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Date stringdate 2022-01-02 00:00:00 2023-12-16 00:00:00	Symbol stringclasses 64 values	Article stringlengths 332 90.3k
2023-12-16	T	The stock of Rivian Automotive (NASDAQ: RIVN) has soared 30% in the past month, but shares are still off 87% from all-time highs. The fast-growing electric vehicle (EV) start-up has gone through a brutal drawdown since its initial public offering in late 2021, with investors concerned about a lack of profitability and a crowded EV sector. A look under the hood (financially speaking) shows that Rivian continues to scale its operations and is getting closer to breakeven. With shares down in the dumps, does that mean Rivian stock is set to make a comeback in 2024? Let's investigate. Scaling-up production, winning large commercial customers Rivian has attacked the EV sector from a different angle than leader Tesla. It is starting out by producing larger vehicles such as pick-up trucks, SUVs, and commercial vans. Its R1T premium pick-up has been a hit with wealthier customers across the United States, with the SUV called the R1S set to begin deliveries to customers sometime within the next few quarters. From the fourth quarter of 2021 to the third quarter of 2023 -- less than two years -- Rivian has grown its quarterly vehicle production from 1,000 to 16,300. In 2023, it expects to produce 54,000 EVs, which would already make it one of the largest EV makers in the United States. It still has a long way to go to catch Tesla, which is producing over 1 million EVs every year. One benefit for Rivian compared to other EV start-ups is its commercial business. It has a huge contract with Amazon for 100,000 delivery vans. Other companies want to get in on the action, with AT&T recently announcing a deal with Rivian. All together, it looks like Rivian has multiple years of runway ahead to grow its EV operations. Does it have enough cash to survive? The looming problem with Rivian is that it is still too sub-scale to generate positive cash flow. Building out an automotive manufacturing business is extremely capital intensive and requires massive scale in order to make the unit economics work. For reference, Rivian is still generating negative gross margins, although they have been moving rapidly in the right direction for the last few quarters. Over the last 12 months, Rivian has burned $6.2 billion in free cash flow. The company ended the third quarter with just over $9 billion in cash and equivalents on its balance sheet. It's not hard to run the math on this one: The company has about a year and a half at its current burn rate before its coffers are empty. This paints a bleak picture for the business. However, when scaling up car manufacturing, it always looks dark before the operating leverage starts to kick in. Once Tesla scaled its business to much greater heights in the 2018-2020 period, it went from burning close to $5 billion in free cash flow to positive cash generation in one to two years. If Rivian can keep scaling its operations and start delivering hundreds of thousands of vehicles to its individual and commercial customers, the company will likely survive through this dark period. RIVN free cash flow data by YCharts. Avoid all EV stocks, not just Rivian Even if Rivian has some light at the end of the tunnel, the EV sector looks like a poor place for investors to put their money. It is capital-intensive, has a ton of competitors, and is a classic candidate for following capital cycle theory, which has a whole book dedicated to it. The idea can be summed up as profits (and therefore investor returns) getting depressed when a flood of competition and dollars flow into a sector ahead of customer demand. This sounds like the EV sector in 2023. Despite the hype around the electrification of the automotive sector, the industry has put up poor investing performance for decades. Finding the right sectors to invest in might be more important than finding individual companies to put your money toward. Investors would be wise to avoid the EV sector and buy some blue chip stocks with high returns on invested capital instead. Should you invest $1,000 in Rivian Automotive right now? Before you buy stock in Rivian Automotive, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Rivian Automotive wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 11, 2023 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Brett Schafer has positions in Amazon. The Motley Fool has positions in and recommends Amazon and Tesla. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Dividend stocks can offer a valuable source of income for investors who want to diversify their portfolios. However, investors should also be aware that most of these stocks will gradually decline in value over time unless the dividend is reinvested. This may seem surprising, but ample evidence supports this claim. Only a few dividend stocks have been able to provide cash payments to shareholders consistently while also increasing their share prices over time. Two of the most popular dividend stocks in the market today are AT&T (NYSE: T) and AbbVie (NYSE: ABBV), but they have different appeals. AT&T is attractive for its high yield, currently 6.72%. AbbVie also has a decent yield of 4.02% and has established itself as a leading dividend growth stock and reliable passive income source for shareholders. To illustrate these points, the company has increased its dividend by 287.5% since it spun off from Abbott Laboratories in 2013, and it is a Dividend King due to its heritage. Image source: Getty Images. Which of these top dividend stocks is the better income play? Let's dig deeper to find out. The case for AT&T Over the next few years, AT&T is expected to steadily reduce its debt thanks to its improved free cash flows and lower costs. The company should also face less competitive pressure from its rivals because the U.S. wireless market has become more stable after T-Mobile's merger with Sprint and the completion of the 5G network rollout. Lastly, AT&T's stock screens as markedly undervalued, with its shares trading at less than 7 times expected earnings. In fact, the telecom giant's stock is currently trading near a historical low on this classic valuation metric. The case for AbbVie AbbVie is a biopharmaceutical company that rewards its shareholders with a generous and growing dividend. The company has a proven track record of delivering strong revenue growth and expanding its market share in autoimmune diseases, where its best-selling drug, Humira, is a market share leader in multiple indications. AbbVie has also diversified its portfolio into other lucrative areas, such as oncology, with breakthrough drugs like Imbruvica for various blood cancers. The company has a solid pipeline of innovative drugs, and its recent acquisitions could add more value to its business. AbbVie's dividend yield is slightly higher than the average for its industry, and its stock is trading at a low valuation compared to its peers at less than 14 times forward earnings. However, Humira's sales are declining due to biosimilar competition, and novel branded competitors could further challenge its dominance in immunology over the next five to 10 years. Verdict AbbVie scans as the better buy in this comparison. The drugmaker is facing some important challenges, but it also operates in a fast-growing and dynamic healthcare sector that benefits from favorable demographic trends, scientific breakthroughs, and robust global demand. AT&T, on the other hand, is struggling to grow its sales in a mature and highly competitive U.S. telecom market. So, even though it offers a higher dividend yield, AT&T stock may not be as appealing as AbbVie's at the moment. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 11, 2023 George Budwell has positions in AT&T. The Motley Fool has positions in and recommends Abbott Laboratories. The Motley Fool recommends T-Mobile US. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Telecom veteran AT&T (NYSE: T) has delivered dividends to investors for decades. Rival T-Mobile (NASDAQ: TMUS) followed suit in 2023, offering a dividend for the first time in company history with an inaugural payment on Dec. 15. AT&T boasts the greater dividend yield, currently at 6.8%, compared to T-Mobile's 1.6%. From that perspective, AT&T looks like the better choice. If only it were that easy. Other factors beyond a high yield should be considered before deciding to buy a dividend stock, such as whether the company can afford its dividend. But what are these factors to sway your decision when choosing between AT&T and T-Mobile? To answer that question, let's examine each company in more detail to determine which is the better dividend stock. AT&T: Dealing with debt Before choosing AT&T for its dividend, a key consideration is its massive debt burden. The company exited the third quarter with a whopping $126.7 billion in long-term debt. Contrast this with T-Mobile's Q3 long-term debt of $70.4 billion. AT&T's debt may preclude it from raising its dividend as the company works to get its debt load down to a manageable level. In fact, AT&T cut its dividend nearly in half in 2022 as part of its divestiture of entertainment-related assets, and hasn't increased it since. The company's goal is to achieve a net debt-to-adjusted EBITDA ratio in the 2.5x range, and it may not raise its dividend until after this goal is met. AT&T estimates it can reach this target in the first half of 2025. Despite the substantial debt, AT&T's dividend looks secure. The company generated $5.2 billion in Q3 free cash flow (FCF), an impressive year-over-year increase of $1.3 billion. FCF provides insight into the cash a company has available to invest in its business, pay debt, and repurchase shares or fund dividends. AT&T's FCF is excellent thanks to strong customer growth. Q3 represented the company's 13th consecutive quarter of net growth in its postpaid phone subscriptions, the telecom industry's key revenue-generating customer segment. AT&T's impressive streak of customer growth led to $15.9 billion in Q3 wireless service sales, a 3.7% year-over-year increase. This represents over half of AT&T's Q3 total revenue of $30.4 billion. T-Mobile: New to dividends Since T-Mobile just started dividend payments, no history exists to gauge how dependable this passive income source will be over time. For now, the company plans to increase its dividend annually by about 10%. And while T-Mobile's dividend yield isn't as high as AT&T's, it does offer a higher payout. T-Mobile pays $0.65 per share owned. AT&T pays $0.28 per share. T-Mobile can afford to fund its dividend thanks to strong customer growth. In Q3, T-Mobile captured a net addition of 850,000 postpaid phone subscribers, substantially higher than the 468,000 delivered by AT&T for the quarter. It's one of the reasons why T-Mobile shares hover around a 52-week high at the time of this writing. Thanks to its ability to acquire customers, T-Mobile achieved a 3.6% year-over-year increase in Q3 wireless service sales, accounting for $15.9 billion of the company's $19.3 billion in Q3 revenue. This revenue growth contributed to T-Mobile's excellent FCF generation. The company's Q3 adjusted free cash flow was $4 billion, a jaw-dropping 94% increase over the $2.1 billion in 2022. The company expects full-year FCF to hit at least $13.4 billion. The better choice for income investors Making a choice between AT&T and T-Mobile is a difficult decision. Each offers reasons to buy. But in choosing between the two, another factor to consider is the valuation of T-Mobile stock compared to AT&T, especially since the former is around its 52-week high. T-Mobile's forward price-to-earnings ratio (forward P/E) is about 20, whereas AT&T's forward P/E is around 7. So T-Mobile shares are pretty expensive compared to its telecom competitor. Moreover, AT&T forecasted full-year FCF of at least $16.5 billion. That's more than $3 billion more than T-Mobile's projected 2023 FCF of $13.4 billion. AT&T's strong FCF generation indicates it's in a position to pay down its debt while continuing to fund the dividend. When considering valuation on top of AT&T's superior dividend yield and FCF generation, at this time, the company possesses enough of an edge against T-Mobile to be the better choice as a dividend stock. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of the S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 11, 2023 Robert Izquierdo has positions in AT&T and T-Mobile US. The Motley Fool recommends T-Mobile US. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Comcast’s CMCSA Xfinity 10G Network offers an unparalleled gaming experience. The company recently partnered with the Esports Awards to set a Guinness World Record for the Largest Digital Video Game Display. Speed is crucial in the realm of gaming. Comcast, the largest gigabit+ Internet provider in the country, pioneered multi-gig symmetrical speeds via a DOCSIS 4.0 connection. This ensures Xfinity customers can swiftly download large game files and enjoy faster gameplay with minimal interruptions. Reliability is paramount in co-op gaming. Comcast addresses this with the Comcast Octave platform, which optimizes Internet delivery using AI and machine learning. The platform monitors telemetry data on more than 50 million modems every 20 minutes, thus ensuring a more reliable and faster network down to the household level. Xfinity's latest gateways support WiFi 6E technology, allowing gamers to maintain peak performance even when other household members engage in activities like streaming in 4K or video chatting. With three times the bandwidth, WiFi 6E powers the entire household, eliminating the need for prioritizing online connections. This is expected to aid Comcast’s total domestic broadband customers in the upcoming quarters. The Zacks Consensus Estimate for the company’s 2023 total domestic broadband customers is pegged at 32.25 million, indicating year-over-year growth of 0.29%. The consensus mark for earnings is pegged at $3.94 per share, indicating year-over-year growth of 8.24%. Comcast Corporation Price and Consensus Comcast Corporation price-consensus-chart \| Comcast Corporation Quote Xfinity Excels as Esports and Gaming Leader When it comes to gaming, a reliable Internet service that delivers speed while minimizing lag is crucial. This is precisely why serious gamers are turning to the Xfinity 10G Network as their preferred Internet provider. The network has experienced remarkable growth, with gaming consoles connected to it surpassing 37 million in 2022. The prestigious Tempest Awards, recognizing excellence in the esports and gaming business, crowned Xfinity as the 2023 Brand of the Year. Additionally, Xfinity earned a nomination for Best Endemic Brand, particularly for the launch of the new Xfinity 10G Network during the Super Bowl. Shares of CMCSA, which currently carries a Zacks Rank #2 (Buy), have returned 27.2% year to date compared with the Zacks Consumer Discretionary sector’s 16.6% rise because it has notable partnerships in the gaming industry. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Xfinity has consistently emphasized its commitment to gaming by partnering with industry leaders such as Twitch, FaZe Clan, IGN and Microsoft’s MSFT Call of Duty to showcase the gaming prowess of the Xfinity 10G Internet. The partnership with FaZe Clan extends to hosting events like "The Gig," a gaming and music experience in Boston and Atlanta, featuring a top-tier gaming lounge, musical performances and community support through donations to local foundations. Xfinity's collaboration with Microsoft extends to providing Xfinity Rewards Members with free early access to the Call of Duty Beta, a highly popular reward among members for three consecutive years. This demonstrates Xfinity's dedication to enhancing the gaming experience for its users. It faces tough competition from players like AT&T T and Verizon Communications VZ in the telecommunications market. AT&T, a major wireless service provider in North America and a global communications service provider, offers a diverse range of communication and business solutions through its subsidiary and affiliate network. These include wireless services, phone services, data and broadband, Internet access, video streaming, managed networking, wholesale offerings and cloud-based services. Operating as a telecommunication, media and technology company, AT&T provides telephone and Internet services, telecom equipment, wireless communications and managed networking. Verizon, an American multinational telecommunications conglomerate, is a major player in the digital media sector through its subsidiaries Verizon Media and Oath Inc. While competing with Comcast in telecommunications and media, it's noteworthy that Comcast operates its cell phone service using Verizon's network. In 2021, Verizon set a goal to bring Ultra Wideband 5G to 175 million people between 2022 and 2023. Verizon aims to cover at least 250 million people by the end of 2024, establishing itself as a strong competitor to Comcast in the industry. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AT&T Inc. (T) : Free Stock Analysis Report Microsoft Corporation (MSFT) : Free Stock Analysis Report Verizon Communications Inc. (VZ) : Free Stock Analysis Report Comcast Corporation (CMCSA) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Altria (NYSE: MO) and AT&T (NYSE: T) are two big names for many dividend investors, and it's no mystery why. While both stocks are trailing the S&P 500 over the past five years, they offer two of the highest dividend yields in the index. While Altria sports a 9.3% yield at recent prices and AT&T is a few steps behind at 6.7%, I think there are three reasons it takes a back seat to AT&T. 1. AT&T has big trends on its side Smoking in the U.S. has been declining for a while now. In 2005, around 21% of U.S. adults smoked tobacco; in 2021, that had dropped to 11.5%. For Altria, the largest tobacco company in the country, volume growth has felt the effect. In the third quarter, it reported its U.S. shipment volume declined by 11.6%. Luckily for Altria, its pricing power has offset the volume drop over the years. The addictive nature of nicotine means people don't generally stop buying tobacco just because it went up in price. But at some point, the company will need a solution that isn't just raising prices. I think it's hard to know when that will be with Altria consumers, but at some point, the company will need a viable income stream aside from its tobacco products. It's made attempts to adjust to the market by selling its own e-cigarettes, but most of those products have been discontinued with little to no success to show for it. While Altria is experiencing volume issues, AT&T's customer growth is headed in the right direction. With the expansion of 5G coverage in the U.S. and the growth of fiber internet, AT&T has two core business segments that should experience good growth in the coming years. According to Ericsson -- which just struck a five-year, $14 billion deal with AT&T -- 5G will account for around 71.5% of the U.S. mobile market by 2029. Fiber is also only available to around 40% of Americans, so there's plenty of room to go. 2. AT&T has made debt reduction a priority When AT&T decided to pursue its media and entertainment (M&E) ambitions, it took on a lot of debt to make it happen. In retrospect, I think AT&T and its investors would agree that its M&E moves turned out to be some of the worst in its history -- probably topped by its $85 billion acquisition of Time Warner, which closed in 2018. Things have improved since it spun off WarnerMedia in early 2022 for $43 billion. In the first quarter of 2022, AT&T reported $180 billion in long-term debt. It has since knocked that total down to $138 billion (as of Sept. 30). That's still a lot of debt, but the company's free cash flow has given it enough room to be aggressive with its debt repayments over the coming years. T Total Long Term Debt (Quarterly) data by YCharts In the third quarter, AT&T reported $5.2 billion in free cash flow, up $1.4 billion year over year, and raised its full-year free-cash-flow guidance to $16.5 billion. This should help it achieve its goal of a net debt-to-adjusted EBITDA in the 2.5 range by 2025, down from 3.22 in the third quarter of 2022. Altria's was 2.1 at the end of the 2023 third quarter. Altria has much less long-term debt than AT&T (just under $24 billion), but its operations rely heavily on it, as you can see in this comparison of the two companies' debt-to-assets ratios. T Debt to Assets (Quarterly) data by YCharts 3. AT&T's valuation gives it a little more upside AT&T seems to have turned the corner from its recent woes -- maybe not completely, but investors can see brighter days ahead with its recent performance. Altria still seems to have many questions regarding how effective it can be in diversifying away from cigarettes and competing in segments like vaping. It also doesn't help that its failed Juul experiment, which cost it over $12 billion, brought on more skepticism. At recent prices, AT&T is valued around 6 times trailing free cash flow, while Altria is just under 9, making the former more of a value, in my opinion. Add the fact that AT&T seems to have a clear plan, and I believe it has more long-term upside than Altria. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2023 Stefon Walters has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Fool.com contributor Parkev Tatevosian reviews AT&T (NYSE: T) from the viewpoint of a passive income investor to determine whether it's an excellent dividend stock to buy. Stock prices used were the afternoon prices of Dec. 14, 2023. The video was published on Dec. 16, 2023. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	If you're worried about having enough passive income after you retire, there are plenty of options. Purchasing real estate to rent out is a popular option, but those rental properties will generate losses if you can't maintain them and find tenants who can pay their bills. If you're interested in truly passive income, consider these dividend-paying stocks. They offer such high yields that just $11,930 spread among them is all it takes to set yourself up with $1,000 of annual dividend income in 2024. Image source: Getty Images. Buying these stocks looks like a great deal that could keep getting better. These businesses have a history of increasing their payouts, so you're likely to receive significantly more than $1,000 annually once you're ready to retire. AT&T Shares of AT&T (NYSE: T) offer investors a big 6.7% dividend yield at recent prices. At this level, $5,004 is enough to secure a little over $333 in annual dividend payments from the telecom giant. Landline subscriptions are in steep decline, but America's need for telecommunications services has risen steadily. Data-hungry artificial intelligence (AI) applications and 5G-enabled mobile devices are driving growth for AT&T at a steady pace. In the third quarter, mobility-service revenue rose 3.7% year over year, and operating income from the segment was better than it's ever been. The real growth driver for AT&T these days is consumer broadband. Revenue from this segment rose 9.8% year over year in Q3 driven by 296,000 new AT&T Fiber subscriptions. Q3 2023 was the 15th in a row with more than 200,000 new AT&T Fiber subscribers, and its consumer-broadband sales will likely rise even further in 2024. AT&T Fiber is currently able to serve around 24 million consumer and business locations, and it's on pace to reach more than 30 million by the end of 2025. The company also launched a fixed wireless residential service that's already available in about 30 locations. AT&T generated a whopping $19.8 billion in free cash flow over the past year and needed just 41% of this sum to meet its dividend commitment. That leaves plenty of room to raise the payout in line with earnings growth in the years ahead. PennantPark Floating Rate Capital Ever since the Great Recession, large American banks subject to stricter regulations have been hesitant to lend to middle-market businesses. As a result, companies that record between $10 million and $1 billion in annual revenue are generally starved for capital and willing to pay business development companies (BDC) like PennantPark Floating Rate Capital (NYSE: PFLT) above-average interest rates. As its name implies, PennantPark Floating Rate Capital is a lender that almost always lends at variable interest rates. This can make it hard for borrowers to repay debts if rates rise too fast, but with careful underwriting, floating-rate debt can also lead to very reliable cash flows. At recent prices, PennantPark Floating Rate Capital offers investors a huge 10.3% dividend yield, and it distributes payments every month. At recent prices, $3,250 is enough to set yourself up with $333 in annual dividend payments from this stock in 2024. PennantPark Floating Rate Capital raised its dividend payout by 7.9% in 2023, and further raises could be in the works. At the end of September, just 3 borrowers in this BDC's portfolio of 131 companies were on non-accrual status. With the variable interest rates they pay likely to fall significantly in 2024, cash flows ought to be relatively predictable for at least the next several years. Altria Group Shares of Altria Group (NYSE: MO) offer a juicy 9.2% dividend yield, so all it takes to secure $333 in annual dividend income from the stock at recent prices is about $3,680. Combustible cigarette sales have been in decline for decades, but this company's ability to raise the price of the leading Marlboro brand in the U.S. should let it continue a very long track record of consecutive annual payout increases. In Q3, Altria estimated an 8% year-over-year decline in domestic cigarette volume. Thanks to rising sales of non-combustible products, price increases on Marlboros, and share repurchases, adjusted earnings per share during the first nine months of 2023 rose 3.3% year over year. This August, Altria Group raised its dividend payout for the 58th time in 54 years. The company generated $8.5 billion in free cash flow over the past year but needed just $6.7 billion to meet its dividend commitment. With extra cash flows to pay down debts and acquire new sources of growth, such as NJOY, the only e-vapor manufacturer with market authorizations from the U.S. Food and Drug Administration (FDA) for a pod-based, e-vapor product, investors can reasonably expect this stock to keep up its 54-year streak for at least another decade. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 11, 2023 Cory Renauer has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Fool.com contributor Parkev Tatevosian discusses a new arrangement between Rivian (NASDAQ: RIVN) and AT&T (NYSE: T) that has potential benefits for Rivian shareholders. Stock prices used were the afternoon prices of Dec. 14, 2023. The video was published on Dec. 16, 2023. Should you invest $1,000 in Rivian Automotive right now? Before you buy stock in Rivian Automotive, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Rivian Automotive wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks *Stock Advisor returns as of December 11, 2023 Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	T	Electric vehicle maker Rivian Automotive RIVN has joined forces with telecom giant AT&T T. The deal with AT&T, set to be launched in early 2024, involves the integration of RIVN’s EVs into AT&T’s operational fleet. The collaboration is a testament to Rivian’s commitment to sustainability and innovation in the EV sector and also positions AT&T at the forefront of the eco-friendly corporate movement. AT&T's plan to incorporate EVs into its fleet is a key component of its broader ambition to achieve carbon neutrality by 2035. The tie-up will see the telecom leader integrating Rivian's commercial vans and the much-anticipated R1 EVs into its operations. The alliance between Rivian and AT&T extends beyond the mere purchase of EVs. In a strategic move, AT&T has been designated as the exclusive connectivity provider for all Rivian vehicles across the United States and Canada. This crucial role involves delivering over-the-air software updates, enhancing vehicle features and elevating the overall driving experience for Rivian's customers. This partnership reflects a deep integration of AT&T's connectivity solutions with Rivian's advanced vehicle technology. The core of this deal lies in both companies' commitment to sustainability. Rivian, known for its innovative approach to EVs, is set to play a crucial role in reducing carbon emissions, especially given that commercial vans significantly contribute to CO2 emissions in the transportation sector. Hardmon Williams, senior vice president of AT&T's Connected Solutions, emphasized the importance of this pilot program in AT&T's journey toward a cleaner and more sustainable future. After the conclusion of its exclusivity pact with Amazon AMZN, this deal with AT&T showcases Rivian’s appeal to a wide range of corporate clients. Rivian remains committed to delivering 100,000 vans ordered by Amazon by 2030. The ongoing relationship with Amazon, coupled with the new deal with AT&T, underscores Rivian's growing influence in the EV market.Top of Form Rivian currently carries a Zacks Rank #3 (Hold).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Disclaimer: This article has been written with the assistance of Generative AI. However, the author has reviewed, revised, supplemented, and rewritten parts of this content to ensure its originality and the precision of the incorporated information. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time. This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock and 4 Runners Up >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amazon.com, Inc. (AMZN) : Free Stock Analysis Report AT&T Inc. (T) : Free Stock Analysis Report Rivian Automotive, Inc. (RIVN) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-15	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips 2023 has been mixed for growth stocks but I believe the worst is over. There is high optimism in the stock market as we end the year on a high note. However, if you want to secure your portfolio from such ups and downs and are looking for ways to generate passive income, considering top dividend stocks to buy is the best way forward. But, all dividend stocks aren’t the same and some are more promising than many others. You need to look for companies that have shown steady growth, and resilience in the market and have a history of dividend payouts. Such companies will continue to reward shareholders, no matter how the market moves and you will be able to enjoy passive income while watching your investment grow. With that in mind, let’s take a look at the most undervalued dividend stocks to buy in December to enjoy a solid start to 2024. PepsiCo (PEP) Dividend Yield-3.01% Source: 8ED8 / Shutterstock When looking for stable companies to invest in, PepsiCo (NASDAQ:PEP) is the first one that comes to mind. One of the global leaders, the company has a diversified business which ensures steady income despite market turmoil. It is a dividend aristocrat which has raised dividends over the past 51 years. Pepsi’s dividend yield is 3.01% and it paid a quarterly dividend of $1.27. Exchanging hands at $168 today, this is one stock that will continue giving. The company has a range of snacks and beverages that help maintain a steady cash flow and it enjoys brand loyalty like no other. Irrespective of the country you are in, you will see a range of Pepsi products at the supermarket and this is proof of how well the company is expanding its reach. Even in times of high inflation, Pepsi saw steady revenue growth. This is a solid dividend stock to own this month. Dividend stocks to buy: McDonald’s (MCD) Dividend yield-2.30% Source: Gargantiopa / Shutterstock McDonald’s (NYSE:MCD) is another undervalued dividend stock that should be a part of your portfolio. The company has nailed the franchise business, and it enjoys high cash flow through the steady income and low operating costs. It aims to expand to 50,000 stores by 2027 and this could give the business a solid push. Trading at $290 today, MCD stock might look expensive but it is worth an investment. The company has been paying dividends for over 40 years, and it enjoys a dividend yield of 2.30%. In the recent quarter, the company saw a 14% increase in revenue to hit $6.69 billion, and the EPS came in at $3.17 per share, up 18% year-over-year. The management increased the quarterly dividend by 10% to $1.67 per share. McDonald’s has big expansion plans, and it continues to see revenue growth. This makes it a worthwhile investment. Enterprise Products Partners (EPD) Dividend yield- 7.55% Source: Casimiro PT / Shutterstock.com With a dividend yield as high as 7.55%, Enterprise Products Partners (NYSE:EPD) is one of the top dividend stocks to buy this December. It owns a diverse portfolio of assets which include natural gas pipelines, liquid pipelines, marine terminals, and NGL fractionators. It is steadily working towards growth and expansion and aims to build two plants in the Permian Basin which will have the processing ability to handle 300 million cubic feet per day. Enterprise Products Partners charges a fee from companies to use its assets and this is how it maintains a steady revenue growth. The company has a solid balance sheet and low debt which helps it reward shareholders. EPD is one of the top dividend stocks to buy. The management believes in rewarding shareholders and has paid consecutive dividends for the past 25 years. It has a dividend yield of 7.55% and pays a quarterly dividend of $0.50. For a stock trading at $26, the dividend yield is certainly impressive. You will not regret owning EPD stock for a long time. AT&T (T) Dividend yield- 6.67% Source: Jonathan Weiss/Shutterstock AT&T (NYSE:T) is far from done, and while the stock may be down, it isn’t out. One of the top passive income stocks, AT&T is in the news for the recent contract with Ericsson (NASDAQ:ERIC). This $14 million deal will be a game changer for the business and it has already given a boost to the stock. Through this collaboration, AT&T aims to cover about 70% of its wireless traffic in the U.S. It aims to expand the 5G network, and this will help it reach more than 200 million people by the end of the year. The management stated that they are in line to generate $16.5 billion in free cash flow in the year. Additionally, it is also growing its wireless subscriber base and has added more than 468,000 net phone subscribers in the third quarter. T stock is trading for $16.65 today and is up 5% over the past month. It enjoys a dividend yield of 6.67% and has announced a quarterly dividend of $0.28. Dividend stocks to buy: Johnson & Johnson (JNJ) Dividend yield- 3.03% Source: Raihana Asral / Shutterstock.com A leader in the healthcare sector, Johnson & Johnson (NYSE:JNJ) is a dividend aristocrat with a history of paying dividends for 51 consecutive years. The company has managed to sustain the dividends through its MedTech and innovative medicine portfolio which has a few stalwarts that continue to generate revenue. Its MedTech segment reported $7.5 billion in sales, which was a 10% rise, and the innovative medicine segment reported a revenue of $13.9 billion, a 5.1% rise. The company is launching several new products that have shown early signs of success and could become strong income generators in the long term. JNJ could bring stability to your portfolio and is a highly reliable name in the industry with a dividend yield of 3.03% and a quarterly dividend of $1.19. The management has rewarded shareholders, no matter the market situation and I strongly believe it will continue to do so. It is one of the top stocks in the healthcare sector to own. Coca Cola (KO) Dividend yield-3.12% Source: Soloviov Vadym / Shutterstock.com Pepsi’s biggest rival, Coca-Cola (NYSE:KO) is another household name that believes in rewarding shareholders. The beverage giant has a global presence, and is known for a wide range of beverages including several healthy drinks. It is exchanging hands at $59 and has a dividend yield of 3.12%. Coca-Cola announced a quarterly dividend of $0.46 and has paid handsome dividends for the past 60 years. Fundamentally, it has managed to achieve 11% organic revenue growth in the third quarter, and it has achieved success and market share across new markets like Japan, ASEAN, South Pacific, and Latin America. Like Pepsi, it enjoys brand loyalty and global recognition. It is also Warren Buffet’s favorite stock, and he has owned it the longest. Today, he holds 400 million KO shares which could generate billions in dividends annually. Coca-Cola can thrive, irrespective of where the market moves from now, and trading below $60, it looks highly undervalued today. Procter & Gamble (PG) Dividend yield- 2.60% Source: Jonathan Weiss / Shutterstock.com A globally recognized household name, Procter & Gamble (NYSE:PG) is a defensive stock. It owns some of the biggest consumer brands today and is recognized for a wide range of products that cater to individuals of all age groups. We will never see a time when we do not need personal care items which means PG is never going to run out of business. The company has established a strong position in the industry and enjoys high brand loyalty. Due to the wide umbrella of brands, it enjoys steady revenue growth and predictable cash flow. PG is trading at $144 today and has dropped 4% year-to-date. The stock is trading lower than the all-time high of $163 but has a long way to go. It has a dividend yield of 2.60% and announced a quarterly dividend of $0.94. As the economy improves and we see higher consumer spending, Procter & Gamble could see better days ahead. On the date of publication, Vandita Jadeja did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Vandita Jadeja is a CPA and a freelance financial copywriter who loves to read and write about stocks. She believes in buying and holding for long term gains. Her knowledge of words and numbers helps her write clear stock analysis. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post The 7 Most Undervalued Dividend Stocks to Buy in December appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-14	T	(RTTNews) - Rivian Automotive, Inc. (RIVN) Thursday announced that they have signed an agreement to sell Rivian electric vehicles to telecom major AT&T (T). The financial details of the deal are not yet known. Through a pilot program aimed at cutting transport emissions, AT&T will add Rivian Commercial Van and R1 vehicles to its fleet in early 2024 and begin evaluating the various ways these vehicles help improve safety, reduce costs, and cut its carbon footprint. Rivian is hoping that this deal will help AT&T reach its commitment of carbon neutrality by 2035. The Rivian Commercial Van is engineered to be one of the safest vehicles on the road having features like automatic emergency braking, collision warnings, and 360-degree visibility, as per the company. Additionally, AT&T is the exclusive provider of connectivity to all Rivian vehicles, in the U.S. and Canada. The electric vehicle company uses AT&T connectivity for its over-the-air software updates. In pre-market activity, Rivian shares are trading at $20.24, up 2.85% on the Nasdaq and AT&T shares are trading at $16.53 up 0.52% on the New York Stock Exchange. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-14	T	When dividend stocks crash in value, that sends their yields up in the opposite direction. But there can be danger for investors who load up on a stock just because its yield is high. Before buying shares of a high-yielding company, investors should take a quick look to see why the stock is underperforming, and why the yield is so high. That can avoid a lot of headaches and regrets later on. Three dividend stocks that look cheap right now are Pfizer (NYSE: PFE), Enbridge (NYSE: ENB), and AT&T (NYSE: T). They have all been struggling this year, and their yields are now well above 5%. Let's look at why these payouts are so high and whether you should consider investing in any of these stocks today. 1. Pfizer: 5.7% yield It's not typical for a top healthcare company to lose more than 40% of its value in a single year. But that's exactly the situation Pfizer is in right now. Investors are concerned about a decline in revenue from its COVID vaccine and product; plus, issues relating to its long-term growth are exacerbating worries about the business. The stock is down more than 43% year to date. Due to the sharp sell-off, Pfizer's yield is now an incredibly high 5.7%. Since its dividend has remained the same ($0.41 per quarter), investors are now collecting the same dividend at a lower price, resulting in a higher yield. There is good reason for the concern as Pfizer incurred a third-quarter loss of just under $2.4 billion, for the period ended Oct. 1. A big 42% drop in revenue wasn't accompanied with a big decline in expenses, leading to a disastrous performance for the company. But the company is planning to shed $3.5 billion in costs from its books as it adapts to low demand for COVID products, which should lead to better results. There's some risk with Pfizer's business today, but investors shouldn't push the panic button just yet. The company is in the midst of a transition as it loads up on acquisitions and lessens its exposure to COVID products. Although its payout ratio is around 90%, which isn't great, I would expect that to get better as the company trims costs and reduces the size of its COVID business. Pfizer would need to endure more difficult quarters and prove this is a troubling pattern before I would start to worry about the safety of the dividend. For long-term investors, Pfizer can make for an attractive contrarian buy as it trades at just nine times its estimated future earnings. 