Morgan Stanley Cuts AT&T (T) Price Target to $25

On October 22, 2026, Morgan Stanley reiterated its Overweight rating on AT&T Inc. (NYSE:T) while lowering its price target from $28 to $25. The research note arrived as the telecom stock closed at $22.68 on the day of the announcement. This update reflects the firm's ongoing forward-looking stance on the company even as it brings down its expected price ceiling.

T AT&T Inc.

$22.43 ▼ -4.31% year to date

1M 3M YTD

Daily close · Oct 22, 2026

Morgan Stanley's Call on AT&T Inc.

In its October 22, 2026 note, Morgan Stanley kept its Overweight rating intact while trimming the target by $3. Other Wall Street firms also weighed in on the same day. Barclays maintained its Equal-Weight rating and lowered its target from $24 to $21. Argus Research kept a Buy rating with an unchanged target of $30. JP Morgan maintained an Overweight rating while reducing its target from $33 to $31. TD Cowen held its Hold rating steady with a $33 target. Overall, 23 analysts cover the stock, carrying a consensus buy recommendation and a mean price target of $28.59.

Other Institutional Activity in AT&T Inc.

Large institutional funds continue to adjust their holdings in the telecom giant. Newport Trust Company, LLC trimmed its position by 753,830 shares, resulting in a 0.4% reduction. The fund ended the period with 178,729,595 shares valued at about $4.05 billion.

AT&T Inc. Stock Down 3.9%

AT&T recently traded around $22.50, sitting 0.8% below its event-day close of $22.68. The shares are down about 9.5% relative to their 50-day moving average of $24.85 and 10.3% below the 200-day moving average of $25.08. The stock trades well off its 52-week high of $29.44 while holding 13.1% above its 52-week low of $19.89.

Recent Earnings

AT&T posted trailing-twelve-month revenue of $127.24 billion alongside earnings of $1.87 per share. The company operates with a net profit margin of 16.9% and a return on equity of 18.3%, while generating year-over-year revenue growth of 2.3%.

Dividend

Income-focused investors receive an annual dividend of $1.11 per share, translating to a dividend yield of 4.74%. The payout ratio sits at 36.6%, leaving room for the company to cover its distribution out of earnings.

About AT&T Inc.

Based in Dallas, Texas, AT&T provides telecommunications, media, and technology services to customers around the globe. The company runs operations through two primary divisions: Communications and Latin America. Its core wireless operations deliver voice and data connections, backed by retail stores and distribution partners that sell mobile devices and accessories.

Bottom Line

Analyst updates like Morgan Stanley's provide a look at how major financial institutions view the telecom provider's valuation. Investors will watch upcoming earnings reports and filing updates to track how execution aligns with these expectations.