Author Topic: AT&T (T) STOCK  (Read 1951 times)


  • 5 O'Clock Shadow
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  • Posts: 28
« on: October 12, 2017, 03:30:27 PM »
AT&T today closed -6%... it is a DIVIDEND ARISTOCRAT, meaning that it has years and years without a dividend cut and year after year with dividend payout increases...

today´s significant plunge, ,means that its dividend % stands at 5.5% ... pretty good for a solid blue chip company...

I know most of the members here are Index Investors, but, would you consider investing some % here ?? given the awesome dividend and the solid history it holds...


  • Bristles
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  • Posts: 409
« Reply #1 on: October 12, 2017, 05:16:24 PM »
Dividend aristoctrats only remain in that group until they lower their dividends. AT&T having fewer subscribers could cause them difficulties keeping up the current dividends, so the market prices in that increasing likelyhood.

Lots of declining companies appear to have great dividends, sometimes they recover and other times they dont. This is no different than stock picking any other company.


  • Walrus Stache
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« Reply #2 on: October 13, 2017, 07:01:54 AM »
T maintained its status as "dividend aristocrat" by having piddly $0.01 dividend increases for several years. If you want something around a 5% yield, I'd recommend Ford (F), which has much higher earnings to support that dividend (which, yes, it did suspend for a period about a decade ago).

**Disclosure: I have a stake in Ford


  • Stubble
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  • Age: 39
  • Location: Middle of Nowhere
« Reply #3 on: October 13, 2017, 08:01:49 AM »
Looked on and off at T for a while now.   It currently doesn't meet my criteria to invest in, but based on various reads it's not a bad investment.   

If you can stomach the debt load they have, and a few other downsides (the for-mentioned 1 cent raises for one) then it's probably worth it in the long term (Thinking 5 years or more).

Look at their financials, and future plans.  If you understand them, and agree then invest.  If not, put you money elsewhere.

Proud Foot

  • Handlebar Stache
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« Reply #4 on: October 13, 2017, 09:57:55 AM »
It is not a bad investment but you can find other opportunities for better returns. Yes it has a nice dividend but there has not been much growth in price.  For one share purchased 10 years ago (10/15/07 close $42.19) you would have received 17.80 in dividends and have a share at a current price of $35.86 (yesterdays close) for a CAGR of 2.93%. Even with a high dividend yield that is not a good return (Div Yield on 10/15/07 was 3.79%). The biggest thing comes down to whether you believe he future plans will help drive growth or if it will stay flat while still pushing out the dividends. Obviously the objectives of your portfolio matter as well. If you are looking for dividend growth or steady income, yes there is growth but the growth is decreasing as long as the dividend increase is only $0.04 annually.

* I am long T.


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