2. Enbridge: 7.7% yield Over the years, Enbridge has normally offered a high dividend yield. This year, it has gone even higher to 7.7%. Shares of the Canadian pipeline and energy company have declined 11% year to date as investors have grown less optimistic about the oil and gas industry. And since it's a top pipeline company, it has struggled right along with similar stocks. But not only is the company not worried, it also recently increased its dividend. In November, Enbridge announced it would be raising its payout by 3%. This means that it has now raised its dividend for 29 consecutive years. Enbridge benefits from locking in long-term contracts, which provide it with good stability. The company projects that its distributable cash flow, a key metric when it comes to evaluating a dividend's safety within the industry, will grow by 3% next year. Earlier this year, Enbridge caught investors and analysts off-guard with plans to acquire three companies from Dominion Energy for $14 billion. Enbridge called the move a "once in a generation" opportunity to expand its operations in the U.S. Analysts, however, grew concerned about rising debt levels. But Enbridge says that just 10% of its debt portfolio is vulnerable to possible changes in interest rates. And by 2025, in the first full year that it owns the new assets, they will already be accretive to its per-share metrics. Overall, Enbridge isn't in bad shape, and it could look even better due to the acquisition of these businesses. The stock's incredibly high yield might not be too good to be true. Income investors may want to buy shares sooner rather than later as they are trading within just a few dollars of their 52-week lows. 3. AT&T: 6.6% yield There has been no shortage of naysayers surrounding AT&T's dividend. The business has a high debt load, and concerns about it having to potentially spend billions to clean up lead-covered cables resulted in a steep decline for the stock. While investors shouldn't ignore concerns about a large cleanup cost, that's a situation that could play out over the course of years. Any payout, assuming one is necessary, would likely span years as well. The end result is that it's too early to know how big of a problem it may be, but even if it is big, AT&T likely won't need to make a big outflow of cash all at once to address the issue. In recent months, fears have begun to subside, and the stock has been rallying. Year to date, AT&T stock is now down just 8%. While that isn't great, it's better than earlier when it was looking like it may be on track to finish the year down around 30%. Things looked a whole lot better in October, when the company posted its most recent quarterly results. While revenue of $30.4 billion for the period ended Sept. 30 grew at only 1%, the big takeaway for investors was that not only was AT&T still on track to hit its goal of $16 billion in free cash flow for the year, but it was also raising that target to $16.5 billion. Given its strong results, AT&T isn't a stock whose yield looks to be in trouble. And with the stock rallying in recent months, investors may want to buy the shares before they rise even more and the yield shrinks. At just seven times its estimated future earnings, the stock looks like a steal of a deal. Should you invest $1,000 in Pfizer right now? Before you buy stock in Pfizer, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Pfizer wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 11, 2023 David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Enbridge and Pfizer. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-14	T	By Abhirup Roy SAN FRANCISCO, Dec 14 (Reuters) - U.S. wireless carrier AT&T T.N will purchase some electric vehicles from startup Rivian RIVN.O in a pilot program to evaluate ways to reduce cost, cut carbon emissions and improve safety, the companies said on Thursday. The deal is the first for Rivian after the company last month ended its exclusivity pact with largest shareholder Amazon AMZN.O for its delivery vans, opening the door for more customers. AT&T expects to start adding Rivian electric commercial vans, R1T pickup trucks, and R1S sport utility vehicles in its fleet in early 2024, they said in a statement. The companies did not disclose the number of vehicles AT&T will buy or the financial terms of the deal. AT&T has long been investing in converting its commercial fleet to vehicles that use alternative fuels such as compressed natural gas and hybrid electric vehicles. "This pilot is another important step in our ongoing efforts toward sustainability, reducing our carbon footprint and embracing a cleaner future for our operations," Hardmon Williams, senior vice president of AT&T Connected Solutions said. Environmental, social and corporate governance (ESG) goals and emission reduction targets for companies have sparked a race to shift to zero-emission fleets. But high interest rates have made it costlier for customers to purchase electric vehicles, which that are typically more expensive than their gas-powered counterparts, and raised worries of a slowdown in demand. Still, Rivian has said it has seen a "lot of interest and demand" for its vans beyond Amazon. On Thursday, the company declined to disclose other potential customers. It has also reiterated its commitment to fulfilling an order for 100,000 vans to Amazon by 2030. Amazon said in October it has 10,000 of those vehicles across the U.S. and Europe. Last month, Irvine, California-based Rivian raised its overall 2023 production forecast to 54,000 units. (Reporting by Abhirup Roy in San Francisco; Editing by Christian Schmollinger) ((abhirup.roy@thomsonreuters.com; +1 415 941 8665; @abhiruproy30;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-14	T	In this series, we look through the most recent Dividend Channel ''DividendRank'' report, and then we cherry pick only those companies that have experienced insider buying within the past six months. The officers and directors of a company tend to have a unique insider's view of the business, and presumably the only reason an insider would choose to take their hard-earned cash and use it to buy stock in the open market, is that they expect to make money — maybe they find the stock very undervalued, or maybe they see exciting progress within the company, or maybe both. So when stocks turn up that see insider buying, and are also top ranked, investors are wise to take notice. One such company is AT&T Inc (Symbol: T), which saw buying by Director Stephen J. Luczo. Back on November 13, Luczo invested $971,875.00 into 62,500 shares of T, for a cost per share of $15.55. In trading on Thursday, shares were changing hands as low as $16.51 per share, which is 6.2% above Luczo's purchase price. AT&T Inc shares are currently trading +1.20% on the day. The chart below shows the one year performance of T shares, versus its 200 day moving average: Looking at the chart above, T's low point in its 52 week range is $13.43 per share, with $20.50 as the 52 week high point — that compares with a last trade of $16.66. By comparison, below is a table showing the prices at which insider buying was recorded over the last six months: PURCHASED INSIDER TITLE SHARES PRICE/SHARE VALUE 11/13/2023 Stephen J. Luczo Director 62,500 $15.55 $971,875.00 The DividendRank report noted that among the coverage universe, T shares displayed both attractive valuation metrics and strong profitability metrics. For example, the recent T share price of $16.45 represents a price-to-book ratio of 1.1 and an annual dividend yield of 6.75% — by comparison, the average company in Dividend Channel's coverage universe yields 4.5% and trades at a price-to-book ratio of 2.1. The report also cited the strong quarterly dividend history at AT&T Inc, and favorable long-term multi-year growth rates in key fundamental data points. The report stated, ''Dividend investors approaching investing from a value standpoint are generally most interested in researching the strongest most profitable companies, that also happen to be trading at an attractive valuation. That's what we aim to find using our proprietary DividendRank formula, which ranks the coverage universe based upon our various criteria for both profitability and valuation, to generate a list of the top most 'interesting' stocks, meant for investors as a source of ideas that merit further research.'' The annualized dividend paid by AT&T Inc is $1.11/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 01/09/2024. Below is a long-term dividend history chart for T, which the report stressed as being of key importance. Indeed, studying a company's past dividend history can be of good help in judging whether the most recent dividend is likely to continue. The Top DividendRank'ed Stocks With Insider Buying » Also see: Cheap Consumer Stocks PMVP Insider Buying Top Ten Hedge Funds Holding RWT The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-14	T	Many aggressive growth stocks are rising Thursday as Treasury yields drop and investors anticipate Federal Reserve rate cuts ahead. But shares of electric vehicle maker Rivian Automotive (NASDAQ: RIVN) are rising for another reason, too. Rivian shares spiked as much as 10.6% Thursday morning, settling to a gain of 7% as of 10:45 a.m. ET. New fleet customer The news helping to boost the stock was the announcement of a new pilot deal with media giant AT&T for Rivian's electric commercial vans and trucks. AT&T will begin adding the Rivian van and R1 platform trucks to its fleet early next year. The program is meant to enable AT&T to "begin evaluating the various ways these vehicles help improve safety, reduce costs and cut its carbon footprint." The deal is especially significant for Rivian because it marks the first new customer for its commercial vans beyond Amazon. Rivian has been delivering vans to Amazon for an exclusive 100,000-vehicle order. But Rivian announced the exclusivity component was ending when it reported third-quarter earnings in early November. Today's announcement marks the first new customer deal for the electric vans. Tailwinds ahead Rivian shares have surged about 30% over the last month since that third-quarter report. Investors became more optimistic about the stock's potential after Rivian boosted its 2023 production guidance and due to a lower interest rate environment. Treasury yields have dropped as the Fed signals the end to the interest rate hike cycle. Many now expect rate cuts in 2024. That's good news for aggressive growth stocks like Rivian that will likely continue to need more capital to grow. Today's news is yet another tailwind for Rivian. It will begin construction on a new manufacturing plant early next year. The pilot program with AT&T for Rivian commercial vans could be a sign that demand beyond Amazon for its commercial offerings will help fill that plant. That's why aggressive investors might want to own some Rivian stock now. Should you invest $1,000 in Rivian Automotive right now? Before you buy stock in Rivian Automotive, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and Rivian Automotive wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 11, 2023 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Howard Smith has positions in AT&T, Amazon, and Rivian Automotive. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-14	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-13	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The quest for the passive income from a stable investment avenues beckons toward dividend stocks. Enter a realm where industry giants don their strategic armor, ready to navigate the tides of market dynamics and consumer demands. The stage is set for an enthralling exploration of seven passive income juggernauts. Each is an emblem of innovation and resilience in their respective domains. These passive income plays offer investors a panoramic view of the dividend stock landscape in the ever-evolving market of 2024. Pfizer (PFE) Source: photobyphm / Shutterstock.com Pfizer (NYSE:PFE) is a passive income stock that has vast market potential and unmet medical needs that the company aims to address. For instance, an estimated 80 million adults are eligible for RSV vaccination in the US alone, which shows a significant market size for ABRYSVO. The additional market potential of maternal immunization further enhances its revenue prospects by protecting both older adults and infants with one vaccine, indicating a competitive advantage. Similarly, the oral calcitonin gene-related peptides in the migraine market suggest a high unmet need, with potential market dominance projected to reach up to 40%. The substantial difference between Triptans and oral CGRP prescriptions signifies a considerable opportunity for growth in the migraine treatment market. It highlights Pfizer’s potential to capture a larger market share. In the case of sickle cell disease, Pfizer addresses a significant burden of illness affecting an estimated 12 million people globally. This represents Pfizer’s focus on addressing substantial market opportunities and unmet medical needs across various demographics and therapeutic areas. Therefore, this edge positions the company for continued growth and market leadership. AT&T (T) Source: Lester Balajadia / Shutterstock.com AT&T (NYSE:T) is an old-school passive income stock. Its deliberate investment in 5G technology has been a cornerstone of its growth strategy. The company’s focus on expanding its 5G network infrastructure is a significant indicator of its forward-looking approach and market adaptability. Notably, AT&T aims to reach over 200 million people with mid-band 5G spectrum by the end of 2023. The goal represents the company’s proactive stance in providing next-generation connectivity to a broad consumer base. AT&T’s aggressive 5G rollout puts them in a competitive position to capture a significant market share. Finally, the investment in 5G technology isn’t merely about expanding coverage but also about addressing the increasing data demands of consumers. By providing best-in-class 5G solutions, AT&T caters to existing customer needs and stays ahead of the curve in meeting future data consumption patterns. Johnson & Johnson (JNJ) Source: Alexander Tolstykh / Shutterstock.com Johnson & Johnson’s (NYSE:JNJ) passive income strength lies in its diversified portfolio, spanning the innovative medicine and MedTech segments. For instance, in Q3 2023, within the innovative medicine segment, sales totaled $13.9 billion, reflecting a 5.1% increase driven by key brands. These products exhibited commendable growth rates ranging from 15.8% to 27%. Hence, these leads emphasize the company’s capacity to innovate and capitalize on market demand for specific therapeutic categories. Similarly, the MedTech segment reported sales of $7.5 billion, marking a robust 10% increase. Advancements across platforms such as electrophysiology, vision, and orthopedics propelled this growth. The segment’s diversification across medical devices and technological advancements represents Johnson & Johnson’s focus on consistent value growth. The increase in topline was multifaceted, supported by solid growth rates within specific geographic markets. Lastly, the US market experienced a substantial 11.1% increase in sales, driving a significant portion of the company’s overall growth. Procter & Gamble (PG) Source: Jonathan Weiss / Shutterstock.com Considering the size of its top line, Procter & Gamble’s (NYSE:PG) attainment of a 7% increase in organic sales during Q1 fiscal 2024 signifies a robust performance from this passive income stock. This growth indicates the company’s strong market positioning and consumer demand for its products. It also represents effective strategies in pricing, product mix, and volume management. Fundamentally, P&G’s progress in driving growth across all 10 product categories signifies its diversified offerings’ resilience and market acceptance. Certain segments, including home care, personal healthcare, and others, exhibited robust growth rates ranging from double digits to mid-singles. Despite challenges faced in Greater China, P&G showcased significant organic sales growth in five out of seven regions. The US market grew by 7%, while Europe’s focus markets recorded a substantial 15% growth rate. Therefore, this expansion highlights the effectiveness of its localized strategies that may support its financial performance over the long term. Verizon (VZ) Source: Ken Wolter / Shutterstock.com Verizon (NYSE:VZ) has consistent growth in broadband subscribers, with over 400K new subscribers for four consecutive quarters (as of Q3 2023). This growth signifies its fundamental leads in the broadband market. Also, this growth is driven by the company’s focus on providing quality service, including the popular Fixed Wireless Access (FWA) offering. A substantial 72K Internet net increase adds to the Fios segment. It indicates Verizon’s competitive strength and the continued appeal of its services. Similarly, Verizon has made progress in achieving sequential and year-over-year improvements in postpaid phone net adds. This progress showcases its effectiveness in customer acquisition without resorting to aggressive promotional tactics. The company’s focus on providing customers with personalized experiences exemplifies offerings like myPlan. Thus, these offerings increase customer additions and enhance average revenue per account (ARPA). Finally, Verizon Business Group has consistently grown, adding 151K phone net in Q3. These increase the company’s reliability in delivering connectivity solutions to various customer segments. Fundamentally, the company’s appeal to businesses, governments, and enterprises signals its market strength. 3M (MMM) Source: JPstock / Shutterstock.com 3M’s (NYSE:MMM) performance across its diverse business segments provides its strategic strengths. For instance, in Q3 2023, Safety and Industrial’s operating margins of 25.7% and adjusted sales of $2.8 billion, despite experiencing organic declines, represent effective cost management. Transportation and Electronics, with operating margins of 26.3% and sales of $1.9 billion, displayed robust margin expansion despite challenges in the electronics market. Overall, the ability to sustain margins amid market fluctuations indicates 3 M’s agility in implementing strategies to offset challenges, capitalize on strengths, and maintain profitability across its diverse portfolio of businesses. Lowe’s (LOW) Source: Helen89 / Shutterstock.com Lowe’s (NYSE:LOW) holds a dominant position as the market leader in appliances within the US, accounting for 14% of its sales. The third quarter of 2023 highlights that the industry-wide pullback in appliance sales affects Lowe’s significantly because of its substantial market share in this category. This market leadership gives Lowe’s a unique advantage and represents a fundamental strength that could support rapid growth potential. Despite declining appliance sales, Lowe’s might leverage its position and implement strategies to capture more market share or stimulate demand. The proportion of revenue derived from DIY customers (75%) and professionals (25%) is crucial. When the DIY segment becomes cautious, it disproportionately affects Lowe’s. Conversely, despite the DIY decline, Lowe’s maintained positive sales comps in the Pro segment. Thus, this diversified customer base cushions during fluctuations in consumer behavior, thereby mitigating risks associated with specific market shifts. As of this writing, Yiannis Zourmpanos held long positions in PFE, T, VZ, and MMM. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Yiannis Zourmpanos is the founder of Yiazou Capital Research, a stock-market research platform designed to elevate the due diligence process through in-depth business analysis. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Seeking Passive Income? 7 Dividend Stocks You Don’t Want to Miss. appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-13	T	Telecommunications giant AT&T (NYSE: T) is a household name and a well-known dividend stock. Had you invested $100 in AT&T in 1995, your investment would have grown to $476 today. Is that good? Well, it definitely needs context. Many investors buy AT&T for its huge dividend, which yields an impressive 6.5% at its current share price. But a lot more goes into investment results than just a dividend. So let's take a closer look at AT&T and use its past to help determine whether it's worth holding for the future. The difference a dividend makes (or doesn't) Are you a glass-half-full or glass-half-empty type of character? AT&T has multiplied an initial $100 investment to nearly $500 over the years. However, that incorporates total returns, share price gains and losses, and dividends paid. Take the dividends away, and you would have lost money! The dividend optimist might argue that dividends were the difference between losing and multiplying their money. That's true, but even the total returns have dramatically trailed those of the S&P 500 index, which would have turned the same $100 into more than $1,200. T data by YCharts The bottom line? Yes, dividends can significantly boost your total returns over the long term, especially when you reinvest them to turbocharge your compounding snowball. But there is far more to a stock than its dividend. The dividend alone doesn't make an investment great. Where AT&T falls short It's time to change your gaze and focus on AT&T's broader business performance. A great company generates value for its shareholders over time. That's the most basic definition of a great investment. So how has AT&T done since 1995? A company's return on invested capital (ROIC) measures the return it generates when it invests in the business. A high return means it can put resources in and get a lot out. AT&T's business is currently generating a negative ROIC, meaning it's destroying value when it invests. T Return on Invested Capital data by YCharts Meanwhile, AT&T's earnings per share have gone up and down but are lower today than nearly three decades ago! The same can't be said for its debt, which has exploded higher over the years and stands at $138 billion today. You can see the slopes of each line above, but here are some percentages. AT&T's ROIC has fallen over 200%, turning negative. Earnings are 20% lower today than in 1995. Lastly, debt has increased by a staggering 1,750%. AT&T is far worse off than it once was fundamentally, which has much to do with the stock's poor performance. A turnaround on the way? The company's debt load peaked after it tried and failed to enter the entertainment media industry with massive acquisitions of DirectTV and Time Warner, worth tens of billions of dollars. AT&T has since spun off those assets and used the proceeds to pay down debt. That's the first step to a long-term turnaround because all that interest expense, which is $6.5 billion over the past year, takes away from AT&T's bottom line. Cash flow is pretty strong, with about $12 billion left after paying the dividend. The balance sheet should heal, but it could take at least a few years. AT&T must still grow; analysts see just 3% annual earnings growth over the next three to five years. Management must also still show it can responsibly invest AT&T's money. Ideally, a great stock can pay dividends and still perform well enough to create long-term value and grow. AT&T hasn't yet shown enough to forgive it for three decades of mediocrity. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 7, 2023 Justin Pope has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-13	T	The high interest rate environment over the past year and a half has been challenging for growth stocks - at least, for those that haven't been swept up in the epic artificial intelligence (AI)-fueled rally powering some of the tech sector standouts. While the Fed's policy-tightening campaign to combat rising inflation has been a headwind for some rate-sensitive stocks, indications out of this week's meeting seem to confirm that the table is set for a full-on pivot to rate cuts in 2024 - which means the path of least resistance may be higher for growth names in the year ahead. Against this backdrop, here's a look at three high-quality growth stocks for investors looking to gain exposure to this space. Live Nation Entertainment Founded in 1995, Live Nation (LYV) is a multinational entertainment company that promotes, operates, and manages ticket sales for live entertainment events globally. The California-based company is best known for producing live music concerts, selling tickets (through its subsidiary Ticketmaster, which is one of the world's leading live entertainment ticketing sales and marketing companies), and owning and operating venues. Its market cap currently stands at $20.74 billion. Live Nation stock is up 25% on a YTD basis, edging out the roughly 21% gain in the S&P 500 Index ($SPX) over this time frame. www.barchart.com Live Nation's latest numbers for Q3 2023 were strong, as both revenue and earnings beat Wall Street's estimates. Revenues increased by 32% from the previous year to $8.15 billion, boosted primarily by 32% yearly growth in revenues from concerts to roughly $7 billion. Meanwhile, EPS rose 28% to $1.78, topping analysts' expectations of $1.27. In fact, the company's EPS has exceeded expectations in four out of the past five quarters. Although LYV's net long-term debt rose to about $6.5 billion from $5.4 billion at the beginning of the year, the company has a solid cash balance of $6 billion. Notably, Live Nation's dominance in the global live shows arena has helped boost its revenue results, even as it has drawn regulatory scrutiny - particularly for its Ticketmaster division. Analysts don't appear to be pricing in any major regulatory hurdles, though, as Live Nation's key growth metrics are well above the sector median. With forward revenue growth and long-term EPS (3-5 years CAGR) at 54.76% and 38.50%, respectively, the entertainment giant is projected for above-average growth in the years ahead. Overall, analysts have deemed the stock a “Strong Buy” with a mean target price of $110.78. This denotes an upside potential of about 26% from current levels. Out of 14 analysts covering the stock, 12 have a “Strong Buy” rating and 2 have a “Hold” rating. www.barchart.com T-Mobile US Founded in 1994, the current iteration of T-Mobile US (TMUS) was formed by a merger with MetroPCS Communications. T-Mobile has since emerged as the third-largest wireless carrier in the U.S., with over 117 million subscribers. It provides mobile phone, Internet, and television services to its consumers, and it's a leader in the 5G space, with its network reaching 98% of all Americans. T-Mobile's median download and upload speeds for Q3 were significantly faster than those of legacy carriers AT&T (T) and Verizon (VZ), according to Ookla test results. The company currently commands a market cap of $185.54 billion, and recently announced its first-ever dividend in September. Shares of T-Mobile US are up 14.7% YTD to underperform the broader market, although the stock is outperforming both AT&T and Verizon by a wide margin. www.barchart.com TMUS reported a mixed third quarter, as revenues fell short of estimates while EPS beat expectations. Revenues dipped 1.2% from the previous year to $19.25 billion, while EPS jumped to $1.82 from $0.40 in the previous year - comfortably outpacing the consensus estimate of $1.70, and continuing a string of bottom-line beats for TMUS. Notably, to continue this strong run-rate of revenue growth, T-Mobile is aiming to gain a foothold in the rural American market. The company is working with a goal to reach a 20% share of these households by the end of 2025. Further, the company also raised the low end of its free cash flow guidance range for FY 2023. TMUS now expects free cash flow of $13.4 billion to $13.6 billion for the full fiscal year, up from $13.2 billion to $13.6 billion previously. Impressively, over the past 10 years, T-Mobile's revenue and EPS have clocked a CAGR of 13.29% and 55.80%, respectively. Moreover, the company's forward EPS growth is projected at 60.6%, much higher than the sector median of 3.84%. Analysts have an average “Strong Buy” rating on TMUS, with a mean target price of $180.53 - indicating expected upside potential of about 12.6% from current levels. Out of 17 analysts covering the stock, 13 have a “Strong Buy” rating, 3 have a “Moderate Buy,” and 1 has a “Hold” rating. www.barchart.com Booking Holdings We round out our list with Booking Holdings (BKNG), a global online travel company that operates a variety of popular brands like Booking.com, Priceline, Agoda, OpenTable, and KAYAK, among others. Founded in 1996, these brands offer a plethora of travel products and services to consumers and businesses around the world. Notably, Booking.com is the world's leading brand for booking online accommodation reservations, based on room nights booked, occupying the number one position in the travel space. Booking dominates in the European market, and it's second only to Expedia (EXPE) in the U.S. market. Commanding a market cap of $118.71 billion, Booking stock has rallied 69.5% on a YTD basis. www.barchart.com Booking reported solid Q3 earnings that beat on both the top and bottom line. Revenues were up 21% from the previous year to $7.3 billion, as gross travel bookings rose 24% to $39.8 billion. Quarterly EPS of $72.32 improved 36.4% from the prior year, and came in above the consensus estimate of $67.86. In fact, the company's EPS has topped expectations in each of the past five quarters. The company maintains a substantial cash balance of $13.3 billion, higher than its long-term debt levels of $11.9 billion. Booking has demonstrated consistent revenue and EPS growth over the long haul, clocking a 10-year CAGR of 12.34% and 15.13%, respectively. And looking ahead, forward revenue and EPS growth of 29.06% and 81.30% are projected to be well above their respective sector medians. A key aspect of future growth at BKNG could stem from its AI Trip Planner, which it launched in June of this year. The aim of the planner is to let customers avoid the hassle of booking flights and hotels, making it as automatic as possible. Overall, analysts have a “Moderate Buy” rating for BKNG with a mean target price of $3,451.45. This indicates an upside potential of roughly 8% from current levels. Out of 24 analysts covering the stock, 16 have a “Strong Buy” rating, 1 has a “Moderate Buy” rating, 6 have a “Hold” rating, and 1 has a “Strong Sell” rating. www.barchart.com On the date of publication, Pathikrit Bose did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-13	T	The NASDAQ 100 After Hours Indicator is down -23.78 to 16,538.59. The total After hours volume is currently 119,937,281 shares traded. The following are the most active stocks for the after hours session: Rivian Automotive, Inc. (RIVN) is -0.0611 at $19.62, with 7,754,282 shares traded. As reported by Zacks, the current mean recommendation for RIVN is in the "buy range". AT&T Inc. (T) is -0.03 at $16.42, with 5,008,281 shares traded. T's current last sale is 82.1% of the target price of $20. iShares 20+ Year Treasury Bond ETF (TLT) is -0.06 at $96.78, with 4,871,418 shares traded. This represents a 17.42% increase from its 52 Week Low. Philip Morris International Inc (PM) is unchanged at $94.40, with 3,812,466 shares traded. As reported by Zacks, the current mean recommendation for PM is in the "buy range". Chimera Investment Corporation (CIM) is unchanged at $5.11, with 3,547,970 shares traded. CIM's current last sale is 92.91% of the target price of $5.5. Nerdy Inc. (NRDY) is unchanged at $2.96, with 2,872,061 shares traded. As reported by Zacks, the current mean recommendation for NRDY is in the "buy range". Ford Motor Company (F) is -0.03 at $11.21, with 2,705,413 shares traded. F's current last sale is 80.07% of the target price of $14. Amazon.com, Inc. (AMZN) is unchanged at $148.84, with 2,678,604 shares traded. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range". Altria Group (MO) is -0.0497 at $41.97, with 2,565,977 shares traded. MO's current last sale is 91.24% of the target price of $46. Apple Inc. (AAPL) is -0.035 at $197.93, with 2,558,603 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Mirati Therapeutics, Inc. (MRTX) is unchanged at $57.37, with 2,497,888 shares traded. MRTX's current last sale is 98.07% of the target price of $58.5. Invesco QQQ Trust, Series 1 (QQQ) is -0.12 at $403.62, with 2,379,550 shares traded., following a 52-week high recorded in today's regular session. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-12	T	Telecom giant AT&T (NYSE: T) gets talked about often in the investing world, but it isn't typically positive. Despite having a commanding market share (47% of U.S. wireless subscriptions in the third quarter) and strong market presence, AT&T's stock has performed as badly as anyone could've anticipated over the past few years. It's now down over 40% from its high over the past five years. There's no need to harp on the past, though. The company has had some notable missteps, but investing is a forward-thinking game, so we'll focus on that. Considering AT&T's low stock price, many investors are wondering if now's the time to invest. For long-term investors, I believe the answer is yes. AT&T's high dividend can be a good source of income You can't talk about AT&T's stock without discussing its dividend. It's been the only thing keeping investors patient while the company tries to steer the ship in the right direction. It's also the primary thing that would attract new investors. AT&T has one of the highest dividends in the S&P 500, with a trailing-12-month yield of around 6.7%. Unfortunately, part of the reason the dividend yield is so high is because AT&T's stock price has been falling. Regardless, AT&T's lucrative dividend is appealing to investors seeking consistent income. One reservation about AT&T was its ability to sustain its dividend, but recent results show it can. AT&T made $5.2 billion in free cash flow in the third quarter, bringing the total to $10.4 billion for the year, so far. That's nearly $2.4 billion more than the same time frame in 2022 and plenty more than its dividend obligation. T Free Cash Flow Per Share data by YCharts AT&T is getting back to focusing on its roots AT&T has had ambitious plans in the past decade or so, particularly in the media and entertainment industry. All it led to was high debt levels and an eventual $43 billion WarnerMedia spinoff in April 2022. Not good. The good news, however, is that AT&T was able to use around $40 billion from the proceeds to reduce its net debt in the second quarter of 2022. After peaking at over $200 billion in long-term debt in 2022, AT&T has since reduced it to around $138 billion (as of Sept. 30, 2023). Post-WarnerMedia spinoff, AT&T has been taking concrete actions to refocus on its core telecom business. In early December 2023, AT&T announced it would spend $14 billion over five years with networking and telecom company Ericsson. AT&T said it wants to shift around 70% of its wireless traffic to an Open Radio Access Network system, and this move makes Ericsson AT&T's main supplier of 5G equipment. Without getting too much into the technical aspects, the move will allow AT&T to modernize its network infrastructure, ideally driving down costs. The transition will be costly for AT&T upfront, but it should be a worthwhile investment if it goes as planned, bolstering AT&T's 5G and fiber networks. By 2029, 5G is estimated to account for over 71% of the U.S. mobile market. Whichever company can capitalize on the highly competitive postpaid phone market stands to gain a nice piece of the expanding pie. AT&T is already the biggest provider of wireless subscriptions in the U.S., with a 46.9% market share in the third quarter of 2023. The postpaid phone market isn't a high-growth segment, but AT&T hopes the Ericsson deal can keep the momentum going with the growth of its fiber business. Fiber revenue was up 27% year over year in the third quarter, and considering fiber is only available to around 40% of U.S. households, there are plenty of growth opportunities. AT&T is one of the premier telecom companies in the U.S., so it's good to see it making investments to enhance its core offerings. It might not have the glitz and glam of media and entertainment, but it puts AT&T in a position for more stable and profitable operations. You can't gloss over AT&T's low valuation The recent struggles make it almost impossible to glance over how relatively cheap AT&T's stock is now -- by almost any metric. Whether it's price-to-sales (revenue), price-to-earnings (profit), or price-to-free cash flow, AT&T is trading at much lower valuations than its competitors. T PS Ratio data by YCharts A stock being "cheap" doesn't always warrant investing in it, but in AT&T's case, I think it gives the company much more upside than downside. This is somewhat of a transitional period for AT&T, so a low valuation gives investors a chance to get in while the company is potentially undervalued. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 4, 2023 Stefon Walters has no position in any of the stocks mentioned. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-12	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap value stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-12	T	By Supantha Mukherjee STOCKHOLM, Dec 12 (Reuters) - Finnish telecom equipment maker Nokia NOKIA.HE said on Tuesday it had revised down its comparable operating margin target to at least 13% by 2026 from at least 14% previously, after losing a deal with a U.S. telecom carrier. Nokia said it still sees a path to achieving the previous target, but considering current market conditions in its mobile networks business, it deemed the revision prudent. The company took a hit after AT&T T.N chose Ericsson ERICb.ST to build a telecom network using a new cost-cutting technology called open radio access network (ORAN) that will cover 70% of its wireless traffic in the United States by late 2026. "AT&T is bad news, we are of course admitting it," Nokia chief executive Pekka Lundmark said in an interview, adding that it was a customer-specific situation, fairly financially driven and not technology or performance driven. "We are not seeing this spreading to other customers," he said. "We have been out of that network since 2017 and now we are making a comeback there through ORAN technology, so that is a significant win for us," Lundmark said. Nokia also plans to revamp its mobile networks business by lowering its cost base to achieve a double-digit operating margin on sales of 10 billion euros ($10.78 billion) by 2026. It would need about 11.5 billion euros of sales to reach that level. Nokia in October said it would cut up to 14,000 jobs to reduce costs, warning it did not expect any immediate market recovery after posting a 20% drop in third-quarter sales on weaker demand for 5G equipment. ($1 = 0.9281 euros) (Reporting by Supantha Mukherjee and Anna Ringstrom, editing by Louise Rasmussen and Gerry Doyle) ((anna.ringstrom@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-12	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips 2023 has been a mixed year. While growth stocks enjoyed the upside momentum, several industries suffered due to high inflation and low consumer spending. However, it looks like better days are ahead, and if you are planning to invest in dividend stocks, consider the company fundamentals before making a move. If the company is stable, has a solid balance sheet and has a strong dividend history, it will continue generating steady income for years to come. As we inch closer to 2024, it is time to reevaluate the stocks you own and invest in those that look promising and have the possibility of generating passive income. With that in mind, here are the three strong buy dividend stocks to consider. Chevron (CVX) Source: Jeff Whyte / Shutterstock.com Oil giant Chevron (NYSE:CVX) has rewarded investors for years and it aims to increase capital spending by 11% in 2024. This is a sign that it will be focusing on new projects and will be able to deliver strong returns. When it has more money, it will be able to return more to the shareholders. It aims to invest around $15.5 billion to $16.5 billion into capital projects in the coming year and has a few acquisitions that will work as catalysts for business growth. Chevron has agreed to purchase Hess Corp. (NYSE:HES) for $53 billion, and while the deal hasn’t closed yet, it is expected to add long-term value to the company. It has also just closed the acquisition of PDC Energy, and this deal is expected to add 1 billion barrels of oil equivalent reserves. In the third quarter, the company reported an EPS of $3.05 and currently enjoys a dividend yield of 4.25%. It announced a quarterly dividend of $1.51 which isn’t too bad in the current times. With the high capital budget on the projects, Chevron will see significant growth in the coming year. I believe it will be able to sustain the dividends and continue rewarding shareholders for years to come. The stock is down 18% year to date and is much lower than the 52-week high of $187. The company is focused on investments that pay off in the long term. It has increased the dividend payout for 36 years straight, and it aims to grow the dividend even faster, at 8% in January. Higher capital spending, increased cash flow, and steady dividends make the company worth an addition to your portfolio. AT&T (T) Source: Shutterstock Many have written off the telecom giant AT&T (NYSE:T) but it still has a long way to go. I believe the worst is over for it. The company is currently working on revamping the wireless network services and has signed a deal with Ericsson(NASDAQ:ERIC) to invest $14 billion over the next five years. This deal could be a game-changer for the business, and it has given a boost to the stock. It is expected that this collaboration will help cover about 70% of the company’s wireless traffic across the U.S. T stock is up 5% over the past month and trading at $16.42 today. I believe the stock can make a comeback in 2024. The company expects to generate $16.5 billion in free cash flow this year and has been steadily growing its wireless subscriber base. In the third quarter, it added 468,000 net phone subscribers. It is already working on revamping the Open RAN technology and this is an investment that will pay off in the coming years. As free cash flow and subscribers continue to grow, it will be able to reward shareholders significantly. The company is investing in next-gen technology and this shows its commitment to catering to the needs of the users. As a dividend stock, AT&T is a strong pick. It enjoys a dividend yield of 6.75% and it has enough cash flow to support this dividend. Add T stock to your portfolio before it starts to soar in 2024. Morgan Stanley (MS) Source: Ken Wolter / Shutterstock.com If you aren’t willing to start trusting traditional banks again, you can consider Morgan Stanley (NYSE:MS) which sets itself apart from the rest. While it is a bank, the big reason to invest in it is the diversified revenue streams. The majority of its revenue comes from the wealth management division which ensures consistency and stability. Since it doesn’t work like a lending business, it has a steady flow of income and it is predictable income to some extent. With an improvement in the market conditions, it looks like Morgan Stanley could start soaring with the investment banking business. There is a positive sentiment in the market and as we see new IPO openings, we could see Morgan Stanley report higher underwriting revenue numbers. For the third quarter results, it reported an EPS of $1.38 and a revenue of $13.3 billion, much higher than analyst expectations. However, its wealth management business disappointed investors by only adding $36 billion in net assets. The stock is significantly down from the 52-week high of $101 and has dropped by 3% year to date. This is a good chance to grab the dividend stock. It enjoys a dividend yield of 4.10% and recently announced a quarterly dividend of $0.85. The company is stable, has an impressive balance sheet, and several catalysts are working in its favor which shows that it has a high chance of bouncing back in the coming year. On the date of publication, Vandita Jadeja did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Sponsored Links Become a More Efficient Writer With This App Grammarly Install Now Vandita Jadeja is a CPA and a freelance financial copywriter who loves to read and write about stocks. She believes in buying and holding for long term gains. Her knowledge of words and numbers helps her write clear stock analysis. