VZ - AT&T Q1 Earnings: No Reason To Get Impatient

2024-04-25 13:36:43 ET

Summary

• AT&T is growing customer count and margins in its wireless and broadband businesses, offsetting a drag from Business Wireline.
• This growth, along with lower debt payoff and capex requirements, sets up the likelihood of a dividend increase in 2025.
• Short-term concerns, like the network outage and data breach, are being handled by management and have not significantly impacted financial results.
• The stock remains cheaper than Verizon with better EPS and dividend growth potential, keeping AT&T a Buy.

Still Laying The Groundwork For Share Price Recovery

I have been covering AT&T's ( T ) quarterly earnings regularly here on Seeking Alpha. I have rated it a Buy since July 2023 , during which time the stock has returned over 16%. The share price has stalled out in 2024, however, trading mostly sideways since my last article, where I labeled AT&T "The Ultimate Patience Tester" ....

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