|Bid||34.56 x 800|
|Ask||34.57 x 1200|
|Day's Range||34.37 - 35.61|
|52 Week Range||23.22 - 44.66|
|Beta (3Y Monthly)||1.44|
|PE Ratio (TTM)||12.70|
|Earnings Date||Nov 5, 2019 - Nov 11, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||43.32|
Today we are going to look at DISH Network Corporation (NASDAQ:DISH) to see whether it might be an attractive...
According to the Wall Street Journal, Elliott Management has proposed that AT&T; divest assets including its satellite TV business, DIRECTV, to enhance shareholder value.
The hedge fund took a $3.2bn stake in AT&T last week and is waging a campaign for an overhaul of the business. This includes a sale of DirecTV, the cable TV business acquired by AT&T back in 2014 for $67.1bn including debt. It is easy to see why Elliott thinks DirecTV should go.
Dish Network is more than likely not dishing into purchasing DirecTV, sources close to Dish CEO Charlie Ergen told the New York Post.
Moody's Investors Service (Moody's) said that following activist investor Elliott Management Corporation's disclosure of its stake in AT&T Inc. (AT&T) and its criticism of AT&T's past M&A strategies, there are media reports stating that AT&T is exploring divesting its DIRECTV business, which would be credit positive if accompanied by material leverage reduction. Moody's believes that the secular pressure on DIRECTV's satellite pay TV business, which has resulted in subscriber erosion, is a headwind unlikely to abate and could be a distraction for management while it should be focused on pressing its 5G wireless agenda, turning around its stagnating consumer base and investing in the transition of WarnerMedia's media networks from bundled linear pay-TV to Direct-to-consumer on-demand platform(s).
Options include spinning off DirecTV into a separately traded public company or merging it with its smaller rival Dish Network Corp., which has 12 million subscribers.
AT&T (T) is reportedly weighing a sale or spinoff of DirecTV, the satellite TV provider it acquired only four years ago for $49 billion, but one analyst doesn’t see a wide landscape of buyers should AT&T pull the trigger.
For years, AT&T (NYSE:T) stock has been a "yield trap." This is a stock who's dividend is too good to be true. T stock's dividend yield of 51 cents per share, currently yielding 5.5%, has been thought unsustainable by many analysts. Since AT&T stock has 7.31 billion shares outstanding, the dividend costs almost $15 billion per year to maintain.Source: Roman Tiraspolsky / Shutterstock.com To that $15 billion, add interest on $159 billion of long-term debt as of June 30, plus a capital budget of $23 billion and something's got to give.That something, according to recent media reports, could be DirecTv, the satellite service. DirecTv cost AT&T $49 billion in 2015 but has lost 2.5 million subscribers in the last year. Trouble is, neither a spin-off nor a sale to DISH Network (NASDAQ:DISH) would bring in anywhere near $49 billion.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars AT&T CEO Randall Stephenson's planned glorious retirement next year is beginning to look more like former General Electric (NYSE:GE) CEO Jeff Immelt's more ignominious exit. The DebtAs I wrote back in July and repeated after Elliott Management proposed big changes this month, AT&T has an enormous technology debt, in addition to its financial debt.Take a walk outside and you'll likely see some of it. Those copper wires hanging on those old wooden poles are obsolete. Telephony is dying. International long distance calls are free with Skype, and even teleconferencing is free with Zoom (NASDAQ:ZM).Even when upgraded with fiber to deliver TV, the value of AT&T's physical network is deteriorating. That's in part thanks to AT&T itself, which is in the process of upgrading its mobile service to 5G. But the value of that is open to question, as Alphabet (NASDAQ:GOOGL) makes its Google Fi a better deal.Do I have to mention the plans of Amazon.Com (NASDAQ:AMZN) CEO Jeff Bezos to create global internet access with low-Earth orbit satellites? The Mistake of the CenturyIn a 2016 New York Times profile of Randall Stephenson, he ordered his brother, a career lineman, to learn about the cloud.But Stephenson didn't buy or build cloud. He sold the company's data centers in 2018 and is putting his operations on the IBM (NYSE:IBM) cloud.Stephenson decided cloud was too expensive and risky early in the decade while Facebook (NASDAQ:FB) was investing in cloud before it had the cash flow to justify it. Today Facebook is worth twice AT&T.The lack of cloud investment was as big a mistake as GE's decision to buy Alstom, a French turbine maker, in 2015. That was hailed as the "best deal in a century," but GE Power has since made GE a shadow of its former self.Stephenson's plan was to use the content agreements of DirecTv, later the content of Time Warner, to keep people on his services at high and rising prices. He assumed he could license that content to other providers, also for high and rising prices. Since the Time Warner purchase Stephenson has been pushing other players hard, dropping services like NFL Network and even threatening to shut off Disney's (NYSE:DIS) ESPN. The company is also being accused of setting up fake DirecTv accounts, a charge reminiscent of the Wells Fargo (NYSE:WFC) scandals. The Bottom LineElliott Management wants to rearrange deck chairs on the Titanic. The appearance of change, the sale of some assets, could boost AT&T's stock price and let Elliott exit its $3.2 billion investment with a profit.But the problems would remain. The technology debt would remain. Much of the financial debt would remain. * 8 Dividend Stocks to Buy for a Recession AT&T is doomed.Dana Blankenhorn is a financial and technology journalist. He is the author of the environmental story, Bridget O'Flynn and the Bear, available at the Amazon Kindle store. Write him at firstname.lastname@example.org or follow him on Twitter at @danablankenhorn. As of this writing he owned shares in AMZN.The post AT&T Stock Is Doomed to Become the Next GE appeared first on InvestorPlace.
AT&T; shares were indicated higher in pre-market trading Thursday amid reports that it could be preparing to either spin-off its DirecTV business or orchestrate a deal to combine it with Dish Network.
On CNBC's "Fast Money Halftime Report," Pete Najarian spoke about unusually high options activity in iShares China Large-Cap ETF (NYSE: FXI ) and DISH Network Corp (NASDAQ: DISH ). He said options ...
Last week, Illinois joined 15 other states in efforts to stop T-Mobile and Sprint from merging. Let's take a look at how Dish could benefit.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
A group of T-Mobile employees sent a letter to Deutsche Telekom CEO Timotheus Höttges during his recent visit to the company's Bellevue headquarters.
Cox and Disney have reached a deal to carry the recently-launched ACC Network. Atlanta-based Cox Communications announced an agreement on Wednesday with Disney Media Distribution, which is owned by The Walt Disney Company (DIS: NYSE). “Cox Communications’ strong presence in key markets across the ACC footprint makes this agreement great for their consumers and vibrant fan base,” said Sean Breen, senior vice president of Disney Media Distribution.
As August ended, Dish Network and Altitude Sports failed to reach a carriage agreement. Consequently, Altitude’s regional sports channel went dark on Dish.
ESPN and Dish Network Corporation have reached an agreement in principle to distribute the ACC Network on DISH and Sling TV.
Last month, the Federal Reserve cut interest rates by 0.25%. However, President Trump is pressuring the Fed and calling for more rate cuts.
CEO Chris Ripley set a goal in 2017 of tripling Sinclair Broadcast's revenue within five years. He's accomplished that after buying the Fox regional sports networks.
AT&T may be looking to cut the cord with DirecTV. According to reports, the company is exploring other options with Dish Network. Yahoo Finance’s Alexis Christoforous, Brian Sozzi, and Scott Gamm discuss what selling off DirecTV could mean for AT&T.