The U.S. telecom sector has seen widely divergent performance among its primary players this year, with
T-Mobile US
soaring past rivals
AT&T
and
Verizon Communications
in market capitalization. Verizon stock stumbling to a substantial loss, and AT&T roughly flat. A recent sharp divergence of AT&T and Verizon shares has spurred one of the most influential telecom analysts to shift his position on both.
More specifically, MoffettNathanson telecom analyst Craig Moffett cut his rating on AT&T stock (ticker: T) to Underperform from Market Perform following a 26% rally in the stock since mid-October. Moffett keeps his $17 target on the stock, which is a little below last Friday’s close at $18.49.