Why is AT&T stock down 4% Today?
Shares of AT&T (T 2.93%) are down roughly 4% since the wireless leader said it plans to cut its cash payout to investors nearly in half.
Should you buy AT&T stock after it cut its dividend?
However, if AT&T can show a commitment to maximizing future cash flow by refocusing its business on its core wireless operations, the stock could become attractive, once again, to income-focused investors. Even after the dividend cut, AT&T's shares would yield more than 4.
Is AT&T the worst mistake investors can make right now?
But despite all those challenges, AT&T remains in my portfolio for one simple reason: its big and dependable dividend. The worst mistake AT&T investors can make right now is to ignore that dividend and solely judge the company by its stock price.
Will AT&T's spinoff boost its dividend yield?
Even after the dividend cut, AT&T's shares would yield more than 4.5% at current prices and more than 6% when adjusting for the stock shareholders would receive in the new media company created by the spinoff. That would still be one of the highest dividend yields in the S&P 500.
See more
Why is AT&T stock down so much?
Shares of AT&T (T 0.19%) plummeted this morning after Discovery Communications officially closed on the deal to acquire WarnerMedia from the telecom giant, creating a new company called Warner Bros. Discovery. AT&T's stock was down by 19.2% as of 11:08 a.m. ET.
What happens to my AT&T stock in a merger?
If you do nothing, you will retain your AT&T "T" common stock and own Warner Bros. Discovery common stock once the merger is complete. After the merger is complete, the temporary stocks "T WI" and "WBDWV" will cease to exist, and AT&T's "T" stock price will adjust lower to reflect the loss of WarnerMedia.
Is it good to buy AT&T stock?
AT&T stock was down over 16% in 2021. In 2022, shares were initially struggling after a negative earnings report but have since reclaimed support at key moving averages. On the positive side, the stock maintains a high 5.7% annualized dividend yield in a relatively low interest rate environment.
Why is AT&T cutting its dividend?
The company was booted from the Dividend Aristocrats index because it didn't increase its dividend last year. AT&T's first dividend at the reset rate will be paid on May 2, with a record date of April 14. The quarterly dividend amount will be 27.75 cents per share.
Is AT&T a buy sell or hold?
AT&T has received a consensus rating of Hold. The company's average rating score is 2.47, and is based on 9 buy ratings, 10 hold ratings, and no sell ratings.
How will AT&T spin-off affect shareholders?
AT&T shareholders do not need to take any action. Their WarnerMedia Spinco shares will automatically be exchanged for WBD common stock in the merger, which will occur on the closing date of the transaction.
Is AT&T a good stock for 2022?
For 2022, the company expects: Low single-digit total revenue growth, up from $118.2 billion on a pro forma basis in 2021, driven by 3% or better growth in wireless service revenues and 6% or better growth in broadband revenues.
Is AT&T stock undervalued?
AT&T is significantly undervalued, and even after an expected dividend cut, will offer an attractive yield. For most of the past five years, investors haven't been able to enjoy a good connection with AT&T's (T) stock.
Is AT&T a good long term investment?
The company's focus on continued growth of its telecom business, while improving its financial health, puts AT&T in a much better position to succeed after its Discovery deal, making AT&T a good long-term investment.
Is AT&T slashing its dividend?
AT&T on Tuesday cut its annual dividend nearly in half to $1.11 per share, as the company announced it will spin off WarnerMedia in a $43 billion deal that will merge its media properties with Discovery.
Is AT&T stock going to split?
AT&T Time Warner Split Off AT&T shareholders will control 71% of the combined company, with $10s of billions of freed debt from the parent company. This will result in roughly 0.24 shares per current AT&T shareholder.
Is AT&T still a dividend aristocrat?
AT&T (T) is being removed from the index because it paid out the same amount in dividends in 2021 that it did in 2020.
SoFi to buy Technisys, Volkswagen considering IPO for Porsche, AT&T shuts down 3G network
How do I know if I have a 3G phone? Check whether your phone will as AT&T shutdown arrives
What is 3G and why is it being shut down? An electrical engineer explains
Discovery (DISCA) to Report Q4 Earnings: What's in Store?
The 3G network is being shut off in the US – and your phone might be, too. AT&T is already beginning the process. Verizon will do so by the end of the year, and T-Mobile will be done by the summer; other networks run their service through those providers’ networks, meaning they will be affected too.
AT&T (T) Joins Ericsson's 5G Startup Program, Boosts 5G Focus
Discovery's (DISCA) Q4 performance is expected to reflect benefits from a solid content portfolio and improving advertising revenues.
3 Ultra-High-Yield Dividend Stocks Billionaires Can't Stop Buying
By joining this program, AT&T (T) will gain access to a curated list of firms that develop scalable services, devices and applications over 5G.
Is Verizon Stock A Buy? TracFone Integration, 5G Investments Impact 2022 Outlook
These income stocks, with yields ranging from 8.8% to 13.4%, were scooped up by some of the world's brightest fund managers in the fourth quarter.
Is T-Mobile Stock A Buy? 2022 Guidance Soothes Worries Amid Buyback Hopes
VZ stock provides a dividend but a buyback has been shelved amid 5G wireless investments. Will investors place a higher multiple on Verizon stock on expectations of revenue growth reaccelerating?
Investors are bailing on the telecom titan. But is that the best move now?
T-Mobile holds an edge in 5G wireless spectrum but will its market share gains vs. AT&T and Verizon continue? Here is what fundamental and technical analysis says about buying TMUS stock.
NYSE: T
Shares of AT&T ( T 2.93% ) are down roughly 4% since the wireless leader said it plans to cut its cash payout to investors nearly in half.
Premium Investing Services
AT&T went on to spin off its DirecTV and other video operations in 2021 in a deal valued at roughly $16 billion. And on Tuesday, AT&T announced its intentions to spin off its WarnerMedia assets in a transaction valued at $43 billion.
How many years has AT&T raised its dividend?
Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool's premium services.
How much did AT&T's FCF increase in 2019?
AT&T has raised its dividend annually for 36 consecutive years, making it a " Dividend Aristocrat " of the S&P 500 -- a company that has hiked its payout for at least 25 straight years. It spent just 55% of its free cash flow (FCF) on its dividend over the past 12 months, which leaves it plenty of room for future hikes.
Does AT&T have dividends?
AT&T remains committed to growing its FCF even as it expands its streaming ecosystem and extinguishes its debt. Its FCF rose 30% to a record high of $29 billion in 2019, exceeding its own target of about $26 billion.