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Strong-Buy Dividend Stocks for Promising Passive Income appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	T	For the better part of six decades, Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) CEO Warren Buffett has been running circles around Wall Street. With the help of his investment team, which includes the late, great Charlie Munger, Buffett has overseen a nearly 20% annualized return since the mid-1960s in Berkshire's Class A shares (BRK.A). That's double the annualized total return of the benchmark S&P 500, including dividends, over the same stretch. Riding the Oracle of Omaha's coattails has been a no-brainer moneymaking strategy, which is why investors eagerly await Berkshire's Form 13F filings with the Securities and Exchange Commission. A 13F provides a detailed snapshot of what Wall Street's smartest and most-successful money managers bought and sold in the latest quarter. The interesting thing about Berkshire Hathaway is its 13Fs don't tell the complete story. In 1998, Buffett's company acquired General Re for $22 billion. While the purpose of this transaction was to add General Re's reinsurance operations to the mix, General Re also owned a specialty investment firm known as New England Asset Management (NEAM). When Berkshire closed its acquisition of General Re, it became the owner of NEAM. Image source: Getty Images. As of Sept. 30, 2023, New England Asset Management had nearly $610 million in invested assets, and is therefore required to file a quarterly 13F. Though Buffett doesn't oversee NEAM's invested assets, what NEAM owns is ultimately part of Berkshire Hathaway. Put another way, New England Asset Management is Warren Buffett's "secret" portfolio. This secret portfolio closed out the third quarter with 111 holdings. Five of these phenomenal stocks stand out as screaming buys for 2024. AT&T The first amazing stock to buy in Warren Buffett's hidden portfolio for the upcoming year is telecom company AT&T (NYSE: T). Although AT&T's shares hit a three-decade low earlier this year on concerns about lead-sheathed cables still in use, this worry appears to be much ado about nothing. The important consideration for investors is that 5G download speeds are moving the needle in the right direction for AT&T. Upgrading its network to support 5G speeds will encourage its wireless customers to use more data. Data is the leading margin driver for the company's wireless segment. Additionally, moving to 5G speeds is helping AT&T land new broadband customers. This should be the sixth consecutive year it adds at least 1 million net broadband subscribers, which increases the likelihood of its customers bundling their services. But perhaps the best thing about AT&T as an investment is its meaningfully improved balance sheet. As of the end of March 2022, just prior to completing the spinoff of content arm WarnerMedia, AT&T was sitting on $169 billion in net debt. But after more than $40 billion in concessions following the merger of WarnerMedia with Discovery to create Warner Bros. Discovery, AT&T's net debt has shrunk to $128.7 billion, as of Sept. 30, 2023. This means its nearly 7% dividend yield is secure moving forward. Johnson & Johnson Healthcare conglomerate Johnson & Johnson (NYSE: JNJ) is the second phenomenal stock in Buffett's secret portfolio that's a surefire buy in 2024. Even with the legal overhang of roughly 100,000 lawsuits that allege the company's now-discontinued baby powder causes cancer, J&J is perfectly positioned to deliver for its patient shareholders. There are only two publicly traded companies that bear the coveted AAA-credit rating from Standard & Poor's (S&P), a division of S&P Global, and J&J is one of them. S&P has the utmost confidence that Johnson & Johnson can service and repay its outstanding debts. J&J's pristine balance sheet and substantive operating cash flow is why a potential settlement for the outstanding lawsuits isn't a huge concern. What makes Johnson & Johnson such an incredible buy is its more than decade-long shift toward pharmaceuticals. Brand-name drugs generate considerably higher margins and afford J&J excellent pricing power, in relation to the consumer health products division (Kenvue) the company recently spun off. Johnson & Johnson is also cheaper than it's been in a long time. Its forward price-to-earnings (P/E) ratio of 14.7 represents a low-water mark from where the company closed out the previous 10 years. Image source: Getty Images. Bank of America A familiar name in Warren Buffett's secret portfolio that you'll also find in Berkshire Hathaway's $361 billion investment portfolio is Bank of America (NYSE: BAC). Despite near-term recessionary concerns dragging down BofA's stock, the company finds itself in prime position to take advantage of the current economic climate. To begin with, bank stocks are inherently cyclical. This is to say they thrive when the U.S. economy is firing on all cylinders and struggle during periods of contraction. The thing is, recessions are historically short-lived. Only three of the 12 U.S. recessions following World War II have lasted at least one year, with none surpassing 18 months. Over long periods, bank stocks like BofA tend to grow right alongside the U.S. and global economy. Something else to note about Bank of America is its sensitivity to interest rates. No money-center bank will see its net-interest income swing more from changes in the prevailing interest rate than BofA. With the Federal Reserve combatting historically high inflation, the 525-basis-point aggregate increase in the federal funds rate has added billions in net-interest income to Bank of America's bottom line each quarter. Lastly, there's plenty of value for long-term investors to latch onto. BofA stock ended Dec. 4 approximately 6% below its book value. Being able to purchase shares in a top-tier bank for less than book value makes Bank of America a screaming bargain. PayPal Holdings Fintech stock PayPal Holdings (NASDAQ: PYPL) is another company found in Warren Buffett's secret portfolio that stands out as a genius buy for the upcoming year. Although an above-average inflation rate has threatened to reduce the discretionary spending power of low-earning workers, PayPal's key performance metrics are headed in the right direction. Even amid a challenging economic climate, the total payment volume (TPV) traversing PayPal's networks, which includes Venmo, has continued to grow by a double-digit basis, excluding currency movements. If TPV can sustain low-double-digit growth with the near-term economic outlook uncertain, imagine how quickly it'll grow on a sustained basis during a multiyear period of expansion. PayPal's user engagement trends are, arguably, even more important. When 2020 came to an end, active accounts were completing nearly 41 transactions over the trailing-12-month (TTM) period. But as of Sept. 30, 2023, the average number of transactions on the platform for active accounts had risen to 56.6 over the TTM. Since PayPal is primarily a fee-driven company, a more-engaged user base will lead to higher gross profit. Fintech's industry leader is also trading at its lowest valuation since being spun off by eBay in 2015. Shares can be purchased right now for less than 11 times forward-year earnings, which compares to an average forward-year multiple of 35 over the past five years. Alphabet The fifth phenomenal stock in Warren Buffett's secret portfolio that makes for a screaming buy in 2024 is Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG), the parent company of internet search engine Google and streaming platform YouTube. Specifically, New England Asset Management owns the Class A shares (GOOGL). For well over a decade, Google has been Alphabet's foundational operating segment. In November, it accounted for 91.5% of global internet search share, which was more than 88 percentage points higher than its closest competitor. Businesses understand that Google gives them the best chance to target consumers with their message(s), which in turn affords Alphabet excellent ad-pricing power. However, Alphabet's future is all about its faster-growing ancillary operations. YouTube is attracting more than 2.7 billion monthly active users, which is bound to drive ad-pricing power in its favor. Meanwhile, Google Cloud has produced three consecutive quarterly profits and has gobbled up 10% of worldwide cloud infrastructure service share. Cloud service margins are considerably juicier than advertising margins and could really spice up Alphabet's cash flow in the second-half of the decade. To keep with the theme, Alphabet's stock is historically cheap and ripe for the picking. Even following a healthy 46% year-to-date gain, Alphabet shares can be picked up for a little over 13 times forward-year cash flow. That compares to the multiple of 18 times cash flow Alphabet has averaged over the previous five years. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 4, 2023 Sponsored Links This house is only 27 sq. ft. but when you see the inside you'll want it! Tips and Tricks Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Bank of America is an advertising partner of The Ascent, a Motley Fool company. Sean Williams has positions in AT&T, Alphabet, Bank of America, PayPal, and Warner Bros. Discovery and has the following options: long June 2025 $13 calls on AT&T. The Motley Fool has positions in and recommends Alphabet, Bank of America, Berkshire Hathaway, Kenvue, PayPal, S&P Global, and Warner Bros. Discovery. The Motley Fool recommends Johnson & Johnson and eBay and recommends the following options: short December 2023 $67.50 puts on PayPal and short January 2024 $45 calls on eBay. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	T	Launched on 04/16/2013, the iShares MSCI USA Value Factor ETF (VLUE) is a smart beta exchange traded fund offering broad exposure to the Style Box - Large Cap Value category of the market. What Are Smart Beta ETFs? The ETF industry has traditionally been dominated by products based on market capitalization weighted indexes that are designed to represent the market or a particular segment of the market. Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way. However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta. This kind of index follows this same mindset, as it attempts to pick stocks that have better chances of risk-return performance; non-cap weighted strategies base selection on certain fundamental characteristics, or a mix of such characteristics. Methodologies like equal-weighting, one of the simplest options out there, fundamental weighting, and volatility/momentum based weighting are all choices offered to investors in this space, but not all of them can deliver superior returns. Fund Sponsor & Index Managed by Blackrock, VLUE has amassed assets over $6.53 billion, making it one of the larger ETFs in the Style Box - Large Cap Value. Before fees and expenses, this particular fund seeks to match the performance of the MSCI USA Enhanced Value Index. The MSCI USA Enhanced Value Index is based on a traditional market capitalization-weighted parent index, the MSCI USA Index which includes U.S. large and mid capitalization stocks. Cost & Other Expenses Since cheaper funds tend to produce better results than more expensive funds, assuming all other factors remain equal, it is important for investors to pay attention to an ETF's expense ratio. Annual operating expenses for this ETF are 0.15%, making it one of the least expensive products in the space. It's 12-month trailing dividend yield comes in at 2.86%. Sector Exposure and Top Holdings ETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis. Representing 29.30% of the portfolio, the fund has heaviest allocation to the Information Technology sector; Financials and Healthcare round out the top three. Taking into account individual holdings, Intel Corporation Corp (INTC) accounts for about 5.91% of the fund's total assets, followed by At&t Inc (T) and Cisco Systems Inc (CSCO). VLUE's top 10 holdings account for about 34.52% of its total assets under management. Performance and Risk The ETF has gained about 8.02% so far this year and is up roughly 4.39% in the last one year (as of 12/11/2023). In the past 52-week period, it has traded between $85.95 and $99.54. The ETF has a beta of 1.05 and standard deviation of 17.97% for the trailing three-year period, making it a medium risk choice in the space. With about 152 holdings, it effectively diversifies company-specific risk. Alternatives IShares MSCI USA Value Factor ETF is an excellent option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. There are other ETFs in the space which investors could consider as well. IShares Russell 1000 Value ETF (IWD) tracks Russell 1000 Value Index and the Vanguard Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. IShares Russell 1000 Value ETF has $52.05 billion in assets, Vanguard Value ETF has $101.63 billion. IWD has an expense ratio of 0.19% and VTV charges 0.04%. Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value. Bottom Line To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center. Want key ETF info delivered straight to your inbox? Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report iShares MSCI USA Value Factor ETF (VLUE): ETF Research Reports Intel Corporation (INTC) : Free Stock Analysis Report AT&T Inc. (T) : Free Stock Analysis Report Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report Vanguard Value ETF (VTV): ETF Research Reports iShares Russell 1000 Value ETF (IWD): ETF Research Reports To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	T	Fool.com contributor Parkev Tatevosian compares AT&T (NYSE: T) and RTX (NYSE: RTX) on critical financial metrics, including the dividend yield, to determine which is the better dividend stock to buy today. Stock prices used were the afternoon prices of Dec. 7, 2023. The video was published on Dec. 9, 2023. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks *Stock Advisor returns as of December 7, 2023 Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool recommends RTX. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	T	Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the iShares S&P 100 ETF (Symbol: OEF), we found that the implied analyst target price for the ETF based upon its underlying holdings is $240.04 per unit. With OEF trading at a recent price near $216.45 per unit, that means that analysts see 10.90% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of OEF's underlying holdings with notable upside to their analyst target prices are PayPal Holdings Inc (Symbol: PYPL), AT&T Inc (Symbol: T), and ConocoPhillips (Symbol: COP). Although PYPL has traded at a recent price of $59.25/share, the average analyst target is 26.75% higher at $75.10/share. Similarly, T has 25.26% upside from the recent share price of $16.63 if the average analyst target price of $20.83/share is reached, and analysts on average are expecting COP to reach a target price of $137.09/share, which is 22.74% above the recent price of $111.70. Below is a twelve month price history chart comparing the stock performance of PYPL, T, and COP: Below is a summary table of the current analyst target prices discussed above: NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET iShares S&P 100 ETF OEF $216.45 $240.04 10.90% PayPal Holdings Inc PYPL $59.25 $75.10 26.75% AT&T Inc T $16.63 $20.83 25.26% ConocoPhillips COP $111.70 $137.09 22.74% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research. 10 ETFs With Most Upside To Analyst Targets » Also see: TXMD Options Chain PNIK Options Chain Funds Holding ARYA The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	T	Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the The Communication Services Select Sector SPDR Fund (Symbol: XLC) where we have detected an approximate $433.5 million dollar inflow -- that's a 2.9% increase week over week in outstanding units (from 212,000,000 to 218,150,000). Among the largest underlying components of XLC, in trading today AT&T Inc (Symbol: T) is down about 2.1%, Verizon Communications Inc (Symbol: VZ) is off about 1.9%, and T-Mobile US Inc (Symbol: TMUS) is up by about 1.8%. For a complete list of holdings, visit the XLC Holdings page » The chart below shows the one year price performance of XLC, versus its 200 day moving average: Looking at the chart above, XLC's low point in its 52 week range is $46.475 per share, with $71.495 as the 52 week high point — that compares with a last trade of $69.66. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. Click here to find out which 9 other ETFs had notable inflows » Also see: Diagnostics Dividend Stocks NYX Videos Institutional Holders of AUQ The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-10	T	Telecom giant AT&T (NYSE: T) is embarking on a revamp of its wireless network infrastructure. The company announced last week that it had signed a deal with Sweden's Ericsson to spend as much as $14 billion over five years to deploy open radio access network, or Open RAN, technology. Within a wireless network, the RAN is responsible for connecting end-user devices to the core network. Devices such as smartphones send data to a RAN's transceivers, which then does complex processing before passing that data along to the core wireless network. That core network then connects to the internet. RANs are a mix of hardware and software. AT&T currently uses proprietary solutions that couple together hardware and software. Open RAN disaggregates the different components, allowing for hardware from different vendors and software from different vendors to work together. By adopting Open RAN technology, AT&T will have the ability to mix and match suppliers and build a highly flexible network that is potentially more cost-efficient. The plan is to have Open RAN sites operating in 2024 before scaling up using multiple suppliers in 2025. By late 2026, AT&T expects to be running 70% of its wireless network traffic through its Open RAN deployments. The increased flexibility should help AT&T speed up the deployment of next-generation wireless technology when it becomes available. Meaningful benefits AT&T CEO John Stankey made it clear during a conference soon after the announcement that this Open RAN deal was not a game changer. It will, however, provide some important benefits in the long run. For AT&T, more competition in the Open RAN market is a good thing. It means more hardware and software choices, better products, and potentially better pricing as vendors compete for business. One reason AT&T committed to Open RAN was to spur competition in the hopes of lowering network costs and boosting efficiencies. "I don't think it's going to move the needle from a capital intensity perspective," Stankey said about the Open RAN deal. The company isn't changing its overall outlook for capital spending. However, the efficiencies Open RAN eventually unlocks could allow AT&T to boost investment in other areas. Fiber internet is a long-term growth opportunity for the company, but laying fiber is expensive, and the payoff doesn't come until homes and businesses become subscribers. AT&T is planning to pass 30 million locations with its fiber network by the end of 2025, but there may be room to boost that target higher thanks to the Open RAN deal. By making its wireless capital spending go further by adopting Open RAN, any savings could be reallocated to expanding the fiber network . This Open RAN deal means a lot more to AT&T's vendors in terms of near-term financial impact than AT&T itself. But it should yield long-term benefits that are harder to quantify for AT&T, including increased flexibility and a simplification of its network infrastructure. AT&T stock is a buy, Open RAN or not The Open RAN deal isn't a reason to pile into AT&T stock, but a rock-bottom valuation, solid performance in the wireless business, and a sky-high dividend certainly are. With AT&T expecting to generate around $16.5 billion of free cash flow this year, the stock trades for just over 7 times free cash flow. That's a valuation that doesn't reflect AT&T's solid performance. The company has been consistently growing its wireless subscriber base, adding 468,000 net postpaid phone subscribers in the third quarter, and its fiber business has been expanding by nearly 300,000 subscribers per quarter. That free cash flow more than supports the dividend, which currently yields 6.5%. The dividend consumes less than half of AT&T's free cash flow, based on the company's guidance, leaving plenty left over for debt reduction. AT&T is making a forward-thinking decision to revamp its wireless network with Open RAN technology. While there won't be a huge payoff in the short term, the switch positions the company to improve the efficiency of its network in the long run. That's good news for shareholders as AT&T works to grow its free cash flow generation and pay down some of its debt. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 7, 2023 Timothy Green has positions in AT&T. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-08	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-08	T	The NASDAQ 100 After Hours Indicator is up 1.18 to 16,085.87. The total After hours volume is currently 158,610,745 shares traded. The following are the most active stocks for the after hours session: AT&T Inc. (T) is -0.01 at $16.91, with 8,136,375 shares traded. T's current last sale is 84.55% of the target price of $20. Intel Corporation (INTC) is unchanged at $42.70, with 7,770,153 shares traded. INTC's current last sale is 112.37% of the target price of $38. Arm Holdings plc (ARM) is +0.1145 at $67.34, with 6,243,010 shares traded. As reported by Zacks, the current mean recommendation for ARM is in the "buy range". Hawaiian Holdings, Inc. (HA) is unchanged at $13.31, with 5,839,375 shares traded. HA's current last sale is 332.75% of the target price of $4. Paramount Global (PARA) is -0.0298 at $16.82, with 5,733,822 shares traded. PARA's current last sale is 134.56% of the target price of $12.5. Ford Motor Company (F) is +0.0002 at $11.01, with 4,913,329 shares traded. F's current last sale is 78.64% of the target price of $14. Western Digital Corporation (WDC) is +0.0009 at $47.86, with 4,554,172 shares traded. As reported by Zacks, the current mean recommendation for WDC is in the "buy range". Navitas Semiconductor Corporation (NVTS) is -0.02 at $7.52, with 4,102,184 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2023. The consensus EPS forecast is $-0.13. As reported by Zacks, the current mean recommendation for NVTS is in the "buy range". Sensata Technologies Holding plc (ST) is unchanged at $33.36, with 3,630,171 shares traded. ST's current last sale is 74.13% of the target price of $45. Verizon Communications Inc. (VZ) is -0.0501 at $38.20, with 3,605,787 shares traded. VZ's current last sale is 93.17% of the target price of $41. Amphenol Corporation (APH) is unchanged at $93.23, with 3,248,474 shares traded., following a 52-week high recorded in today's regular session. Toast, Inc. (TOST) is unchanged at $15.35, with 2,427,596 shares traded. TOST's current last sale is 85.28% of the target price of $18. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-08	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips Investors look at blue-chip stocks for dividends and capital preservation. However, dividend stocks do not always trend higher. There are years or phases of price or time correction due to temporary industry or company-specific headwinds. For value investors, I see a correction in quality blue-chip stocks as a golden opportunity to accumulate. I am reminded of Charlie Munger’s idea of delayed gratification. It’s difficult to predict the time for a reversal rally. However, when it comes to total returns from these oversold stocks, they can be robust. My focus in this column is on three blue-chip stocks that are likely to make a strong comeback next year. I must add here that macroeconomic headwinds are likely to be sustained next year. By adding these top blue-chip stocks to the portfolio, investors can reduce the overall portfolio beta. Further, since these stocks already trade at a deep valuation gap, the downside is capped even if the market trends lower. Let’s talk about the reasons to be positive about these blue-chip ideas. AT&T (T) Source: Shutterstock The worst for AT&T (NYSE:T) stock seems to be over with an upside of 6% in the last six months. Of course, the rally has been sluggish but it is an early indication of a potential reversal in stock trend. This was entirely likely with T stock trading at a forward price-earnings ratio of 7. Further, the stock offers an attractive dividend yield of 6.55%. Besides the valuation, business and financial developments have been positive. The recent collaboration with Ericson will help AT&T open more radio access networks for a better connection through 5G and fiber networks in North America. By 2026, the collaboration is expected to cover 70% of the company’s wireless traffic in the U.S. From a financial perspective, AT&T reported an operating cash flow of $26.9 billion for the first nine months of 2023. The annualized OCF potential is approximately $36 billion and provides scope for aggressive investments and deleveraging. At the same time, dividends are secure. I must add that with continued growth in 5G and fiber subscribers, the revenue outlook is positive. Lockheed Martin (LMT) Source: ranchorunner / Shutterstock.com In a year where global geopolitical tensions escalated, I am surprised that Lockheed Martin (NYSE:LMT) stock has marginally trended lower. This looks like a good opportunity to accumulate and a forward price-to-earnings ratio of 16.4 underscores my view. As of Q3 2023, Lockheed reported an order backlog of $156 billion. This provides clear revenue and cash flow visibility. The company has guided for a free cash flow of $6.2 billion for the year. As growth potentially accelerates in 2024 and beyond, FCF is likely to swell. I also like the fact that Lockheed is aggressively investing in next-generation defense technology. This month, the company successfully conducted a JAGM-MR guided flight test which can help missiles to discriminate between multiple targets. Lockheed is also investing in next-generation interceptors to protect against long-range ballistic missile attacks. Investment in technological advancement will ensure that the order backlog remains robust. Pfizer (PFE) Source: photobyphm / Shutterstock.com During the COVID-19 pandemic, the bio-pharmaceutical sector was in the limelight. However, in a post-pandemic world, investors have focused on other sectors where growth seems relatively attractive. As a result, some of the best pharmaceutical stocks are trading at a considerable valuation gap. Pfizer (NYSE:PFE) is one stock that deserves a place in many portfolios and looks poised for a comeback. An important reason to like Pfizer is a strong pipeline of new products. Through the first half of 2024, the company expects to launch up to 18 new products. Additionally, the long-term pipeline is attractive and Pfizer expects to generate $20 billion in incremental revenue from new molecular entities by 2030. Further, new business deals are also expected to add an additional revenue of $25 billion by 2030. One such deal is the acquisition of cancer drug maker Seagen (NASDAQ:SGEN) for $43 billion. It’s likely that growth will accelerate in the coming years coupled with strong cash flows. Once the sector is back in focus, PFE stock is likely to surge higher from oversold levels. On the date of publication, Faisal Humayun did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Faisal Humayun is a senior research analyst with 12 years of industry experience in the field of credit research, equity research and financial modeling. Faisal has authored over 1,500 stock specific articles with focus on the technology, energy and commodities sector. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Blue-Chip Stocks Set to Make a Comeback in 2024 appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-08	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The nationwide rollout of the 5G mobile network three years ago marked a critical moment in telecommunications, ushering in a new era of investment in 5G stocks. This upgrade from 4G LTE to 5G represented a quantum leap in technology, promising download speeds up to 100 times faster. Beyond the buzz of lightning-fast internet, 5G remains a powerful catalyst for cutting-edge advancements across a myriad of sectors from artificial intelligence to autonomous vehicles. The valuation of the 5G market started at an impressive $5.53 billion in 2020 and is expected to skyrocket to an astounding $667.9 billion by 2026. Factors driving this rapid expansion include the increased adoption of virtual networking architecture and the surge in mobile data traffic. Moreover, the influence of 5G stretches beyond telecommunications, infusing sectors such as healthcare, automotive and manufacturing while promising a future woven with revolutionary technologies. Here are three top 5G stocks for investors to focus on if they want to take advantage of the expected growth in this sector. American Tower (AMT) Source: T. Schneider / Shutterstock American Tower (NYSE:AMT) boasts over 225,000 communication sites making it a colossus in the global telecom landscape and critical to the burgeoning 5G sector. As a real estate investment trust (REIT), the company leases tower space to various clients including wireless service providers, broadcasters, public sector organizations and other entities. With it operating under long-term leases of five to 10 years, the firm maintains exceptionally low churn rates, though a lease with T-Mobile (NYSE:TMUS) is currently set to expire in 2025. Furthermore, in adherence to REIT requirements, it distributes a hefty 90% of its profits as dividends, yielding a healthy 3.2%. The third quarter saw the company outperform expectations, leading to an upward revision of its funds-from-operations per share guidance. Hence, for those eyeing dividends, AMT’s compelling 3% yield and a decade-long history of consistent payout growth make it a standout choice among 5G stocks. T-Mobile (TMUS) Source: Shutterstock T-Mobile (NYSE:TMUS) is the third-largest wireless internet carrier in the U.S., dynamically expanding its customer base in its niche briskly. The company’s steadfast focus on adding postpaid wireless customers is paying off, with a clear path towards adding a remarkable 8 million customers by 2025. Notably, T-Mobile’s 5G network deployment advancement places it ahead of its primary competition, solidifying its leadership in the 5G internet rollout. T-Mobile’s board recently pivoted by authorizing a $14 billion share repurchase program, signaling a long-term strategy to buy back $60 billion in stock. In a strategic turn, TMUS announced its first-ever dividend, which resonated positively with shareholders. The company’s financial performance in the third quarter was impressive, generating a whopping $4 billion in free cash flow (FCF), a massive 50% increase from the same period last year. This surge was attributed to reduced cash outlays for property and equipment and increased cash flow from operations. Additionally, TMUS bolstered its financial health with a rise in net income to $2.1 billion and a boost in net cash to $5.3 billion. AT&T (T) Source: Roman Tiraspolsky / Shutterstock.com In the dynamic landscape of the telecom industry, AT&T (NYSE:T) emerges as a standout contender and is skillfully navigating the 5G market. Its current undervaluation presents a golden opportunity for savvy investors to scoop up the stock at just one times forward sales estimates. Additionally, the company’s strong customer loyalty highlights AT&T’s service excellence and underpins its robust financial health. Financially, AT&T’s performance is nothing short of impressive. In the third quarter, the company saw a significant uptick in operating margins of 24.9% and an EBITDA margin jump to 43%. It expects its FCF to rise to $16.5 billion for the full year, a $500 million improvement from previous estimates. Moreover, AT&T’s 468,000 postpaid phone net additions this quarter are a testament to its growing appeal and the effectiveness of its strategies in attracting and retaining customers. AT&T’s current market position, financial performance and growth prospects make it an appealing choice for those looking to invest in 5G stocks. On the date of publication, Muslim Farooque did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Telecom Titans: 3 Stocks Outperforming in the 5G Race appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-07	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips It’s understandable if you have whiplash from market moves this year. We’ve seen stocks surge, fall and surge again on the heels of the current Santa rally. But, though investors are flocking to small-caps and growth stocks, blue-chip stocks might be the best bet for your portfolio. We aren’t out of the woods economically. Not by a long shot. And it’ll just take one bad catalyst to push speculative stocks back into the gutter. To that end, you should be looking for opportunities to snag undervalued stocks that represent stability and maturity. In other words, you’re looking at these three blue-chip stocks to buy as the best bet to position yourself for a solid 2024. AT&T (T) Source: Roman Tiraspolsky / Shutterstock.com AT&T (NYSE:T) is the quintessential blue-chip stock. Though the company dipped this summer on the heels of the lead shielding debacle, shares are rebounding as the issue appears far less serious than initially thought. In the meantime, shares remain undervalued at about 10% below their early-2023 pricing, meaning there’s still time to ride the blue-chip stock back to the top. Though blue-chip stocks in general, and utilities specifically, usually lack innovation that growth stocks exhibit, AT&T stands in stark contrast. This week, the company announced a new network expansion to save money and improve user experience. The emerging tech will service 70% of AT&T’s U.S. wireless traffic by 2026. Willingness to expand is a hallmark of stable blue-chip stocks, as many are often rewarded for playing it safe. But AT&T is willing to go out on a limb, as also evidenced by its recent partnership with AST SpaceMobile (NASDAQ:ASTS) to explore low-earth satellite communications. Of course, another hallmark of blue-chip stocks is their dividend yield, and AT&T meets this mark and then some. Its current dividend yield is 6.62%, combined with a 55% payout ratio, which means stability and income opportunity for investors. Medtronic (MDT) Source: JHVEPhoto / Shutterstock.com It’s hard to beat tech or healthcare stocks if you invest for the long haul. Luckily, Medtronic (NYSE:MDT) combines both with a blue-chip sensibility that’s hard to beat. The company posted a few rocky quarters amid the pandemic. The poor performance mostly came from slowed elective and non-emergent surgery rates, but as that front stabilizes, Medtronic is posting a rapid turnaround. Its most recent earnings report saw Medtronic’s revenue climb 5% year-over-year, and management pushed its annual forecast higher. Medtronic stands at a unique intersection between healthcare (an ever-growing industry) and tech. The company is collaborating with Nvidia (NASDAQ:NVDA), for example, to develop next-gen, AI-enabled diagnostic tools. Like AT&T, this willingness to innovate bodes well for Medtronic’s future while it retains blue-chip maturity and status. Medtronic offers a 3.66% total yield, and shares remain undervalued by nearly every measure despite a recent resurgence. RTX (RTX) Source: JHVEPhoto / Shutterstock.com RTX (NYSE:RTX) is another blue-chip winner that saw some turbulence before mounting a comeback in recent months. Shares remain 17% down year-to-date but have bounced more than 15% since October, indicating its current run still has legs. The company’s recent earnings sparked renewed enthusiasm as management reported expectation-beating top and bottom line numbers. The firm also announced a massive $10 billion buyback program that gave shareholders much to be happy about alongside the current 2.82% dividend yield. The company seems to be beyond past troubles with engine coating contamination. The firm did a whirlwind global tour to examine, diagnose, and repair airplane engine issues resulting from the contamination. Investors rightfully feared that costs could spiral out of control if the issue proved more prevalent than initially thought. But, in the recent call, company management assured investors there wouldn’t be unforeseen expenses. CEO Greg Hayes told investors, “We have made significant progress on our assessment of the Pratt & Whitney powder metal manufacturing matter and expect the financial impact to be in line with the previously disclosed charge.” This means there won’t be as much uncertainty surrounding RTX’s prospects, boding well for this blue-chip stock. On the date of publication, Jeremy Flint held no positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Sponsored Links Become a More Efficient Writer With This App Grammarly Jeremy Flint, an MBA graduate and skilled finance writer, excels in content strategy for wealth managers and investment funds. Passionate about simplifying complex market concepts, he focuses on fixed-income investing, alternative investments, economic analysis, and the oil, gas, and utilities sectors. Jeremy’s work can also be found at www.jeremyflint.work. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Solid as a Rock: 3 Blue-Chip Stocks for a Stable Portfolio appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-07	T	Whether measured in the short term or over many years, telecom giants Verizon Communications (NYSE: VZ) and AT&T (NYSE: T) have not delivered for shareholders. In this video, Motley Fool contributors Jason Hall and Tyler Crowe make the case for Realty Income (NYSE: O) and One Liberty Properties (NYSE: OLP) as better, likely safer investments, whether you're looking for dividends for today's income or long-term compounding of your wealth. Stock prices used were from the morning of Nov. 28, 2023. The video was published on Dec. 6, 2023. 