AT&T has had a good run in the past few months. It gained on merger talks with SBC, it even held some of those gains after the talks ended, then they reported earnings as a low-water mark for the year, the ncame the announcement of C. Michael Armstrong. What is there now to sustain their price? The market is becoming more and more competitive and the likelihood of a major merger with GTE or SBC is not too likely. Armstrong is going to cut expenses but investors are going to bore with that quickly. As a stockholder from $32.00 I am wondering when to get out with the most profit without catching the backfall I think is coming.
If your a short term investor consider getting out in the mid 60's because it will get there fairly soon, However you may want to hold this one long term because as someone hinted to earlier this one has good growth potential. ATT is very fat and will be going on an extreme diet starting last month. Telecom is a very hot sector and will be for along time. ATT has large cap and will gain strenth just by wearing on the smaller caps. From attrition alone this one will keep rolling along. Also, Armstrong is a business genius.!