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AT&T (T) PS Ratio : 1.33 (As of Oct. 31, 2024)


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What is AT&T PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, AT&T's share price is $22.54. AT&T's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $16.96. Hence, AT&T's PS Ratio for today is 1.33.

Warning Sign:

AT&T Inc stock PS Ratio (=1.3) is close to 10-year high of 1.32

The historical rank and industry rank for AT&T's PS Ratio or its related term are showing as below:

T' s PS Ratio Range Over the Past 10 Years
Min: 0.81   Med: 1.02   Max: 1.32
Current: 1.31

During the past 13 years, AT&T's highest PS Ratio was 1.32. The lowest was 0.81. And the median was 1.02.

T's PS Ratio is ranked worse than
52.7% of 370 companies
in the Telecommunication Services industry
Industry Median: 1.245 vs T: 1.31

AT&T's Revenue per Sharefor the three months ended in Sep. 2024 was $4.19. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 was $16.96.

Warning Sign:

AT&T Inc revenue per share has been in decline for the last 5 years.

During the past 12 months, the average Revenue per Share Growth Rate of AT&T was 2.30% per year. During the past 3 years, the average Revenue per Share Growth Rate was -11.00% per year. During the past 5 years, the average Revenue per Share Growth Rate was -9.80% per year. During the past 10 years, the average Revenue per Share Growth Rate was -4.40% per year.

During the past 13 years, AT&T's highest 3-Year average Revenue per Share Growth Rate was 17.00% per year. The lowest was -13.60% per year. And the median was 3.40% per year.

Back to Basics: PS Ratio


AT&T PS Ratio Historical Data

The historical data trend for AT&T's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

AT&T PS Ratio Chart

AT&T Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.20 0.91 1.04 1.16 0.99

AT&T Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.91 0.99 1.03 1.12 1.30

Competitive Comparison of AT&T's PS Ratio

For the Telecom Services subindustry, AT&T's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


AT&T's PS Ratio Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, AT&T's PS Ratio distribution charts can be found below:

* The bar in red indicates where AT&T's PS Ratio falls into.



AT&T PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

AT&T's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=22.54/16.959
=1.33

AT&T's Share Price of today is $22.54.
AT&T's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $16.96.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


AT&T  (NYSE:T) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


AT&T PS Ratio Related Terms

Thank you for viewing the detailed overview of AT&T's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


AT&T Business Description

Address
208 S. Akard Street, Dallas, TX, USA, 75202
The wireless business contributes nearly 70% of AT&T's revenue. The firm is the third-largest US wireless carrier, connecting 72 million postpaid and 17 million prepaid phone customers. Fixed-line enterprise services, which account for about 16% of revenue, include internet access, private networking, security, voice, and wholesale network capacity. Residential fixed-line services, about 11% of revenue, primarily consist of broadband internet access, serving 14 million customers. AT&T also has a sizable presence in Mexico, with 23 million customers, but this business only accounts for 4% of revenue. The firm still holds a 70% equity stake in satellite television provider DirecTV but does not consolidate this business in its financial statements.
Executives
Sanders S Sabrina officer: SVP-ChiefActngOfcr&Controller 208 S. AKARD ST., 29TH FLOOR, DALLAS TX 75202
Debra L. Dial officer: SVP-ChiefActngOfcr&Controller 208 S. AKARD, 29TH FLOOR, DALLAS TX 75202
Jeremy Alan Legg officer: Chief Technology Officer 208 S. AKARD STREET, DALLAS TX 75202
Kenny Kellyn Smith officer: Chief Marketing & Growth Ofcr 208 S. AKARD ST, 29TH FLOOR, DALLAS TX 75202
Edward W Gillespie officer: SrEVP-Ext & Legal Affairs 208 S. AKARD, DALLAS TX 75202
Angela Santone officer: Sr. Exec VP-Human Resources 208 S. AKARD ST, DALLAS TX 75202
Jeffery S. Mcelfresh officer: CEO, AT&T Communications, LLC 208 S. AKARD, 29TH FLOOR, DALLAS TX 75202
Mcatee David R Ii officer: Sr. Exec. VP and Gen. Counsel 208 S. AKARD, 29TH FLOOR, DALLAS TX 75202
David S. Huntley officer: SEVP&Chief Compliance Officer 208 S. AKARD, ROOM 2900;07, DALLAS TX 75202
Lori M Lee officer: CEO-AT&T LatAm&GlobalMktgOfcr 208 S. AKARD ST., 29TH FLOOR, DALLAS TX 75202
Pascal Desroches officer: Sr. Exec VP and CFO AT&T INC., 208 S AKARD STREET, DALLAS TX 75202
Stephen J Luczo director
Luis A Ubinas director 209 REDWOOD SHORES PARKWAY, REDWOOD CITY CA 94065-1175
John T Stankey officer: Sr. Exec. VP and CIO 208 S. AKARD ST., 29TH FLOOR, DALLAS TX 75202
Jason Kilar officer: CEO, Warner Media, LLC 208 S. AKARD ST, DALLAS TX 75202