3 Things About AT&T That Smart Investors Know

As a stock, AT (NYSE: T) mostly gets attention these days because of its outsized dividend yield. With its 6.9% yield, there are plenty of investors willing to give it a closer look in hopes of capturing what they believe is a guaranteed return.

But it's when investors take a closer look at the company and the stock that they reveal the full at investment picture. That picture illustrates at least three things investors need to know before buying this stock.

With a 6.9% yield, many investors might worry that AT's dividend is on the verge of being cut. A good rule of thumb for evaluating the average dividend payout is that, once a dividend yield rises about 5%, more caution (and more research) is required before making a buy.

Source Fool.com