AT&T‘s CAPE Ratio

The CAPE ratio for AT&T (T) is a valuation tool that compares the company’s current stock price with the average of its inflation-adjusted earnings over the last 10 years. AT&T, one of the largest telecommunications and media companies in the U.S., derives most of its revenue from wireless services, broadband, and its fiber network. The company’s performance depends on subscriber retention, network expansion, and the management of its debt levels. By using the CAPE ratio, investors assess whether AT&T is priced appropriately based on long-term earnings trends. A high CAPE suggests overvaluation, while a low CAPE indicates potential undervaluation, helping investors evaluate AT&T’s stock in a stable but competitive communications market.