T - AT&T Inc.

NYSE - NYSE Delayed Price. Currency in USD
34.82
-0.57 (-1.61%)
At close: 4:02PM EDT
Stock chart is not supported by your current browser
Previous Close35.39
Open35.30
Bid34.75 x 29200
Ask34.84 x 4000
Day's Range34.64 - 35.44
52 Week Range26.80 - 35.50
Volume33,864,032
Avg. Volume28,770,876
Market Cap254.43B
Beta (3Y Monthly)0.82
PE Ratio (TTM)14.69
EPS (TTM)2.37
Earnings DateOct 23, 2019
Forward Dividend & Yield2.04 (5.76%)
Ex-Dividend Date2019-07-09
1y Target Est34.88
Trade prices are not sourced from all markets
  • AT&T offers streaming service for $135 per month
    Yahoo Finance Video

    AT&T offers streaming service for $135 per month

    AT&T is changing its online streaming service from DirecTV Now to AT&T TV Now; customers can get 125 channels for $135. Yahoo Finance's YFi AM discuss.

  • 3 Top Dividend Stocks With Yields Over 5%
    Motley Fool

    3 Top Dividend Stocks With Yields Over 5%

    These are some of the best dividends in the stock market.

  • AT&T's Streaming Offerings Are a Mess
    Motley Fool

    AT&T's Streaming Offerings Are a Mess

    Confusing branding, overlapping offerings, and pricing peculiarities are among AT&T's streaming problems.

  • Tech Stocks with High Dividend Yields for a Rough Market
    Market Realist

    Tech Stocks with High Dividend Yields for a Rough Market

    When the 10-year Treasury yield dips to 1.6%, where do investors park their funds? You can look at stocks with a high dividend yield as an alternative.

  • 3 Large-Cap Tech Stocks for Dividend Investors to Buy After Powell Update
    Zacks

    3 Large-Cap Tech Stocks for Dividend Investors to Buy After Powell Update

    As bond yields slip, we searched using the Zacks Stock Screener for large-cap technology firms that also pay a dividend. Here are 3 of the strong tech stocks that came through our screen this morning...

  • 3 Top Dividend Stocks With Yields Over 4%
    Motley Fool

    3 Top Dividend Stocks With Yields Over 4%

    Dividend investors have a lot to like about these companies.

  • AT&T’s Dividend Yield Is Attractive, Just Ask Goldman Sachs
    Market Realist

    AT&T’s Dividend Yield Is Attractive, Just Ask Goldman Sachs

    AT&T; remains committed to paying higher dividends. In the second quarter, the company returned $3.7 billion to shareholders in the form of dividends.

  • 3 Dividend Stocks for New Investors to Build Their Portfolios Around
    Motley Fool

    3 Dividend Stocks for New Investors to Build Their Portfolios Around

    AT&T and these two other stocks are safe, stable, income-producing investments that could look great in any portfolio.

  • AT&T (T) Up 4.7% Since Last Earnings Report: Can It Continue?
    Zacks

    AT&T (T) Up 4.7% Since Last Earnings Report: Can It Continue?

    AT&T (T) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.

  • Telecom Carriers Collaborate With States to Thwart Robocalls
    Zacks

    Telecom Carriers Collaborate With States to Thwart Robocalls

    The move seems to be a major step in a synchronized attack on this perennial problem, as the Congress and the FCC have also embarked on decisive actions to curb unsolicited calls.

  • Atlanta is becoming the nation's esports capital
    American City Business Journals

    Atlanta is becoming the nation's esports capital

    Cox Enterprises and Coca-Cola are among many companies that have invested into Atlanta's growing esports scene.

  • Bud Peterson on 10 years at Georgia Tech: 'It's been a great run'
    American City Business Journals

    Bud Peterson on 10 years at Georgia Tech: 'It's been a great run'

    Peterson sat down with Atlanta Business Chronicle for a 90-minute interview, reflecting over his tenure as he prepares to turn over the reins to Angel Cabrera.

