Shares of AT&T Inc. are down 0.6% in premarket trading Tuesday after J.P. Morgan's Philip Cusick slapped a neutral rating on the stock and said he preferred shares of Verizon Inc. J.P. Morgan didn't have a prior rating on AT&T due to "a period of restriction." Cusick said that while it's still possible that the Department of Justice will appeal the Time Warner deal, "we believe that Judge Leon's ruling was very clear that the DoJ did not prove its case to block the deal, and left reversal very unlikely." He said that it's possible that AT&T's stock will rebound relatively quickly once the deal drama dies down, but he still prefers Verizon, which has "a slightly higher multiple but less video-related margin pressure." AT&T shares are down 17% over the past 12 months, while Verizon's stock is up 1.9% and the S&P 500 has gained 13%.