AT&T's failed media ambitions set the company back. Its financials have dramatically improved in recent years.
Goldman Sachs analyst James Schneider, Ph. D., initiated coverage on the U.S. Telecom Services and infrastructure sector (14 companies) and is most constructive on wireless carriers and data centers.
While the term edge computing is still relatively unpopular, it's potential as an emerging technology in an ever-interconnected world should not be ignored. Specifically, edge computing refers to the process of exporting data through a dedicated signal provider to a secure server for computational purposes.
The disruption affected mostly visitors with AT&T, T-Mobile and Verizon service, cutting them off data networks across the continent for 24 hours or more.
AT&T is benefiting from steady price momentum and an improved free cash flow outlook, leading to less concern about the dividend. The company is seeing growth in its Fiber Broadband segment and higher free cash flow compared to the previous year. AT&T is on track to reduce its net debt significantly by 2025, with a focus on capital investments and debt repayments.
AT&T Inc.'s dividend yield of ~6% is appealing for income-focused investors. The company's free cash flow has stabilized and resumed growth while earnings are looking set to bottom, making the dividend more secure. AT&T's future prospects look much brighter than its rather rocky past; if they can continue to focus on paying down debt, it can put them in an even better position.
AT&T CEO John Stankey said on Monday that Congress should give the Federal Communications Commission the power to require Big Tech firms to contribute to a government fund that subsidizes access to telecom and broadband services.
A California state agency said on Thursday it had rejected AT&T's bid to be able to stop offering landline telephone service and other services as the "carrier of last resort."
AT&T pays a fairly high annual dividend of $1.11 per share. The company reduced its payout after spinning off WarnerMedia in 2022.
A $10,000 investment in AT&T stock 20 years ago is worth $9,752 today based on price alone. Reinvesting AT&T's dividends significantly improved its total return, but the telecom stock still lagged behind the broader market.
If you have an older unlimited plan, prepare to pay at least $10 more per month if you have a single line or $20 per month if you have multiple lines.
AT&T is regarded as a reliable dividend stock. It currently offers a dividend yield of 6.2%.