The earnings season kicked off in full swing this week, with several companies scheduled to release quarterly numbers. Communication industry giants AT&T Inc. (T) and T-Mobile US, Inc. (TMUS) are gearing up to unveil their latest quarterly results, sparking investors’ anticipation for insights into their performance and future outlook.Both companies topped earnings estimates in three of the last four quarters. Ahead of their upcoming reports, let's delve into the current standings of these major telecom riv ...

The telecommunications sector is vital for global connectivity. It comprises companies that enable data, voice, and video to be sent worldwide. These companies provide services like mobile network, broadband internet access, and satellite communications. Major players in this sector often benefit from having substantial, recurring customer bases and significant infrastructure investments, which can provide stable cash flows and dividends.However, investing in telecom stocks has its challenges. The sector re ...

 Analyst Estimates for Q1 2024Q4 2023Q1 2023Revenue$30.54 billion$32.02 billion$30.14 billionDiluted EPS$0.51$0.30$0.58Net Income$3.68 billion$2.14 billion$4.18 billion Key Metric: Subscriber Growth AT&T, like rivals such as Verizon (VZ) and T-Mobile (TMUS) which report earnings on Monday and Thursday respectively, is working to continue growing its subscriber numbers for wireless and internet services, as well to expand the availability of its 5G network. Wireless service is the biggest driver of revenu ...

AT&T Inc. (T) is scheduled to report first-quarter 2024 results on Apr 24, before the opening bell. In the last reported quarter, the adjusted earnings missed the Zacks Consensus Estimate by a penny.The company is expected to have witnessed a top-line improvement year over year on healthy wireless traction, driven by steady investments for 5G expansion and fiber broadband infrastructure development.Factors at PlayDuring the quarter, the company launched AT&T Dynamic Defense – the first-and-only network with ...

One stock stands out over the other on this important metric.More often than not, investors interested in Verizon Communications (VZ -0.89%) and AT&T (T -1.85%) are generally most interested in their dividends. Neither company is in strong growth mode, and both stocks carry relatively high yields.So, let's look at which stock might best be suited for income-oriented investors.Current dividendsBoth Verizon and AT&T have similar dividend yields. Verizon currently pays out a quarterly per-share dividend of $0. ...

Core Viewpoint - AT&T has faced significant challenges over the past decade due to shifts in technology usage, leading to substantial investments that did not yield expected returns, resulting in shareholder dissatisfaction and concerns over debt management [1][2]. Group 1: Company Challenges and Market Position - AT&T's stock has dropped approximately 8% in the past year, significantly underperforming compared to the S&P 500's 33% increase, yet it still holds potential for long-term investors [2]. - The company is focusing on enhancing its network quality, leveraging its extensive wireless network and fiber infrastructure to meet increasing demand for connectivity [2]. - AT&T's commitment to adopting new technologies such as 5G and Open Radio Access Networks indicates its readiness to adapt to market changes [2]. Group 2: Debt Assessment and Management - As of Q4 2023, AT&T's total debt stands at $143.3 billion, with a focus on understanding its debt management in the context of rising interest rates and inflation [4][3]. - The company has successfully reduced its total debt from $171 billion in Q3 2021 to $143.3 billion, providing more breathing room in the near term [9]. - Approximately 23% of AT&T's fixed long-term debt is set to mature within the next five years, with a total of 61% maturing within the next 20 years [5]. Group 3: Financial Projections and Scenarios - In the BASE scenario, AT&T is projected to generate around $16.8 billion in free cash flow (FCF) in 2024, which would cover its debt obligations comfortably [10]. - The net debt to EBITDA multiple is expected to decrease from 3.3 in 2023 to as low as 2.3 by the end of 2028, indicating improved debt management [11][12]. - Under the OPTIMISTIC scenario, AT&T could achieve a net debt to EBITDA multiple as low as 1.9, significantly alleviating market concerns regarding its debt servicing capabilities [16][18]. Group 4: Investor Sentiment and Future Outlook - The current market pessimism towards AT&T is viewed as misplaced, as the company is expected to maintain its dividend while gradually reducing leverage [18]. - AT&T's stock offers an attractive valuation proposition with a dividend yield of 6.6%, and its fiscal year-end 2023 FCF dividend payout ratio was below 50% [18]. - Long-term investors are likely to benefit from AT&T's prudent financial management and strategic initiatives, despite ongoing uncertainties [18].

AT&T has begun notifying U.S. state authorities and regulators of a security incident after confirming that millions of customer records posted online last month were authentic.In a legally required filing with Maine’s attorney general’s office, the U.S. telco giant said it sent out letters notifying more than 51 million people that their personal information was compromised in the data breach, including around 90,000 individuals in Maine.AT&T — the largest telco in the United States — said that the breache ...

Should AT&T investors brace for a dividend cut?If you come across a dividend stock with a yield exceeding 5%, it wouldn't be out of line to question whether its dividend is sustainable. And the higher that yield is, the greater the doubts that you have come across a safe income stock. It's this truism that likely goes some way toward explaining why investors remain hesitant about AT&T (T -0.43%) stock. The stock itself trades down about 14% over the past 12 months. That drop in price has helped push its div ...

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Joe Hendrickson I last wrote about AT&T (NYSE:T) back in 2014, and I suggested buying a pullback in the stock when it was trading for about $24. The stock ended up going to around $33 in 2016, and I sold my shares. Now I see another opportunity to buy this stock. This company has been dealing with many challenges over the past few years and until fairly recently, the stock has been in a major downtrend. However, I now believe it is once again an ideal time to be accumulating this stock on pullbacks. One maj ...