Comparing the High-Yield Dividend Opportunities of AT&T and Verizon

Monday, 29 April 2024, 08:19

Telecom giants AT&T and Verizon are both offering dividend yields above 6%, making them attractive to income-seeking investors. While AT&T is focusing on reliable earnings growth and subscriber gains, Verizon boasts a consistent track record of dividend increases and strong wireless service revenues. Ultimately, AT&T appears to be the better high-yield dividend stock with its promising outlook for passive income over the long run.
https://store.livarava.com/6df29707-0601-11ef-a6c0-63e1980711b2.jpg
Comparing the High-Yield Dividend Opportunities of AT&T and Verizon

AT&T Overview

Both AT&T and Verizon offer dividend yields above 6% at the moment, attracting income-seeking investors to the telecommunications industry. AT&T's recent focus on its telecommunications business has led to more reliable earnings growth, with subscriber gains and reduced churn compared to its competitors.

Key Points:

  • Dividends: AT&T slashed its payout in 2022 but remains a top choice for passive income.
  • Subscriber Growth: AT&T saw 55,000 net broadband subscriber gains in the first quarter.
  • Competition: With improving trends, AT&T is moving closer to the top spot in the telecom industry.

Verizon Overview

Verizon, the industry leader, offers a slightly higher dividend yield than AT&T and has a strong track record of consistent dividend growth. Despite facing challenges like increased debt and competition, Verizon continues to focus on expanding its services and wireless revenues.

Key Points:

  • Dividend Growth: Verizon made its 17th consecutive annual dividend payout raise last September.
  • Service Expansion: Verizon reported adding new fixed wireless and fiber optic subscribers in the first quarter.
  • Challenges: Strong competition and rising debt levels may impact Verizon's growth potential in the near future.

Overall, AT&T presents a more promising investment opportunity for high-yield dividend seekers compared to Verizon, thanks to its strategic focus on growth and stability in the telecom market.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


Related posts


Newsletter

Get the most reliable and up-to-date financial news with our curated selections. Subscribe to our newsletter for convenient access and enhance your analytical work effortlessly.

Subscribe