The AT&T Dividend Shouldn’t Be Chased

Most of the long-term wealth in the stock market gets made by searching for one of two things. Either the accumulation of assets selling at a discount, or the purchase of securities trading at fair prices that have unusually have earnings per share growth rates. For long periods of time, AT&T stock has tended to fall in the category of undervalued because the investor community thinks it is too big to deliver any subsequent growth. But when the dividend of AT&T goes below 5%, history has shown us that the subsequent returns are usually below expectations and confirm the conclusion that the stock shouldn’t be bought when it is overvalued because it can’t just “grow out of it” like you could by overpaying for an investment in something like Visa or Nike.

What Are The Risks With ATT Stock?

You have got to get the price right. This part is … Read the rest of this article!