ATT Inc 00206RAD4 Bond

T Stock  USD 17.55  0.37  2.15%   
ATT Inc holds a debt-to-equity ratio of 1.147. At this time, ATT's Short and Long Term Debt Total is comparatively stable compared to the past year. Net Debt is likely to gain to about 155.6 B in 2024, whereas Long Term Debt Total is likely to drop slightly above 126.6 B in 2024. ATT's financial risk is the risk to ATT stockholders that is caused by an increase in debt. In other words, with a high degree of financial leverage come high-interest payments, which usually reduce Earnings Per Share (EPS).

Asset vs Debt

Equity vs Debt

ATT's liquidity is one of the most fundamental aspects of both its future profitability and its ability to meet different types of ongoing financial obligations. ATT's cash, liquid assets, total liabilities, and shareholder equity can be utilized to evaluate how much leverage the Company is using to sustain its current operations. For traders, higher-leverage indicators usually imply a higher risk to shareholders. In addition, it helps ATT Stock's retail investors understand whether an upcoming fall or rise in the market will negatively affect ATT's stakeholders.
For most companies, including ATT, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for the executing running ATT Inc the most critical issue when dealing with liquidity needs is whether the current assets are properly aligned with its current liabilities. If not, management will need to obtain alternative financing to ensure that there are always enough cash equivalents on the balance sheet in reserve to pay for obligations.
Price Book
1.1896
Book Value
14.447
Operating Margin
0.1639
Profit Margin
0.1176
Return On Assets
0.0404
At this time, ATT's Short and Long Term Debt Total is comparatively stable compared to the past year. Net Debt is likely to gain to about 155.6 B in 2024, whereas Long Term Debt Total is likely to drop slightly above 126.6 B in 2024.
  
Check out the analysis of ATT Fundamentals Over Time.
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Given the importance of ATT's capital structure, the first step in the capital decision process is for the management of ATT to decide how much external capital it will need to raise to operate in a sustainable way. Once the amount of financing is determined, management needs to examine the financial markets to determine the terms in which the company can boost capital. This move is crucial to the process because the market environment may reduce the ability of ATT Inc to issue bonds at a reasonable cost.
Popular NameATT ATT INC 65
SpecializationTelecommunication Services
Equity ISIN CodeUS00206R1023
Bond Issue ISIN CodeUS00206RAD44
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ATT Inc Outstanding Bond Obligations

ATT INC 515US00206RFU14Details
ATT INC 49US00206RFW79Details
ATT FRN 12jun2024US00206RGD89Details
ATT INC 7125US00206RGH93Details
ATT INC 41US00206RGL06Details
T 655 15 JAN 28US00206RGN61Details
ATT INC 6375US00206RGM88Details
ATT INC 43US00206RGQ92Details
ATT INC 7125US00206RGT32Details
ATT INC 515US00206RHA32Details
ATT INCUS00206RHK14Details
ATT INCUS00206RHJ41Details
AT T 3875US00206RHT23Details
AT T 295US00206RHV78Details
ATT INCUS00206RHW51Details
T 7625 15 APR 31US00206RHZ82Details
T 6625 15 MAY 29US00206RHY18Details
ATT INC 68US00206RAB87Details
ATT INC 65US00206RAD44Details
ATT INC 63US00206RAG74Details
US00206RJE36US00206RJE36Details
AT T 625US00206RJF01Details
AT T 49US00206RJH66Details
T 5375 15 OCT 41US00206RJG83Details
ATT INC 64US00206RAN26Details
ATT 465 percentUS00206RJK95Details
US00206RJJ23US00206RJJ23Details
ATT INC 655US00206RAS13Details
US00206RJL78US00206RJL78Details
ATT INCUS00206RJX17Details
ATT INCUS00206RJY99Details
ATT INCUS00206RJZ64Details
ATT INC 555US00206RBA95Details
ATT INCUS00206RKA94Details
ATT INC 43US00206RBH49Details
ATT INCUS00206RKB77Details
ATT INC 435US00206RBK77Details
ATT INCUS00206RKE17Details
ATT INCUS00206RKD34Details
ATT INCUS00206RKG64Details
ATT INCUS00206RKF81Details
T 35 15 SEP 53US00206RKJ04Details
ATT INCUS00206RKH48Details
ATT INC 48US00206RCG56Details
T 355 15 SEP 55US00206RLJ94Details
ATT INC 475US00206RCQ39Details
ATT INC 45US00206RCP55Details
ATT INC 565US00206RCU41Details
T 365 15 SEP 59US00206RLV23Details
ATT INC 6375US00206RDG48Details
ATT INC 6US00206RDF64Details
ATT INC 515US00206RDH21Details
ATT INC 455US00206RDK59Details
ATT INC 45US00206RDJ86Details
ATT INC 525US00206RDR03Details
ATT PUS00206RML32Details
T 9 25 MAR 24US00206RMJ85Details
ATT INC 425US00206RDQ20Details
ATT INC 57US00206RDT68Details
ATT INC 545US00206RDS85Details
T 255 01 DEC 33US00206RMM15Details
T 55 20 FEB 26US00206RMP46Details
T 38 01 DEC 57US00206RMN97Details

Understaning ATT Use of Financial Leverage

ATT financial leverage ratio helps in determining the effect of debt on the overall profitability of the company. It measures ATT's total debt position, including all of outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of ATT assets, the company is considered highly leveraged. Understanding the composition and structure of overall ATT debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business and if it is worth investing in it. Financial leverage can amplify the potential profits to ATT's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of ATT's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets).
Last ReportedProjected for 2024
Short and Long Term Debt Total154.9 B162.6 B
Net Debt148.2 B155.6 B
Short Term Debt9.5 B6.9 B
Long Term Debt127.9 B88 B
Long Term Debt Total147.7 B126.6 B
Short and Long Term Debt9.5 B14.3 B
Long Term Debt To Capitalization 0.55  0.34 
Total Debt To Capitalization 0.57  0.37 
Debt Equity Ratio 1.32  0.70 
Debt Ratio 0.38  0.23 
Cash Flow To Debt Ratio 0.25  0.23 
Please read more on our technical analysis page.

