AT&T NYSE:T fell 3.65% intraday, touching a 52-week low of $21.28, after SpaceX NASDAQ:SPCX President Gwynne Shotwell told IPO roadshow investors the company intends to launch a Starlink-branded retail mobile service for U.S. consumers and may build its own terrestrial wireless network. AT&T serves more than 109 million mobile subscribers.
AT&T also lost its spot in the Russell Top 50 Index in the latest reconstitution, adding to the selling pressure. Oppenheimer downgraded the stock to Perform from Outperform earlier this month, citing the growing competitive threat from low-Earth-orbit satellite providers. A CFO transition is pending, with Pascal Desroches handing the role to Jennifer Biry at the start of 2027.
The sector is under pressure with T-Mobile NASDAQ:TMUS down 3.85%, while Verizon NYSE:VZ is down 5.79%, compounded by its removal from the Dow Jones Industrial Average effective today.