10 stocks we like better than Verizon Communications When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. They just revealed what they believe are the ten best stocks for investors to buy right now... and Verizon Communications wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 4, 2023 Jason Hall has positions in Realty Income. Tyler Crowe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Realty Income. The Motley Fool recommends Verizon Communications. The Motley Fool has a disclosure policy. Jason Hall is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-07	T	If you'd rather set yourself up with a hefty stream of passive income than work for a living, there are lots of options. You could write a book and then live off the proceeds, but this requires heaps of effort upfront. You could buy properties and rent them out, but this requires enough effort that we really shouldn't consider such income truly passive. Whether you have a few million or just a few hundred to invest, sinking your hard-earned money into dividend-paying stocks is probably your most effective option for generating a truly passive income stream. Of course, picking the right stocks at the right time is a big part of any dividend investing strategy. These three dividend-paying stocks offer high yields upfront at the moment. Plus, there's a good chance the payouts they deliver can keep rising for at least another decade. Image source: Getty Images. Altria Group Shares of the American tobacco giant Altria (NYSE: MO) have fallen about 10% over the past year. At its beaten-down price, the stock offers a huge 9.2% dividend yield. Investors should know that sales of combustible cigarettes have been in decline for decades. With the leading Marlboro brand in its portfolio, though, Altria's been able to raise its quarterly payout for 54 consecutive years. Strict government regulations make it nearly impossible for competing tobacco companies to promote competing brands. As a result, Marlboro still boasts a 42% share of the U.S. cigarette market, even though nobody's seen the Marlboro man in decades. Overall cigarette volumes are down, but Altria has no trouble raising prices on the leading brand. While the volume of cigarettes shipped fell 10.5% in the first nine months of 2023, revenue net of excise taxes is down just 1.4% year over year. Combustible cigarettes are in decline, but Altria's smoke-free portfolio could drive growth in the years ahead. The company's NJOY brand is the only one approved to market a pod-based e-vapor product. Realty Income If you don't like waiting around for dividend raises or dividend payments, consider Realty Income (NYSE: O). At recent prices, the stock offers a 5.6% yield, which is way above average for a legendary dividend program that has grown its payout for 29 consecutive years. Realty Income is a real estate investment trust (REIT), so it must distribute at least 90% of earnings to shareholders as a dividend. It generates highly reliable cash flows by employing long-term net leases that transfer all the variable costs of building ownership, such as taxes and maintenance, to the renter. At the end of September, Realty Income boasted a 98.8% occupancy rate across its portfolio of 13,282 properties. More than three-fourths of Realty Income's portfolio is rented out to retail businesses, but this REIT doesn't sign leases with every retail business that comes calling. Pharmacy, dollar store, and grocery store operators are its largest tenants. These businesses tend to thrive whether the overall economy is booming or in a slump. With a well-positioned portfolio, investors can reasonably expect this stock's payout to rise steadily for at least another decade. AT&T Can you remember the last time you changed service providers for your mobile phone? How about your internet service provider? If you're in the U.S., odds are good that at least one of these extremely sticky services is provided to you by AT&T (NYSE: T). Even if you're not using an AT&T service now, there's a good chance that you will soon. In the third quarter, the company added 468,000 new phone subscribers and 296,000 new fiber-internet subscribers. In October, AT&T Fiber was available for 20.7 million customers, and the company expects this figure to reach 30 million by the end of 2025. At recent prices, the telecommunications giant offers a huge 6.5% yield that could climb steadily higher in the decade ahead. Over the past year, AT&T used just 41% of the free cash flow it generated to meet its dividend commitment. This means there's plenty of cash to raise its payout, pay down its sizable debt, and continue growing its business. 10 stocks we like better than Altria Group When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Altria Group wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 4, 2023 Cory Renauer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Realty Income. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-07	T	For Immediate Release Chicago, IL – December 7, 2023 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Alphabet Inc. GOOGL, NVIDIA Corp. NVDA, Roche Holding AG RHHBY, Intuit Inc. INTU and AT&T Inc. (T). Here are highlights from Wednesday’s Analyst Blog: Top Research Reports Alphabet, NVIDIA and Roche The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Alphabet Inc., NVIDIA Corp. and Roche Holding AG. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today. You can see all of today’s research reports here >>> Alphabet shares have outperformed the Zacks Internet - Services industry over the year-to-date period (+48.5% vs. +47.6%). The company’s strong cloud division is aiding substantial revenue growth. Moreover, expanding data centers will continue to bolster its presence in the cloud space. Further, major updates in its search segment are enhancing the search results. Also, strong focus on innovation of AI techniques and the home automation space should aid business growth in the long term. Further, its deepening focus on the wearables category remains a tailwind. Alphabet’s expanding presence in the autonomous driving space is contributing well. Its growing efforts to gain a foothold in the healthcare industry are other positives. However, sluggishness in the company’s Network advertisement business remains a headwind. Additionally, its growing litigation issues and increasing expenses are concerns. (You can read the full research report on Alphabet here >>>) Shares of NVIDIA have outperformed the Zacks Semiconductor - General industry over the past six months (+24.3% vs. +20.3%). The company’s Compute & Networking revenues are gaining from strong growth of artificial intelligence (AI), high-performance computing and accelerated computing. The datacenter end-market business is likely to benefit from the growing demand for generative AI and large language models using graphic processing units (GPUs) based on NVIDIA Hopper and Ampere architectures. A surge in Hyperscale demand and a solid uptake of AI-based smart cockpit infotainment solutions are acting as tailwinds. Collaborations with Mercedes-Benz and Audi are likely to advance its presence in autonomous vehicles and other automotive electronics space. However, its near-term prospects are likely to be hurt by weakening demand for chips used in the professional visualization end-market. (You can read the full research report on NVIDIA here >>>) Shares of Roche have underperformed the Zacks Large Cap Pharmaceuticals industry over the past six months (-9.1% vs. +7.0%). The company’s performance has been impacted by lower COVID-19-product-related sales, which has significantly impacted its top line, even though the diagnostics base business and newer drugs maintain growth. Sales are likely to be affected further by the expected nosedive in sales of COVID-19 products worth nearly CHF 4.5 billion. Competition from biosimilars for established cancer medicines like Avastin, MabThera/Rituxan and Herceptin also hurt sales. Nevertheless, new drugs, namely Ocrevus, Hemlibra, Evrysdi, Phesgo, Polivy and Tecentriq, have put up a stellar performance. The uptake of the new eye drug, Vabysmo, has been outstanding. The company’s efforts to develop new drugs to combat the decline in legacy drugs are encouraging. (You can read the full research report on Roche here >>>) Other noteworthy reports we are featuring today include Intuit Inc. and AT&T Inc. Why Haven’t You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +6.2 average gain per year. Amazingly, they soared with average gains of +46.4%, +49.5% and +55.2% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. 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No obligation to spend another cent. Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services likeSurprise Trader, Stocks Under $10, Technology Innovators,and more. They've already closed 162 positions with double- and triple-digit gains in 2023 alone. See Stocks Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Roche Holding AG (RHHBY) : Free Stock Analysis Report AT&T Inc. (T) : Free Stock Analysis Report NVIDIA Corporation (NVDA) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips Discerning investors seek stable yet promising income options to bolster their portfolios in the investment landscape. Delving into the strategies of the listed companies in the article reveals intriguing insights into their strategic prowess and financial fortitude. These are our top dividend stocks to buy. As technology advances, two leading telecom giants strategically position themselves with 5G innovations, evident in their revenue surges and market dominance. Meanwhile, a real estate stalwart showcases an impressive portfolio expansion strategy and financial resilience, enhancing its attractiveness to investors. The spotlight on the first one on the list reveals a deliberate focus on 5G and fiber technology, translating into revenue upticks and solidifying its position in the market. Through astute financial management and market segmentation, the second demonstrates robust growth in wireless services and a disciplined approach to capital allocation. The third one, with its strategic acquisitions and merger synergies, presents a compelling case for sustained growth and investor confidence in the real estate domain. Read more to dive into strategic cues from these dividend titans, guiding investors toward potentially prosperous ventures in the ever-dynamic market landscape. Top Dividend Stocks to Buy: AT&T (T) Source: Lester Balajadia / Shutterstock.com AT&T (NYSE:T) is offering a dividend yield of 6.45%, and it strategically focuses on investments in 5G and fiber technology, which have yielded tangible results. For instance, a 1% increase in consolidated revenues will be driven primarily by wireless service and fiber revenue growth in Q3 2023. The company’s focus on advancing these next-generation technologies positions it for sustained growth. To begin with, the wireless segment has been a significant driver of growth. It showcases impressive figures such as 468K postpaid phone net adds and a 2% revenue increase. AT&T has a consistent approach to catering to high-value subscribers through competitive deals and network quality. Hence, this has led to notable outcomes, including increased customer retention, higher average revenue per user (ARPU), and minimal churn rates. On the other hand, AT&T’s focus on expanding its fiber network has resulted in steady growth. As a result, 296K fiber customers were added in Q3, and an approximate 9% increase in fiber ARPU year-over-year. The fiber investments signify AT&T’s lead in addressing consumer preferences for high-speed internet solutions. The company focuses on offering superior broadband services that have fueled customer acquisition. Thus, it boosted revenue streams and significantly increased ARPU, showcasing a robust market demand for such services. Lastly, AT&T’s emphasis on operational efficiency, cost-saving initiatives, and margin improvements has positively impacted financial performance. AT&T focuses on generating incremental cost savings and aligning operations with the evolving 5G and fiber networks. Finally, the company reduced its net debt by more $3 billion in Q3. It remains on track to achieve its adjusted EBITDA target. Verizon (VZ) Source: Ken Wolter / Shutterstock.com Verizon (NYSE:VZ) provides a dividend yield of 6.92%, showcasing robust growth in key financial metrics. For instance, in Q3 2023, there was a 2.9% year-over-year increase in wireless service revenue and an adjusted EBITDA of $12.2 billion, surpassing previous quarters. The growth underscores the effectiveness of Verizon’s strategic initiatives, emphasizing expanded customer relationships and disciplined financial management. Moreover, the year-to-date free cash flow of $14.6 billion exceeds the 2022 full-year cash flow. This highlights Verizon’s efficient cash generation capabilities, driving confidence in its dividend stability and value growth potential. Additionally, Verizon’s net debt reduction focuses on maintaining healthy dividend coverage. The prudent financial management strategies indicate its dedication to enhancing shareholder value while ensuring sustainable dividend growth. Thus, the company has a healthy free cash flow dividend payout ratio of approximately 56%. Hence, this suggests improved financial health and disciplined capital allocation, supporting growth initiatives. Furthermore, Verizon’s solid leads in the consumer mobility segment stem from its segmented market approach, prioritizing customer choice and flexibility. As a result, there is a growth in postpaid phone net ads and reduced promotional costs. Similarly, in the business domain, Verizon Business Group has consistent growth in postpaid phone net adds, 151K in Q3, with a ninth consecutive quarter above 125K. This illustrates its adeptness in addressing distinct market segments while maintaining profitability, a critical factor in sustaining long-term growth. Verizon’s focus on operational efficiency is reflected in its emphasis on profitability while optimizing network infrastructure. The company’s cost-efficiency program is on track to meet savings goals ($2 billion to $3 billion annually by 2025). This highlights its ability to generate operational efficiencies across various business domains. Finally, the raised 2023 free cash flow guidance of more $18 billion demonstrates Verizon’s confidence in sustaining robust financial performance and operational growth. This one easily earned its spot on our list of the top dividend stocks to buy. Realty Income (O) Source: Shutterstock Realty Income (NYSE:O) is offering a 5.59% yield, and its strategic prowess in investment deployment is evident through the quarter’s $2 billion investment in high-quality acquisitions. The substantial investments, particularly the $1.4 billion derived from international business, will yield a 6.9% yield in Q3 2023. Diverse transaction types, such as sale-leaseback deals and larger transactions, are also included, underscoring the company’s flexibility and capability to navigate less conventional investment avenues. Therefore, Realty Income has a distinct competitive advantage in identifying and executing transactions that might not be as prevalent among other net lease companies. Additionally, the impressive rent recapture rates of 106.9% on new and renewed leases underline Realty Income’s negotiation strength. Also, it highlights the company’s capability to secure favorable terms with tenants. Notably, a same-store rent growth of 2.2% surpassed expectations. It also led to an upward revision of full-year guidance to around 1.5%. Fundamentally, the company’s emphasis on leases with robust rent escalators has proven to be a strategic advantage in driving higher average rent escalators. Despite challenging capital market conditions, Realty Income delivered a solid performance. The company had a 4.1% growth in Adjusted Funds From Operations (AFFO) per share and an annualized total operational return of approximately 9%. The growth, coupled with the announced merger agreement with Spirit Realty (NYSE:SRC), valued at $9.3 billion, is anticipated to boost AFFO per share immediately. Overall, the anticipated synergies from the merger emphasize the company’s vision to augment AFFO per share growth. It will also allow the company to access capital markets more efficiently. If you are looking for dividend stocks to buy, start here. As of this writing, Yiannis Zourmpanos held long positions in T and VZ. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Yiannis Zourmpanos is the founder of Yiazou Capital Research, a stock-market research platform designed to elevate the due diligence process through in-depth business analysis. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post The Investor’s Wishlist: 3 Dividend Stocks to Buy for a Prosperous New Year appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips As investors, we always strive to build a well-balanced portfolio that can provide stability through various economic cycles. While high-flying growth stocks generate all the hype these days (and deservedly so), defensive dividend stocks remain essential to provide a steady stream of income, as well as stability. That’s particularly true when markets become volatile. And let’s face it, with inflation proving stickier than hoped and various global tensions simmering, we could see increased volatility ahead. But this doesn’t have to derail our portfolios if we hold the right mix of stocks. Even in turbulent times, plenty of stalwart, cash-rich companies with established track records have kept increasing their dividends year after year. I’m talking about the Dividend Aristocrats, and other S-tier stocks that represent some of the most reliable long-term holds out there. These are the types of stocks you can confidently buy and forget about, all while your dividend distributions roll in. I’ll highlight seven generous dividend stocks perfectly suited for building a lifetime of passive income. Additionally, I’ll explore some lesser-known names throwing off juicy yields and a few dividend stalwarts you likely already know. This also includes some undervalued dividend stocks you can snap up for a bargain after their selloffs. Let’s start! Public Storage (PSA) Source: Ken Wolter / Shutterstock.com At first glance, Public Storage (NYSE:PSA) may appear like a risky option in the world of real estate investment trusts (REITs). However, this self-storage stalwart operates with far less volatility than most commercial or residential real estate funds. Demand for storage has grown steadily amid a booming U.S. economy and population growth. Physical storage needs will only intensify in the coming decades as more blue-collar sectors thrive. Public Storage is perfectly positioned to capitalize as a leading storage provider. Shares have declined 40% from their peak, creating substantial upside from the stock’s current $269 price tag. The company’s generous 4.5% dividend yield also leaves income potential. Payouts should continue rising, given impressive profitability and growth trends. Thus, Public Storage represents a relatively safe, growing business that is undeserving of its selloff. The predictable nature of self-storage stands out against a turbulent real estate backdrop. Steady demand and pricing power should continue driving predictable cash flows. Therefore, the bottom appears to be in for this dividend stalwart. Innovative Industrial Properties (IIPR) Source: gvictoria / Shutterstock.com Like Public Storage, Innovative Industrial Properties’ (NYSE:IIPR) cannabis-linked real estate focus makes it appear riskier than typical REITs. However, leasing industrial space to pot growers somewhat insulates IIPR from traditional property market swings. Highly volatile cannabis stocks dominate the headlines, but IIPR’s indirect approach looks opportunistic after its 75% plunge. The REIT’s jaw-dropping yield says markets expect tenants to miss rent payments. But the trust’s substantial collection rate and rising payouts signal otherwise. While challenges exist industrywide, top multi-state operators seem to be on solid enough ground to easily cover rent. Preferred access to specialized growing facilities also gives tenants a major incentive to pay IIPR before other expenses. Ultimately, fears around this stock appear to be overblown, given reasonable rent coverage ratios for most tenants. Providing an 8.25% yield effectively compensates investors for the risk they’re taking. Accordingly, from my perspective, this stock’s return profile looks very attractive for long-term, income-focused investors. AT&T (T) Source: Shutterstock AT&T (NYSE:T) seems poised for a long-awaited breakout after years of declines. While the telecom giant has constantly frustrated shareholders with drama and distractions, improving wireless and fiber trends signal a coming wave of growth and value creation. Trading at less than 7-times earnings, I believe T stock pricing largely reflects the negatives rather than enormous untapped potential. The company’s generous 6.5% dividend yield adds stability for patient investors until catalysts gain traction. AT&T continues expanding its next-generation 5G and fiber networks to meet surging data demand. As those capital-intensive investments moderate, cash generation may explode higher. The company also expects to achieve $2 billion in cost savings within three years. I believe AT&T makes for an ideal recovery and turnaround candidate at current levels. Management aims to pay down debt and return excess cash to shareholders once it hits target leverage ratios. With wireless competition easing and years of underperformance baked in, this telecom titan is positioned to deliver sustained capital appreciation alongside a rock-solid dividend. Watsco (WSO) Source: Casimiro PT / Shutterstock.com Watsco’s (NYSE:WSO) modest 2.5% dividend yield seems relatively low at first glance. However, in my view, the stock remains a compelling buy based on its standout capital appreciation potential. Watsco has emerged as one of the strongest performers across the entire market, with WSO stock surging 55% this year. Strength is owed partly to the record summer heat, which drove demand for air conditioning products. Looking ahead, climate change trends point towards sustaining tailwinds regardless of one’s views. Analysts also forecast healthy, accelerating long-term growth for Watsco’s niche AC distribution business. Thus, I believe the company’s modest starting yield could grow into a significant income stream when combined with an ongoing upside in stock prices. Of course, risks exist, but WSO seems poised to continue capitalizing on natural tailwinds from rising temperatures. Watsco’s dividend growth and stock appreciation potential make it well worth holding for the long-run. AbbVie (ABBV) Source: Piotr Swat / Shutterstock.com As one of the pharmaceutical sector’s largest players, AbbVie (NYSE:ABBV) provides immense dividend reliability. Unlike more speculative names listed here, this stock prioritizes dividends over capital gains. After all, few industries boast cash flow consistency comparable to biopharma companies with diverse drug portfolios. Even with the U.S. Humira patent expiration in play, AbbVie has only strengthened its cash generation capabilities. With its high 4.3% forward yield and Dividend King status, AbbVie seems poised to deliver years of payout growth ahead. Healthcare tends to endure recessions better than other sectors as well. Therefore, while the upside appears limited, I believe AbbVie remains a low-volatility, high-yield pick suitable for nearly any dividend-focused portfolio. AbbVie looks like an ideal pick for income and stability. The days of sky-high growth may have passed, but strong and growing dividends seem highly sustainable for long-term investors. Enterprise Products Partners (EPD) Source: Casimiro PT / Shutterstock.com No energy stock provides immunity from oil and gas volatility, as recent years have repeatedly proven. Nonetheless, Enterprise Products Partners (NYSE:EPD) is slowly recovering to pre-pandemic valuation levels. Enterprise Products has delivered slow but steady share price progress since initial 2020 lows. And with revenue basically doubling from 2020 to 2022, the company’s operating business shows momentum that looks sustainable as well. Despite a projected 2023 revenue pullback, analysts’ models see top-line growth resuming in 2024 and beyond as higher oil prices persist. EPD stock features a 7.5% dividend yield, which also leads its midstream peer group. With 26 consecutive annual payout hikes, the company clearly prioritizes dividend distributions through ups and downs. Ultimately, Enterprise Products’ combination of cash flow consistency, yield magnitude, and conservative operations warrant income investor consideration. In my view, Enterprise Products Partners remains a rock-solid midstream pick as energy markets stabilize. Tyson Foods (TSN) Source: rblfmr / Shutterstock.com Like many food producers, Tyson Foods (NYSE:TSN) has battled agricultural commodity volatility in recent years. Following a surge in meat and poultry prices, the company now contends with falling prices and resulting profit pressures. However, with shares having priced in the deceleration of earnings, Tyson seems poised to provide some nice upside as demand recovers. The company’s valuation also looks highly attractive, with Tyson’s forward price-earnings ratio sitting below 12-times. Tyson also pays 4% dividend yield after 12 consecutive annual hikes, providing income as investors wait. So, while macro uncertainty lingers, I believe the stock’s risk/reward profile skews positively for long-term investors right now. Tyson boasts a diversified protein portfolio, economies of scale, and agora-food demand tailwinds that should ultimately drive a rebound over time. On the date of publication, Omor Ibne Ehsan did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Omor Ibne Ehsan is a writer at InvestorPlace. He is a self-taught investor with a focus on growth and cyclical stocks that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as cryptocurrencies and penny stocks. You can follow him on LinkedIn. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 7 High-Dividend Stocks to Buy for a Lifetime of Passive Income appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	The J. M. Smucker Company (SJM) shares jumped 3.3% after the company reported second-quarter earnings of 2.59 per share, beating the Zacks Consensus Estimate of $2.47 per share. Signet Jewelers Limited (SIG) shares gained 5.9% after the company reported third-quarter earnings of 0.24 per share, beating the Zacks Consensus Estimate of $0.15 per share. AutoZone, Inc. (AZO) shares rose 0.3% after the company reported first-quarter earnings of 32.55 per share, beating the Zacks Consensus Estimate of $31.01 per share. Shares of Telefonaktiebolaget LM Ericsson (publ) (ERIC) shares surged by 4% following the announcement of the five-year deal with AT&T Inc. (T). Zacks Reveals ChatGPT "Sleeper" Stock One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more. Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AT&T Inc. (T) : Free Stock Analysis Report Ericsson (ERIC) : Free Stock Analysis Report The J. M. Smucker Company (SJM) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report Signet Jewelers Limited (SIG) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	Wednesday, December 6, 2023 The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Alphabet Inc. (GOOGL), NVIDIA Corporation (NVDA) and Roche Holding AG (RHHBY). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today. You can see all of today’s research reports here >>> Alphabet shares have outperformed the Zacks Internet - Services industry over the year-to-date period (+48.5% vs. +47.6%). The company’s strong cloud division is aiding substantial revenue growth. Moreover, expanding data centers will continue to bolster its presence in the cloud space. Further, major updates in its search segment are enhancing the search results. Also, strong focus on innovation of AI techniques and the home automation space should aid business growth in the long term. Further, its deepening focus on wearables category remains a tailwind. Alphabet’s expanding presence in the autonomous driving space is contributing well. Its growing efforts to gain foothold in the healthcare industry are other positives. However, sluggishness in the company’s Network advertisement businessremains a headwind. Additionally, its growing litigation issues and increasing expenses are concerns. (You can read the full research report on Alphabet here >>>) Shares of NVIDIA have outperformed the Zacks Semiconductor - General industry over the past six months (+24.3% vs. +20.3%). The company’s Compute & Networking revenues are gaining from strong growth of artificial intelligence (AI), high-performance computing and accelerated computing. The datacenter end-market business is likely to benefit from the growing demand for generative AI and large language models using graphic processing units (GPUs) based on NVIDIA Hopper and Ampere architectures. A surge in Hyperscale demand and a solid uptake of AI-based smart cockpit infotainment solutions are acting as tailwinds. Collaborations with Mercedes-Benz and Audi are likely to advance its presence in autonomous vehicles and other automotive electronics space. However, its near-term prospects are likely to be hurt by weakening demand for chips used in the professional visualization end-market. (You can read the full research report on NVIDIA here >>>) Shares of Roche have underperformed the Zacks Large Cap Pharmaceuticals industry over the past six months (-9.1% vs. +7.0%). The company’s performance has been impacted by lower COVID-19-product-related sales, which has significantly impacted its top line, even though the diagnostics base business and newer drugs maintain growth. Sales are likely to be affected further by the expected nosedive in sales of COVID-19 products worth nearly CHF 4.5 billion. Competition from biosimilars for established cancer medicines like Avastin, MabThera/Rituxan and Herceptin also hurt sales. Nevertheless, new drugs, namely Ocrevus, Hemlibra, Evrysdi, Phesgo, Polivy and Tecentriq, have put up a stellar performance. The uptake of the new eye drug, Vabysmo, has been outstanding. The company’s efforts to develop new drugs to combat the decline in legacy drugs are encouraging. (You can read the full research report on Roche here >>>) Other noteworthy reports we are featuring today include Intuit Inc. (INTU), Anheuser-Busch InBev SA/NV (BUD) and AT&T Inc. (T). Director of Research Sheraz Mian Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Solid Momentum in Cloud Business Benefits Alphabet (GOOGL) NVIDIA (NVDA) Rides on Strong Adoption of GPUs, Partnerships New Drugs Boost Roche (RHHBY), COVID-19 Treatments Decline Featured Reports Intuit (INTU) Rides on Product Refresh, Higher Subscriptions Per the Zacks analyst, Intuit is benefiting from frequent product refreshes, which help it to gain customers. Moreover, increase in subscriptions is driving stable revenue growth for the company. Global Brands Strength Drive AB InBev's (BUD) Organic Sales Per the Zacks analyst, strength in global brands led to AB InBev's organic sales growth in third-quarter 2023, backed by improving key market trends and premiumization in majority of its markets. AT&T (T) Rides on Wireless Traction, Fiber Densification Per the Zacks analyst, AT&T is poised to benefit from solid wireless traction and fiber densification backed by a customer-centric business model, lower churn rate and higher-tier unlimited plans. Deere (DE) Gains from Pricing Actions Amid Elevated Costs Per the Zacks analyst, efforts to improve pricing are boosting Deere's growth. However, inflated material and labor costs are impacting the company's margins. IDEXX (IDXX) Aided by Targeted Plan Execution Amid Macro Woe The Zacks Analyst is impressed with IDEXX gaining from strong execution of plans, including premium instrument placement and recurring veterinary software sales growth. Yet, macro woes are concerning. Strong Product Portfolio Buoys Optimism for Baxter (BAX) Per the Zacks analysts, Baxter International is well poised for growth backed by a strong product portfolio. Introduction of new therapies and products likely to drive the topline growth. WEX to Gain From Payzer Acquisition, Liquidity Declines Per the Zacks analyst, the Payzer acquisition is likely to strengthen WEX's growth strategy by offering scalable SaaS to small business customers. Declining liquidity is a concern. New Upgrades Solid Bookings & Fleet Expansion to Aid Royal Caribbean (RCL) Per the Zacks analyst, Royal Caribbean is likely to benefit from robust booking trends, strong pricing (on closer-in-demand) and digital innovations. Also, focus on fleet expansion bode well. Everest Group (EG) Poised to Grow on Solid Insurance segment Per the Zacks analyst, Everest Group is set to grow on solid Insurance segment on the back of product diversification, insurance expansion, new business opportunities, which drives premium growth. Liberty Energy (LBRT) to Benefit from Multi-Basin Presence The Zacks analyst believes that Liberty Energy's widespread presence in the top North American shale plays provides it with a competitive advantage over its peers. New Downgrades Weather Variation & Third Party Failure Ail Clearway (CWEN) Per the Zacks analyst Clearway Energy's (CWEN) power production from renewable asset gets impacted due to adverse weather conditions. Third-party transmission line failure can hurt operation. Soft Americas Retail Unit Hurts Guess? (GES) Performance Per the Zacks analyst, weakness in Americas Retail segment is hurting Guess?'s performance. In third-quarter fiscal 2024 segment revenues fell 7% on soft customer traffic. Lower Transactions Amid High Rates to Hurt Jones Lang (JLL) Per the Zacks analyst, lower commercial real estate transactions amid macroeconomic uncertainty and high interest rates offer a bleak prospect for Jones Lang LaSalle's transaction-based businesses. Zacks Reveals ChatGPT "Sleeper" Stock One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more. Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Roche Holding AG (RHHBY) : Free Stock Analysis Report AT&T Inc. (T) : Free Stock Analysis Report NVIDIA Corporation (NVDA) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report Anheuser-Busch InBev SA/NV (BUD) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips One of the best ways to keep your portfolio safe and generate consistent income is investing in dividend stocks. And when they’re paid out by reputable companies that have raised dividends for years, they have lasting strength and stability. For example, let’s look at American States Water (NYSE:AWR). American States is a water and electrical utility company that’s been around since 1929. For the last 69 years, it has consistently increased its dividend. Not only are you owning a reliable company with financial stability, you are also owning a stock that continues to pay. That’s the kind of security to keep your retirement safe. So, let’s explore other reliable and safe dividend stocks to buy and hold now. Realty Income (O) Source: Shutterstock With a yield of 5.51% and interest rates likely to drop in 2024, Realty Income (NYSE:O) is a steal at current prices. Since bottoming out around $46, it ran back to $55.80. Now, if it can break above resistance at $56.09, it could potentially run back to $60 a share, near term. Even better, Realty Income is a reliable, dividend-paying powerhouse that should thrive with interest rates likely to dip. Already around for 50 years, it’s managed to survive every major historical economic disaster and recovery. And it’ll probably be around for another 50 with even higher yields down the road. With 13,100 properties, it’s still seeing strong demand, with an occupancy rate of 99%. In fact, Realty Income has some of the most reliable tenants on the market. Those include Dollar General (NYSE:DG), Walgreen’s (NASDAQ:WBA), Dollar Tree (NASDAQ:DLTR), FedEx (NYSE:FDX), BJ’s (NYSE:BJ), CVS (NYSE:CVS), Walmart (NYSE:WMT), and Lowe’s (NYSE:LOW). AT&T (T) Source: Roman Tiraspolsky / Shutterstock.com With a yield of about 6.5%, AT&T (NYSE:T) is another top dividend stock to consider for the long term. While the first half of 2023 was a disaster for the telecom, it recently jumped from about $13.50 to $17.18. From here, I’d eventually like to see it refill its bearish gap around $19 a share. Helping, analysts at Citi just raised their price target to $18, with a buy rating. That was after “AT&T reported strong Q3 results, with better than anticipated volumes from postpaid phones and fiber net adds and EBITDA growth of 4.6%,” as noted by TheFly.com. Even better, AT&T director Stephen J. Luczo just bought $971,875 worth of AT&T shares at an average price of $15.55. Plus, AT&T has been running on news it’ll spend $14 billion on network equipment in a deal with Ericsson (ERIC). “With this collaboration, we will open up radio access networks, drive innovation, spur competition and connect more Americans with 5G and fiber,” said Chris Sambar, executive vice president of AT&T Network, as quoted by Barron’s. SPDR Portfolio S&P 500 High Dividend ETF (SPYD) Source: Eviart / Shutterstock.com Finally, dividend-paying ETFs, like the SPDR Portfolio S&P 500 High Dividend ETF (NYSEARCA:SPYD) are a catch. With an expense ratio of 0.07% and a yield of 4.81%, the ETF provides dividend income and the opportunity for capital appreciation, according to State Street Global Advisors. Some of its top holdings include NRG Energy(NYSE:NRG), Phillips 66 (NYSE:PSX), Packaging Corp. of America (NYSE:PKG), and IBM (NYSE:IBM) to name a few. After a volatile year, the ETF recently bottomed out around $33 and ran to $37.62 in recent weeks. Now, if it can break above resistance around $38.44, it could test $40 again soon. On the date of publication, Ian Cooper did not hold (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Ian Cooper, a contributor to InvestorPlace.com, has been analyzing stocks and options for web-based advisories since 1999. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Secure Your Retirement With These 3 Dividend Stocks appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	Of the three major U.S. wireless providers, Verizon (NYSE: VZ) has been having the most trouble winning and keeping customers. Verizon has reported a net loss of wireless retail postpaid phone subscribers in six of the past seven quarters. Rival AT&T's (NYSE: T) postpaid phone net adds have slowed down this year, but the company is still reliably adding a few hundred thousand net new subscribers each quarter. T-Mobile (NASDAQ: TMUS) has been doing even better, gaining new subscribers at an impressive clip. Verizon launched a new set of wireless plans earlier this year collectively called myPlan. The idea was to offer subscribers their choices from a menu of $10 monthly add-ons to the core wireless plans. In theory, the more add-ons a subscriber chooses, the less likely that subscriber will be to switch away from Verizon. Bundling Netflix and Max So far, the add-on options have been somewhat limited. The Disney bundle, which includes ad-supported versions of Disney+, Hulu, and ESPN+, is the most notable option. Others include a slightly discounted subscription to Walmart's Walmart+ service and add-ons featuring various Apple services. On Monday, Verizon announced that it was adding another streaming option to the mix. Its new $10 add-on, which includes ad-supported versions of both Netflix (NASDAQ: NFLX) and Warner Bros. Discovery's (NASDAQ: WBD) Max streaming service, will be available on Dec. 7. The price represents a discount of about 40% compared to subscribing to both services independently. In contrast to Verizon's strategy, T-Mobile bundles Netflix with its two priciest wireless plans without any additional fees. AT&T doesn't bundle streaming services with its wireless plans, but it does offer discounted bundles for those who opt for both its wireless and fiber home internet services. Comparing wireless plans can be tricky, but one problem Verizon has is that its plans tend to be more expensive than those of competitors. This premium pricing strategy isn't really working anymore. Verizon's Ultimate plan goes for $55 per line with 4 lines before any add-ons. T-Mobile's Go5G Plus plan is $50 per line with 3 lines, and includes Netflix. AT&T's Unlimited Premium plan is $50 per line with 4 lines without any streaming services bundled. Someone who already subscribes to multiple streaming services could potentially save money by switching to Verizon and taking advantage of both streaming add-ons, but ultimately, the savings aren't very meaningful. A few dollars a month may not be enough to compel many people to switch wireless providers. Generating cash While Verizon is struggling to grow its subscriber count, the company is still generating plenty of cash. Through the first nine months of 2023, it grew its free-cash-flow generation by more than $2 billion to $14.6 billion. For the full year, the company expects free cash flow to top $18 billion. Verizon's ability to extract cash from its massive subscriber base is a positive, but its inability to prevent that subscriber base from slowly eroding is one reason to be skeptical of it as an investment. Verizon stock looks cheap, trading for about 9 times free-cash-flow guidance. But AT&T stock is even cheaper, and it's not having the same problems with subscriber losses. Verizon's bundling strategy could start to work as its slate of optional add-ons grows. Bundling together Netflix and Max at a significant discount could be an attractive proposition, particularly for consumers tired of managing too many subscriptions. But the price to access that discount is paying for one of Verizon's expensive wireless plans. For many smartphone users, the add-ons may not be compelling enough to offset its premium pricing. 10 stocks we like better than Verizon Communications When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Verizon Communications wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 4, 2023 Timothy Green has positions in AT&T, Walt Disney, and Warner Bros. Discovery. The Motley Fool has positions in and recommends Apple, Netflix, Walmart, Walt Disney, and Warner Bros. Discovery. