1) plus Advanced Connectivity EBITDA up 6.8% — so the starting margin of the forecast is well above this base-year figure, and the forecast carries that.
Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast	2% → 2% → 2% → 2% → 2%	ESTIMATEAssumption — TickerWorth's 5-year explicit forecast
Risk-free rateUS 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. House input shared by every model in the tracker.	5.2%	US 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation. House input shared by every model in the tracker.
BetaESTIMATEAssumption — normalized estimate (Blume adjustment of the published 5Y-monthly beta): Published 5Y-monthly beta 0.431 (yfinance, read 2026-10-03). Normalized UP to 0.62 with the standard Blume adjustment (0.67 x 0.431 + 0.33 = 0.619), which pulls a regression estimate toward 1.0. CONSERVATIVE: it raises WACC and lowers the value. Reason: 0.43 is a low figure for a company whose debt and preferred claims exceed its equity market value (equity is ~48% of capital), and the 2021-22 WarnerMedia spin breaks the five-year return series. A bottom-up beta (unlevered telecom beta relevered at AT&T's leverage) would land higher still, ~0.75-1.0 — at 0.75 the value falls ~$3.80/share. Accepting the published 0.431 instead adds ~$6.50/share.	0.62	ESTIMATEAssumption — normalized estimate (Blume adjustment of the published 5Y-monthly beta): Published 5Y-monthly beta 0.431 (yfinance, read 2026-10-03). Normalized UP to 0.62 with the standard Blume adjustment (0.67 x 0.431 + 0.33 = 0.619), which pulls a regression estimate toward 1.0. CONSERVATIVE: it raises WACC and lowers the value. Reason: 0.43 is a low figure for a company whose debt and preferred claims exceed its equity market value (equity is ~48% of capital), and the 2021-22 WarnerMedia spin breaks the five-year return series. A bottom-up beta (unlevered telecom beta relevered at AT&T's leverage) would land higher still, ~0.75-1.0 — at 0.75 the value falls ~$3.80/share. Accepting the published 0.431 instead adds ~$6.50/share.
Terminal growthESTIMATEAssumption — estimate (below the 2.5% house default, reason stated): 2.0%, half a point BELOW the 2.5% house default, deliberately. AT&T's revenue was $120.7B in FY2022 and $125.6B in FY2025 (us-gaap:Revenues), 1.3% a year; US wireless is saturated, and two new competitive fronts opened in 2026 (cable consolidation, and SpaceX's stated plan for a retail Starlink mobile service). A business that has grown below inflation for years should not be assumed to grow with nominal GDP forever. The house 2.5% would add ~$6.10/share. Well below the 6.67% WACC.	2.0%	ESTIMATEAssumption — estimate (below the 2.5% house default, reason stated): 2.0%, half a point BELOW the 2.5% house default, deliberately. AT&T's revenue was $120.7B in FY2022 and $125.6B in FY2025 (us-gaap:Revenues), 1.3% a year; US wireless is saturated, and two new competitive fronts opened in 2026 (cable consolidation, and SpaceX's stated plan for a retail Starlink mobile service). A business that has grown below inflation for years should not be assumed to grow with nominal GDP forever. The house 2.5% would add ~$6.10/share. Well below the 6.67% WACC.
Diluted sharesAT&T Q2 2026 10-Q (accession 0000732717-26-000297, filed 2026-07-22): Q2 2026 weighted-average diluted shares 6,946M (H1 6,987M; FY2025 7,179M). The count is FALLING fast: AT&T bought back ~174M shares ($4,435M) in H1, guided ~$10B of repurchases for 2026 (raised from $8B on 2026-07-22), and had 6,852.4M shares outstanding on 2026-07-16. Using the Q2 diluted count rather than the lower outstanding figure is mildly conservative (~1.4%, ~$0.50/share); buybacks after June 30 are a use of the cash already counted in the forecast, so they are not netted again.	6,946M	AT&T Q2 2026 10-Q (accession 0000732717-26-000297, filed 2026-07-22): Q2 2026 weighted-average diluted shares 6,946M (H1 6,987M; FY2025 7,179M). The count is FALLING fast: AT&T bought back ~174M shares ($4,435M) in H1, guided ~$10B of repurchases for 2026 (raised from $8B on 2026-07-22), and had 6,852.4M shares outstanding on 2026-07-16. Using the Q2 diluted count rather than the lower outstanding figure is mildly conservative (~1.4%, ~$0.50/share); buybacks after June 30 are a use of the cash already counted in the forecast, so they are not netted again.
Market priceDelayed quote · as of 2026-10-20 12:57 UTC	$23.20	Delayed quote · as of 2026-10-20 12:57 UTC

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What does AT&T Inc. do?

