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AT&T shares fall 5% despite Q3 beat and raised profit outlook amid Mexico write-down and new competition.

Company Fundamentals
21 Oct 2026
24/7 Wall Street
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Bearish
AT&T shares fall 5% despite Q3 beat and raised profit outlook amid Mexico write-down and new competition.

AT&T reported Q3 2026 results beating revenue and profit expectations and raised its full-year profit outlook, but its shares dropped 5%. The decline reflects a non-cash impairment charge related to its Mexico wireless business, which AT&T is selling, creating a gap between reported and adjusted earnings. Additionally, competition is intensifying as SpaceX plans to enter the U.S. wireless market with its Starlink Mobile service, challenging AT&T, Verizon, and T-Mobile differently due to AT&T's fiber internet business. The Federal Communications Commission's decision on SpaceX's spectrum purchase will be crucial for future market dynamics. Despite the strong quarter, investors remain cautious amid regulatory uncertainty and competitive pressures.

AT&T shares fell 4.48% to USD 22.40 on Pluang, reflecting cautious investor sentiment despite the earnings beat. Verizon and T-Mobile also declined, down 1.35% and 1.57% respectively, as of Oct 21, 2026 21:01 WIB.

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