AT&T (T.US) reiterates full-year and long-term performance guidance, planning to return over $45 billion to shareholders in the next three years.

On the eve of the J.P. Morgan Global Technology, Media, and Communications Conference, AT&T (T.US) reiterated its performance outlook for the current quarter, 2026, and the coming years, and remains optimistic about the growth of its wireless business and profit improvement prospects. AT&T stated that the company expects free cash flow in the second quarter to reach $4 to $4.5 billion, roughly in line with market expectations of $4.48 billion. At the same time, the company still expects growth in adjusted EBITDA and wireless service revenue to continue. In terms of long-term goals, AT&T expects further improvement in adjusted EBITDA and adjusted earnings per share (EPS) growth rates in the coming years. The company also plans to return over $45 billion to shareholders through dividends and share repurchases between 2026 and 2028. Furthermore, AT&T expects that, after completing the transaction with EchoStar, the company's net debt to adjusted EBITDA ratio will return to the target range of around 2.5 times within approximately three years. In terms of network construction, AT&T stated that the company still aims to have fiber optic coverage for over 60 million customer locations by the end of 2030. Analysts point out that as the competition in the U.S. telecommunications industry stabilizes, AT&T is currently focusing on expanding its wireless business and fiber broadband, and strengthening shareholder returns by continuing to improve cash flow and balance sheet assets. Boosted by this news, AT&T's stock price rose by about 1.7% against the market on Tuesday.