ATT Investors Sentiment

The influence of ATT's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in ATT. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to ATT's public news can be used to forecast risks associated with an investment in ATT. The trend in average sentiment can be used to explain how an investor holding ATT can time the market purely based on public headlines and social activities around ATT Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
ATT's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for ATT's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average ATT's news discussions. The higher the estimated score, the more favorable is the investor's outlook on ATT.

ATT Implied Volatility

    
  34.47  
ATT's implied volatility exposes the market's sentiment of ATT Inc stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if ATT's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that ATT stock will not fluctuate a lot when ATT's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards ATT in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, ATT's short interest history, or implied volatility extrapolated from ATT options trading.

Currently Active Assets on Macroaxis

When determining whether ATT Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of ATT's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Att Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Att Inc Stock:

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When running ATT's price analysis, check to measure ATT's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy ATT is operating at the current time. Most of ATT's value examination focuses on studying past and present price action to predict the probability of ATT's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move ATT's price. Additionally, you may evaluate how the addition of ATT to your portfolios can decrease your overall portfolio volatility.
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Is ATT's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of ATT. If investors know ATT will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about ATT listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.40)
Dividend Share
1.11
Earnings Share
1.97
Revenue Per Share
17.049
Quarterly Revenue Growth
0.022
The market value of ATT Inc is measured differently than its book value, which is the value of ATT that is recorded on the company's balance sheet. Investors also form their own opinion of ATT's value that differs from its market value or its book value, called intrinsic value, which is ATT's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because ATT's market value can be influenced by many factors that don't directly affect ATT's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between ATT's value and its price as these two are different measures arrived at by different means. Investors typically determine if ATT is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ATT's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

What is Financial Leverage?

Financial leverage is the use of borrowed money (debt) to finance the purchase of assets with the expectation that the income or capital gain from the new asset will exceed the cost of borrowing. In most cases, the debt provider will limit how much risk it is ready to take and indicate a limit on the extent of the leverage it will allow. In the case of asset-backed lending, the financial provider uses the assets as collateral until the borrower repays the loan. In the case of a cash flow loan, the general creditworthiness of the company is used to back the loan. The concept of leverage is common in the business world. It is mostly used to boost the returns on equity capital of a company, especially when the business is unable to increase its operating efficiency and returns on total investment. Because earnings on borrowing are higher than the interest payable on debt, the company's total earnings will increase, ultimately boosting stockholders' profits.

Leverage and Capital Costs

The debt to equity ratio plays a role in the working average cost of capital (WACC). The overall interest on debt represents the break-even point that must be obtained to profitability in a given venture. Thus, WACC is essentially the average interest an organization owes on the capital it has borrowed for leverage. Let's say equity represents 60% of borrowed capital, and debt is 40%. This results in a financial leverage calculation of 40/60, or 0.6667. The organization owes 10% on all equity and 5% on all debt. That means that the weighted average cost of capital is (.4)(5) + (.6)(10) - or 8%. For every $10,000 borrowed, this organization will owe $800 in interest. Profit must be higher than 8% on the project to offset the cost of interest and justify this leverage.

Benefits of Financial Leverage

Leverage provides the following benefits for companies:
  • Leverage is an essential tool a company's management can use to make the best financing and investment decisions.
  • It provides a variety of financing sources by which the firm can achieve its target earnings.
  • Leverage is also an essential technique in investing as it helps companies set a threshold for the expansion of business operations. For example, it can be used to recommend restrictions on business expansion once the projected return on additional investment is lower than the cost of debt.
By borrowing funds, the firm incurs a debt that must be paid. But, this debt is paid in small installments over a relatively long period of time. This frees funds for more immediate use in the stock market. For example, suppose a company can afford a new factory but will be left with negligible free cash. In that case, it may be better to finance the factory and spend the cash on hand on inputs, labor, or even hold a significant portion as a reserve against unforeseen circumstances.

The Risk of Financial Leverage

The most obvious and apparent risk of leverage is that if price changes unexpectedly, the leveraged position can lead to severe losses. For example, imagine a hedge fund seeded by $50 worth of investor money. The hedge fund borrows another $50 and buys an asset worth $100, leading to a leverage ratio of 2:1. For the investor, this is neither good nor bad -- until the asset price changes. If the asset price goes up 10 percent, the investor earns $10 on $50 of capital, a net gain of 20 percent, and is very pleased with the increased gains from the leverage. However, if the asset price crashes unexpectedly, say by 30 percent, the investor loses $30 on $50 of capital, suffering a 60 percent loss. In other words, the effect of leverage is to increase the volatility of returns and increase the effects of a price change on the asset to the bottom line while increasing the chance for profit as well.