AT&T (T 1.54%) stock moved higher in Monday’s trading. The telecommunications company’s share price gained 1.6% in the daily session amid a 0.1% gain for the S&P 500 index and a 0.3% gain for the Nasdaq Composite index.
In addition to some positive momentum for the broader market, AT&T stock actually got a lift from its biggest competitor’s latest earnings report. Verizon published its second-quarter results before the market opened today, and investors saw its numbers as a bullish indicator for the broader telecom space.
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AT&T stock climbed thanks to Verizon’s Q2 results today
AT&T saw significant bullish momentum connected to Verizon’s Q2 results today even though the two companies are competitors. Verizon reported non-GAAP earnings per share (EPS) of $1.22 on revenue of $34.5 billion, topping the average Wall Street estimates for per-share earnings of $1.19 on revenue of $33.79 billion. The company’s sales grew 5% year over year and came in significantly better than anticipated; investors interpreted the result as a positive indicator for AT&T.
What’s next for AT&T?
AT&T is scheduled to publish its own Q2 results before the market opens tomorrow. While expectations surrounding the results may be elevated by Verizon’s better-than-anticipated Q2 performance, there seems to be a good chance that AT&T will also post a fairly strong performance in the period.
According to the average analyst estimate as surveyed by Zacks, AT&T is projected to post EPS of $0.51 on sales of $30.53 billion. While EPS would be down roughly 10.5%, revenue would be up approximately 2.5% based on the target. Notably, these projections were compiled prior to Verizon’s Q2 report, so it’s possible results will also top the market’s expectations.