Oppenheimer downgraded AT&T from Outperform to Perform, citing a structural threat from low Earth orbit satellite networks like SpaceX's Starlink. The firm now expects AT&T's fiber buildout to reach closer to 50 million homes by 2030, short of management's target of more than 60 million, which would pressure subscriber growth and average revenue per user. Oppenheimer also flagged the risk of Starlink potentially launching a direct-to-consumer mobile service in the U.S., creating a new nationwide competitor alongside Verizon, AT&T, and T-Mobile. AT&T's long-term debt rose to $131.6 billion as of March 2026, partly due to the Lumen fiber acquisition and pending EchoStar spectrum deal, pushing net debt-to-adjusted EBITDA to roughly 2.71 times. CEO John Stankey has described satellite as a complement to existing services, but Oppenheimer's downgrade signals skepticism about AT&T's ability to sustain its fiber-led strategy against emerging space-based rivals.
AT&T Inc.Oppenheimer downgrades AT&T citing structural threat from SpaceX Starlink and potential direct-to-consumer mobile service.
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T-Mobile US Inc
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