AT&T Boosts Fiber Reach to 36 Million Locations After Lumen Deal; RSI Warns of Pullback
AT&T completed its acquisition of Lumen’s mass-market fiber business on February 2, adding over 1 million subscribers and expanding its fiber reach to 36 million locations with a goal of 40 million by year-end 2026. An RSI of 81.9 after a 25% rally suggests potential 7% downside risk.
1. Conference Update and Strategy
On March 3 at 10:00 a.m. ET, COO Jeff McElfresh will present AT&T’s progress on its multi-year growth strategy at the Morgan Stanley Technology, Media & Telecom Conference, focusing on network investments and service convergence.
2. Lumen Fiber Acquisition and Expansion Targets
AT&T closed its acquisition of Lumen’s mass-market fiber business on February 2, adding over 1 million subscribers across 4 million locations and lifting total fiber reach to more than 36 million locations. The company aims to extend fiber to 40 million locations by the end of 2026 and ultimately to 60 million by 2030.
3. Technical and Fundamental Pullback Signals
Following a 25% stock rally, AT&T’s RSI reached 81.9, prompting analysts to cite potential 7% additional downside. Key concerns include stagnant five-year revenue growth, an anomalous 2025 net income spike, dividend cuts and negative financing cash flows.