10 Best Telecom Dividend Stocks To Buy for 2024

5. AT&T Inc. (NYSE:T)

Number of Hedge Fund Holders: 59

AT&T Inc. (NYSE:T) is a Texas-based telecommunications company that offers a wide range of related services and products to its consumers. In 2022, the company refocused its priorities by merging its WarnerMedia division with Discovery, moving away from media to concentrate on strengthening its telecom operations. Under CEO John Stankey, who took the helm in 2020, the company has made notable progress in restructuring and reducing long-term debt, positioning itself for sustainable growth.

A cornerstone of AT&T Inc.’s (NYSE:T) strategy is its significant investment in digital infrastructure, particularly its mid-band 5G network, which now reaches over 210 million people. This commitment to advanced technology enhances its competitive position and boosts service reliability. Furthermore, the company has been addressing social issues by working to close the digital divide and offering affordable broadband services to underserved communities.

In the third quarter of 2024, AT&T Inc. (NYSE:T) posted revenue of $30.2 billion, which fell slightly by 0.5% from the same period last year. Despite challenges such as severe weather and a workforce stoppage in the Southeast, the company achieved its 19th consecutive quarter of adding over 200,000 new AT&T Fiber customers. It continues to expand its largest business segment, Mobility, and anticipates leading the industry in postpaid phone churn for the 13th time in the last 15 quarters. The company remains committed to top-tier industry investments, debt reduction, and year-to-date growth in free cash flow.

AT&T Inc. (NYSE:T) also demonstrated a strong cash position in its recent quarterly earnings. The company’s operating cash flow came in at $10.2 billion and its free cash flow amounted to $5.1 billion. Its quarterly dividend comes in at $0.2775 per share for a dividend yield of 4.92%, as recorded on December 19.

AT&T Inc. (NYSE:T) was included in 59 hedge fund portfolios at the end of Q3 2024, down from 71 in the previous quarter, as per Insider Monkey’s database. The collective value of stakes owned by these funds stands at over $5.6 billion.