As part of an update to its product lineup, the company announced expanded functionality for the AT&T Points Plus World Mastercard aimed at making the offering more attractive for both existing and prospective cardholders. This month, AT&T introduced additional incentive mechanisms, including bonuses tied to telecom services. In particular, customers can receive a $10.00 reduction for each wireless line, as well as a similar monthly discount on eligible internet bills when enrolled in AutoPay and paperless billing. These changes effectively lower the cost of telecom services for end users while also allowing them to earn points on purchases of AT&T products and services and make international transactions without fees.
The company is set to publish its first-quarter financial results later today. Revenue is expected to come in at $31.25 billion, down from $33.5 billion previously, but well above the $30.63 billion reported a year earlier. Earnings per share are projected at around $0.551, compared with $0.52 previously and $0.51 in the same period last year.
As for dividends, the Board of Directors has already approved the next payment date, which is scheduled for May 1. The non-indexed payout will amount to $0.2775 per share, equivalent to a quarterly yield of around 4.14%, compared with the sector average of 3.88%.
Support and resistance levels
On the daily chart, the instrument is trading below the support line of an ascending channel with dynamic boundaries at 30.00–27.00.
Technical indicators are ready to strengthen the sell signal received last week: the EMA range on the Alligator indicator is widening to the downside, while the AO histogram is forming new corrective bars below the transition level.
Support levels: 25.50, 23.10.
Resistance levels: 27.00, 29.00.
Trading scenarios and AT&T Inc. forecast
Short positions may be opened after the price declines and consolidates below 25.50, with a target at 23.10. Stop-loss: 26.50. Implementation period: 7 days or more.
Long positions may be opened after the price rises and consolidates above 27.00, with a target at 29.00. Stop-loss: 26.00.
Scenario
| Timeframe | Weekly |
| Recommendation | SELL STOP |
| Entry Point | 25.45 |
| Take Profit | 23.10 |
| Stop Loss | 26.50 |
| Key levels | 23.10, 25.50, 27.00, 29.00 |
Alternative Scenario
| Recommendation | BUY STOP |
| Entry Point | 27.05 |
| Take Profit | 29.00 |
| Stop Loss | 26.00 |
| Key levels | 23.10, 25.50, 27.00, 29.00 |