  • Streaming roundup: Netflix dominance eroding amid Hulu, Amazon subscriber gains
    American City Business Journals

    Streaming roundup: Netflix dominance eroding amid Hulu, Amazon subscriber gains

    Netflix is still far and away the most dominant player in the streaming industry. But the streaming platform is slipping in U.S. market share to rivals Amazon and Hulu.

  • InvestorPlace

    Here’s Why Netflix Stock Might Win in the Recession

    From a broader view, it's hard not to love Netflix (NASDAQ:NFLX). Starting life originally as a DVD subscription service, the company transitioned to the streaming platform. Since then, it has never looked back, enjoying its first-to-market advantage. Later developments, such as the production of original content, made Netflix stock all the more compelling.Source: Riccosta / Shutterstock.com But recently, this thesis is under severe threat. Last month, Netflix released its second quarter of 2019 earnings report. To say that it was a disappointment would be a grave understatement. While I'm not going to rehash old news, the key metric to focus on is the subscriber count. In the U.S. market, Netflix lost 100,000 subscribers when analysts expected it to gain 300,000. Unsurprisingly, NFLX stock tanked.Further, global net ads measured 2.7 million. This tally was substantially below analyst forecasts for five million. No matter how you break it down, Netflix stock lives on subscriber trends. That it fell short so spectacularly hurt sentiment.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut that's not all. Over the past several months, tech firms and traditional media companies have encroached into Netflix's arena, disrupting the disruptor. Most notably, Disney (NYSE:DIS) will launch its streaming service Disney+ this coming November. That's a double whammy for NFLX stock due to a loss of content and the addition of a rival. * 10 Marijuana Stocks to Ride High on the Farm Bill Furthermore, Disney will offer a bundled plan which encompasses Disney+, ESPN+, and ad-supported Hulu for $13. That's the same price as Netflix's "Standard" Plan.Beyond the Magic Kingdom, names like Comcast (NASDAQ:CMCSA) and Amazon (NASDAQ:AMZN) are aggressively ramping up their streaming inroads. Plus, NFLX is losing the popular show Friends to AT&T's (NYSE:T) WarnerMedia.Is it time to dump Netflix stock? Recession Worries Hits Netflix Stock HardOutside recession fears, I'm inclined to believe that the current fallout in NFLX stock is temporary. And by temporary, I would mean that it's a discounted buying opportunity.But in the past weeks, any optimism toward the U.S.-China trade war has evaporated. Additionally, the yield for 2-year Treasuries again moved above the 10-year yield. This inversion of the yield curve potentially signals a recession, yet the Federal Reserve is not acting decisively.While I don't want to get too wonky, these signs indicate that a recession is more likely than not. As an investment levered to consumer sentiment, this is a bad omen for Netflix stock.Now, the typical retort to this bearish assessment is that even in a downturn, people need entertainment. This is one of the reasons why I think AMC Entertainment (NYSE:AMC) makes a viable contrarian case. Certainly, compared to traditional TV subscriptions, Netflix is dirt cheap. And people will give up almost anything before they give up their internet, which is a digitalized society's lifeblood.Unfortunately, the robust streaming competition presents a new kink to this logic. In a bullish economy, consumers would probably buy two or even three streaming services. Even at $39, for example, this is much cheaper than traditional TV providers' post-introductory subscription specials.But in a recession? That's when consumers will start belt-tightening. They probably won't get rid of streaming altogether. However, they may not unnecessarily bundle competing services. Thus, it becomes a race to see who can offer the best content at the best price.Naturally, this makes stakeholders of Netflix stock nervous, especially after the disastrous Q2 report. Seemingly, subscribers are getting tired of the company's original content. And streaming is known for fickle viewers. The Risky Case for NFLX StockIf push comes to shove, though, I'd gamble that Netflix will rise above the streaming fray. Why? It goes back to original content.Currently, millennials represent the biggest demographic in the U.S. workforce. That probably won't change in a recession. Therefore, the people who are most savvy to streaming content are also the ones earning a paycheck.Ultimately, this benefits Netflix stock because the streaming giant has truly captured the millennial's attention span. When people watch various shows and programs, they're mostly doing so through Netflix.Additionally, NFLX features a wide range of gritty and compelling drama, stuff that millennial subscribers go wild over. And let's not forget that the company has the Midas touch in terms of producing relevant, award-winning content.Of course, I'm not completely crazy. This is still a risky proposition given the Q2 results. But it's not entirely out of the question that Netflix stock can ride out a downturn. Thus, if you want to take a measured gamble, I don't think it's a bad idea.As of this writing, Josh Enomoto is long T and AMC. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Marijuana Stocks to Ride High on the Farm Bill * 8 Biotech Stocks to Watch After the Q2 Earnings Season * 7 Unusual, Growth-Oriented REITs to Buy for Your Portfolio The post Herea€™s Why Netflix Stock Might Win in the Recession appeared first on InvestorPlace.