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	AT&T (NYSE: T) is exiting a huge investment phase as it builds out a 5G network. But that phase of spending is now over and the company's cash flow is trending higher. In this video, Travis Hoium covers the cash-flow and business trends for AT&T and shares why this 7% dividend yield is simply too good for investors to pass up. Stock prices used were end-of-day prices of Dec. 1, 2023. The video was published on Dec. 4, 2023. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 4, 2023 Travis Hoium has positions in Verizon Communications. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-06	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Tech stocks were mixed in late Tuesday afternoon trading, with the Technology Select Sector SPDR Fund (XLK) rising 0.5% and the Philadelphia Semiconductor index falling 0.5%. In corporate news, Microsoft (MSFT) said Tuesday it is adjusting prices for cloud and software services in several currencies starting next year to ensure consistent pricing across different geographies. Its shares added 0.8%. Ericsson (ERIC) shares jumped 4.3% after AT&T (T) announced a collaboration with the company to deploy radio access networks in the US. Nokia (NOK) said AT&T's plans to use other vendors for radio access networks will cut into its revenue from AT&T over the next two to three years and push back its timeline for reaching double-digit operating margin by up to two years. Nokia shares fell almost 5%. GitLab (GTLB) jumped 11% after saying late Monday it swung to fiscal Q3 non-GAAP earnings of $0.09 per diluted share from a loss of $0.10 a year earlier. Analysts surveyed by Capital IQ expected a non-GAAP loss of $0.01. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Albemarle Corp. (Symbol: ALB), where a total volume of 18,059 contracts has been traded thus far today, a contract volume which is representative of approximately 1.8 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 59.3% of ALB's average daily trading volume over the past month, of 3.0 million shares. Especially high volume was seen for the $90 strike put option expiring January 12, 2024, with 3,565 contracts trading so far today, representing approximately 356,500 underlying shares of ALB. Below is a chart showing ALB's trailing twelve month trading history, with the $90 strike highlighted in orange: AT&T Inc (Symbol: T) options are showing a volume of 167,834 contracts thus far today. That number of contracts represents approximately 16.8 million underlying shares, working out to a sizeable 59% of T's average daily trading volume over the past month, of 28.4 million shares. Especially high volume was seen for the $16.50 strike call option expiring December 08, 2023, with 37,202 contracts trading so far today, representing approximately 3.7 million underlying shares of T. Below is a chart showing T's trailing twelve month trading history, with the $16.50 strike highlighted in orange: And Alphabet Inc (Symbol: GOOG) saw options trading volume of 112,441 contracts, representing approximately 11.2 million underlying shares or approximately 58.6% of GOOG's average daily trading volume over the past month, of 19.2 million shares. Especially high volume was seen for the $137 strike call option expiring December 08, 2023, with 11,168 contracts trading so far today, representing approximately 1.1 million underlying shares of GOOG. Below is a chart showing GOOG's trailing twelve month trading history, with the $137 strike highlighted in orange: For the various different available expirations for ALB options, T options, or GOOG options, visit StockOptionsChannel.com. Today's Most Active Call & Put Options of the S&P 500 » Also see: Andreas Halvorsen Stock Picks AOK market cap history Funds Holding ENX The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Tech stocks were mixed in Tuesday afternoon trading, with the Technology Select Sector SPDR Fund (XLK) rising 0.4% and the Philadelphia Semiconductor index falling 0.6%. In corporate news, Ericsson (ERIC) shares jumped 5.1% after AT&T (T) announced a collaboration project with the company to deploy radio access networks in the US. Nokia (NOK) said AT&T's plans to use other vendors to deploy radio access networks will cut into its revenue from AT&T over the next two to three years and push back its timeline for reaching double-digit operating margin by up to two years. Nokia shares fell 4.8%. GitLab (GTLB) jumped 13% after saying it swung to fiscal Q3 non-GAAP earnings of $0.09 per diluted share from a loss of $0.10 a year earlier. Analysts surveyed by Capital IQ expected a non-GAAP loss of $0.01. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Ericsson ERIC recently inked a five-year deal with AT&T Inc. T, a major player in communication services, estimated at around $14 billion. By utilizing Ericsson’s comprehensive wireless equipment portfolio, AT&T is aiming to accelerate the deployment of an open and interoperable Radio Access Network (RAN) across the United States. The strategic shift toward open, cloud-based, and programmable networks leveraging Ericsson's open architecture will empower AT&T to seamlessly integrate the next-generation wireless technology advancements. This will lay the groundwork for establishing an energy-efficient, sustainable network infrastructure. Falling dependence on proprietary interfaces will bring several advantages in terms of enhanced scalability and optimized network management. Owing to this greater scalability, Open RAN can accommodate various network sizes and adapt to evolving demand patterns. The highly agile Open RAN system will simplify the introduction of new features and services. Its interoperability features support AT&T with smooth integration of components and foster better coordination with suppliers including Corning, Intel, Fujitsu and others. Transitioning to cloud RAN, the use of standardized hardware and software will result in long-term cost savings and improved operational efficiency. Moreover, Ericsson’s decision to open up radio access networks will likely encourage healthy competition, speed up innovation and lower costs. These advancements will craft new performance-based business models backed by open interfaces and APIs. This will likely boost revenue potential for network operators. For this venture, Ericsson will utilize its Texas-based 5G smart factory to produce cutting-edge 5G and Advanced Antenna System radios. By 2024, AT&T aims to operate fully integrated Open RAN sites in partnership with Ericsson and Fujitsu. The company is also aiming to leverage the open, capable platform for 70% of total wireless network traffic flow by 2026. With this partnership with Ericsson, AT&T seeks to build a robust and competitive wireless network across North America and match the fast-growing connectivity demand in the region. This high-performance and differentiated network will serve as the cornerstone for the next phase of digitization. It will offer vital infrastructure and bandwidth necessary for advanced use cases such as IoT, AI, and ML applications and elevate end-user digital experience across industries. This agreement significantly underscores Ericsson's credibility in the wireless equipment market and is likely to fuel further business expansion. With the emergence of the smartphone market and the subsequent usage of mobile broadband, user demand for coverage speed and quality has increased exponentially. To maintain performance with increased traffic, there is a consistent need for network tuning and optimization. Ericsson is much in demand among operators to expand network coverage and upgrade networks for higher speed and capacity. The company is reportedly the world’s largest supplier of LTE technology with a significant market share and has established a large number of LTE networks worldwide. ERIC focuses on 5G system development and has undertaken many notable endeavors to position itself as a market leader. It believes that the standardization of 5G is the cornerstone for digitizing industries and broadband. Ericsson expects mainstream 4G offerings to give way to 5G technology in the future. It currently has 157 live 5G networks across the globe, spanning 66 countries. The stock has lost 17.8% in the past year compared with the industry’s decline of 2.9%. Image Source: Zacks Investment Research Ericsson currently carries a Zacks Rank #3 (Hold). Stocks to Consider Model N Inc MODN, sporting a Zacks Rank #1 (Strong Buy), delivered an earnings surprise of 20.78%, on average, in the trailing four quarters. In the last reported quarter, it pulled off an earnings surprise of 3.33%. You can see the complete list of today’s Zacks #1 Rank stocks here. MODN provides revenue management solutions for life sciences and technology companies, including applications for configuration, price, quote, rebate management and regulatory compliance. Arista Networks, Inc. ANET, carrying a Zacks Rank #2 (Buy), is likely to benefit from strong momentum and diversification across its top verticals and product lines. The company has a software-driven, data-centric approach to help customers build their cloud architecture and enhance their cloud experience. Arista delivered an earnings surprise of 12%, on average, in the trailing four quarters. ANET holds a leadership position in 100-gigabit Ethernet switching share in port for the high-speed data center segment. Arista is increasingly gaining market traction in 200 and 400-gigabit high-performance switching products and is well-positioned for healthy growth in the data-driven cloud networking business with proactive platforms and predictive operations. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.0% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AT&T Inc. (T) : Free Stock Analysis Report Ericsson (ERIC) : Free Stock Analysis Report Model N, Inc. (MODN) : Free Stock Analysis Report Arista Networks, Inc. (ANET) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	AT&T (NYSE: T) is betting big on new open-source telecom equipment that it says will save it billions over time. Investors are excited about the development, sending AT&T shares up about 3% as of 11 a.m. ET Tuesday. AT&T is ready to reboot its network AT&T has agreed to buy upwards of $14 billion worth of hardware and services from Swedish equipment supplier Ericsson (NASDAQ: ERIC), part of the company's transition away from proprietary technology and toward what is known as Open and Interoperable Radio Access Network tech, or Open RAN. The five-year agreement will shift most of AT&T's equipment spending to Ericsson and away from Nokia (NYSE: NOK), which has been AT&T's vendor of choice in the past. There's a lot of upfront costs in shifting to Ericsson gear and Open RAN, but AT&T expects it to lead to savings over time. Open RAN standards allow for network operators like AT&T to source equipment from a number of suppliers instead of being locked into proprietary tech from just one vendor. AT&T said that over time the shift to Open RAN will allow it to work with a number of vendors including Ericsson, Corning, Dell, and Intel, resulting in more flexibility, lower costs, and a more efficient network. AT&T plans to have 70% of its wireless network traffic flowing across Open RAN platforms by late 2026. The company is betting that by embracing the open standards, it will bring more competitors into the market and bring prices down further in the years to come. "AT&T is taking the lead in open platform sourcing in our wireless network," AT&T Executive Vice President Chris Sambar said. "With this collaboration, we will open up radio access networks, drive innovation, spur competition, and connect more Americans with 5G and fiber." Is AT&T a buy after its big network deal? This is good news for AT&T, but the real stock mover to watch here is Nokia. The Finnish equipment manufacturer was down more than 4% on the news, and is now down more than 30% year to date. Telecom companies face a constant need to invest massive amounts in their networks. If Open RAN works as promised, it could be a game-changer for AT&T, allowing it to open up more of its big-ticket purchases to real competition and benefit from any resulting price wars. For investors already drawn to AT&T's predictable revenue streams and key position as a U.S. telecom heavyweight, the network move is just another element to the bull case for the stock. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 4, 2023 Lou Whiteman has no position in any of the stocks mentioned. The Motley Fool recommends Corning and Intel and recommends the following options: long January 2023 $57.50 calls on Intel, long January 2025 $45 calls on Intel, and short February 2024 $47 calls on Intel. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	In early trading on Tuesday, shares of AT&T topped the list of the day's best performing components of the S&P 500 index, trading up 3.6%. Year to date, AT&T has lost about 6.2% of its value. And the worst performing S&P 500 component thus far on the day is Albemarle, trading down 3.3%. Albemarle is lower by about 46.5% looking at the year to date performance. Two other components making moves today are Carmax, trading down 3.2%, and CVS Health, trading up 2.9% on the day. VIDEO: S&P 500 Movers: ALB, T The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	In a radical move that could redefine the sector dynamics, AT&T Inc. T has inked a five-year contract with Ericsson ERIC to modernize its network infrastructure. The deal, worth about $14 billion, will replace Nokia Corporation NOK, which once accounted for one-third of AT&T’s business, as one of the leading vendors of the carrier. With Nokia falling down the pecking order and losing out on significant revenue-generating opportunities, share prices dipped drastically as investors began to fret about the ominous signs for the firm. AT&T intends to leverage Ericsson technology to deploy commercial-scale open radio access network (Open RAN) across the country to help build a more robust ecosystem of network infrastructure providers and suppliers. The Open RAN architecture facilitates healthy competition among vendors for the supply of essential components and reduces dependence on a single manufacturer. It is likely to offer more flexibility, lower costs and help develop novel ideas to monetize the network. In addition, it will thwart security risks by avoiding reliance on non-U.S. vendors such as Huawei Technologies Co. For Ericsson, the deal marks a remarkable achievement to outdo its rival by embracing Open RAN technology to help create an open, agile, programmable wireless network. The company had earlier accounted for about two-thirds of AT&T’s U.S. network. The revitalized deal will aim to utilize Ericsson’s Open RAN architecture to help developers drive innovation through open and programmable networks while bringing new suppliers into the industry. This, in turn, is likely to foster modernization and competition in the U.S. wireless equipment market. Ericsson intends to step up production in its 5G Smart factory in Lewisville, TX, to cater to the increased demand for 5G equipment for this contract. With highly automated and efficient processes, the factory is fully powered by renewable electricity, producing next-generation 5G and Advanced Antenna System radios for Ericsson's U.S. customers. The company is reportedly the world’s largest supplier of LTE technology with a significant market share and has established a large number of LTE networks worldwide. The deal further exemplifies that Ericsson is much in demand among operators to expand network coverage and upgrade networks for higher speed and capacity. AT&T aims to deploy Open RAN for 70% of its wireless network traffic across open-capable platforms by late 2026. The company expects to have fully integrated Open RAN sites operating in coordination with Ericsson from 2024, enabling it to move away from closed proprietary interfaces for rapid scaling and management of mixed supplier hardware at each cell site. Beginning in 2025, the company intends to scale this Open RAN environment throughout its wireless network in coordination with multiple suppliers to establish itself as the leading player in the industry. Although Nokia is likely to remain a key partner for AT&T within both its Network Infrastructure and Cloud and Network Services businesses, supplying products such as microwave radio links and related solutions, the move is likely to have dealt a heavy blow with massive revenue loss. The company expects revenues from AT&T in the Mobile Networks business to decrease over the next two to three years, likely delaying the timeline of achieving double-digit operating margin by up to two years. This should ring the alarm bells for the company and calls for certain corrective actions to regain its position in the industry. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.0% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AT&T Inc. (T) : Free Stock Analysis Report Ericsson (ERIC) : Free Stock Analysis Report Nokia Corporation (NOK) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	In a radical move that could redefine the sector dynamics, AT&T Inc. T has inked a five-year contract with Ericsson ERIC to modernize its network infrastructure. The deal, worth about $14 billion, will replace Nokia Corporation NOK, which once accounted for one-third of AT&T’s business, as one of the leading vendors of the carrier. With Nokia falling down the pecking order and losing out on significant revenue-generating opportunities, share prices dipped drastically as investors began to fret about the ominous signs for the firm. AT&T intends to leverage Ericsson technology to deploy commercial-scale open radio access network (Open RAN) across the country to help build a more robust ecosystem of network infrastructure providers and suppliers. The Open RAN architecture facilitates healthy competition among vendors for the supply of essential components and reduces dependence on a single manufacturer. It is likely to offer more flexibility, lower costs and help develop novel ideas to monetize the network. In addition, it will thwart security risks by avoiding reliance on non-U.S. vendors such as Huawei Technologies Co. For Ericsson, the deal marks a remarkable achievement to outdo its rival by embracing Open RAN technology to help create an open, agile, programmable wireless network. The company had earlier accounted for about two-thirds of AT&T’s U.S. network. The revitalized deal will aim to utilize Ericsson’s Open RAN architecture to help developers drive innovation through open and programmable networks while bringing new suppliers into the industry. This, in turn, is likely to foster modernization and competition in the U.S. wireless equipment market. Ericsson intends to step up production in its 5G Smart factory in Lewisville, TX, to cater to the increased demand for 5G equipment for this contract. With highly automated and efficient processes, the factory is fully powered by renewable electricity, producing next-generation 5G and Advanced Antenna System radios for Ericsson's U.S. customers. The company is reportedly the world’s largest supplier of LTE technology with a significant market share and has established a large number of LTE networks worldwide. The deal further exemplifies that Ericsson is much in demand among operators to expand network coverage and upgrade networks for higher speed and capacity. AT&T aims to deploy Open RAN for 70% of its wireless network traffic across open-capable platforms by late 2026. The company expects to have fully integrated Open RAN sites operating in coordination with Ericsson from 2024, enabling it to move away from closed proprietary interfaces for rapid scaling and management of mixed supplier hardware at each cell site. Beginning in 2025, the company intends to scale this Open RAN environment throughout its wireless network in coordination with multiple suppliers to establish itself as the leading player in the industry. Although Nokia is likely to remain a key partner for AT&T within both its Network Infrastructure and Cloud and Network Services businesses, supplying products such as microwave radio links and related solutions, the move is likely to have dealt a heavy blow with massive revenue loss. The company expects revenues from AT&T in the Mobile Networks business to decrease over the next two to three years, likely delaying the timeline of achieving double-digit operating margin by up to two years. This should ring the alarm bells for the company and calls for certain corrective actions to regain its position in the industry. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.0% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AT&T Inc. (T) : Free Stock Analysis Report Ericsson (ERIC) : Free Stock Analysis Report Nokia Corporation (NOK) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Technology stocks were falling premarket Tuesday with the Technology Select Sector SPDR Fund (XLK) down 0.3% and the SPDR S&P Semiconductor ETF (XSD) 0.6% lower. GitLab (GTLB) was gaining over 13% in value after saying it swung to fiscal Q3 non-GAAP earnings of $0.09 per diluted share from a loss of $0.10 a year earlier. Analysts surveyed by Capital IQ expected a non-GAAP loss of $0.01. Nokia (NOK) was down more than 6% after saying AT&T's (T) plan to use other vendors in deploying an open radio access network will cut into its revenue from AT&T over the next two to three years and push back its timeline for reaching double-digit operating margin by up to two years. Take-Two Interactive Software's (TTWO) RockStar Games publishing label said Grand Theft Auto VI will be available for PlayStation 5 and Xbox Series X/S systems in 2025. Take-Two Interactive Software was down over 3% pre-bell. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Many investors see T-Mobile US (NASDAQ: TMUS) as the upstart wireless company seeking to compete with tech giants. So does T-Mobile management. As low prices and acquisitions helped the company gain market share with customers over the past decade, T-Mobile stock became increasingly popular with investors. That popularity among users and shareholders helped the telecom stock produce market-beating returns since its initial public offering (IPO) over 10 years ago. Even with its strong gains, there is still a sense that T-Mobile has further growth potential to tap into thanks to an approach that positions the company well relative to its main rivals. Let me explain. T-Mobile's growth Now chairman of Trilogy Partnerships, a private equity fund, John Stanton founded T-Mobile back in 1994 and called it VoiceStream Wireless at the time. It took the T-Mobile name when Deutsche Telekom bought a plurality stake in the company in 2002. However, it was not directly available to average investors as a stock until T-Mobile bought MetroPCS in April 2013. MetroPCS was public at that time, and through a reverse takeover, the combined company launched an IPO on May 1, 2013. Investors who bought $10,000 worth of the stock that day would have more than $92,340 today. Conversely, its two main peers, Verizon Communications (NYSE: VZ) and AT&T (NYSE: T), experienced losses on a $10,000 investment over the same period. TMUS data by YCharts Of course, all three companies pay out dividends (T-Mobile's only began recently), so the return involves more than just price. But even factoring in dividends reinvested, T-Mobile's total return since May 1, 2013, far outpaces its two main rivals. TMUS Total Return Price data by YCharts. T-Mobile vs. its peers Investors should also remember that T-Mobile started as a wireless carrier. This starkly contrasts Verizon and AT&T, which began as Baby Bells following the breakup of the original AT&T and were primarily landline service providers. These companies began to offer wireless services in the 1980s. Nonetheless, such services began at a high price point and attracted few customers initially. Thus, for much of their history, most of Verizon's and AT&T's revenue came from landlines and, later, fiber-related internet and TV offerings. Without such infrastructure, T-Mobile did not have these legacy costs nor the ongoing pension obligations that drew employees before T-Mobile existed. Nor does it now face possible litigation from lead cables installed decades ago the way that AT&T and Verizon currently do. This gave T-Mobile a financial advantage and freed the company to try new approaches. Over time, it gained market share by charging lower prices, thus squeezing competitors' margins. It also made notable acquisitions, such as MetroPCS and (more recently) Sprint. How differing strategies affected the stocks Due to T-Mobile's different approach, investors appear to view it more like a growth stock and have priced it as such. That may explain how T-Mobile stock grew as its peers lost traction. Another factor was dividends, which T-Mobile did not offer until recently. Indeed, T-Mobile will now pay shareholders $2.60 per share annually. But at a dividend yield of about 1.75%, dividend returns will significantly lag those of its peers, both of whom offer dividend returns of around 7%. However, investors should remember that T-Mobile's growth comes at a premium. With a price-to-earnings (P/E) ratio of 24, T-Mobile may not appear particularly expensive. But with both AT&T and Verizon having supporting P/E ratios under 10, those competitors could draw more value investors. TMUS PE Ratio data by YCharts. PE Ratio = price-to-earnings ratio. T-Mobile's past gains and future potential Without question, T-Mobile has produced massive gains for its investors. The over ninefold gain in T-Mobile stock bests its peers by a wide margin, and that outperformance will likely continue. At first glance, paying a dividend could make investors think it will face declines similar to AT&T and Verizon. Nonetheless, at a 1.75% dividend return, T-Mobile should have payout costs that are a fraction of its peers. Additionally, as a newer company, it does not face legacy costs concerning pensions, lead-clad cables, and other past business decisions that have proven costly. Such conditions probably leave T-Mobile best able to compete and try new approaches in the wireless business. 10 stocks we like better than T-Mobile US When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and T-Mobile US wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Will Healy has no position in any of the stocks mentioned. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Dec 5 (Reuters) - Ericsson ERICb.ST shares rallied in early trading on Tuesday after AT&TT.N chose the Swedish telecoms equipment maker over Finnish rival Nokia NOKIA.HE to build a network under a five-year deal that could see spending reach $14 billion. Ericsson rose around 8% on German trading platform Tradegate, while Nokia fell 9%. (Reporting by Danilo Masoni; Editing by Amanda Cooper) ((Danilo.Masoni@TR.com; Reuters Messaging: danilo.masoni.thomsonreuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	By Khushi Singh and Ankika Biswas Dec 5 (Reuters) - European stocks were muted on Tuesday as gains in energy shares offset a drop in miners and healthcare, while investors focused on a slew of economic data during the day for insights into the global monetary policy outlook. The pan-European STOXX 600 index .STOXX was little changed by 0913 GMT, stalling around a four-month high, after snapping a three-day winning streak on Monday. All eyes are now on November U.S. business activity data and October producer prices in the eurozone later in the day as investors remain largely determined that major central banks will start cutting interest rates quicker than previously expected as inflation falls and economic outlook worsens. Fresh data showed the downturn in euro zone business activity eased last month but still indicates the bloc's economy will contract again this quarter as the dominant services industry continues to struggle to generate demand. Further, ECB's October consumer expectations survey showed inflation expectations among eurozone consumers held steady last month while the outlook for economic growth worsened. Meanwhile, European Central Bank conservative Isabel Schnabel noted further interest hikes are "rather unlikely", after an unexpectedly big fall in inflation, steering bond yields sharply lower. Miners .SXPP were the top sectoral decliners, losing 0.8% tracking lower base metal prices, while energy stocks .SXEP gained 0.5% on higher crude oil prices. BarclaysBARC.L shares opened 4.5% lower, eventually paring some of the losses, after one of its largest shareholders Qatar Holding moved to sell around 510 million pound ($644 million) of its stock. "With Moody's switching China to a negative outlook, the expectation is that the slowing economic growth is going to have a knock-on effect for big international companies," said Danni Hewson, head of financial analysis at AJ Bell. The healthcare sector .SXDP was also down 0.3%, with Carl Zeiss MeditecAFXG.DE dropping 4.8% after J.P.Morgan started the German medical technology firm with an "underweight" rating. Ericsson ERICb.ST jumped 8.1% after AT&T T.Nchose the Swedish telecoms equipment maker over Finnish rival Nokia NOKIA.HE to build a telecom network, sending the latter's shares down 9.1% to the bottom of the STOXX 600. British eateries operator SSP GroupSSPG.L gained 4.5% following its annual dividend plans and an upbeat outlook. Italy's blue-chip index .FTMIB breached the 30,0000-point mark for the first time since 2008. Pirelli PIRC.MI gained 3.4% to top the index after UBS upgraded the Italian tyre maker to "buy" from "neutral". (Reporting by Khushi Singh in Bengaluru; Editing by Nivedita Bhattacharjee and Saumyadeb Chakrabarty) ((Khushi.Singh@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	The iShares Russell Top 200 ETF is seeing unusually high volume in afternoon trading Tuesday, with over 232,000 shares traded versus three month average volume of about 58,000. Shares of IWL were up about 0.1% on the day. Components of that ETF with the highest volume on Tuesday were Tesla, trading up about 1.9% with over 93.9 million shares changing hands so far this session, and AT&T, up about 3.2% on volume of over 44.5 million shares. CVS Health is the component faring the best Tuesday, higher by about 4.3% on the day, while Charter Communications is lagging other components of the iShares Russell Top 200 ETF, trading lower by about 8.4%. VIDEO: Tuesday's ETF with Unusual Volume: IWL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	One of the greatest aspects of putting your money to work on Wall Street is that there isn't a one-size-fits-all strategy to grow your wealth. But among the seemingly countless ways to grow your nest egg, it's tough to top the long-term success rate offered by purchasing high-quality dividend stocks. Companies that pay a regular dividend to their shareholders tend to be profitable on a recurring basis and time-tested. These are businesses that have demonstrated their ability to navigate a challenging economic climate and come out stronger on the other side. What's more, dividend stocks have statistically left non-paying companies eating their dust over long periods. A 2013 report from the wealth-management division of JPMorgan Chase found that companies initiating and growing their dividends generated an annualized return of 9.5% between 1972 and 2012. By comparison, publicly traded companies with no payout crawled to a meager 1.6% annualized return over this same four-decade span. Image source: Getty Images. In a perfect world, income seekers would generate supercharged yields with minimal risk to their principal. Unfortunately, studies have shown that risk and yield tend to correlate once high-yield status (4%) is reached. Put another way, higher-yielding stocks can sometimes be traps for income seekers. But this isn't always the case. With careful vetting, high-quality, ultra-high-yield stocks -- those with yields that are four or more times higher than the S&P 500 -- can deliver big-time returns for patient investors. What follows are three unrivaled ultra-high-yield stocks, sporting an average yield of 8.72%, which are begging to be bought in December. AT&T: 6.62% yield The first superior ultra-high-yield dividend stock that's itching to be bought as we motor toward the end of 2023 is legacy telecom stock AT&T (NYSE: T). Two headwinds were responsible for sending AT&T's stock to a 30-year low in July. The first is a rapid rise in interest rates, which will make future borrowing and refinancing costlier. AT&T closed out the September quarter with $138 billion in total debt. The other worry for AT&T is a report published in July from The Wall Street Journal that alleges lead-clad cables still in use by legacy telecoms may present a health hazard. The intimation is that the replacement of these cables, along with potential health-related liabilities, could be quite costly for telecom companies. Though these are real issues that prospective investors shouldn't sweep under the proverbial rug, they're not game changers for AT&T. For example, the WSJ report overlooks the fact that lead-sheathed cables make up a small percentage of AT&T's network. It also fails to consider that any liability costs (if there are any) would be determined in the U.S. court system, and that would likely be a long process. More importantly, AT&T's balance sheet has improved by leaps and bounds since spinning off its content arm, WarnerMedia, in April 2022. When WarnerMedia merged with Discovery to create Warner Bros. Discovery, this new media entity assumed certain lots of debt that AT&T had previously held. When combined with cash payments, this spinoff led to $40.4 billion in considerations for AT&T. Between March 31, 2022 and Sept. 30, 2023, AT&T's net debt fell from $169 billion to $128.7 billion. Even with higher interest rates, AT&T's balance sheet is in far better shape, and the company's 6.6% dividend yield looks safe for years to come. Best of all, the 5G revolution has led to a meaningful improvement in AT&T's core growth drivers. Wireless-data consumption is up, while overall churn rates remain near historic lows. Meanwhile, AT&T looks to be well on its way to a sixth consecutive year of at least 1 million net-broadband additions. Though broadband isn't the growth driver it was in the early 2000s, it's still a sales channel known to generate predictable cash flow and encourage high-margin service bundling. Valued at less than 7 times forward-year earnings, AT&T offers a favorable risk-versus-reward profile for income- and value-seeking investors. PennantPark Floating Rate Capital: 10.95% yield A second incomparable ultra-high-yield dividend stock that's begging to be added to income seekers' portfolios in December is little-known business development company (BDC) PennantPark Floating Rate Capital (NYSE: PFLT). PennantPark doles out its dividend on a monthly basis and has increased its payout twice since the year began. Without getting overly complicated, BDCs invest in the debt or equity (common and/or preferred stock) of middle-market companies, which are typically micro- and small-cap businesses. Though PennantPark does have equity investments in its portfolio, the $906.3 million in debt securities it holds makes it a primarily debt-focused BDC. The prime reason PennantPark has veered toward debt securities is because of their yield. Middle-market companies often have limited access to traditional debt and credit markets. This means they're paying above-market rates for the financing they can secure. As a result, PennantPark is netting a healthy return on the debt securities it's holding. But there's far more to this story. In case the full name of the company didn't give it away, the entirety of PennantPark Floating Rate Capital's debt-securities portfolio bears variable interest rates. Every rate hike by the nation's central bank since March 2022 has translated into higher yields for PennantPark. Over the trailing two years, ended Sept. 30, 2023, the company's weighted-average yield on debt investments has jumped 520 basis points to 12.6%. As long as the Fed remains hawkish, PennantPark will be rolling in the dough. Arguably, the biggest concern for PennantPark is the likelihood that one or more of these potentially unproven businesses defaults on their payments. But this "headwind" is a fairly moot point given the steps management has taken to protect their company's invested assets. To begin with, all but $0.1 million of the company's $906.3 million in debt investments has been put to work in first-lien secured debt. First-lien secured debtholders are first in line for repayment in the event that a borrower seeks bankruptcy protection. Furthermore, PennantPark has invested in 131 companies, including its equity stakes, which works out to an average investment of $8.1 million. No single investment is critical to the company's success, nor can any one investment turn this company on its head. Image source: Getty Images. Innovative Industrial Properties: 8.58% yield The third unrivaled ultra-high-yield dividend stock begging to be bought in December is cannabis-focused real estate investment trust (REIT) Innovative Industrial Properties (NYSE: IIPR), which is commonly known as "IIP." Since introducing a quarterly payout in the summer of 2017, IIP's distribution has grown by a jaw-dropping 1,100%! The way REITs make money is by acquiring properties/assets (often within a specific industry or focus) and leasing them for extended periods. Occasionally, these properties are also sold for a profit or to raise additional capital for a future acquisition. IIP is no different save for the fact that it's buying medical marijuana cultivation and processing facilities, and seeking to lease them for 10 or more years to multistate operators (MSOs). The buzzkill for Innovative Industrial Properties came in the form of an unexpected drop in its on-time rental-collection rate during the first quarter. Whereas a 100% collection rate had been the norm for years, a challenging environment for MSOs pushed its on-time collection rate in January and February down to 92%. Eventually, all REITs face collection challenges. IIP's management team has responded admirably to these speed bumps. A combination of asset sales and reworked master-lease agreements has increased the on-time rental collection rate to 97% in the September-ended quarter. Though 100% would (obviously) be better, there's minimal concern about IIP's operating cash flow or the safety of its quarterly distribution at the moment. Something else working in Innovative Industrial Properties' favor is the structure of its leases. The company's 103 properties-operating portfolio is 98.5% triple-net leased (also known as "NNN-leased"). A triple-net lease requires the tenant to cover virtually all property costs, including utilities, property taxes, insurance, and maintenance. While NNN leases result in a lower monthly-rental collection for IIP, they also remove the chance of unexpected costs rocking the boat. The key point here is that IIP's adjusted funds from operations (FFOs) are highly predictable. Lastly, Innovative Industrial Properties has actually benefited from the lack of cannabis reform on Capitol Hill. As long as marijuana remains illicit at the federal level, MSOs will have limited access to traditional lending services. IIP has stepped up with its sale-leaseback agreements. IIP is purchasing properties from cash-seeking MSOs, then leasing these properties back to the seller for the long run. It's a win for both parties, and it's helped expand IIPs vast portfolio. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 29, 2023 JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Sean Williams has positions in AT&T, Innovative Industrial Properties, PennantPark Floating Rate Capital, and Warner Bros. Discovery and has the following options: long June 2025 $13 calls on AT&T. The Motley Fool has positions in and recommends Innovative Industrial Properties, JPMorgan Chase, and Warner Bros. Discovery. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	(RTTNews) - Nokia (NOK) said the company is aware of AT&T's plans to commit to an Open RAN deployment in collaboration with other vendors over the next five years. Nokia now expects revenue from AT&T in Mobile Networks will decrease over the next 2-3 years. AT&T accounted for 5-8% of Mobile Networks net sales year-to-date in 2023. Nokia stated that it expects Mobile Networks to remain profitable over the coming years but this decision would delay the timeline of achieving double digit operating margin by up to 2 years. Nokia said the already announced action the company is taking to reduce cost base is expected to partially mitigate the impact of AT&T's decision. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	T	Comcast’s CMCSA Sky Sports secured the broadcasting rights for nearly a hundred additional English Premier League matches, starting 2025. This marks the first time that all matches, excluding Saturday 3 pm kickoffs, will be televised in the United Kingdom. For the seasons spanning 2025/26 to 2028/29, Sky Sports is set to broadcast a minimum of 215 live matches per season. Additionally, TNT Sports, previously known as BT Sport, will showcase 52 live matches per season within the same time frame. These lucrative broadcasting agreements are expected to generate substantial revenues of 6.7 billion pounds ($8.45 billion) over the four-year period, according to the premier league's official statement. Notably, this figure incorporates a 4% increase in the value of live rights compared with the previous rights procurement process. Sky Sports had previously paid 3.6 billion pounds in 2018 for a three-year deal, securing rights to broadcast 128 matches per season. The renewal of this deal occurred in 2021 amid the challenges posed by the pandemic, bypassing the usual tender process. Shares of CMCSA, which currently carries a Zacks Rank #2 (Buy), have risen 23.2% year to date compared with the Zacks Consumer Discretionary sector’s growth of 12.2%. This is because the company has consistently catered to the changing needs of its customers. