#freecashflow

Teradata (TDC)
Forward P/S Ratio: 1.9x

Why Do We Pass on TDC?

— Products, pricing, or go-to-market strategy may need some adjustments as its 3.7% average billings growth over the last year was weak

— Inability to adjust its cost structure while its revenue declined over the last year led to a 7.2 percentage point drop in the company’s operating margin

— Free cash flow margin is forecasted to shrink by 20.2 percentage points in the coming year, suggesting the company will consume more capital to keep up with its competitors.

AT&T continues downward run, marks seven-session losing streak
May 11, 2026, 4:01 PM ET -- AT&T Inc. : Jay Mehta, SA News Editor. [ Seeking Alpha ].

Shares of AT&T closed down 1.21% at $24.86 on Monday, marking the telecom giant’s seventh consecutive losing session.

The stock has fallen about 3.7% over the past six sessions, underperforming the broader S&P 500 Index, which gained 2.6% during the same period. Despite the recent weakness, AT&T shares remain up about 0.8% so far in 2026, though they have lagged the benchmark index’s 8.1% advance this year.

Some analysts are pointing to the telecom sector’s capital-intensive business model as a key concern. Bearish commentary has focused on a 19% year-over-year decline in free cash flow to $2.5 billion, as capital expenditures rose to $5.1 billion amid continued fiber network expansion. Critics have also highlighted a 25% drop in legacy copper-based revenue and net debt of $126.4 billion, which pushed leverage to 2.71x, above the company’s long-term target of 2.5x.

Meanwhile, Seeking Alpha’s Quant Ratings maintained a Hold rating on the stock with a score of 3.44 out of 5. The company received an A+ grade for profitability, while its growth and momentum metrics were rated D and C−, respectively.

On the bullish side, Seeking Alpha analyst Sensor Unlimited reiterated a Buy rating on AT&T, citing its first-quarter 2026 results and fiber-first strategy. The analyst pointed to growth catalysts, increasing share repurchases, and capital allocation flexibility, noting that buybacks exceeded dividends for the first time and lifted total shareholder yield above 8%.

Similarly, Seeking Alpha analyst The Investment Doctor maintained a constructive view on AT&T’s senior securities, highlighting the company’s stable financial performance and strong coverage ratios. The analyst noted that preferred shares yield between 6% and 6.5% with a payout ratio below 1%, while baby bonds, including AT&T 5.35% Global Notes due 2066 (TBB), may offer a more favorable risk-reward profile for certain investors.

Overall, both Wall Street analysts and Seeking Alpha analysts remain broadly bullish on AT&T, maintaining Buy ratings despite near-term pressure on the stock.

https://seekingalpha.com/news/4590653-at-and-t-continues-downward-run-marks-seven-session-losing-streak

Werent that bad making $650 free cash after everything is paid, even reduced the debt by $300 million, and a massive $250 million buyback thats 30% of the company. Its a really cash generative business on the back of under paying employees.

What Wall Street doesnt like is the constant revenue decline and more forecast, and Rwul keeps on promising AI solutions in place but its not showing in revenue. Wall Street doesn't do contraction even though DXC is making a ton of money.

"AT&T's Free Cash Flow Declined Significantly Last Quarter". Stanks plan isn't working. Plan for a dividend cut down the road. Eliminating jobs isn't the answer. The Board must take immediate action, but all they do is collect a fat check.

Cant believe how poor the Management and Shareholders are in this company.

I could turn the situation around easily, spin off the insurance to Private Equity or IPO for $2billion, which will pay off all the debt.

Your left with a cash company generating Free Cash Flow of $400 million with no debt on a PE of 20 thats $8 Billion= $48 per share.

I would not hire any new folks, natural wastage would get rid of 20% of the workforce in the year, i would get rid of the several layers of management, the existing employees would retrain if they were offered a good pay incentive, FCF would rise to $450 milion, another $10+ on the share price to $60, then get some bolt on Acquisitions.

If Fernandez isnt going to grow the Company this is about to happen soon.

Bootlickers, go lick a boot.

We’d easily have enough FCF to pay employee bonuses if:

1. C-suite didn’t burn unquantifiable amounts of money on RTO
2. Legg didn’t donate our cash to Amdocs and TechM
3. We fired the worst performing employee at the company that makes 30 million a year

"Cash generation stood out: cash from operations improved to $409 million and free cash flow rose to $240 million, enabling a $75 million buyback."

Whilst revenues keep shrinking they made $240 last quarter, and forecast $640million for the year. Plenty of money for raises if they want to give them.

We've hit our goal of 1 million barrels of oil equivalent per day from the Permian Basin.

We've created the opportunity to grow free cash flow for years to come.