Top 10 Best Dividend Stocks on Robinhood

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

Number of Hedge Fund Holders: 59

An American telecommunications company, AT&T Inc. (NYSE:T) provides a wide range of related services. In its Q4 2024 earnings, the company reported strong results, with revenue reaching $32.3 billion, up 0.6% compared to the same period last year. The company’s operating income was $5.3 billion, and its net income totaled $4.4 billion. AT&T saw 482,000 net additions in its postpaid phone segment, along with a projected industry-leading postpaid phone churn rate of 0.85%. Mobility service revenues grew 3.3% year-over-year to $16.6 billion. In addition, the company gained 307,000 net additions in its AT&T Fiber segment, marking the 20th consecutive quarter with net additions of 200,000 or more.

In the third quarter of 2024, AT&T Inc. (NYSE:T) announced the sale of its remaining 70% stake in DirecTV to private equity firm TPG, a transaction expected to produce significant cash flow for debt reduction and shareholder returns. With a robust financial standing, rising stock value, and an attractive dividend yield, the company is becoming an appealing option for investors looking for income-generating opportunities.

AT&T Inc. (NYSE:T)’s cash flow is stable enough to fulfill its dividend payments. In the most recent quarter, the company reported an operating cash flow of $11.9 billion and its free cash flow came in at $4.8 billion. It currently offers a quarterly dividend of $0.2775 per share and has a dividend yield of 4.68%, as of January 30.

As of the close of Q3 2024, 59 hedge funds in Insider Monkey’s database owned stakes in AT&T Inc. (NYSE:T), down from 71 in the previous quarter. The consolidated value of these stakes is over $5.6 billion.