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Comcast Corporation Price and Consensus Comcast Corporation price-consensus-chart \| Comcast Corporation Quote Sky Sports’ Lineup to Boost Total Domestic Broadband Customers Sky Sports, accessible to non-Sky subscribers through a NOW Sports Monthly membership, boasts an extensive lineup of top-quality sports content. In addition to football, Sky Sports provides comprehensive coverage of Formula 1, presenting every practice session, qualifying round and race until the end of 2029. Cricket enthusiasts can enjoy English cricket coverage, including ECB rights until 2028-end. Sky Sports also secured rights to all men's and women's ICC world events in cricket until the end of 2031. Tennis fans can also enjoy the year-round coverage from both the ATP and WTA Tours for the next five years, including the U.S. Open until 2028. The sports extravaganza on Sky Sports also includes international rugby union events, such as the 2025 British & Irish Lions Tour of Australia, and NFL action like the Super Bowl, year-round boxing and the PDC World Darts Championship. This is expected to aid Comcast’s total domestic broadband customers in the upcoming quarters. The Zacks Consensus Estimate for the company’s 2023 total domestic broadband customers is pegged at 32.25 million, indicating year-over-year growth of 0.29%. The consensus mark for earnings is pegged at $3.93 per share, indicating year-over-year growth of 7.97%. Sky Sports faces competition from TEGNA TGNA, DISH Network DISH and AT&T T. TEGNA has emerged as one of the largest broadcasting groups in the United States and a key provider of local news and media content, propelled by a series of strategic acquisitions. TGNA’s extensive portfolio is supported by long-term affiliation agreements with prominent networks and its TV stations engage in selling commercial advertising spots while producing local programming, including news, sports and entertainment. DISH Network Corporation, an American television service provider, owns both the Dish Network, a direct-broadcast satellite service and Sling TV, an over-the-top IPTV service. DISH offers a broad range of high-definition programming at the local, regional and national levels, including Latino and international packages. AT&T stands as one of the largest wireless service providers in North America and is a prominent global communications service provider. Through its subsidiary and affiliate network, AT&T provides diverse communication and business solutions, covering wireless services, local and long-distance phone services, data and broadband, Internet access, video streaming, managed networking, wholesale offerings and cloud-based services. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.0% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AT&T Inc. (T) : Free Stock Analysis Report Comcast Corporation (CMCSA) : Free Stock Analysis Report DISH Network Corporation (DISH) : Free Stock Analysis Report TEGNA Inc. (TGNA) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips There are good entertainment stocks, and then there are lousy entertainment stocks, such as AMC Entertainment (NYSE:AMC). The headline told the story. AMC Stock Falls After Disney’s Box Office Flop. Shares Are on Track for Their Worst Year Ever. I don’t know about you, but “ever” is long. As Barron’s pointed out, the movie business appears to be doing better than a year ago — the five-day box office sales for the Thanksgiving holiday period this year were $172 million, considerably higher than $122.8 million a year ago — which suggests there are some good stocks to buy amongst the bad. Year-to-date through Nov. 27, the domestic box office was $8.24 billion, on track to hit $9 billion by the end of 2023. It’s not $11 billion like in 2019 before the pandemic, but it’s coming along. So, which ones should you drop? Which ones should you grab? I’ve got two ideas for the former and one for the latter. AMC Entertainment (AMC) Source: rblfmr / Shutterstock.com AMC Entertainment’s share price is down nearly 78% in 2023, more than 89% over the past year, and 88% over the past five years. If you take it from AMC’s meme-stock highs of June 2021, its shares are down 97%. An indication of just how unwanted meme stocks have become, Roundhill Investments is closing the Roundhill MEME ETF (NYSEARCA:MEME) on Dec. 11. Launched almost two years ago, the ETF will liquidate its holdings and send the proceeds to shareholders on Dec. 14. According to Investor’s Business Daily, more than 80% of the ETF’s 25 holdings are down from Dec. 12, 2021, when it launched — equally weighted and rebalanced every two weeks. AMC is the ETF’s lowest weight, at 3.32%. Given the performance of AMC in 2023, it’s likely been the lowest weighting for most of the year. Weirdly, despite three of the seven analysts covering AMC rating it an outright Sell, the median target price is $8 a share, 17% higher than where it’s currently trading. I’ve had a problem with AMC stock for as long as I can remember. I just didn’t believe what CEO Adam Aron was selling. Most recently, in October, I suggested that he should resign after the catfishing scheme he got caught up in. AMC always trots out Aron’s long list of high-profile CEO jobs, including a decade in the top job at Vail Resorts (NYSE:MTN) between June 1996 and June 2006. However, most of the stock’s growth came well after he’d left the company. Its biggest issue is that it’s been saddled with too much debt — $9.3 billion as of Q3 2023 — for far too long. You can’t make money in the movie theater business when you’re saddled with debt. It works best when asset light. Warner Bros. Discovery (WBD) Source: Ingus Kruklitis / Shutterstock.com Warner Bros. Discovery (NASDAQ:WBD) is a massive entertainment company with enormous debt — approximately $44.8 billion, 162% of its current market capitalization. Its CEO, David Zaslav, is a highly paid chief executive — $286 million in the past two fiscal years — who convinced his board that it made sense to buy Warner Media from AT&T (NYSE:T) in 2022, burdening the merged entity with excessive interest payments. The argument for buying Warner Media was to scale its HBO streaming service with Discovery Communication’s Discovery+ streaming service to create a platform to take market share from Netflix (NASDAQ:NFLX) and Disney+. How’s WBD doing so far? Warner Bros. Discovery reported earnings on Nov. 8. They weren’t good. Its shares fell nearly 20% on the news. A big part of the disappointment: Max, its streaming service revolving around HBO, has lost 2.5 million subscribers over the past two quarters, defeating the purpose of adding all the debt required to buy Warner Media. At the same time, all of its peers gained subscribers in the latest quarter (Max lost 700,000), suggesting that the bill of goods Zaslav sold his board isn’t coming to fruition as promised. “The underperformance by Warners is a bit of a disappointment given that everyone else has done better,” Naveen Sarma, a managing director at S&P Global, told Fortune. Essentially, and this is only my opinion, not fact, former AT&T CEO Randall Stephenson created an ego project for himself when his company bought Time Warner in 2018 for $85.4 billion, and then David Zaslav created his ego project by merging with Warner Media. I don’t see why anyone would invest in a company that’s been part of not one but two ego projects. Sphere Entertainment (SPHR) Source: rblfmr / Shutterstock.com Sphere Entertainment (NYSE:SPHR) is the company behind Sphere, the $2.3 billion state-of-the-art live entertainment venue in Las Vegas opened by U2 in September. The venue provides seating for 18,600 people and, more impressively, 54,000 square meters (581,251 square feet) of light-emitting diodes (LEDs). Sphere is the new name of Madison Square Garden Entertainment (NYSE:MSGE). It was spun off in April 2023 to create a live entertainment and media dynamo that includes the Sphere venue and MSG Networks, its regional sports broadcasting business. MSGE holds Madison Square Garden’s non-sports assets, including Madison Square Garden, Radio City Music Hall, the Radio City Rockettes, and the Beacon Theatre. This isn’t a stock from which you should expect big things soon. However, due to the popularity of U2’s opening show, Sphere added 11 shows to the band’s residency. They will now play 36 shows between the end of September and February. As expected, the company lost $58 million on an adjusted basis in the first quarter ended September 30. Revenues will be significantly higher when it reports its next quarterly earnings in February. Onward and upward. Live shows and events remain one of the entertainment industry’s most profitable and growing segments. I expect big things from Sphere in 2024 and beyond. It’s a spinoff buy. On the date of publication, Will Ashworth did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Will Ashworth has written about investments full-time since 2008. Publications where he’s appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. He particularly enjoys creating model portfolios that stand the test of time. He lives in Halifax, Nova Scotia. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Hollywood Shuffle: 2 Entertainment Stocks to Drop and 1 to Grab appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	If you're trying to put your money to work on Wall Street, there's an endless array of interesting strategies. Luckily, one of the most effective methods to generate outsize returns, buying dividend stocks to hold long term, is also one of the easiest to implement. Businesses usually become profitable on a recurring basis long before they commit to a dividend program. Once they make such a commitment, returning a portion of profits to shareholders forces management teams to make smarter decisions. Image source: Getty Images. By taking fewer unnecessary risks, dividend-paying businesses tend to outperform non-dividend-payers by a wide margin. During the 50-year period between 1973 and 2022, dividend-paying stocks in the benchmark S&P 500 index delivered a 9.18% average annual return, while non-dividend-paying stocks in the same index returned just 3.95% on average, according to Hartford Funds and Ned Davis Research. If you're sitting on $5,500 that you don't need to pay bills or cover unforeseen emergencies, spreading it around these three stocks could mean $500 of dividend income enters your brokerage account over the next 12 months. Plus, there could be much more in the years that follow. AT&T Income-seeking investors should be flocking to AT&T (NYSE: T) now that it's sold off all of its risky media assets. AT&T finished September with $129 billion in net debt. This is a heavy load, but highly reliable cash flows from mobile, home, and business internet subscribers are sufficient to whittle it down to a more manageable figure. AT&T generated $19.8 billion in free cash flow during the 12 months ended Sept. 30 and it's using these profits to reduce debt. The company is on pace to achieve a net debt-to-adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) ratio in the 2.5 range during the first half of 2025. At recent prices, AT&T shares offer a 6.6% yield. At this level, $1,510 is enough to secure $100 per year in dividend payments that could rise significantly in the years ahead. PennantPark Floating Rate Capital PenantPark Floating Rate Capital (NYSE: PFLT) is a business development company (BDC) that offers investors a huge 10.9% yield at recent prices. With such a high yield, you can set yourself up with $200 in annual dividend payments by adding around $1,850 worth of shares to your portfolio. This is a great stock for income investors who are in a hurry. In addition to a huge up-front yield, it offers monthly dividend payouts. America's BDCs exist to finance middle-market businesses that the country's biggest banks tend to ignore. PennantPark Floating Rate Capital's $1.1 billion portfolio is spread across 130 portfolio companies. BDCs don't have to pay income taxes as long as they distribute at least 90% of profits to investors as a dividend. That makes growth a challenge, but PennantPark Floating Rate Capital was able to raise its dividend payout by 7.9% in 2023. As its name implies, this BDC specializes in variable-rate debt that's a lot more expensive to service now that interest rates have risen sharply. Despite the challenges, just three of its portfolio companies representing less than 1% of the portfolio were on non-accrual status at the end of September. Ares Capital With a portfolio worth around $21.9 billion, Ares Capital (NASDAQ: ARCC) is America's largest BDC. It offers a 9.6% yield at recent prices, so an investment of $2,100 is more than enough to secure $200 in annualized dividend payments. Ares Capital's dividend is up by 20% since early 2021. Investors can reasonably expect it to continue rising in the years to come. Loans on non-accrual status peaked in the first quarter of this year at 2.3% of the portfolio. This figure fell to a very manageable 1.2% during the third quarter. Around 69% of the loans on Ares Capital's books collect interest at floating rates, which works out well for the BDC and its shareholders. The average yield it receives on debt has risen sharply from 8.7% in the fourth quarter of 2021 to 12.4% in the third quarter of this year. Ares Capital made it through the global financial crisis and the COVID-19 pandemic relatively unscathed. In fact, its debt-to-equity ratio improved significantly over the past year. A deep economic downturn that wipes out its portfolio companies could cause trouble for investors. Given its track record so far, though, market-beating gains seem far more likely. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Cory Renauer has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) CEO Warren Buffett is a truly remarkable business picker. To illustrate the point, a mere $100 invested in Berkshire Hathaway stock 43 years ago would now be worth a staggering $187,000. However, even Buffett is not immune to the forces of "creative destruction" that shape the American economy. To wit, most of Buffett's extraordinary returns over the years have come from a small handful of exceptional performers such as Apple, American Express, and Coca-Cola. These top performers have been able to consistently expand into new markets, often driving their competitors to extinction. Image Source: Getty Images. On the flip side, Buffett has also lost money on many investments over the years due to this same competitive dynamic; a fact that reflects another well-known market phenomenon in that less than 2.5% of all publicly traded stocks account for a whopping 10% of wealth creation over the past 40 plus years. The lesson here for lay investors is that winning stocks tend to keep winning. Armed with this insight, here is a look at one of Berkshire Hathaway's best stock picks in the past three years, and why this market-crushing stock is still a strong buy right now. A telecom juggernaut Berkshire Hathaway first purchased shares of T-Mobile (NASDAQ: TMUS) in the third quarter of 2020, according to whalewisdom.com. The diversified conglomerate's share purchases occurred only a few months after T-Mobile completed its merger with Sprint, a move that made it one of the largest wireless carriers in the United States. The big ticket item for investors is that this strategic merger gave the company the scale necessary to compete on even footing with industry titans AT&T (NYSE: T) and Verizon (NYSE: VZ). Although T-Mobile's shares haven't outperformed the benchmark S&P 500 since this merger went through, its shares are still up by a healthy 79.6% over this period. Moreover, it now has the staying power to be a major player in the U.S. telecom industry for the foreseeable future. Even though T-Mobile's stock hasn't been a market beater in recent times, its prior three-year performance is substantially better than that of so-called "risk-free" assets such as T-bills over this period. T-Mobile's stock has thus performed exceptionally well on a risk-adjusted basis over Berkshire Hathaway's ownership period, which is most likely the holding company's real performance target. Very few stocks consistently outperform the S&P 500 index after all. Why is T-Mobile stock still a buy? There are three simple yet powerful reasons to consider following Berkshire Hathaway's lead on this top telecom stock right now. First up, the company recently started paying a dividend. While its yield of 0.43% won't appeal to passive income investors, this figure is within the sweet spot for dividend stocks as capital appreciation vehicles. Second, T-Mobile has been steadily buying back shares in recent quarters, which is a positive development for shareholders. Third, Wall Street analysts expect the U.S. telecom industry to stabilize from a competitive positioning standpoint over the next several years, which should result in improving free cash flows for T-Mobile, as well as its fellow wireless carriers AT&T and Verizon. Key takeaway Among the big three U.S. wireless carriers, T-Mobile is easily the most appealing as a capital appreciation vehicle. And with management ratcheting up the company's shareholder rewards program, its prospects as a growth vehicle look exceptionally bright. 10 stocks we like better than T-Mobile When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and T-Mobile wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 29, 2023 American Express is an advertising partner of The Ascent, a Motley Fool company. George Budwell has positions in AT&T and Apple. The Motley Fool has positions in and recommends Apple and Berkshire Hathaway. The Motley Fool recommends T-Mobile US and Verizon Communications and recommends the following options: long January 2024 $47.50 calls on Coca-Cola. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	By Ankika Biswas, Khushi Singh and Bansari Mayur Kamdar Dec 4 (Reuters) - Miners and energy stocks dragged Europe's benchmark indexmarginally lower on Monday, hurt by weak commodity prices, after the benchmark index notched strong gains last week on escalating bets of interest rate cuts. The pan-European STOXX 600 .STOXX slipped 0.1%, after touching a fresh four-month high in early trade and posting its third straight weekly gain on Friday. Miners .SXPP shed 2.4% as a stronger U.S. dollar weighed on copper prices, while energy stocks .SXEP fell 1.6% afteroil prices slid amid persistent pressure from the OPEC+ decision on supply cuts and uncertainty over global fuel demand growth. Investors will keep an eye out for a slew of data this week, including eurozone PMI, producer prices, retail sales and gross domestic product, to gauge the inflation and economic outlook. Further, the U.S. November payrolls report this week, will be on the radar following remarks from Federal Reserve Chair Jerome Powell on Friday that bolstered expectations that key policy rates have peaked. A continued easing in inflation across major economies has fuelled speculations that interest rates globally could come down quicker than previously thought, boosting stocks, although multiple central bank officials have pushed back against such bets. Europe's STOXX 600 has risen nearly 10% year-to-date, underperforming the U.S. benchmark S&P 500's .SPX near-20% jump, which was also aided by strong enthusiasm around artificial intelligence stocks and better-than-expected third-quarter earnings. "European stocks will continue to fall behind their U.S. peers because we do have the rate cut expectations, but those in the euro zone don't show a soft landing," said Ipek Ozkardeskaya, senior market analyst, Swissquote Bank. "Growth in the U.S. is still above average, whereas in Europe, we're talking about contraction or at best a stagnation... So there's a greater chance to see the ECB cut rates first than the Fed." Among individual stocks, NokiaNOKIA.HE fell 6.5%, with an analyst pointing to market speculation indicating AT&T T.N may remove the Finnish provider of mobile network technology from its vendor list. Roche ROG.S gained 2.8% after agreeing to take over obesity drug developer Carmot Therapeutics CRMO.O for $2.7 billion, steering a 0.5% gain in the healthcare sector .SXDP. Rolls-Royce RR.L and Proximus PROX.BR jumped 3.1% and 1.0%, respectively, after J.P. Morgan upgraded the engineering company and the Belgian telecom group's stocks to "Overweight" from "Neutral" each. ASM International N.V ASMI.AS fell 6.4% to the bottom of STOXX 600, dragging tech stocks .SX8P 0.8% lower. Meanwhile, Greece's 10-year government bond yield touched its lowest level since June after ratings agency Fitch upgraded its sovereign rating to investment grade. (Reporting by Ankika Biswas, Khushi Singh and Bansari Mayur Kamdar in Bengaluru; Editing by Rashmi Aich, Sohini Goswami and Christina Fincher) ((Ankika.Biswas@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	(RTTNews) - AT&T plans to lead the United States in commercial scale open radio access network or Open RAN deployment. The move, in collaboration with Ericsson, will further the telecommunications industry efforts and help build a more robust ecosystem of network infrastructure providers and suppliers, the companies said in a statement. AT&T's spend could approach about $14 billion over the 5-year term of the contract with Ericsson. AT&T's Open RAN plan is for 70% of its wireless network traffic to flow across open-capable platforms by late 2026. The company expects to have fully integrated Open RAN sites operating in coordination with Ericsson and Fujitsu, starting in 2024. This move away from closed proprietary interfaces will enable rapid scaling and management of mixed supplier hardware at each cell site. Beginning in 2025, AT&T will scale the Open RAN environment throughout its wireless network in coordination with multiple suppliers such as Corning Incorporated, Dell Technologies, Ericsson, Fujitsu, and Intel. Ericsson will leverage its USA 5G Smart Factory in Lewisville, Texas in the manufacture of 5G equipment for this contract. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	Fool.com contributor Parkev Tatevosian reveals his top dividend stocks to buy in December. Stock prices used were the afternoon prices of Nov. 30, 2023. The video was published on Dec. 3, 2023. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Parkev Tatevosian, CFA has positions in 3M. The Motley Fool has positions in and recommends Microsoft and Target. The Motley Fool recommends 3M, Deere, and eBay and recommends the following options: short January 2024 $45 calls on eBay. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	T	By Supantha Mukherjee STOCKHOLM, Dec 4 (Reuters) - AT&T T.N said on Monday it chose Ericsson ERICb.ST to build a telecom network that uses only so-called ORAN technology and which will cover 70% of its wireless traffic in the United States by late 2026, marking a milestone for the new technology. ORAN or open radio access network promises to cut costs drastically for telecom operators as it uses cloud-based software and gear from many suppliers instead of relying on proprietary equipment supplied by such companies as Nokia NOKIA.HE, Ericsson and Huawei HWT.UL which do not work with each other. While several telecom providers such as Telefonica TEF.MC and Vodafone VOD.L have tested the technology, mass adoption has been slow by existing carriers. New networks by Dish DISH.O and Japan's Rakuten 4755.T use Open RAN. AT&T has been analyzing Open RAN for six months with a team of hundreds, an executive said, and has looked at multiple vendors and sought proposals. "All of the new equipment that we are going to be putting out will be Open RAN capable," Chris Sambar, president of AT&T Network, told Reuters. AT&T's spending could approach $14 billion over the five-year term of the contract with Ericsson, the company said. Winning the Open RAN deal will make Ericsson the largest supplier to AT&T as it slowly takes over Nokia's share, the company said. Nokia shares fell 8.7% in New York on Monday on speculation that the company might lose the AT&T contract, analysts said. In 2020, Nokia suffered a setback when Samsung 005930.KS won a $6.64 billion contract to supply 5G equipment to Verizon VZ.N in the U.S. Open RAN has struggled as major telecom vendors had resisted opening up their proprietary interfaces for other companies over fears of losing business. Ericsson has now agreed to open up those interfaces across its footprint, Sambar said. "You've got to give them something that they really want and in return, we are going to get something that not only AT&T wants but the entire industry wants," he said. AT&T will still have contracts which other Open RAN vendors outside this deal. AT&T expects fully integrated Open RAN sites operating in coordination with Ericsson and Fujitsu 6702.T, starting in 2024. In 2025, the company's network will have equipment from multiple suppliers. "This is not a subscale trial. This is us and our partner going 100% all in on this, so we think this is really going to change the industry," Sambar said. (Reporting by Supantha Mukherjee in Stockholm Editing by Matthew Lewis) ((supantha.mukherjee@thomsonreuters.com; +46 70 721 1004; Reuters Messaging: supantha.mukherjee.thomsonreuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-02	T	The S&P 500 is the benchmark for the investing world. This well-known index comprises 500 of the largest and most visible corporations in the United States, the world's leading economy. It's also a great hunting ground for phenomenal long-term stock ideas to fit any investing strategy. Dividend investors are a large group with a specific investing strategy, buying stocks that will help them build large income streams from dividends. Many of these dividend enthusiasts rely on these five generous dividend-paying S&P 500 stocks for their huge payouts. Let's find out a bit more about these five stocks. Image source: Getty Images 1. Altria Group American tobacco giant Altria Group (NYSE: MO) has made millions for shareholders over the past century selling Marlboro cigarettes in the United States. The company's golden years are far behind it now that the general public is better informed about the dangers of smoking. Still, the addictive properties of nicotine give Altria the pricing power to continue growing profits despite smoking rates declining since the 1960s. Cigarettes are cheap to manufacture, so the company has few operating expenses. Most of Altria's profits go to shareholders as dividends. The company's dividend payout ratio is roughly 80% of cash flow. Altria's raised the dividend 58 times over the past 54 years, meaning investors are getting paid more over time. Shares offer a generous 9.3% dividend yield at today's share price. 2. AbbVie Pharmaceuticals are a lucrative industry, especially if the company manages to develop a blockbuster drug. Patents protect proprietary formulas from competition for several years and allow the company to benefit from its development efforts. AbbVie (NYSE: ABBV) was a significant benefactor for several years from the success of Humira, the world's top-selling drug. Unfortunately, its patent protection expired recently. But don't worry; the company used its Humira profits to build the rest of the company into a juggernaut and it has several other drugs ready or in development to take up the slack. AbbVie has become a favorite among dividend investors. Not only is the yield juicy at 4.5%, but the payout has also grown by an average of 17% annually over the past decade. The dividend payout ratio is still manageable at 42% of cash flow, so investors could see a nice one-two combo of yield and dividend growth moving forward. 3. Verizon Communications Virtually everyone in America has a cellphone or smartphone. The importance of smartphones to consumers' everyday lives has made telecommunications companies like Verizon Communications (NYSE: VZ) more like utility companies. People seemingly pay their phone bills as religiously as their water or electricity. This creates steady revenue streams for Verizon, which results in fertile ground for steady and increasing dividend payments. Verizon must invest constantly in upgrading and maintaining its wireless network, so investors should look at net income instead of cash flow to judge the dividend. Fortunately, Verizon spends just half its earnings on the dividend, so investors should be in good shape with its 7.1% dividend yield. 4. Philip Morris International Marlboro is a worldwide brand, but Altria only sells it in America. Philip Morris International (NYSE: PM) was spun off from Altria over a decade ago and owns international rights to Marlboro. That shortens its dividend history, but Philip Morris has raised its dividend yearly as a public company. That streak currently stands at 15 years. The dividend payout ratio is high at 103%, but profits could grow and bring that ratio down over the coming years. How? Philip Morris has done a great job innovating and moving into growing nicotine categories. It developed IQOS, a device that heats (but doesn't burn) tobacco to produce vapor. It also acquired Swedish Match, which makes the Zyn brand of oral nicotine pouches. Philip Morris is bringing these opportunities to global markets, including America, so the stock has long-term growth potential. 5. AT&T A small group of significant players dominates the U.S. wireless communications market. Verizon is second-largest to AT&T (NYSE: T), which holds a 47% share. Today, AT&T is a different company from what it's been for most of the decade. It tried, failed, and exited the entertainment industry and is now concentrating on telecommunications again. The stock offers a dividend yield of more than 6.8%. It's not all rosy. The company still carries $138 billion in long-term debt, scars from its former entertainment ambitions. However, the dividend payout ratio is back to under half of net income after management cut the dividend once to free up more money to pay off its debt. Financially, AT&T seems back on its feet, giving investors confidence to continue the dividends. 10 stocks we like better than Altria Group When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Altria Group wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Sponsored Links Learn How To Write Faster for Work (Find Out Now) Grammarly Learn More Justin Pope has no position in any of the stocks mentioned. The Motley Fool recommends Philip Morris International and Verizon Communications. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-02	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap value stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top NASDAQ 100 Stocks Factor-Based ETF Portfolios Harry Browne Permanent Portfolio Ray Dalio All Weather Portfolio High Shareholder Yield Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-01	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The top tech stocks are more just the “Magnificent Seven” list or the next big thing in artificial intelligence. Today, in a higher interest rate environment, you can’t afford to gamble on companies with limited long-term prospects or poor financials. Markets aren’t rewarding bad financial management, nor are they throwing cash at losers with limited viability. To find the top tech stocks to buy, you’ll need to focus on two core fundamentals. First, look to stocks in a high-demand industry offering unique solutions to common problems through innovation. Second, they need the financial standing to weather whatever economic cycle we see over the next year or so. These three tech stocks meet the mark and stand as the top tech stocks today. AST SpaceMobile (ASTS) Source: Andrey Suslov / Shutterstock.com AST SpaceMobile (NASDAQ:ASTS) might be the top tech stock in the next few years. The space stock is set to capture part of a $1 trillion industry and has heavy institutional backing. The company is developing a network of low-earth satellites to deliver broadband connectivity to remote regions. This differs from Starlink and Amazon’s (NASDAQ:AMZN) burgeoning space internet effort because it focuses solely on cell connectivity. Although cell towers are globally dispersed, key rural and remote areas are wholly without service. AST SpaceMobile seeks to close that gap. Recently, AST partnered with AT&T (NYSE:T) to complete the first satellite-enabled 5G call from Hawaii to Spain. This test proved AST’s viability, and AT&T hopes to use the company to increase its global position and open new markets in a saturated field. AST shares are already up 40% over the past month. Still, shares are priced to buy at less than $5 each, particularly considering its status as a top tech stock to buy. Symbotic (SYM) Source: shutterstock.com/everything possible Symbotic (NASDAQ:SYM) might not be the coolest tech stock on the market, but the artificial intelligence and automation company is quietly expanding its massive reach. SYM delivers AI solutions to warehousing, a critical sector as eCommerce explodes and companies with dispersed operations struggle to manage inventory and product movement. Symbotic’s clients already include Walmart (NYSE:WMT) and Target (NYSE:TGT). Industry reliance on that scale alone positions Symbotic as a top tech stock. But today, the company is increasing its reach to deliver AI warehouse automation to smaller businesses. The company’s new shared-warehouse platform compounds its utility. Warehouse infrastructure is expanding rapidly as companies pivot to an online-only fulfillment model. These trends, and Symbotic’s unique value proposition, set it apart from other tech stocks today. The company just posted its first profitable quarter, which bodes well for its long-term financial prospects. Rapid revenue growth and improved margins, alongside its new addressable market reach, position Symbotic as a future leader in the tech industry. AeroVironment (AVAV) Source: Pavel Kapysh / Shutterstock.com AeroVironment (NASDAQ:AVAV) is a lesser-known tech stock. That’s mostly because it’s also a defense stock and goes unnoticed in the bigger defense sector. The company offers a range of unmanned drones for military applications, but its unique tech focus makes it different from larger defense players. Recently, the company unveiled a massive new unmanned aircraft, the JUMP 20 Group 3, and deployed the platform during a training exercise. The aircraft is unique because it doesn’t focus solely on surveillance or offensive weapons capabilities. Instead, it’s an electronic warfare platform that denies enemy communications capabilities. These tech-heavy platforms aren’t usually unmanned but are a critical part of today’s battlefield capabilities. Unmanned electronic warfare is a huge step forward for the defense industry and AeroVironment and one that could turn this tech stock into a huge player moving forward. The company is leaning into its tech stock position by preparing to buy Tomahawk Robotics. The $120 million acquisition represents streamlined operations because Tomahawk already supplies core hardware capabilities within AVAV’s drone fleet. AVAV’s financial position is enough to pay the steep price tag, a bullish indicator, while the buyout will improve AVAV’s margins over time. On the date of publication, Jeremy Flint held no positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Jeremy Flint, an MBA graduate and skilled finance writer, excels in content strategy for wealth managers and investment funds. Passionate about simplifying complex market concepts, he focuses on fixed-income investing, alternative investments, economic analysis, and the oil, gas, and utilities sectors. Jeremy’s work can also be found at www.jeremyflint.work. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post What Are the Top Tech Stocks to Buy Right Now? 3 Picks. appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-01	T	There are endless ways to make your money work for you on Wall Street but few are as consistently successful as buying dividend-paying stocks. Companies can't pay quarterly or monthly dividends to their shareholders unless they already have reliable profits. Plus, making regular dividend payments that rise year after year forces management teams to focus on what's most important instead of chasing every potential growth initiative that presents itself. Image source: Getty Images. The difference between dividend payers and non-dividend payers is probably more dramatic than you'd expect. From 1973 through 2022, members of the S&P 500 index that paid a dividend delivered a 9.18% average annual return. Stocks in the same index that didn't pay dividends rose by just 3.95% annually over the same time frame, according to Hartford Funds and Ned Davis Research. Right now the average dividend-paying stock in the S&P 500 index offers a meager 1.55% dividend yield. These two offer yields that are more than triple the benchmark average. Here's why picking them up in December to hold for at least a decade looks like a brilliant move. AT&T The first high-yield dividend stock begging to be bought in December is the telecom giant AT&T (NYSE: T). The stock has fallen about 20% this year and at recent prices, it offers a 6.8% yield. AT&T shares have been under pressure thanks to a report from The Wall Street Journal this summer that suggests legacy cables that were sheathed in lead are a major health risk. Pinning financial liability on a telecom provider for old cables that were legal when they were installed seems like an uphill battle. While we wait to see what becomes of AT&T's long-forgotten lead-sheathed cables, a steady uptick of 5G and broadband internet subscribers could drive an already high dividend yield even higher. Operating income from its mobility segment reached a new company record in the third quarter thanks to mobility service revenue that is rising on the back of an ongoing 5G revolution. The 5G rollout isn't AT&T's only growth driver. In less than four years, AT&T Fiber doubled its subscriber count to more than 8 million and investors can look forward to more growth in the years ahead. This October, its fiber service was available to just 20.7 million consumers but management expects this figure to expand past 30 million by the end of 2025. People hardly ever change their internet service providers, especially when they're enjoying the increased speed and reliability that fiber connections are known for. Buying AT&T now to hold for a decade or longer looks like a reliable way to grow your passive income stream. Realty Income The second high-yield dividend stock that's screaming for attention in December is Realty Income (NYSE: O), a gigantic real estate investment trust (REIT) that collects rent from a portfolio of over 13,000 properties. At recent prices, the stock offers a 5.7% yield. Realty Income's monthly dividend program is famous for delivering monthly dividend payments that increase steadily. A lot has happened to the global economy since the late 1990s but none of those events prevented this well-managed REIT from meeting and raising its dividend commitment. Its payout has risen for 104 consecutive quarters. Diversification combined with a net lease strategy allows Realty Income to grow consistently. The REIT employs long-term net leases that transfer all the variable costs of building ownership to its tenants. Realty Income limits exposure to the sort of retail businesses that go belly-up during economic downturns. Operators of drug, dollar, convenience, and grocery stores are its top tenants. With a long track record of success, Realty Income can boast highly favorable credit ratings that hardly any competing REITs can match. This advantage will help it consolidate a huge addressable net lease market in Europe that is still largely untapped and continue raising its monthly dividend payout. With at least another decade of growth ahead, tucking some shares of this stock into your portfolio right now could lead to heaps of passive income over time. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 29, 2023 Cory Renauer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Realty Income. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-01	T	Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the The Communication Services Select Sector SPDR Fund (Symbol: XLC) where we have detected an approximate $150.0 million dollar inflow -- that's a 1.0% increase week over week in outstanding units (from 208,050,000 to 210,200,000). Among the largest underlying components of XLC, in trading today AT&T Inc (Symbol: T) is up about 0.6%, T-Mobile US Inc (Symbol: TMUS) is up about 0.7%, and Charter Communications Inc (Symbol: CHTR) is higher by about 0.2%. For a complete list of holdings, visit the XLC Holdings page » The chart below shows the one year price performance of XLC, versus its 200 day moving average: Looking at the chart above, XLC's low point in its 52 week range is $46.475 per share, with $71.495 as the 52 week high point — that compares with a last trade of $69.34. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. Click here to find out which 9 other ETFs had notable inflows » Also see: Funds Holding ZB JAZZ Price Target Institutional Holders of GLDG The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-01	T	The NASDAQ 100 After Hours Indicator is down -2.03 to 15,995.55. The total After hours volume is currently 70,180,539 shares traded. The following are the most active stocks for the after hours session: Intel Corporation (INTC) is unchanged at $43.74, with 3,671,855 shares traded. INTC's current last sale is 115.11% of the target price of $38. iShares 20+ Year Treasury Bond ETF (TLT) is +0.14 at $93.13, with 3,276,884 shares traded. This represents a 12.99% increase from its 52 Week Low. Affirm Holdings, Inc. (AFRM) is +0.08 at $37.75, with 2,980,356 shares traded., following a 52-week high recorded in today's regular session. Amazon.com, Inc. (AMZN) is -0.08 at $146.95, with 2,065,461 shares traded. