AT&T is still a buyer in 2025? What investors need to know News ad

The investor is focused on at & t NYSE: T. It begins to hone it, since the company’s shares price make a healthy increase in the age of almost 50% in early June 2025. This resumption of market interest arises due to the fact that the heavyweight in telecommunications approaches Critical intersections In their strategic plans.

AT&T actively directs growth funds oriented to the future, and also manages its large, established business and expectations of its shareholders. Since AT&T continues to solve its problems and expand its network, is there a clear path to value for investors now, or is the signal still too weak to make this challenge?

High -speed growth plan at & t

AT&T invests in its fiber -optical and 5G networks. These technologies are considered as decisive for future income and market position. The expansion of its fiber -optic network is the main priority for AT&T. The company has already connected infrastructure with 29.5 million houses and enterprises with its fiber Internet to the first quarter of 2025. Only in this quarter, AT&T added 261,000 new customers.Field

This marked the 21st quarter in a row with more than 200,000 new fiber registrations, which signals high demand for this premium service, which can lead to higher and more predictable income.

The main part of this strategy is the planned $ 5.75 billion Buying of supply mass markets Lumen Technologies fiber. This deal, which is expected, will be completed in the first half of 2026, will add about a million new customers from the fiber and reach more than four million seats in 11 states.

At & T seeks to have 60 million seats By the end of 2030. The expansion of its market coverage in this way can directly increase service income, which is a key factor affecting the company’s profits and investors’ assessment.

Adding experience 5G

In addition to the fiber, AT & T continues improve your wireless network 5GThe company uses its 5G system, which offers several levels of service, including the new faster 5G+, to attract and retain customers. These new plans are designed to attract more subscribers from targeted age groups, such as elderly people and Gen X.

AT&T also encourages customers to bind services, Association of fiber -optic Internet with 5G WirelessThe field currently over 40% of AT&T households also use At & T Wireless.

This can lead to higher average income per user (ARPU), which means more income for each client, and can also help customers more maintain loyal ones. Both results Maintain stronger financial results For AT&T and can improve how investors look at promotions.

The cost of AT&T is built on solid land?

The company’s financial health is a vital factor for investors. The ability of AT&T to generate funds, pay dividends to shareholders and manage its duty is central to appeal its shares. Although the company in the past transferred its fair share of problems, think about it:

• Free cash flow: AT&T generated $ 3.1 billion in the form of free cash flow (with the exception of DirectV) in the first quarter of 2025 and strives for 16 billion dollars per year. This sufficient cash flow of network modernization, dividends and debt reduction, increasing the confidence of investors.
• Return to shareholders: AT&T is recognized for receiving dividends, currently paying annual dividends per share in the amount of $ 1.11. In early June 2025, this gave a yield of 4.05%, attracting investors looking for income. Dividends are financially justified, which is about 20.32% of the company’s cash flow.
• Share ransom: AT&T plans to buy out at least $ 3 billion by the end of 2025, which is part of the initiative to buy shares of $ 10 billion. This can increase the remaining value of shares and indicate the confidence of the leadership in shares.
• Best debt load management: The debt of AT&T was a key problem for investors over several quarters. In the first quarter of 2025, the company’s net debt amounted to 119.1 billion dollars. The United States, with a ratio of debt to its own capital, is about 1.0, which indicates that its debt was approximately equal to its share capital. Management carefully monitors this goal and uses a free cash flow to continue reducing the debt, which potentially increases the valuation of shares.

What can the slow progress of AT&T?

AT&T solves its problems in the forehead, but there are still things that add risk to the company that investors must continue to follow:

• Intensive competition: The telecommunications industry is very competitive: AT&T competes with the main competitors on wireless and broadband Internet markets. This competition gives prices, potentially reduces profit and requires significant investments to remain competitive.
• Reducing the wired line of business: The segment of the business wire line is under decrease in income due to long-term changes in the industry and abandoning older communication services. AT&T needs to manage this by transferring customers to new fiber-optic and Internet solutions.
• Strategic risks of the project: Large strategic projects, such as the integration of the Lumen Mass Markets fiber -optic business, are associated with uncertainty and require careful execution to achieve the alleged benefits.

AT&T: A cautious case for investor optimism?

Although significant debt and intensive competition remains a real problem, a clear AT&T strategy, focused on high -growth networks and 5G, is a convincing positive counterweight.

This direction is supported by a healthy free cash flow and the obligation to return the value to shareholders through dividends and ransom of sharesField

For Investors who evaluate dividend income And to have a long -term vision, the current path of AT&T offers a carefully optimistic forecast.

The success of the company in expanding its fiber -optic network and diligent management of its debts will be crucial for shares Future performanceField

Nevertheless, the overall picture suggests that for the correct type of AT&T investor is a call that should be made, and not the one that should be quickly sent to voice mail.

Before considering At & T, you will want to hear this.

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