Dividends4Life: Is It Safe to Buy AT&T Inc. for Its 6% Dividend Yield?

Shares of AT&T (NYSE:T) plunged 8% to a new 52-week low on Oct. 24 after the telco posted a mixed third quarter earnings report. The company's revenue, boosted by its acquisition of Time Warner (now known as WarnerMedia), rose 15% annually to $45.7 billion and beat estimates by $320 million.

Its adjusted earnings rose 22% to $0.90 per share, but missed expectations by four cents. The bottom line miss was disappointing, especially since WarnerMedia added $0.05 to AT&T's earnings during the quarter. But after that big drop, many investors are probably wondering if it's safe to buy AT&T for its forward yield of 6.6%. Let's take a closer look at AT&T's dividend and the telco's biggest headwinds to find out. Simply put, investors should still consider AT&T a stable income investment. The stock probably won't rebound significantly over the next few months, but it should continue to pay out reliable dividends for the foreseeable future.

Source: Motley Fool

Related Articles:
- 4 Higher-Yielding Stocks With A Low Price To Book
- Buy And Hold Is Not Buy And Forget
- 7 Stocks With A Vision Of Higher Dividends
- 6 Higher-Yielding Consumer Stocks With A History of Rising Dividends
- Are Defense Stocks Good Defensive Stocks?

Click here to have future posts delivered to you for free!

________________________________________________________________

0 comments

Post a Comment

~

Popular Posts Last 30 Days