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range". AT&T Inc. (T) is -0.02 at $16.74, with 1,904,535 shares traded. T's current last sale is 83.7% of the target price of $20. Arco Platform Limited (ARCE) is unchanged at $13.99, with 1,859,378 shares traded.ARCE is scheduled to provide an earnings report on 12/7/2023, for the fiscal quarter ending Sep2023. The consensus earnings per share forecast is -0.17 per share, which represents a -27 percent increase over the EPS one Year Ago BP p.l.c. (BP) is +0.02 at $36.00, with 1,827,843 shares traded. BP's current last sale is 83.72% of the target price of $43. KeyCorp (KEY) is unchanged at $13.22, with 1,511,175 shares traded. KEY's current last sale is 101.69% of the target price of $13. TC Energy Corporation (TRP) is unchanged at $37.84, with 1,505,013 shares traded. TRP's current last sale is 95.99% of the target price of $39.42. HF Sinclair Corporation (DINO) is unchanged at $54.34, with 1,437,805 shares traded. DINO's current last sale is 85.57% of the target price of $63.5. Pfizer, Inc. (PFE) is -0.08 at $28.83, with 1,428,818 shares traded., following a 52-week high recorded in today's regular session. Apple Inc. (AAPL) is unchanged at $191.24, with 1,385,132 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2023. The consensus EPS forecast is $2.08. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-30	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips Over the last few years, a small army of critics has descended on Amazon (NASDAQ:AMZN) stock. Financial analysts fear it has lost its momentum. Environmentalists criticize its use of energy. Privacy advocates say it cares nothing about their rights. Through it all, Amazon has remained the largest holding in my retirement account. I have seen this movie before. In the 1980s, IBM (NYSE:IBM) was the target of everyone’s ire. In the 1990s, this switched to AT&T (NYSE:T). In the 2000s, Walmart (NYSE:WMT) drew the haters. During the last decade, it was Dollar General (NYSE:DG). When you have a huge company, when you dominate an economy, they don’t want to let you do it. Where Haters Are Right About AMZN Stock Nothing grows to the sky, not even Amazon. Growth has slowed this decade, from 37% in 2020 to just 9% last year. (It’s expected to slow further this year.) Operating cash flow last year was nearly flat. Amazon laid off 18,000 workers early this year. It seems AMZN stock can be hit by economic cycles just like other retailers. Just like the other Cloud Czars, Amazon has also faced higher costs this year thanks to AI. Nvidia (NASDAQ:NVDA) can get what it wants for its chips because, as I’ve noted, it controls the software stack. When sales pass $500 billion/year, things are never perfect. Just this fall Amazon has had layoffs in its games unit, its music business, at its Alexa division even at its crown jewel, Amazon Web Services. Amazon has had to play catch-up on AI and reconfigure its distribution system. It closed 99 logistics centers through May. Amazon has been hit by thieves who abused its third-party sales system, ending free returns. It raised the cost of Amazon Prime in 2022, and next year will charge an extra $3/month to subscribers who want to avoid ads on Prime video. Where Haters are Wrong First, you need scaled computing and warehousing to deliver low costs. Therefore, Amazon built its cloud data centers and warehousing systems in the first place. Second, if I’m to deliver personal service to you, I must know about you. This is as true for Amazon as the bartender who knows how you like your martini. Amazon itself is one of the great miracles of the 21st century. An order taken in the morning may be fulfilled later the same day. Amazon Web Services alone may be worth twice as much as the entire company. I have been as hard on Bezos’ successor, Andy Jassy, as anyone. So let me say this simply. I was wrong. All his 2023 moves make sense, both the cutbacks and the price hikes. Once that $3/month Prime charge comes in, Jassy will know how many people are getting Prime for the content and how many just want free shipping. The Bottom Line AMZN stock will keep growing. Sales, profits, and cash flow will improve. AWS will keep its lead in the cloud. The entire company will continue building on its global footprint. I even expect Alexa to make a comeback. This time there will be some real intelligence behind her, not just a list of my orders and suggestions for up-sells. There’s a lot of room for improvement at Amazon, which is a good thing. Books, even e-books, are now treated as an afterthought. Government regulators are going to come after Amazon hard. So will environmentalists and privacy advocates. But no other Cloud Czar is as diversified as Amazon. None is better equipped to weather the storms. And we haven’t even mentioned health care. As of this writing, Dana Blankenhorn had LONG positions in AMZN and NVDA. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Dana Blankenhorn has been a financial and technology journalist since 1978. He is the author of Technology’s Big Bang: Yesterday, Today and Tomorrow with Moore’s Law, available at the Amazon Kindle store. Tweet him at @danablankenhorn, connect with him on Mastodon or subscribe to his Substack. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post AMZN Stock Forecast 2024: Why the Hate for Amazon.com? appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-30	T	A big reason investors buy shares of telecom giant AT&T (NYSE: T) is its dividend and long-term stability. At nearly 7%, the dividend yield is incredibly attractive, as it is more than four times the S&P 500 average of 1.6%. And with the company projecting strong free cash flow this year, AT&T might get back to raising its payouts, perhaps as early as next year. Should investors expect a bump up to the payout in 2024, or is the telecom giant still facing too many headwinds for it to get back to growing its dividend? AT&T's business is doing better than expected A big concern around AT&T this year has been whether the company can afford to pay its dividend. Its free cash flow has been volatile, and with a dividend yield at more than 7% earlier this year, it was looking like the payout may be too good to be true. But the company's latest earnings numbers helped put many of those fears to rest. For the current year, AT&T projected its free cash flow to come in at around $16 billion. In October, however, when the company posted its third-quarter numbers, it also upgraded its guidance for free cash flow, now projecting it to be around $16.5 billion. Through the first nine months of the year, the company's revenue rose 1% to $90.4 billion. But with leaner operations, the company's operating income jumped by 10% to $18.2 billion. CEO John Stankey says the company has become more efficient, and also benefited from profitable customer relationships. Could the dividend go higher? Given the better-than-expected results for AT&T, it's worth asking whether a dividend hike could be in the cards. Now that the company is back to focusing on telecom (and no longer worrying about streaming since the spin off of WarnerMedia last year), the company may be in a better position to increase its dividend. Although AT&T reduced its dividend after the spin off, in the past it was a dividend growth stock. T Dividend data by YCharts AT&T currently pays more than $8 billion in cash dividends over a full year. Based on projected free cash flow of $16.5 billion, that means it is using 48% of free cash for dividends. While there's some decent breathing room there, investors should remember that AT&T's initial target after the spin off was for its payout ratio, based on free cash, to be approximately 40%. Even if the company comes through on its improved guidance, it would still be far higher than its target payout ratio. When you also consider the potential costs from the cleanup of lead-coated cables, I'm inclined to believe that management won't have an incentive to start raising dividend payments just yet, especially since the yield is still fairly high at around 6.9%. Should you buy AT&T stock? AT&T stock has struggled in the past, falling 26% in three years. But there is reason to be optimistic for the future, as AT&T is investing into its 5G network and expects to have 200 million people on its mid-band spectrum by the end of the year, up from 190 million as of last quarter. Now that the company isn't in the streaming business and is back to focusing on its core operations, AT&T can get back to winning back investors as well. It could take some time, but this is a stock that should rise given its improving fundamentals. For long-term investors, even though the dividend may not get a boost next year, now could be an optimal time to invest in the telecom stock while its value remains incredibly low. AT&T's stock trades at just 6 times its estimated future profits, and it could prove to be a steal of a deal in the future. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 27, 2023 David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Warner Bros. Discovery. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-30	T	A super-high dividend yield can often be a sign of trouble. That's not the case for AT&T (NYSE: T) and British American Tobacco (NYSE: BTI). AT&T is having success winning subscribers and growing its fiber internet business, and it recently bumped up its free-cash-flow outlook for the year. British American Tobacco is a riskier stock as the company tries to balance slumping demand for cigarettes and soaring sales on non-combustibles. But so far, it's making it work and sustaining its sky-high dividend. For dividend investors looking for inexpensive stocks with high yields that appear sustainable, AT&T and British American Tobacco are good bets. AT&T A rally over the past few months has pushed shares of AT&T up and the dividend yield down, but the telecom giant still sports a generous dividend yield. Based on the most recent dividend payment, AT&T stock currently yields about 6.9%. That dividend looks a lot safer today than it did earlier this year. In 2022, AT&T produced just $14.1 billion of free cash flow, far below the company's initial guidance. A combination of higher capital spending, delays in collecting customer payments, and other factors reduced how much cash AT&T generated for the year. Going into 2023, AT&T's guidance calling for $16 billion of free cash flow was, for good reason, not taken as gospel by investors. AT&T's dividend costs the company about $8 billion annually. The less free cash flow, the less money AT&T can use to reduce its debt. One thing that likely kept the stock grounded for much of 2023 was the expectation that AT&T might fall short of its guidance, potentially putting pressure on the dividend. The good news is that AT&T's free-cash-flow generation appears to be on solid ground. Along with its third-quarter report, AT&T boosted its free-cash-flow outlook to $16.5 billion. Subscriber gains in the wireless business had been slowing in previous quarters, but in the third quarter, growth accelerated, average revenue per user ticked up, and churn remained low. The company's fiber internet business also continued to grow steadily. AT&T stock trades for just 7 times the free-cash-flow guidance. With such a beaten-down valuation, it won't take much good news to send the stock higher. Add in the near-7% dividend yield, and you have an investment that should provide solid returns in the long run. British American Tobacco British American Tobacco is up against a chronic decline in demand for cigarettes. Cigarette volumes were down 5.7% year over year in the first half of fiscal 2023, although higher prices helped push up revenue. The company is wildly profitable, with an operating margin of 44.2% in the first half of the year. Those profits are necessary to fund British American Tobacco's generous dividend, which currently yields nearly 9%. British American Tobacco is in a race against time. As sales of cigarettes erode, the company must grow sales of newer products, like e-cigarettes, quickly enough to offset that decline. The company must also generate a hefty profit from these new products, something that's still a work in progress. That will require the same kind of brand loyalty seen in the traditional cigarette market, which is not a given. So far, British American Tobacco is making it work. Total revenue grew 4.4% year over year in the first half, with revenue from new categories surging by 26.6%. The company is on track to hit its target of 5 billion pounds of new category revenue by 2025 and to turn a profit from new categories in 2024. There's plenty of uncertainty surrounding the tobacco industry and British American Tobacco, and that's one reason the stock appears so cheap, with a price-to-earnings ratio in the single digits. If the company can prove to investors that it can keep revenue growing, at least on average, by leaning into new products and boosting cigarette prices, the stock could be in for a major recovery. Shares of British American Tobacco are down more than 50% from their all-time high. The company's strategy could fail, leading to slumping profits and likely lower dividend payments. That's a risk investors must take to capture the potential upside if things go according to plan. British American Tobacco is far from a sure thing, but it's a great way to bet on the potential of non-combustible products, like e-cigarettes, while receiving a lofty dividend. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 27, 2023 Timothy Green has positions in AT&T and British American Tobacco P.l.c. The Motley Fool recommends British American Tobacco P.l.c. and recommends the following options: long January 2024 $40 calls on British American Tobacco P.l.c., long January 2026 $40 calls on British American Tobacco P.l.c., and short January 2026 $40 puts on British American Tobacco P.l.c. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-30	T	The NASDAQ 100 After Hours Indicator is down -25.2 to 15,922.67. The total After hours volume is currently 230,737,473 shares traded. The following are the most active stocks for the after hours session: Grupo Televisa S.A.B (TV) is unchanged at $3.22, with 20,004,320 shares traded. As reported by Zacks, the current mean recommendation for TV is in the "buy range". First Horizon Corporation (FHN) is unchanged at $12.79, with 8,346,498 shares traded. FHN's current last sale is 98.38% of the target price of $13. Invesco Plc (IVZ) is unchanged at $14.27, with 7,758,588 shares traded. IVZ's current last sale is 93.57% of the target price of $15.25. AT&T Inc. (T) is -0.01 at $16.56, with 6,574,580 shares traded. T's current last sale is 82.8% of the target price of $20. Cisco Systems, Inc. (CSCO) is +0.02 at $48.40, with 6,283,058 shares traded. CSCO's current last sale is 88% of the target price of $55. Amazon.com, Inc. (AMZN) is -0.16 at $145.93, with 6,282,291 shares traded. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range". Intel Corporation (INTC) is unchanged at $44.70, with 6,265,900 shares traded. INTC's current last sale is 117.63% of the target price of $38. Pfizer, Inc. (PFE) is -0.03 at $30.44, with 5,371,131 shares traded. PFE's current last sale is 80.11% of the target price of $38. Kenvue Inc. (KVUE) is unchanged at $20.44, with 5,265,450 shares traded. As reported by Zacks, the current mean recommendation for KVUE is in the "buy range". ZoomInfo Technologies Inc. (ZI) is unchanged at $14.37, with 5,150,525 shares traded. As reported by Zacks, the current mean recommendation for ZI is in the "buy range". Invesco QQQ Trust, Series 1 (QQQ) is -0.23 at $388.60, with 3,482,253 shares traded. This represents a 49.62% increase from its 52 Week Low. Warner Bros. Discovery, Inc. (WBD) is unchanged at $10.45, with 3,398,837 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2023. The consensus EPS forecast is $0.01. As reported by Zacks, the current mean recommendation for WBD is in the "buy range". The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-30	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips When it comes to winning investment strategies, buying dividend stocks tends to rise to the top. It’s likely because these are successful, profitable companies that have been battle-tested over time and still come out on top. They choose to reward their investors by sharing the fruits of their success. That is why there are several stocks the elite love. Data from Hartford Funds shows that going all the way back to 1930, there’s not been a single decade where dividend stocks on the S&P 500 lost money. Even when the market was losing money during the Great Depression and the so-called “Lost Decade” of the 2000s, income-generating stocks still reported gains for shareholders. Hartford also found that from 1960 on, reinvested dividends represented an astounding 69% of the index’s total return. Coupled with the power of compounding, a $10,000 initial investment in dividend payers turned into $4.1 million 60 years later. Compare that to $641,000 just by investing in the index alone. Wall Street’s elite are well aware of that outperformance. The smart money was buying up high-yielding dividend payers this past quarter. What follows are three income stocks billionaires love to buy with yields at least four times greater than the S&P 500’s 1.51%. Pfizer (PFE) Source: Manuel Esteban / Shutterstock.com Covid vaccine darling Pfizer (NYSE:PFE) fell on hard times afterward. Record revenue of over $100 billion is now down 42% year to date as Paxlovid sales all but evaporated (down 95%) and Comirnaty revenue plunged 70%. Pfizer also took a one-time no-cash charge of $4.2 billion related to the return from the United States government of an estimated 7.9 million unused Paxlovid doses. Convincing people today to receive additional Covid shots year after year is a hard sell. The non-cash charges Pfizer took swiped $0.84 per share from the drugmaker’s earnings. It turned what would have been a profit into a $0.42 per share loss. Yet Pfizer has a large portfolio of non-Covid-related therapies. It expects those will generate 6% to 8% revenue growth for the full year. No doubt that is what Bill & Melinda Gates Foundation were looking at when they bought $2 million worth of Pfizer stock this quarter. Similarly, David Katz of Matrix Asset Advisors increased his stake 71% and now holds $6.4 million worth of stock. Pfizer Shares are down 41% year-to-date but trade at nine times expected earnings. Its dividend yields 5.2%, which could make it too good of an opportunity for some billionaires to pass up. I wouldn’t be a buyer though. New acquisitions to make up for lost revenue will be expensive. Its recent purchase of Seagen (NASDAQ:SGEN) for $43 billion is a case in point. It paid a 33% premium above the oncology stock’s asking price. Pfizer will be a buy again one day, but I don’t see it there today. Enterprise Products Partners (EPD) Source: Casimiro PT / Shutterstock.com Oil and gas middleman Enterprise Products Partners (NYSE:EPD) also attracted smart money support this past quarter. Bruce Berkowitz of Fairholme Capital Management increased his holdings by 15% and now owns 5 million shares worth $138 million. Shares of the master limited partnership (MLP) are up 10% in 2023, but it’s not a stock that will impress you with stellar growth. Rather it is a steady performer that pays a dividend yielding a lucrative 7.6% annually. It carefully invests in its operations to grow the business for the benefit of itself and for shareholders. It then returns substantial sums to them as a reward. Enterprise Products distributed $1.9 billion in dividends to investors in the third quarter while raising the payout 5.3%. It’s increased the payout for 25 consecutive years. The benefit of the MLP is that its business makes money no matter which way the oil and gas markets go. Operating on long-term fixed contracts, Enterprise Products Partners gets paid whether its customers take the product or not. It’s a sweet spot to be sitting pretty. There are complex tax issues, however, that need to be considered when investing in MLPs. Verizon (VZ) Source: Ken Wolter / Shutterstock.com Telecom giant Verizon (NYSE:VZ) faces headwinds from inflation and rising interest rates that make its capital-intensive business expensive to operate. It also faces intense competition from rivals AT&T (NYSE:T) and T-Mobile (NYSE:TMUS) creating difficulty in attracting customers to its services. However, Verizon finally found its footing again in the third quarter. It brought in 100,000 new wireless customers and 434,000 new broadband subscribers. Still, revenue and earnings per share were down year over year, though by less than 3%. Its dividend continues to offer a healthy yield of 7.0%, which ranks amongst its highest levels in recent years. The telecom saw two new billionaires buy into its stock this quarter. Yachtmann Asset Management and Mairs & Power Growth Fund started new positions with the latter buying nearly $78 million worth of stock. Hillman Value Fund also increased its stake by 22%. The shares still offer a good value even after jumping 25% above their lows. The stock trades at just eight times projected earnings and a bargain basement nine times free cash flow. This is a company that still has plenty of growth in its future, even if it’s not the meteoric kind. The national 5G rollout offers substantial opportunities as consumers upgrade their phones. On the date of publication, Rich Duprey held a LONG position in T stock. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Rich Duprey has written about stocks and investing for the past 20 years. His articles have appeared on Nasdaq.com, The Motley Fool, and Yahoo! Finance, and he has been referenced by U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, USA Today, Milwaukee Journal Sentinel, Cheddar News, The Boston Globe, L’Express, and numerous other news outlets. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Billionaire Favorites: 3 Ultra-High Yield Stocks the Elite Love appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-29	T	In trading on Wednesday, shares of AT&T Inc (Symbol: T) crossed above their 200 day moving average of $16.24, changing hands as high as $16.33 per share. AT&T Inc shares are currently trading up about 0.5% on the day. The chart below shows the one year performance of T shares, versus its 200 day moving average: Looking at the chart above, T's low point in its 52 week range is $13.43 per share, with $20.50 as the 52 week high point — that compares with a last trade of $16.27. The T DMA information above was sourced from TechnicalAnalysisChannel.com Click here to find out which 9 other dividend stocks recently crossed above their 200 day moving average » Also see: Cheap Services Stocks VRM Average Annual Return NX shares outstanding history The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-29	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The top tech stocks are always a point of contention among investors. Some prefer sticking with reliable companies like the Magnificent 7, while others decry the same for being grossly overvalued. Others point to micro and small-cap stocks as the best moves to capture long-term upside. Others call that gambling. Ultimately, a well-rounded portfolio of the best tech stocks blends qualities from each category. While you should focus on long-term potential and solid financial standing foremost, mixing up speculative penny stocks with value tech stocks is your best diversification tool. These three stocks blend the best of all worlds and are a solid grouping of the best tech stocks to buy today. Palantir (PLTR) Source: Poetra.RH / Shutterstock.com Palantir (NYSE:PLTR) remains on my list of top tech stocks to buy, though that’s a controversial pick. Detractors of PLTR like to point to its governance issues and dilution concerns as evidence the stock a stinker. But, having used Palantir’s platforms extensively in a past job, I can confidently say that the company’s tech tools and ease of use are unmatched on the market. Moreover, the company’s data aggregation initiatives might seem mundane or easily replicated, but they simply aren’t. When I was using the platform, Palantir fixed decades’ worth of bad, disaggregated data and made my job much easier. But Palantir is more than my personal feel-good story, and the company continues racking up wins. After multiple profitable quarters, Palantir snagged a $250 million U.S. Army contract to develop battlefield-focused AI tools. This month, Palantir also secured the much-anticipated $415 million contract to overhaul the U.K. health services’ data tools. Shares slumped as that contract came in priced below expectations. Palantir is racking up win after win and is at the crest of creating a snowball effect as more corporate and government clients come to them for help. AST SpaceMobile AST SpaceMobile (NASDAQ:ASTS) is a small-cap tech stock that could prove a big winner over the next decade. The company partnered with Elon Musk’s SpaceX to launch a string of satellites into low-earth orbit to provide mobile connectivity to remote regions. This differs from Musk’s other venture, Starlink, because the satellites aren’t an all-encompassing internet solution. Instead, they’re designed as a telecommunications tool to let cell users call one another far from existing tower infrastructure. The company also works with AT&T (NYSE:T) to test and validate its systems. AT&T ultimately hopes to leverage AST’s satellites to increase its global presence by assuring user connectivity no matter where they are. This summer, AST and AT&T executed the world’s first satellite-supported 5G call between normal cell phones. That proof-of-concept call marked a major milestone for global connectivity, as everyday users won’t have to rely on pricey and unreliable satellite phones moving forward. ASTS has been on a tear this month, gaining over 40% since October 30th. Still, this tech stock is a penny stock, so shares are still cheap relative to the long-term potential. Medtronic (MDT) Source: JHVEPhoto / Shutterstock.com As a general rule of thumb, you can’t go wrong investing long-term in solid tech stocks or great healthcare companies. Medtronic (NYSE:MDT) is both. The surgical device company is positioned to capture massive growth trajectories within healthcare as populations age while living longer than ever. But beyond healthcare, Medtronic is undeniably a solid tech stock. The company partnered with Nvidia (NASDAQ:NVDA) recently to develop and deploy AI-enabled diagnostic and therapeutic platforms. Forward-thinking, next-gen emphasis is what sets Medtronic apart from HealthTech competitors. What’s more, Medtronic has the sheer size to execute even the loftiest plans. The company’s $105 billion market cap places it near the top of the pile. The company’s consistently strong earnings also set it apart from more speculative tech stocks. The company posted 5% year-over-year revenue growth in the most recent quarter and hit a $1.25 EPS. That beat analyst estimates and shows that Medtronic has been able to navigate beyond the post-pandemic period into a new era of profitability. On the date of publication, Jeremy Flint held no positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Jeremy Flint, an MBA graduate and skilled finance writer, excels in content strategy for wealth managers and investment funds. Passionate about simplifying complex market concepts, he focuses on fixed-income investing, alternative investments, economic analysis, and the oil, gas, and utilities sectors. Jeremy’s work can also be found at www.jeremyflint.work. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post If You Can Only Buy One Tech Stock in December, It Better Be One of These 3 Names appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-29	T	By Mike Scarcella Nov 29 (Reuters) - T-Mobile US TMUS.O has asked a U.S. judge to let it immediately appeal an order that allowed AT&T and Verizon wireless subscribers to sue the company for billions of dollars in damages over its completed purchase of rival Sprint in 2020. If granted, the Tuesday request would speed T-Mobile's efforts to fend off a prospective class action of tens of millions of U.S. wireless customers who contend the Sprint deal hurt industry competition and drove up prices for AT&T T.N and Verizon VZ.N customers, in violation of U.S. antitrust law. U.S. District Judge Thomas Durkin in Chicago on Nov. 2 declined to dismiss the case, finding the plaintiffs had met necessary legal thresholds to sue over the closed merger. He did not rule on the merits of the consumers' claims. The private consumer lawsuit could threaten to undo T-Mobile's acquisition of Sprint, which survived a challenge in U.S. court from a group of states. The U.S. Justice Department separately reached a settlement with the merged company requiring some divestiture of assets. T-Mobile and lawyers for the company did not immediately respond to requests for comment on Wednesday. An attorney for the consumer plaintiffs did not immediately respond to a similar request. The proposed class action was filed last year by seven AT&T or Verizon subscribers in Illinois and Indiana who called the T-Mobile-Sprint merger "one of the most anti-competitive acquisitions in history." In its filing, T-Mobile said it wanted a ruling by the 7th U.S. Circuit Court of Appeals on whether AT&T and Verizon consumers have legal standing to sue over the merger. T-Mobile has no automatic right to an appeal now, and so Durkin must rule on the company's request. "Plaintiffs' expansive conception of antitrust standing is unprecedented," lawyers for T-Mobile told Durkin. They said the Chicago-based 7th Circuit "has yet to squarely address such a boundless theory of antitrust standing." They argued that being forced to litigate the case before an appellate ruling on standing could waste money and judicial resources. T-Mobile also said any price hikes among its competitors' may have flowed from "intervening economic factors and strategic business decisions having nothing to do with the merger." Representatives for Verizon and AT&T did not immediately respond to requests for comment. Neither company is a defendant in the case. The case is Anthony Dale et al v. Deutsche Telekom AG et al, U.S. District Court for the Northern District of Illinois, No. 1:22-cv-03189. For plaintiffs: Brendan Glackin of Lieff Cabraser Heimann & Bernstein; attorneys from Hausfeld, Berger Montague and Kenneth N. Flaxman P.C. For T-Mobile: Clifford Histed of K&L Gates and others; Rachel Brass of Gibson, Dunn & Crutcher and others Read more: T-Mobile must face private antitrust lawsuit over $26 bln Sprint deal - US judge (Reporting by Mike Scarcella) ((Mike.Scarcella@thomsonreuters.com;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-29	T	As a stock, AT&T (NYSE: T) mostly gets attention these days because of its outsized dividend yield. With its 6.9% yield, there are plenty of investors willing to give it a closer look in hopes of capturing what they believe is a guaranteed return. But it's when investors take a closer look at the company and the stock that they reveal the full AT&T investment picture. That picture illustrates at least three things investors need to know before buying this stock. 1. AT&T's dividend looks relatively safe With a 6.9% yield, many investors might worry that AT&T's dividend is on the verge of being cut. A good rule of thumb for evaluating the average dividend payout is that, once a dividend yield rises about 5%, more caution (and more research) is required before making a buy. But a closer look at AT&T's financials show that the telecom giant is well situated to cover the dividend checks it's writing. Over the past 12 months, AT&T paid its shareholders $8.1 billion in dividends. Over that same time frame, it generated net income of $11.3 billion and free cash flow of $19.8 billion. With AT&T paying out less in dividends than its profits (assessed in two different ways), it's well set up to pay its dividends as long as it can maintain the status quo of the business. 2. AT&T's revenue growth is minimal AT&T is not what anyone would consider a growth stock, as its best quarter over the past four has been 1.5% year over year growth. T Revenue (Quarterly YoY Growth) data by YCharts This concerns many investors, as AT&T will have difficulty growing its dividend if it isn't increasing its revenue. At the same time, AT&T must control its operating expense growth so its margins don't slip. If these expenses rise faster than revenue, the dividend could get squeezed and need to be cut. Fortunately, AT&T has done a great job of spending responsibly, so its operating expenses haven't increased. But operating expenses don't account for AT&T's biggest problem: Its debt. Interest expense is a massive line item on AT&T's income statement, as its balance sheet has nearly $140 billion in long-term debt. While AT&T hasn't issued any debt recently, if it does, the lack of growth could also cause AT&T to cut the dividend. AT&T may not need to grow its revenue much to maintain the dividend, but no growth is a precarious place to be as an investor. 3. AT&T has been a long-term stock market loser The last thing to know about AT&T before investing in it is how underwhelming an investment it has been in comparison to the broader market. Total return accounts for both the stock price movement and dividends paid and is a metric dividend investors must consider. Over the following time frames, AT&T stock has done little to nothing to benefit investors when compared to the S&P 500. The 10-year return looks particularly terrible, especially when compared to the S&P 500's 204% return in the same period. TOTAL RETURN 1 YEAR 3 YEARS 5 YEARS 10 YEARS AT&T (9.5%) (6.7%) 5.3% 28.5% S&P 500 14.9% 31.6% 85% 204% Data source: Ycharts. Returns are as of Nov. 28, 2023. So, at the end of the day, most smart investors are avoiding AT&T. The stock hasn't performed well over the long term and isn't growing. If you're examining the stock for the dividend alone (and don't care if your initial investment loses value), then AT&T may have some potential. However, there are much better ways to create near-guaranteed income, and investing in the S&P 500 is one of them. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2023 Keithen Drury has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-29	T	AT&T stock (NYSE:T) stock has had a tough year so far, declining by over 12% year-to-date, faring worse than peers T-Mobile (up 7% this year) and Verizon (down about 7% year-to-date). There are a couple of factors that are impacting the stock. AT&T’s wireless subscriber growth has clearly slowed compared to last year, due to saturation in the wireless market and easing tailwinds from the Covid-19 lockdowns. For example over Q3 2023, the company added a total of 468,000 postpaid phone subscribers, down from 708,000 adds in Q3 2022. Competition is also mounting in the wireless sector. While pay-TV player Dish is building out its own 5G network, Comcast has also been doubling down on the space via the mobile virtual network operator route, adding 294,000 phone lines during Q3, taking its total wireless base to 6.3 million subscribers. This could hurt wireless players, who have invested considerably in building out their 5G networks. The high-interest rate environment is also likely to impact AT&T stock, given that the company had about $138 billion in debt on its books as of the last quarter. Higher rates also tend to impact stocks with a higher dividend yield such as AT&T. Moreover, T stock has suffered a sharp decline of 50% from levels of $30 in early January 2021 to around $15 now, vs. an increase of about 20% for the S&P 500 over this roughly 3-year period. Notably, T stock has underperformed the broader market in each of the last 3 years. Returns for the stock were -14% in 2021, -25% in 2022, and -12% in 2023 (YTD). In comparison, returns for the S&P 500 have been 27% in 2021, -19% in 2022, and 19% in 2023 (YTD) – indicating that T underperformed the S&P in 2021, 2022, and 2023. In fact, consistently beating the S&P 500 – in good times and bad – has been difficult over recent years for individual stocks; for heavyweights in the Communication Services sector including GOOG, META, and NFLX, and even for the megacap stars TSLA, MSFT, and AMZN. In contrast, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has outperformed the S&P 500 each year over the same period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride as evident in HQ Portfolio performance metrics. Given the current uncertain macroeconomic environment with high oil prices and elevated interest rates, could T face a similar situation as it did in 2021, 2022, and 2023 and underperform the S&P over the next 12 months – or will it see a recovery? We think AT&T stock has room for upside. AT&T trades at just about 7x consensus 2023 earnings, well below historical levels. The company’s dividend yield also stands at a solid 7%. While subscriber growth has slowed compared to the pandemic period, things are looking a bit better sequentially. AT&T is also making progress with cutting its cost, with its wireless operating margins rising by 2% to 43% in Q3. Cash flows are also projected at $16.5 billion or more for this year, an increase from its previous guidance of $16 billion. Moreover, we think that AT&T should be able to drive profits higher in the long term as the expensive build-out of its 5G network winds down, with revenues and margins benefiting from subscribers opting for more premium plans. For instance over Q3, average revenue per subscriber rose driven by the company’s move to subsidize high-end handsets such as the iPhone 15 Pro for customers who upgrade from value plans to more premium unlimited offerings. AT&T’s fiber broadband operations have also been expanding, with the company reporting a total of 8 million subscribers as of Q3, up 16% compared to last year. Although the U.S. economy faces some headwinds, wireless data, and telecom services, have become essential to customers, meaning that AT&T is unlikely to see a major impact on its financials. We remain positive on AT&T stock with a $19 price estimate, which is 17% ahead of the current market price. See our analysis on AT&T Valuation for more details on what’s driving our price estimate for AT&T. For more details on AT&T’s key revenue streams check out our analysis of AT&T Revenues: How Does T Make Money? Returns Nov 2023 MTD [1] 2023 YTD [1] 2017-23 Total [2] T Return 5% -12% -62% S&P 500 Return 9% 19% 104% Trefis Reinforced Value Portfolio 8% 27% 552% [1] Month-to-date and year-to-date as of 11/28/2023 [2] Cumulative total returns since the end of 2016 Invest with Trefis Market-Beating Portfolios See all Trefis Price Estimates The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-28	T	Comcast CMCSA announced that is undertaking a construction project to extend its fiber-rich network to more than 450 additional homes and businesses in Silverdale. The expanded network will provide Xfinity Internet services with residential broadband speeds faster than 1 gigabit per second (Gbps) and Comcast Business Internet speeds up to 100 Gbps. Residential customers will have access to Xfinity's full suite of Internet products, including the Internet Essentials program, offering low-cost and high-speed broadband for income-constrained households. This announcement underscores Comcast's commitment to providing advanced and reliable Internet services, contributing to community development and investing in the expansion of broadband access. Comcast participates in the Affordable Connectivity Program, providing qualifying households with a $30 monthly credit toward Internet and mobile services. The company emphasizes its commitment to the community, working with local organizations and connecting people through its services. Comcast Corporation Price and Consensus Comcast Corporation price-consensus-chart \| Comcast Corporation Quote Comcast Suffers From Slowing Broadband Subscriber Base In the near term, Comcast’s top line is expected to reflect a slowing broadband subscriber base due to hybrid-working trends and increased competition from fixed wireless and fiber-based wireline networks. In the third quarter, Comcast lost 18K domestic broadband customers. Moreover, it lost 490K video customers. The Zacks Consensus Estimate for the company’s 2023 revenues is pegged at $120.71 billion, indicating a 0.59% year-over-year decline. The consensus mark for earnings is pegged at $3.93 per share, indicating year-over-year growth of 7.97%. Comcast is investing $280 million in 2023 to expand broadband access, offering multi-gigabit Internet speeds to more than four million locations as well as extending services to more homes and businesses in Oregon and Washington. The company is dedicated to advancing digital equity in communities throughout Oregon and Washington. It aims to provide the communities with donations, in-kind services and expanding fiber-rich network improvements that will bring forth 10x faster upload speeds than they have now. Comcast plans to launch a new device that is "storm ready" with cellular and battery backup to keep customers connected during power outages. To promote digital equality, this Zacks Rank #2 (Buy) company came up with Project UP, backed by a $1 billion commitment to empower the community falling under low-income groups. It encompasses Internet Essentials, Lift Zones, Digital Navigators and Comcast RISE. