Why Verizon and AT&T Stocks Fizzled on Friday

Core Insights - Concerns regarding T-Mobile US's performance negatively impacted the stock prices of major telecom companies Verizon and AT&T, leading to declines of over 2% while the S&P 500 index rose by 0.6% [1] Group 1: T-Mobile's Performance - T-Mobile US reported first-quarter results that beat consensus analyst estimates for revenue and profitability, but year-over-year metrics showed a decline, with revenue dropping nearly 5% to under $20.9 billion and net income slightly decreasing to$2.95 billion [3] - T-Mobile's postpaid net customer additions of 495,000 exceeded AT&T's figures but fell short of the consensus estimate of 506,400, indicating operational challenges [4] Group 2: Market Reactions - The disappointing performance of T-Mobile is expected to create pressure for positive news from the company before its next earnings release, which may also extend to Verizon and AT&T as they are closely linked in the telecom market [6] - The telecom industry is characterized by similar product offerings among major players, meaning developments in one company can significantly affect the others [5]