after att inc shares ended wednesday’s session at an 11year low one analyst is ending his bearish call on the stock keybanc capital markets analyst brandon nispel upgraded att shares t to sector weight from underweight writing that the shares now sport a fair valuation given that the company is in the process of simplifying its structure att shares are up 18 in thursday trading and on track to snap a sixsession losing streak they have lost 104 so far this year while the spdr communication services select sector exchangetraded fund xlc has advanced 193 and the sp 500 spx has added 178 att has made progress on refocusing its business in the past year selling its directv business and announcing plans to spin off warnermedia as it doubles down on wireless and fiber “these strategic changes are positive in our view and should result in a simplified structure and reduced leverage which was part of our concern” nispel wrote nispel still believes that att is no 3 in the us wireless landscape though he acknowledged that the company is seeing some improving metrics in addition he said that “att’s broadband business competitiveness is overstated currently” but that the company’s growing fiber investments could “help offset uversedsl losses” see also the 5g race heats up further with wireless auction that could draw more than 30 billion in spending despite the upgrade nispel still has a fairly muted view of att calling the stock a “value trap” and writing that he doesn’t recommend owning it he thinks att’s target for 20 billion in 2023 freecash flow is “unachievable” and argued that while att should be able to support a dividend payment of more than 8 billion “the company is likely to miss its payout ratio target of 4043 of freecash flow” nispel’s note follows another att upgrade to neutral from moffettnathanson analyst craig moffett who boosted his rating last week