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Shares of CMCSA have returned 21.8% compared with the Zacks Consumer Discretionary sector’s rise of 12.4%. However, it faces stiff competition in its broadband and wireless connectivity business from players like Charter Communications CHTR, Verizon Communications VZ and AT&T T. Shares of Charter have surged 19.7% year to date. Shares of Verizon and AT&T have declined 5.1% and 12% each year to date, respectively. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.0% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AT&T Inc. (T) : Free Stock Analysis Report Verizon Communications Inc. (VZ) : Free Stock Analysis Report Comcast Corporation (CMCSA) : Free Stock Analysis Report Charter Communications, Inc. (CHTR) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-28	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top NASDAQ 100 Stocks Factor-Based ETF Portfolios Harry Browne Permanent Portfolio Ray Dalio All Weather Portfolio High Shareholder Yield Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-27	T	If you're on the hunt for a dividend stock with a yield above the 6% mark, you've probably crossed paths with both AT&T (NYSE: T) and Altria (NYSE: MO). AT&T is one of the largest wireless carriers in the U.S. and its stock sports a ginormous 6.84% yield at current levels. Altria, on the other hand, is a top U.S. tobacco company, and its shares offer a tantalizing 9.45% yield right now. Moreover, both companies offer shareholders meager top-line growth prospects, making their shares most appealing as a passive income play. With this background in mind, let's dig deeper to find out which of these ultra-high-yield dividend stocks is the better buy. Image Source: Getty Images. AT&T: A story about improving fundamentals AT&T has been struggling to grow its revenue for years because of intense competition in the U.S. wireless carrier space. The buildout of its 5G and fiber networks has also been extremely costly, reflected by its massive debt position. It had net debt of $129 billion in the most recent quarter. AT&T, though, seems to be exiting one of the most tumultuous periods in its long life. The U.S. wireless carrier industry is starting to show clear signs of reaching a competitive equilibrium after a two-decade-long price war among the big three carriers. As a result, AT&T, along with its closest competitors, ought to be able to ratchet up free cash flows, mainly through expense reductions, in the coming quarters, and evidence for this thesis is already starting to mount. In the most recent quarter, for example, AT&T posted a healthy 25% bump in free cash flow generation relative to the same period a year ago. So, with a reasonable payout ratio of only 55.8%, AT&T's dividend ought to be on safe ground. And with its shares trading at under 7 times projected earnings, the telecom company's shares are undeniably cheap. Altria: A company in search of growth Altria is facing its own set of challenges. The tobacco giant has been trying to diversify its revenue streams away from traditional cigarettes, which have been declining in popularity for decades. Over the past decade, Altria has invested in e-cigarettes, cannabis, and oral nicotine products, but none of these growth initiatives have been able to offset the decline in its core business. Speaking to this point, Altria's revenue fell by 4.1% year over year in the third quarter of 2023, relative to the same period a year ago. Altria's dividend, however, remains attractive for income investors. The company has raised its payout 58 times in the prior 54 years, and it sports a reasonable payout ratio of 77.5%. With a long track record of rewarding loyal shareholders with regular cash distributions and a mid-tier payout ratio for a tobacco company, Altria's dividend screens as a safe bet. What's more, the tobacco company's stock is also trading at a relatively low valuation of 8.4 times forward earnings. In all, Altria stock offers an attractive mix of value and income. Verdict AT&T and Altria both screen as attractive dividend stocks for investors who prioritize income over growth. AT&T has a lower yield, but it also has a more favorable industrywide outlook. Altria has a markedly higher yield, but it also faces stiff regulatory and consumer headwinds that could erode its profitability in the years ahead. Thus, AT&T stands out as the better ultra-high-yield dividend stock 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2023 George Budwell has positions in AT&T. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-27	T	If you own individual stocks, it's generally a smart idea to own at least one dividend-paying equity. The main reason is that dividend stocks with yields below the average of the S&P 500 index, which stands at 1.62% at present, frequently deliver above-average returns on capital on a multiyear basis. Alternatively, stocks with yields above the S&P 500 average can serve as powerful hedges against market volatility, and provide healthy levels of income over time. Like any investment, though, you should have a clear idea about how a dividend stock fits into your broader strategy and overall portfolio before buying shares. So why buy a dividend stock? Dividend stocks can serve one of two mutually exclusive roles in a portfolio: capital appreciation or income generation. On the capital appreciation side of the ledger, you want to own stocks with fairly low annualized yields, strong and sustainable earnings power, a premium valuation, and, related to this last point, clear-cut forward momentum in terms of its share price over the prior five-year period. By contrast, stocks suited for the income generation bucket should sport sizable yields, sustainable payouts, healthy free cash flows, a bargain-basement valuation, and relatively low share prices. More on this underappreciated point later. Image source: Getty Images. With this brief background in mind, let's walk through two empirical examples to illustrate the differences between capital appreciation and income-generating dividend stocks. Nvidia: A minuscule dividend, but spectacular growth Nvidia (NASDAQ: NVDA) is a leading company in the semiconductor and artificial-intelligence industry. It started paying dividends to its shareholders in November 2012. However, its dividend has not been a priority for management, as evidenced by the decreasing payout over the last 10 years. In fact, the current dividend yield is only 0.03%. Nevertheless, Nvidia stock has provided amazing returns on capital that are hard to match. Since launching its dividend program, the stock has soared by a staggering 15,960%. Nvidia's performance in this period follows the aforementioned criteria for dividend stocks as sources of capital appreciation. Specifically, it has consistently had a low dividend yield, its earnings per share have steadily increased over the past several years, it has often been one of the market's most expensive stocks, and its stock price has churned higher over a multiyear period. Now, Nvidia's stock was already a winner before it initiated its dividend program, but most of its explosive growth has actually occurred during its years as a dividend payer. NVDA Total Return Level data by YCharts What's more, the majority of top-performing dividend stocks over the past 10 years closely conform to the criteria we've outlined -- especially those with market caps above the $10 billion mark. Nvidia, in effect, is far from an outlier in this regard. AT&T: An income stock with a built-in safety net Telecom giant AT&T (NYSE: T) has been on a multiyear losing streak, thanks to the fierce price competition among the big three U.S. wireless carriers over the prior two decades. Underscoring this point, the company's shares have fallen by nearly 40% over the past 10 years. That's terrible, and there's no way to sugarcoat it. Worse still, AT&T isn't expected to be a bastion of growth anytime soon. Ignoring this stock, though, may be a mistake by the income crowd. Here's why. As a result of its plunging share price, AT&T's stock now trades at one of the cheapest valuations in its operating history, and its annualized dividend has swelled to a noteworthy 6.84%. So it immediately ticks two of the key criteria for income stocks we've listed -- bargain-basement valuation and above-average yield. Where things get truly interesting, though, is in the company's improving fundamental picture. With a fair amount of its large capital expenditures out of the way and the U.S. wireless market starting to stabilize from a price point, AT&T's free cash flows are forecast to rise substantially over the next 12 months. That fact bodes extremely well for the sustainability of the company's dividend program. Moreover, its trailing-12-month payout ratio of only 55.8% further indicates that its quarterly distribution ought to be sustainable for the foreseeable future. Hence, AT&T ticks off another important box in the income-generation bucket. However, the best part is arguably AT&T's relatively low share price. At $16.21 as of this writing, it takes only $1,621 to buy an allotment of 100 shares, which can then be used as part of a covered call strategy to further enhance the stock's income-generation capabilities. Dividend stocks with high share prices require greater amounts of capital to tap into this income generation strategy, which isn't necessarily a bad thing, but it limits the types of investors that can participate in this multipronged approach to income generation. In all, AT&T's rock-bottom valuation ought to serve as a safe haven for income seekers in today's volatile market environment. The company has a solid track record of rewarding shareholders with generous dividends, and its improving cash flow situation should allow it to maintain or even increase its payout in the future. Its low share price also offers an opportunity to leverage a covered call strategy to boost its income potential even further. Therefore, AT&T screens as a compelling income-generation stock. 10 stocks we like better than Nvidia When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Nvidia wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2023 George Budwell has positions in AT&T. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-27	T	Over the long-term, owning stocks has been the best way to preserve and grow your wealth above the rate of inflation. As we've seen with AI stocks this year, stocks can certainly appreciate a lot in a short amount of time. But while those fast-movers garner a lot of headlines, only 68% of all stock market returns since 1926 came from price appreciation, with the remaining 32% of all stock market returns actually coming from dividends, and the reinvestment of those dividends, according to research by S&P Global. So not only are dividends attractive for their consistent payouts regardless of what the market is doing, they're essential to generating attractive long-term returns. In addition, it's always interesting when a company initiates a dividend for the first time. That suggests management has achieved growth and strategic goals in the recent past, is confident in a stock's future earnings power, and is now beginning to reward shareholders. The following two stocks just initiated dividends for the first time in recent weeks. And from the looks of it, both look screamingly cheap as well. The Un-carrier gets a little more like other carriers Telecom giant T-Mobile (NASDAQ: TMUS) has long branded itself as the "Un-carrier," as the scrappy upstart challenger to dividend favorites Verizon and AT&T. The latter two, by virtue of their leading networks and duopoly, have long made handsome profits and paid out hefty dividends to their shareholders. But T-Mobile, after taking market share with its lower prices and customer-friendly ethos over a decade, changed the game with its 2020 acquisition of fourth-place telecom Sprint, just as the 5G transition was happening. The combined company has since leapfrogged both Verizon and AT&T in terms of 5G coverage, with a two-year lead. And customers are paying attention -- T-Mobile has managed to rack up impressive customer net additions all while completing the long integration of the T-Mobile and Sprint networks. With that lead, T-Mobile is now taking share in new markets traditionally held by the "big two," including enterprise accounts and rural geographies. Meanwhile, T-Mobile's 5G wireless broadband product has seen rapid adoption since its nationwide availability in May 2022, reaching over 4.2 million customers already by Sept. 30, 2023. As customers opt for premium plans and T-Mobile's integration spending declines, T-Mobile's free cash flow is inflecting upwards. Last quarter, T-Mobile's adjusted free cash flow exceeded $4 billion: Image source: T-Mobile. T-Mobile has a market cap of $171 billion as of this writing, so the stock is only trading at around 10.5 times last quarter's annualized free cash flow. Even for the telecom space, which generally has modest growth prospects, that's a cheap valuation. And if T-Mobile continues taking market share, it's incredibly cheap. In addition to the company's ongoing share repurchase program, management announced it would initiate T-Mobile's first-ever dividend, with a $0.65 quarterly payout beginning in December and an ex-dividend date of November 30. That's about a 1.75% yield at today's price, but CEO Mike Sievert also said the company plans to grow that payout about 10% per year going forward. Combined with still-ample share repurchases, T-Mobile looks like another outstanding defensive stock, now with a growing payout. This industrial company just began a payout and is even cheaper Industrial building supplier Atkore (NYSE: ATKR) is even cheaper than T-Mobile, trading at a mere 7.5 times earnings. Like T-Mobile, Atkore has also been repurchasing shares at a rapid clip, but it appears the market isn't giving the company much credit for its sterling operating performance over the past few years. So in conjunction with its fourth fiscal quarter release last week, Atkore decided to initiate a quarterly dividend between $0.30 to $0.35, to be payable sometime in the first quarter of 2024. That's a dividend yield between 0.9% and 1.1% at these price levels. But that dividend should also grow handsomely in the years ahead, as a $1.30 annual dividend would amount to just a paltry 8% payout ratio, based on the midpoint of the company's forward guidance of $16.50 in EPS in FY 2024. Of course, there's reason to think that guidance is conservative. After all, a year ago, Atkore guided for between $13.10 and $14.90 in EPS for 2023. But Atkore wound up posting $19.40! While Atkore has been the beneficiary of elevated pricing over 2021 and 2022, that excess pricing is now normalizing. But in the past year, prices declined less than thought. Still, Atkore's recent forward guidance incorporates nearly all of its pricing benefit going away, counteracted by strong volume growth and fundamentals. Atkore is a leading provider of plastic pipe and conduit, metal framing and cable management, electrical cable and conduit, and mechanical tubes, among other building products. Traditionally serving mainly the non-residential construction business, Atkore is now poised to benefit from the infrastructure, data center, and electrification buildouts from the large Federal bills passed in 2021 and 2022. That's why management has actually guided for double-digit volume growth in the year ahead, counteracting anticipated price declines. At less than $130 per share as of this writing, that makes Atkore incredibly cheap. And thanks to healthy share repurchases and now a dividend, patient investors should do quite well in this industrial stock over time. 10 stocks we like better than T-Mobile US When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and T-Mobile US wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2023 Billy Duberstein has positions in Atkore and T-Mobile US and has the following options: short December 2023 $120 puts on Atkore. His clients may own shares of the companies mentioned. The Motley Fool has positions in and recommends S&P Global. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-24	T	The NASDAQ 100 After Hours Indicator is down -14.03 to 15,967.98. The total After hours volume is currently 30,719,773 shares traded. The following are the most active stocks for the after hours session: Grupo Televisa S.A.B (TV) is -0.02 at $2.51, with 3,508,630 shares traded. As reported by Zacks, the current mean recommendation for TV is in the "buy range". Pacific Gas & Electric Co. (PCG) is -0.145 at $17.88, with 2,094,417 shares traded. As reported by Zacks, the current mean recommendation for PCG is in the "buy range". iShares 20+ Year Treasury Bond ETF (TLT) is +0.15 at $89.95, with 1,842,413 shares traded. This represents a 9.14% increase from its 52 Week Low. Blackstone Secured Lending Fund (BXSL) is +0.12 at $28.75, with 1,400,746 shares traded. As reported by Zacks, the current mean recommendation for BXSL is in the "buy range". Apple Inc. (AAPL) is -0.01 at $189.96, with 1,201,349 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2023. The consensus EPS forecast is $2.08. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range". Invesco QQQ Trust, Series 1 (QQQ) is -0.29 at $389.22, with 1,109,321 shares traded. This represents a 49.86% increase from its 52 Week Low. Patterson-UTI Energy, Inc. (PTEN) is unchanged at $11.97, with 963,700 shares traded. As reported by Zacks, the current mean recommendation for PTEN is in the "buy range". LivaNova PLC (LIVN) is unchanged at $44.12, with 851,896 shares traded. LIVN's current last sale is 71.16% of the target price of $62. Amazon.com, Inc. (AMZN) is -0.05 at $146.69, with 757,943 shares traded. Over the last four weeks they have had 13 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2023. The consensus EPS forecast is $0.77. As reported by Zacks, the current mean recommendation for AMZN is in the "buy range". Avient Corporation (AVNT) is unchanged at $34.42, with 701,888 shares traded. As reported by Zacks, the current mean recommendation for AVNT is in the "buy range". AT&T Inc. (T) is +0.01 at $16.22, with 549,021 shares traded. T's current last sale is 81.1% of the target price of $20. Clarivate Plc (CLVT) is unchanged at $7.29, with 541,967 shares traded. CLVT's current last sale is 85.76% of the target price of $8.5. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-24	T	Below is Validea's guru fundamental report for AT&T INC. (T). Of the 22 guru strategies we follow, T rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AT&T INC. (T) is a large-cap growth stock in the Communications Services industry. The rating using this strategy is 95% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: PASS QUALITY AND DEBT: PASS VALUATION: PASS RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: PASS Detailed Analysis of AT&T INC. T Guru Analysis T Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here Sponsored Links Learn How To Write Faster for Work (Find Out Now) Grammarly The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-23	T	It has been about a month since the last earnings report for Verizon Communications (VZ). Shares have added about 10.9% in that time frame, outperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Verizon due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Verizon Beats Q3 Earnings Estimates, Misses on Revenues Verizon reported mixed third-quarter 2023 results with the bottom line beating the Zacks Consensus Estimate but the top line missing the same. The telecom giant is witnessing significant 5G adoption and fixed wireless broadband momentum. Strong demand for Fios and fixed wireless products also led to healthy broadband performance with total broadband net additions of 434,000. Verizon witnessed solid traction in the wireless business with 100,000 total postpaid phone net additions in the quarter along with retail postpaid net additions of 581,000. Net Income On a GAAP basis, net income in the quarter was $4,884 million or $1.13 per share compared with $5,024 million or $1.17 per share in the prior-year quarter. The year-over-year decrease despite lower operating expenses was primarily attributable to top-line contraction. Excluding non-recurring items, quarterly adjusted earnings per share were $1.22 compared with $1.32 in the prior-year quarter. The bottom line beat the Zacks Consensus Estimate by 5 cents. Revenues Quarterly total operating revenues decreased to $33,336 million from $34,241 million in the prior year owing to lower wireless equipment revenues driven by a challenging macroeconomic environment and lower postpaid phone upgrades. The top line missed the consensus estimate of $33,390 million. Quarterly Segment Results Consumer: Total revenues from this segment declined 2.3% year over year to $25,257 million, as higher service revenues were more than offset by lower equipment revenues in the quarter. However, it exceeded our revenue estimate of $24,008 million for the segment led by solid wireless momentum. Service revenues were up 2.3% to $18,850 million, while wireless equipment revenues slumped 11.8% to $4,902 million. Other revenues totaled $1,505 million, down 19.1% year over year. The segment recorded 51,000 wireless retail postpaid phone net losses and 207,000 wireless retail prepaid net losses in the quarter. Wireless retail postpaid churn was 1.04%, while retail postpaid phone churn was 0.85%. The company recorded 69,000 Fios Internet net additions as high demand for reliable fiber optic broadband was spurred by higher video consumption. Fixed wireless broadband net additions were 251,000 for the quarter. However, Verizon registered 78,000 Fios Video net losses in the quarter, reflecting the ongoing shift from traditional linear video to over-the-top offerings. The segment’s operating income improved 2.7% to $7,547 million on lower operating expenses with a margin of 29.9%, up from 28.4% in the year-ago quarter. EBITDA increased 2.2% to $10,819 million with a margin of 42.8% compared with 40.9% in the prior-year quarter due to lower costs of wireless equipment. Business: The segment revenues were down 4% to $7,527 million due to lower wireline and wireless equipment revenues, partially offset by growth in wireless service revenue. It also was lower than our estimates of $7,694 million largely due to challenging macroeconomic conditions. The segment had 330,000 wireless retail postpaid net additions in the quarter, including 151,000 postpaid phone net additions. Wireless retail postpaid churn was 1.47%, while retail postpaid phone churn was 1.14%. Fixed wireless broadband net additions were 133,000 for the quarter. Operating income declined to $539 million from $698 million in the year-ago quarter with respective margins of 7.2% and 8.9%. EBITDA was down 6.2% to $1,666 million owing to decline in high margin wireline revenues for a margin of 22.1% compared with 22.7% in the year-earlier quarter. Other Quarterly Details Total operating expenses decreased 1.8% year over year to $25,863 million, while operating income was down 5.3% to $7,473 million. Consolidated adjusted EBITDA improved marginally to $12,238 million from $12,218 million for respective margins of 36.7% and 35.7%. Cash Flow & Liquidity Verizon generated $28,798 million of net cash from operating activities in the first nine months of 2023 compared with $28,199 million in the year-ago period. The improvement was primarily due to working capital improvements driven by lower inventory levels, fewer phone upgrades and a modest improvement in customer payment patterns. Free cash flow was $6,684 million for the quarter compared with $5,214 million in the prior-year period. As of Sep 30, 2023, the company had $4,210 million in cash and cash equivalents with $134,441 million of long-term debt. Guidance Reiterated Verizon has reiterated its guidance for 2023 and expects wireless service revenue growth in the range of 2.5%-4.5%. Adjusted EBITDA is likely to be $47-$48.5 billion. The company expects adjusted earnings in the range of $4.55 to $4.85 per share. Capital expenditure is estimated at the higher end of its earlier guided range of $18.25 billion and $19.25 billion, while cash flow is likely to be in the range of $36.25 billion and $37.25 billion. How Have Estimates Been Moving Since Then? It turns out, estimates revision have trended downward during the past month. VGM Scores Currently, Verizon has a subpar Growth Score of D, though it is lagging a bit on the Momentum Score front with an F. However, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in. Outlook Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Verizon has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Performance of an Industry Player Verizon belongs to the Zacks Wireless National industry. Another stock from the same industry, AT&T (T), has gained 6.5% over the past month. More than a month has passed since the company reported results for the quarter ended September 2023. AT&T reported revenues of $30.35 billion in the last reported quarter, representing a year-over-year change of +1%. EPS of $0.64 for the same period compares with $0.68 a year ago. For the current quarter, AT&T is expected to post earnings of $0.57 per share, indicating a change of -6.6% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.4% over the last 30 days. The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for AT&T. Also, the stock has a VGM Score of B. Zacks Reveals ChatGPT "Sleeper" Stock One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more. Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Verizon Communications Inc. (VZ) : Free Stock Analysis Report AT&T Inc. (T) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-23	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The nationwide launch of fifth-generation (5G) wireless networks three years ago heralded the start of a new investment cycle. It marked the first time in over a decade that wireless carriers had significantly upgraded their infrastructure. Going from 4G LTE to 5G means the potential for a massive increase in download speeds, possibly 100 times greater! This lead us to creating this list of 5G stocks to buy. For mobile phone users, the change promises to meet their data-hungry demands for greater bandwidth. For the carriers, it promises more profits as data usage tends to be the most profitable portion of their business. The revolution should usher in a device replacement cycle that could last for years. What follows are a trio of the top undervalued 5G stocks you can buy for your portfolio today. AT&T (T) Source: Lester Balajadia / Shutterstock.com There is no good reason the market hung up on Ma Bell. AT&T (NYSE:T) is perfectly positioned to capitalize on the trends sweeping the industry. However, since the market chooses to offer up the telecom at a discount, investors should not hesitate to buy. Customers love AT&T’s service. Its phone churn rate of 0.79% last quarter shows they stick with the carrier after signing up for service. In comparison, Verizon (NYSE:VZ) reported its churn was 0.85%. The carrier says managing churn “is critical to our ability to maximize revenue growth and to maintain and improve margins.” Operating margins improved 90 basis points to 24.9% in the latest period while EBITDA margin jump to 43% from 40.8% a year ago. AT&T added yet another 468,000 postpaid phone net additions this quarter. That’s a metric the industry uses to signify a company’s success at attracting customers and generating dependable revenue streams. It’s now has 8.7 million postpaid phone adds over the last three years compared to fewer than 1 million in the three years prior to 2020. AT&T trades at six times earnings estimates, a fraction of sales, and a deeply discounted seven times free cash flow (FCF). These are incredibly cheap valuations, even for telecoms. T-Mobile (TMUS) Source: Shutterstock Rival carrier T-Mobile (NYSE:TMUS) might not be as deep into the bargain bin as Ma Bell, but the “Un-carrier” is still deceptively cheap. Wall Street forecasts the telecom will grow earnings at a blistering 67% annually for the next five years. Both AT&T and Verizon are essentially expected to see negligible growth. That means T-Mobile trades at just 0.3 times its earnings growth rate. It also just became the largest prepaid carrier when it finished the third quarter with 21.6 million compared to Verizon’s 21.4 million. T-Mobile is only just ramping up its growth. Adjusted FCF grew to $4 billion this past quarter, a 94% increase from last year. It now expects FCF to be between $13.4 billion and $13.6 billion for the full year. It’s also notable the telecom now pays a dividend. Announced last quarter, it yields a paltry 0.4% annually (the first payment will be in December). In contrast, AT&T yields 7% while Verizon’s yields 7.3%. However, it’s part of a larger capital allocation program. T-Mobile promised to return $19 billion to shareholders throughout the next five quarters. Dividends would be $3.75 billion between Oct. 1 and Dec. 31, 2024. The remainder would be share buybacks. The Un-carrier is an unusual opportunity for investors looking to cash in on the industry’s future growth. American Tower (AMT) Source: T. Schneider / Shutterstock Not a carrier, real estate investment trust (REIT) American Tower (NYSE:AMT) is still essential to and will benefit from the 5G boom. As its name suggests, the REIT leases space on its towers primarily to wireless service providers, but also to radio and TV broadcasters, wireless data providers and the government. American Tower operates under long-term leases of between five to 10 years. It has historically low churn rates of just 1% to 2%, though it expects rates to be higher through 2025. Obligations it has with T-Mobile will see a number of those leases expire and not renew. After adding a tenant, American Tower incurs little additional cost. That means it enjoys high profits margins with little fluctuation. Trailing gross margins are north of 71% while operating margins are 31.7%. The stock is down 10% over the last year. Inflation impacted American Tower’s performance, like other REITs. Yet, similar to all REITs, American Tower still has to pay out at least 90% of its profits as dividends. Its dividend currently yields a healthy 3.2%. If inflation eases, expect its profits to soar. That makes this undervalued REIT a 5G stock to buy now, and it more than earned its spot on our list of 5G stocks to buy. On the date of publication, Rich Duprey held a LONG position in T stock. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Rich Duprey has written about stocks and investing for the past 20 years. His articles have appeared on Nasdaq.com, The Motley Fool, and Yahoo! Finance, and he has been referenced by U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, USA Today, Milwaukee Journal Sentinel, Cheddar News, The Boston Globe, L’Express, and numerous other news outlets. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 5G Stocks to Buy Before Wall Street Catches Up appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-22	T	InvestorPlace - Stock Market News, Stock Advice & Trading Tips Dividends provide a guaranteed return on capital and investment income to shareholders. This makes dividends an important consideration, especially for people living in retirement. However, dividends can be tricky. A lot of times, stocks that offer shareholders a high yielding dividend do so because the share price is underperforming or trailing the broader market. In the best case scenario, investors latch onto a stock whose share price is appreciating and that provides a strong quarterly payment in the form of a dividend. While not always easy to find, these exceptional stocks are out there. Here are three dividend stocks destined to move significantly higher in 2024. AT&T (T) Source: Jonathan Weiss/Shutterstock U.S. telecommunications firm AT&T (NYSE:T) offers investors one of the highest yielding dividends around. The company currently pays its shareholders 28 cents a share each quarter for a yield of 6.99%. That’s a return most investors will gladly take. However, there are other reasons to like T stock beyond the dividend. The company has been reporting improving earnings and there is reason to believe that the company’s share price could also recover in 2024. For this year’s third quarter, AT&T announced EPS of 64 cents, which was better than the 62 cents forecast among analysts. Revenue rose1% from a year earlier to $30.40 billion. Analysts had penciled in $30.20 billion of sales for the summer quarter. Looking forward, AT&T raised its guidance for free cash flow for the rest of this year, saying it now anticipates free cash of $16.50 billion, up from a previous estimate of $16 billion. That free cash flow can help support the dividend. T stock is down 15% this year, presenting a buy-the-dip opportunity. PepsiCo (PEP) Source: FotograFFF / Shutterstock.com PepsiCo (NASDAQ:PEP) provides a dividend that is better-than-average. Shareholders of the food and beverage giant receive a quarterly payment of $1.27 per share, giving it a yield of 3%. The maker of Pepsi and Mountain Dew soft drinks is also a “Dividend Aristocrat,” meaning it has increased its dividend payment for more than 25 consecutive years. Owed partly to the attraction of its dividend, PepsiCo is on track to become the biggest U.S. beverage company by market value, surpassing rival Coca-Cola (NYSE:KO), which has held the top spot for nearly 20 years. PepsiCo is also a consistent performer when it comes to its finances and growth. Most recently, the company announced Q3 EPS of $2.24 and revenue of $23.45 billion. That beat analyst forecasts of $2.15 a share of profit on $23.41 billion in sales. PepsiCo, which also makes Lay’s potato chips and Gatorade sports drink, said that it now expects its annual earnings to grow by 13% in 2023. PEP stock has pulled back recently and is down 6% on the year, offering a nice entry point to investors. Dick’s Sporting Goods (DKS) Source: George Sheldon via Shutterstock Earlier this year, retailer Dick’s Sporting Goods (NYSE:DKS) more than doubled its quarterly dividend payment, increasing it 105% to $1 per share. DKS stock now has a dividend yield of 3.47% based on the current share price. In addition to the dividend, Dick’s stock looks undervalued right now trading at just 10 times future earnings estimates, in addition to the share price being down 4% on the year after the company posted a rare earnings miss in late August. DKS stock declined more than 20% on news of a 23% drop in profits and lowered earnings guidance for the remainder of this year. The company blamed the poor showing on consumer theft and a slowdown of sales in its outdoor category that includes camping gear. Dick’s also lowered its profit outlook for the remainder of this year, saying it is grappling with “shrink,” a term that refers to inventory lost due to theft. Analysts and investors are hoping for a stronger print from Dick’s when it next reports results on Nov. 21. On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Dividend Stocks Destined to Move Significantly Higher in 2024 appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-22	T	You don't need a lot of money to get going in the market these days. The growing popularity of zero-commission trading means that even $20 is more than enough to buy a piece of a potentially lucrative investment. The ability to grab fractional shares means you don't necessarily have to worry about price tags, but let's play clean here. AT&T (NYSE: T), Toast (NYSE: TOST), and Nintendo (OTC: NTDOY) are three of my favorite stocks trading for less than $20 a share. They could be some of the smartest stocks for buy-and-hold investors. Let's take a closer look. 1. AT&T If AT&T walked in for a job interview, you would probably laugh at its resume. The telco giant has spent the last few years paying the price for lousy big-ticket purchases and yawn-worthy organic growth. Even after dispensing with the last of its mistakes last year, the shares have yet to pay off in 2023. The stock is trading lower this year, even adjusted for its generous quarterly payouts. Still, after three years of annual revenue declines, AT&T has rattled off four consecutive quarters of 1% top-line growth. This is what stability looks like, even if right now it seems as if the only people bullish on AT&T are income investors drawn to the wireless giant's 6.9% yield. Image source: Getty Images. Things should get better. AT&T posted better-than-expected third-quarter results on both ends of the income statement, and it boosted its guidance. The balance sheet remains problematically leveraged, but it just boosted its guidance calling for $16.5 billion in free cash flow this year. AT&T is trading for a mere seven times earnings, but that multiple more than doubles when we stack it up against its debt-saddled enterprise value. The good news is the growing consensus that interest rates are topping out. AT&T's yield will become more attractive as rates slip, and its ability to deploy its improving free cash flow to lighten its leverage will be applauded. AT&T is growing its wireless customer base with churn near a historic low. This stock is a smart call with an unheralded turnaround story. 2. Toast AT&T moved higher after reporting this earnings season, but Toast turned out to be the equivalent of an inedible plate that gets sent back to to the kitchen. The provider of payments processing and other enterprise solutions for independent eateries stumbled after its latest report. The stock tumbled 14% the day after the release of third-quarter results. Revenue and annual recurring revenue rose a respectable 37% and 40% in the report. Gross payment volume proved problematic, climbing just 34% to match the growth of locations using Toast, but the company had expected this metric to decline in the current quarter. On the downside, the company also sees a sequential dip in its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for the fourth quarter. Concerns that folks are spending less on dining out will weigh on Toast until the trend improves, but Toast's profitability metrics are making the most of the platform's scalability. 3. Nintendo The iconic video-game pioneer may not seem like much of a growth opportunity these days. It's coming off back-to-back fiscal years of declining revenue and net income. However, there are more catalysts than you might think to look forward to with Nintendo. Let's start with its strong history of breakthrough new video game consoles. It had the Wii in 2006, Wii U in 2012, and the Switch in 2017. That's a new bar-raising system every five or six years. And now we're six years removed from the arrival of the Switch. Putting out a new console is important for Nintendo, because sales historically peak in the third or fourth year of a new launch. It's not a surprise that revenue peaked in fiscal 2009 -- and again in fiscal 2021. Among the continuing good news is that the Super Mario Bros. movie collected nearly $1.4 billion in ticket sales worldwide this year. That was a figure beaten only by Barbie, and it cemented the multigenerational appeal of Nintendo's most popular franchise. Super Nintendo World has also opened within Comcast's (NASDAQ: CMCSA) Universal Studios theme parks in Japan and California. The largest addition opens in Florida in 2025. Nintendo also pays semiannual dividends, giving this compelling growth story some income to share along the way. The stock, meanwhile, trades at a reasonable 17 times trailing earnings, and that's with a quarter of its market cap backed by its strong net cash position. The path for growth is clear for the next few years. Nintendo is playing to win. 10 stocks we like better than AT&T When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and AT&T wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 20, 2023 Rick Munarriz has positions in AT&T, Comcast, Nintendo, and Toast. The Motley Fool recommends Comcast, Nintendo, and Toast. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-22	T	The directors of a company tend to have a unique inside view into the business, so when directors make major buys, investors are wise to take notice. Presumably the only reason a director of a company would choose to take their hard-earned cash and use it to buy stock in the open market, is that they expect to make money — maybe they find the stock very undervalued, or maybe they see exciting progress within the company, or maybe both. So in this series we look at the largest insider buys by company directors over the trailing six month period, one of which was a total of $971.9K by Stephen J. Luczo, Director at AT&T Inc (Symbol: T). PURCHASED INSIDER TITLE SHARES PRICE/SHARE VALUE 11/13/2023 Stephen J. Luczo Director 62,500 $15.55 $971,875.00 Luczo's average cost works out to $15.55/share. Shares of AT&T Inc were changing hands at $16.11 at last check, trading down about 0.4% on Wednesday. The chart below shows the one year performance of T shares, versus its 200 day moving average: Looking at the chart above, T's low point in its 52 week range is $13.43 per share, with $20.50 as the 52 week high point — that compares with a last trade of $16.11. The current annualized dividend paid by AT&T Inc is $1.11/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 10/06/2023. Below is a long-term dividend history chart for T, which can be of good help in judging whether the most recent dividend with approx. 6.9% annualized yield is likely to continue. Click here to find out which other top insider buys by company directors you need to know about » Also see: Institutional Holders of QTNT Funds Holding GWRE XOXO YTD Return The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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