Forget AT&T, China Mobile Is a Cheaper 5G Telecom Stock
AT&T (NYSE: T) is often considered a solid stock for conservative investors. It has a well-diversified business, pays a high forward yield of 7.5%, and trades at just nine times forward earnings.
Yet AT&T's long-term returns are dismal. Its stock has declined nearly 20% over the past five years as the S&P 500 rallied nearly 70%. Even after factoring in reinvested dividends, AT&T generated a total return of less than 10%. Those poor returns can be attributed to the sluggish growth of its wireless business, its ongoing loss of pay TV subscribers, its messy media ambitions, and its high debt.
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Source Fool.com
