AT & T is likely to lose ground to SpaceX’s Starlink, putting even more pressure on shares, according to Wells Fargo. The bank initiated coverage of the telecommunications giant with an underweight rating. It also put an $18 price target on shares, implying nearly 15% downside from Tuesday’s close. “We see Starlink as a near-term gainer in [broadband] vs [fixed wireless access], & longer-term disruptor to wireless,” analyst Steven Cahall said in a note to clients. “Outside of T’s fiber footprint we think competition will be fierce, and with weaker market share footholds excl. wireline areas we think T’s wireless net adds are the most at-risk.” Shares of AT & T have already fallen 15% year to date due to a variety of headwinds, including high infrastructure costs and the commoditization of telecommunications services. T YTD mountain Shares are down 15% in 2026. AT & T is also less likely than its competitors to agree to strike a mobile virtual network operator partnership with Starlink, meaning it will have to outperform on fiber and convergence to generate upside for its shares, the analyst added. Wells Fargo’s call goes against consensus on Wall Street. Of the 29 analysts covering AT & T, 14 have a hold on shares, while 15 have a buy or strong buy on the stock, LSEG data shows. Shares were little changed in the premarket despite the bearish call by Wells Fargo. AT & T did not respond to CNBC’s request for comment.
