Cash flow is more important than cash on hand and T is a cash flow machine. Following is the conclusion of a Jan. Wall Street report:
Conclusion
AT&T does have to deal with access line losses, intense competition, and iPhone subsidies, but the positives greatly outweigh the negatives. These positives include excellent cash flow, steady revenue growth, solid guidance, increased subscribers, U-Verse expansion, and a 5.30 percent yield. The Forward P/E is also just 12.59.
AT&T’s stock isn’t likely to be as strong as it has been over the past three years, but it’s still an OUTPERFORM.