  • Netflix’s Streaming Dominance Is at a Crossroads, New Shows Coming
    Market Realist

    Netflix’s Streaming Dominance Is at a Crossroads, New Shows Coming

    Netflix's streaming dominance will face its biggest test this September. Soaring competition is increasingly becoming a threat in the industry.

  • Nokia Stock: Will There Be a 5G Payoff?
    InvestorPlace

    Nokia Stock: Will There Be a 5G Payoff?

    When Nokia (NYSE:NOK) last reported its earnings in late July, the shares got a nice boost. But the gains proved ephemeral. Consider that Nokia stock has gone from $5.70 to $5.14.Source: RistoH / Shutterstock.com But of course, disappointment has been common for the company. After all, for the past 15 years, the average return for NOK stock has been essentially 0%.Despite this, I actually think there is an opportunity here. In fact, the latest earnings report should be an encouraging sign that the company's transformation efforts are starting to show progress. In the quarter, revenues rose by a decent 7.2% to 5.69 billion euros, which handily beat the Street estimates. There was also a beat on the bottom line - that is, after adjusting for various good will and non-cash charges.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Marijuana Stocks That Could See 100% Gains, If Not More NOK even reaffirmed its full-year guidance. The earnings are expected to range from 0.25 euros and 0.29 euros per share in 2019 and 0.37 euros and 0.29 euros per share the following year. All in all, the company is certainly expecting more momentum.And the reason for this? It's the 5G megatrend. Carriers like AT&T (NYSE:T), Verizon (NYSE:VZ) and T-Mobile (NASDAQ:TMUS) are ramping up their efforts - and this means buying large amounts of telecom equipment.To get a sense of how strategic 5G is, just look at Apple (NASDAQ:AAPL). The company abruptly settled its massive lawsuit against Qualcomm (NASDAQ:QCOM) largely because it needs its 5G systems. Let's face it, if AAPL wants to remain a top smartphone marker, it has little choice but to get the max from next-generation networks.So yes, this is very good for NOK. Through is acquisition of Alcatel, the company is one of the world's largest equipment providers for 5G. 5G Timing and NOK StockOK, if the 5G opportunity is so great, why hasn't it done much for NOK stock? Well, it's important to keep in mind that the sales cycles are long in the industry. Before deciding on making large capital investments, telecom operators do quite a bit of due diligence.Next, 5G projects are multi-year endeavors. And they are risky. Even slight issues with execution can derail a project.But the good news for NOK is that next year there will be significant rollouts of 5G networks - and this should provide a nice catalyst for growth.Again, the latest earnings report provided key details on the traction. For example, the company announced 45 commercial 5G deals and nine live networks, such as with China Mobile (NYSE:CHL) and Sprint (NYSE:S). Interestingly enough, this is considerably more than rival Ericsson (NASDAQ:ERIC).Something else: The U.S.-China trade war will likely accelerate growth with NOK. Of course, Huawei has been a big target for President Donald Trump and this has caused quite a bit of disruption for the company. The result is that NOK should have more of an edge when getting new deals. Bottom Line on Nokia StockGranted, it's not easy to be bullish on NOK stock. The company's performance has certainly been choppy.But again, NOK has spent much time making significant changes in its business. Note that through next year, there are expected to be cost reductions of about $700 million euros.Even better, there should be improvement on the top-line as 5G hits critical mass. If anything, the buzz surrounding this technology should gin up lots of excitement.In other words, there's a good bet that NOK stock could finally get out of its funk - and fairly soon.Tom Taulli is the author of the book, Artificial Intelligence Basics: A Non-Technical Introduction. Follow him on Twitter at @ttaulli. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Marijuana Stocks That Could See 100% Gains, If Not More * 11 Stocks Under $10 to Buy Now * 6 China Stocks to Buy on the Dip The post Nokia Stock: Will There Be a 5G Payoff? appeared first on InvestorPlace.

