Why Is Amer Movil (AMX) Down 9.8% Since Last Earnings Report?

A month has gone by since the last earnings report for Amer Movil (AMX). Shares have lost about 9.8% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Amer Movil due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important catalysts.

America Movil's Q2 Earnings Increase Y/Y

America Movil reported net income per ADR of 47 cents for the second quarter of 2026, up from 38 cents in the prior-year quarter. The earnings figure missed the Zacks Consensus Estimate of 52 cents.

Net income in the quarter was Mex$24,332 million, or Mex$ 0.40 per share, compared with Mex$22,282 million, or Mex$0.37 per share, in the year-ago quarter. The company's comprehensive financing cost was Mex$10,423 million, up 34.8% from the year-ago quarter’s Mex$7,729 million.

Top-Line Details

Total quarterly revenues rose 3.1% to Mex$241,071 million, driven by rapid momentum across the Service and Equipment segments. Service revenues were Mex$205,919 million, up 3.4% year over year. Equipment revenues totaled Mex$33,433 million, rising 1.6%.

America Movil gained 3.5 million postpaid subscribers in the second quarter. Brazil drove most of the postpaid growth with 1.5 million additions, followed by Colombia with 250 thousand, Peru with 191 thousand, Argentina with 154 thousand and Mexico with 101 thousand. However, the prepaid business saw 3.7 million net subscriber losses as it streamlined its customer base in Colombia and Argentina.

On the fixed-line, Broadband and Television platforms, the company ended the quarter with 80.2 million revenue-generating units.

The telco operates in multiple regions, namely Mexico, Brazil, Colombia, Peru, Ecuador, Argentina, Central America & the Caribbean, Austria & Eastern Europe and the Southern Cone.

Argentina’s revenue increased 8.6% year over year to ARS 999,073 million, backed by a 9.3% rise in service revenue. Wireless service revenue growth accelerated to 12% on stronger postpaid and prepaid trends, while fixed-line service revenue slipped 1.5% amid competitive pressures and promotional campaigns. The data for Argentina are reported under IAS29, reflecting the effects of inflationary accounting, as the Argentine economy is "deemed” to be hyperinflationary for the second quarter of 2026. Management also stated that Argentina would be excluded from all comparisons of consolidated data at constant exchange rates to ensure consistency.

Brazil’s revenue increased 5.4% year over year to BRL 13.5 billion, driven by a 5.3% rise in service revenue. Mobile service revenue grew 6.1%, led by 7.1% postpaid growth, while fixed-line service revenue rose to 4.1%, supported by strong Pay TV, corporate networks and broadband performance despite a highly competitive environment.

Revenues from Austria, Peru, Mexico, the Southern Cone and Central America and the Caribbean witnessed year-over-year growth of 4.2%, 8.1%, 3.2%, 9.6% and 7.6%, respectively. Revenues from Colombia and Ecuador gained 5.8% and 9%, respectively.

Other Quarterly Details

Total costs and expenses were Mex$145,164 million, up 2.7% from the year-ago quarter. 

Overall, earnings before interest, taxes, depreciation and amortization (EBITDA) increased 3.8% to Mex$95,908 million. The EBITDA margin came in at 39.8% compared with 39.5% in the year-ago quarter.

The company’s operating profit rose 9.5% to Mex$51,814 million.

Liquidity

As of June 30, 2026, America Movil had Mex$74,732 million in cash, marketable securities and other short-term investments with Mex$393,519 million of long-term debt.

How Have Estimates Been Moving Since Then?

It turns out, estimates revision have trended upward during the past month.

The consensus estimate has shifted 7.14% due to these changes.

VGM Scores

Currently, Amer Movil has a poor Growth Score of F, however its Momentum Score is doing a lot better with a C. However, the stock was allocated a score of A on the value side, putting it in the top 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been trending upward for the stock, and the magnitude of this revision looks promising. Interestingly, Amer Movil has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

7 Best Stocks for the Next 30 Days

Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."

Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention. 

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research