AT (NYSE: T) has long been a solid dividend stock to own. But investors have been losing trust in the stock amid rising interest rates, inflation, and a poor economic outlook. Year to date, it has fallen by 17%. And as a result of its declining share price, the stock's yield is up to around 7.5%. 

At first glance, it may appear to be a payout that's too good to be true. However, given At's most recent quarterly results, that may not be the case.

The big question mark around AT's dividend was always its cash flow. If it could meet its target of $16 billion in free cash for the year, that would mean the dividend should remain safe. The problem is it didn't always appear that way. In the first quarter, for example, AT reported free cash flow of only $1 billion for the period ending March 31. The following quarter, free cash flow improved to $4.2 billion but cumulatively totaled $5.2 billion and was still less than half of the $16 billion the telecom company was forecasting for the year. 

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Source Fool.com