Communications names punished another week; AT&T basks in new-company light (NASDAQ:DISH)

With equity markets closed for Good Friday, a look back shows Communications stocks spent another week in the doldrums during the shortened trading period, adding to the sector’s double-digit decline for 2022 so far.

The Communication Services Select Sector SPDR Fund (XLC) fell 1.7% Thursday – capping off a 2.4% decline for the short week. That index has fallen for seven of the past eight sessions.

As is often the case when the sector is down, defensive stocks like telecoms tend to perform well – and that group more or less made up all of the top large-cap gainers for the past five trading sessions.

Dish Network (NASDAQ:DISH) – rushing to build a network to become America’s fourth major wireless carrier – was the top mover on that measure, rising 9.2% over that period.

That just barely cleared AT&T (NYSE:T), though, which – on an ex-dividend week no less – rose 8.8% on a pro forma basis as it spent first days having split off WarnerMedia for a merger with Discovery. The leaner and meaner communications company may have more boring days to come in price movement – but it’s pleased some long-suffering stockholders this week.

Rounding out the top five were more telecoms: Telefónica (TEF), +8.3%; PT Telekomunikasi Indonesia (TLK), +4.8%; and SK Telecom (SKM), +3.9%.

On the downside, Twilio (NYSE:TWLO) earned a dubious distinction of topping large-cap Communications losers again. Shares fell 10.2% over the past five sessions; it’s the fourth time in six weeks that Twilio has joined the top losers list, and the stock is down 47.7% year-to-date in 2022.

The decliners list featured other examples of the poor getting poorer in 2022, with Match Group (NASDAQ:MTCH) down 10.1% over five sessions, and Bilibili (BILI) down 9.7%; both have made some recent appearances among top decliners.

On the other hand, AMC Entertainment (AMC) – which for now has slipped 8.7% over five sessions – moves back and forth from the sector’s top gainers and top losers list as the meme stock winds blow.

The top five gainers over the past five sessions among large-cap Communications Services stocks and larger ($10B market cap or more):

• Dish Network (DISH), +9.2%;
• AT&T (T), +8.8%;
• Telefónica (TEF), +8.3%;
• PT Telekomunikasi Indonesia (TLK), +4.8%;
• SK Telecom (SKM), +3.9%.

The top five decliners over the past five sessions among large-cap Communications Services stocks and larger ($10B market cap or more):

• Twilio (TWLO), -10.2%;
• Match Group (MTCH), -10.1%;
• Bilibili (BILI), -9.7%;
• AMC Entertainment (AMC), -8.7%;
• Snap (SNAP), -8.4%;

Check out more Seeking Alpha coverage of the AT&T/Discovery WarnerMedia spin-off/merger transaction.