1 Reason to Buy AT&T Stock, and 1 Reason to Avoid

The stock market has rendered its verdict on AT (NYSE: T) stock this year. While the S 500 is up around 10% year-to-date, shares of the telecom giant have tumbled roughly 20%.

There are some good reasons for the pessimism. The wireless industry has slowed this year, partly a hangover following a period of strong pandemic-era growth, and partly the result of an uncertain economic environment. AT still added just over 300,000 net postpaid phone subscribers during the second quarter, but that's less than half what it was adding each quarter throughout much of 2021 and 2022.

With AT stock trailing the broader market by such a wide margin while the wireless industry is becoming more competitive, it's understandable that many investors have written off the telecom giant entirely. But there's one good reason to seriously consider the stock.

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Source Fool.com