AT&T (T +4.24%), a provider of wireless voice and data services, broadband, and digital television, closed Wednesday at $24.08, up 4.70%. The stock moved higher after Q4 results beat EPS and revenue expectations, and management reiterated strong guidance alongside a new buyback program. Trading volume reached 72.9 million shares, about 50% above its three-month average of 45.7 million shares. AT&T IPO’d in 1983 and has grown 9,770% since going public.

How the markets moved today

The S&P 500 slipped 0.03% to finish Wednesday at 6,976, while the Nasdaq Composite added 0.17% to close at 23,857. Within telecommunications, industry peers Verizon Communications closed at $39.41 (+0.23%) and T-Mobile U.S. finished at $186.25 (+0.95%) as investors monitored competitive wireless trends.

What this means for investors

AT&T rose today after beating analysts’ expectations for Q4, inching revenue 4% higher while adjusted EPS jumped 20%. In addition to delivering these solid results, management guided for double-digit EPS growth annually through 2028 and free cash flow (FCF) of $19 billion in 2026 and $20 billion in 2027, after generating $18 billion this year. Armed with ample FCF, AT&T returned $12 billion to shareholders in 2025 and expects to return another $45 billion or more over the next three years.

AT&T saw steady customer adds across its key business lines: postpaid phone, fiber, and broadband, and it seems to be integrating its Lumen acquisition effectively. With a 4.6% dividend yield, AT&T is a solid passive-income investment, but won’t be a multibagger anytime soon.