AT&T Inc PEG Ratio
Data as of August 04, 2026
PEG Ratio
0.87
PE Ratio (TTM)
7.39
EPS (TTM)
$3.04
Sector
Telecommunication
How It's Calculated
0.87 = 7.39 ÷ Growth Rate
What This Means
AT&T Inc's PEG ratio of 0.87 is below 1, suggesting the stock may be undervalued relative to its earnings growth rate. A PEG below 1 often signals a buying opportunity.
About AT&T Inc
AT&T Inc (T) operates in the Telecommunication sector, specifically in Telecommunication. With a market capitalization of about $159.32B, it ranks as a large-cap stock — a major established company.
Shares recently traded near $23.59, within a 52-week range of $19.89 to $29.79 (-20.8% from the high, +18.6% from the low). Beta of 0.22 indicates relatively lower volatility versus the market.
Trailing profit margin is about 16.9%, signaling a solid profit margin for its industry.
Understanding This Metric
The PEG ratio adjusts the PE multiple for expected earnings growth, helping compare fast-growing and slow-growing names on a more equal footing. For AT&T Inc, a PEG near 1 is often described as fairly valued relative to growth, though the growth estimate itself can change quickly with guidance revisions.
Sector Comparison
Among Telecommunication names on our S&P 100 coverage, AT&T Inc's PEG ratio of 0.87 can be compared with peers such as VZ (1.61), TMUS (0.79), CMCSA (-1.46). Sector context helps interpretation, but each company's growth profile and balance sheet differ — use multiple metrics before drawing conclusions. View all Telecommunication stocks.
Key Takeaways
- T is grouped in the Telecommunication sector for peer comparisons.
- Recent beta of 0.22 suggests lower-than-market price sensitivity.
- Trailing profit margin of 16.9% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for T.
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Frequently Asked Questions
What is T's PEG ratio?
PEG adjusts PE for expected earnings growth: PEG ≈ PE ÷ earnings growth rate. AT&T Inc's PEG of 0.87 is a shorthand for growth-at-a-reasonable-price comparisons.
Does PEG suggest growth at a reasonable price?
PEG below 1.0 (0.87) is often described as inexpensive relative to growth expectations — verify the growth input is realistic.
What are limitations of PEG for T?
PEG depends on a single growth estimate, ignores balance sheet risk, and can mislead when earnings are volatile. Use it with PE, margins, and Telecommunication peers — not as a standalone verdict.
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