11-15-2018, 03:06 PM
(11-15-2018, 02:55 PM)divmenow Wrote: T back under $30 again. Stock sucks lol
Probably the safest 6.6% yield on the market. Not to imply that it is risk-free, as $180+ Billion debt is a staggering amount, even with their cash flow projections. That said, I like the stock here at historically high yields, and that we appear to be pretty late in the business cycle. As a counter-cyclical, T should outperform in a recessionary environment with falling interest rates, whenever that occurs (my best guess is sometime in 2H 2019).
Despite all of the debt, I also like the TWX acquisition long-term. I think owning all of that content (HBO, all the Turner channels) is going to generate a ton of revenue in the long run, and place T ahead of its competitors. Can't say I'm a huge fan of DirecTV, but I think TWX is a different beast altogether.