AT&T: Attractive dividend yield and growth strategy
- Dividend Yield:$T-1.7% stock offers an attractive dividend yield of 5.4%, more than four times the average dividend in the S&P 500.
- Broadband Growth: $T-1.7%added 378,000 new broadband subscribersin the second quarter , supporting the company's growth.
- Debt Reduction: The company plans to reduce debt and increase dividends once it reaches its goal of reducing its net debt to EBITDA ratio to 2.5.
- Buying Opportunity: September could present an opportunity to buy $T-1.7%stock with an increased dividend yield if there is a downturn in the market.
I know about this company, but I can't seem to find any reason to include this stock in my portfolio.
I wasn't very interested in $T-1.7% stock, but I was much more interested in $VZ+0.1% stock.
I think it's pointless to invest in that sector. The main growth is behind them and the stock is going more sideways.
These stocks in this sector were doing well before thanks to the boom, but now they are not so great. I don't own their stock and won't want to.
I see the stock has caught its second wind this year. Management has started to reduce debt and shareholders are reacting accordingly. Great!