Stock Market Today, Oct. 9: AT&T Slides on SpaceX Spectrum Deal Threat
AT&T (NYSE:T), a wireless and fiber connectivity giant, closed at $22.17, down 9.81%. Space Exploration Technologies’ spectrum deal raised competitive concerns for legacy wireless providers, and investors are watching Q3 earnings for guidance and subscriber trends.
Trading volume reached 140.3M shares, coming in about 182% above its three-month average of 49.8M shares.
The S&P 500 closed at 7,811, up 0.59%, and the Nasdaq Composite ended the trading session at 27,366, up 0.64%. Among integrated telecommunications services: wireless, fiber broadband, and enterprise connectivity peers, Verizon Communications (NYSE:VZ) closed at $41.65, down 8.75%, and T-Mobile US (NASDAQ:TMUS) closed at $148.58, down 13.27%, as sector rivals also absorbed the SpaceX spectrum news.
The news from SpaceX hit AT&T and the other communication stocks hard because it undermined one critical pillar of their investment cases — the competitive landscape.
Source: www.fool.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.