What does it do?

AT&T Inc. provides telecommunications and technology services worldwide through two segments: Communications, which offers wireless voice and data services plus handsets and accessories; and Latin America operations. The company operates company-owned stores, uses agents, and sells through third-party retail locations.

How does it make money?

AT&T generates revenue primarily through its Communications segment selling wireless voice and data services to customers. The company also generates revenue from selling handsets, wireless data cards, computing devices, cases, and chargers. Total revenue is $127.2 billion, with a gross margin of 59.7% and operating margin of 24.8%.

Is it financially healthy?

AT&T shows mixed financial health: it has a net margin of 16.9% and generates strong operating cash relative to its size. However, the company carries significant debt with a debt-to-equity ratio of 1.29, and its current ratio is 0.97, meaning current liabilities slightly exceed current assets.

Who at T filed insider trades?

Recent insider filings for AT&T Inc.
Date	Insider	Relationship	What happened	Value	Filing
6 Oct 2026	Cakaric Darcie M.	SEVP and Chief HR Officer	Option exercise	—	Form 4 for Cakaric Darcie M. (opens sec.gov in a new tab)
6 Oct 2026	Cakaric Darcie M.	SEVP and Chief HR Officer	Shares withheld (tax)	$368,714.64	Form 4 for Cakaric Darcie M. (opens sec.gov in a new tab)
30 Sept 2026	Sabrina Sanders S	SVP-ChiefActngOfcr&Controller	Grant / award	$3,527.00	Form 4 for Sabrina Sanders S (opens sec.gov in a new tab)
30 Sept 2026	McElfresh Jeffery S.	Chief Operating Officer	Grant / award	$12,500.02	Form 4 for McElfresh Jeffery S. (opens sec.gov in a new tab)
30 Sept 2026	Lee Lori M	Global Mktg Ofr & SEVP Intl	Grant / award	$8,999.99	Form 4 for Lee Lori M (opens sec.gov in a new tab)
30 Sept 2026	Desroches Pascal	Sr. Exec VP and CFO	Grant / award	$44,791.67	Form 4 for Desroches Pascal (opens sec.gov in a new tab)

A disclosure, not a signal to trade. Source: SEC EDGAR (Form 4). Older filings and the 90-day buying-and-selling read are part of Pro. See plans

Common questions

What is T's intrinsic value?
TickerWorth's blended fair value for AT&T Inc. (T) is $28.96 per share, versus a market price of $23.20 (priced within our range of $21.23 – $35.55).
Is T overvalued or undervalued?
Priced within our range of $21.23 – $35.55 at $23.20. We don't call T overvalued or undervalued from a range. This is an educational estimate, not advice.
What discount rate is used for T?
A WACC of 6.7% and a terminal growth rate of 2.0%.
Is AT&T stock undervalued?
TickerWorth's fair value for AT&T Inc. (T) is $28.96 against a market price of $23.20. Our read: Priced within our range of $21.23 – $35.55. This is a model estimate, not investment advice.
AT&T (T) DCF valuation and fair value
Our fair value for AT&T Inc. (T) is $28.96, built on a 6.7% discount rate (WACC) and 2.0% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into AT&T stock?
Today's price implies revenue growth of −2.4% a year for 5 years; our model assumes 2.3% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $23.20. A model estimate, not investment advice.
AT&T (T) insider trading
The most recent insider filing (SEC Form 4) for AT&T Inc. (T): Cakaric Darcie M., SEVP and Chief HR Officer, option exercise on 2026-10-06. The latest filings are listed on this page. A disclosure, not a signal to trade.