AT&T upgraded to Outperform on 'game changing' Time Warner deal at Oppenheimer - InvestingChannel

AT&T upgraded to Outperform on ‘game changing’ Time Warner deal at Oppenheimer

As previously reported, Oppenheimer analyst Timothy Horan upgraded AT&T (T) to Outperform from Perform, contending that the company’s deal to buy Time Warner (TWX) is a “game-changer” that positions it as a “content powerhouse.” The merger should be 15% accretive to free cash flow per share in FY21 based on his “conservative” estimates, Horan added. Horan also noted that historically, after underperforming through the regulatory process, AT&T shares trades up about 25% in the year following a merger. The analyst set a $41 price target on AT&T shares.