S&P Capital IQ Reiterates its STRONG BUY Rating on AT&T

October 25 00:00 2011

New York, October 25 (RainbowNewsLine.com) – Analyst Todd Rosenbluth of S&P Capital IQ reiterates his STRONG BUY rating on the shares of AT&T (NYSE: T). The target price is set to $34.

Analyst Todd Rosenbluth, in a research report published yesterday, mentions that the company has reported initial success and outlook for the launch of new iPhones which led to the reduction in 2011 EPS estimate from $2.38 to $2.32. The analyst believes that there will be contractions in EBITDA margin in Q4 to support subsidies and marketing. The analyst expects AT&T’s margin pressure to ease during early 2012. The company’s robust financial profile offers flexibility, the analyst adds.