AT&T stock fell 8% on Friday after reports that SpaceX is negotiating access to 80,000 U.S. cell sites to build a rival wireless carrier. Despite the threat, AT&T remains well-positioned with strong Q3 earnings, growing customer base, and improving free cash flow projections. Building a nationwide carrier would require tens of billions in investment and significant time.
Axe note: AT&T’s shares fell sharply on SpaceX’s plans to build a rival wireless network, but the fundamentals are still solid.