On December 26, 2017, AT&T’s (T) market capitalization was ~$239.8 billion, making it the largest US wireless player in terms of market capitalization. In comparison, Verizon’s (VZ) market capitalization was ~$217.1 billion, T-Mobile’s (TMUS) was ~$53.1 billion, and Sprint’s (S) was ~$23.2 billion.
On December 26, AT&T stock closed at $39.06, near its upper Bollinger Band of $39.58, suggests that AT&T stock is overbought.
Short interest ratio
On December 26, AT&T’s short interest as a percentage of float (or short interest ratio) was ~4.8%. Generally, a short interest ratio above 40% suggests that the stock could see a price correction.
AT&T’s valuation metrics
On December 26, AT&T was trading at a forward EV-to-EBITDA (enterprise value to earnings before interest, tax, depreciation, and amortization) multiple of ~6.8x. In contrast, Sprint, Verizon, and T-Mobile had forward EV-to-EBITDA multiples of ~4.7x, ~7.2x, and ~7.0x, respectively. That day, AT&T was trading at a forward PE (price-to-earnings) multiple of ~13.3x, whereas Verizon and T-Mobile had forward PE multiples of ~13.6x and ~22.6x, respectively.