Boston, MA 02/10/2014 (wallstreetpr) – The telecom industry has slowly been picking up amidst the economic turmoil highly accelerated by the continuous manufacture of tablets and smartphones. The telecom industry is one of the most stable industries in the market highlighted by the consistent growth and stable cash flow. It is for this reason that AT&T Inc. (NYSE:T) is one of the biggest and best placed companies in the industry that any want to be investor would highly be advised to pay a closer look at.
The massive growth of dividend yield
AT&T Inc. (NYSE:T) has been commanding one of the biggest dividend yield in the market at 5.5% which has been growing with each year as the company continues to increase its dividends. The company recently posted its Q4 earnings which showed a massive increase in EPS from lows of $0.68 to highs of $1.31. The company announced that it was improving its wireless division as it bids to improve its margins in the wireless segment
Smartphone penetration has further added to the fortunes of AT&T as it continues to increase revenue avenues amid increased competition from its longtime rival Verizon. The company can improve its margins in the market by essentially keeping its churn rate as low as possible compared to that of Verizon. Its churn rate used to be 1.4% although it has improved to 1.1% but still falls high compared to Verizon 1%.
AT&T Inc. (NYSE:T) has continued to experience an improvement in its subscriber growth commanding a better than 20% growth rate over the past quarter, this was significantly better than that of its superior. It is worth noting that AT&T commands the lowest of debt to equity ratio compared to its rivals while also commanding a 61% core free cash flow payout ratio.
AT&T Inc. (NYSE:T) closed Friday trading session at a stable price of $32.30.