  • State attorney general, telecom companies pledge to fight robocalls
    American City Business Journals

    State attorney general, telecom companies pledge to fight robocalls

    Twelve major telecommunication companies — including Comcast and AT&T; — have joined with Shapiro to prevent illegal robocalls.

  • Bloomberg

    Phone Companies Strike Deal With States to Fight Robocalls

    (Bloomberg) -- AT&T Inc., Verizon Communications Inc. and 10 other large phone companies have struck an agreement with 51 attorneys general to enact technology to block robocalls before they reach consumers.The deal, announced Thursday, will help protect consumers from receiving illegal robocalls, and assist law enforcement in investigating and prosecuting bad actors, said North Carolina Attorney General Josh Stein, who is leading the effort that includes all 50 states and the District of Columbia.Under the deal, the companies will launch the call-blocking technology at no cost to consumers, and make other free anti-robocall devices and apps available to subscribers. “By signing on to these principles, industry leaders are taking new steps to keep your phone from ringing with an unwanted call,” Stein said in a statement.The companies are under pressure to protect consumers against the unwanted calls, which are a top source of complaints with the U.S. Federal Communications Commission. Across the U.S. there were 48 billion robocalls last year, up from 31 billion in 2017, according to a tally by YouMail Inc., a developer of software that blocks the calls.In July, AT&T, Verizon and T-Mobile US Inc. said they were making progress toward installing technology to authenticate calls so consumers would know if the call is coming from the person supposedly making it. The FCC has demanded the technology be in place by the end of the year.FCC Chairman Ajit Pai said the agreements with the states “align with the FCC’s own anti-robocalling and spoofing efforts,” including the agency’s caller authentication standards.“Few things can bring together policy leaders across the political spectrum like the fight against unwanted robocalls,” Pai said in a statement. “The FCC is committed to working together with Congress, state leaders, and our federal partners to put an end to unwanted robocalls.”Consumers are often duped into answering phone calls because they appear to be from a local number or business.“The bad actors running these deceptive operations will soon have one call left to make: to their lawyers,” New York Attorney General Letitia James said in the statement.Companies InvolvedThe other companies signing the agreement are T-Mobile, CenturyLink Inc., Comcast Corp., Sprint Corp., Bandwidth Inc., Charter Communications Inc., Consolidated Communications Holdings Inc., Frontier Communications Corp., U.S. Cellular Corp. and Windstream Holdings Inc.The FCC has demanded that carriers adopt the system to digitally validate phone calls passing through the complex web of networks. The agency also has said that providers may block calls, and cast a preliminary vote to require the digital authentication if carriers fail to install it by year’s end.Several of the top U.S. carriers issued statements in concert with the state attorneys general announcement. While the group on a whole backed the effort, there were few if any new, specific anti-spam call actions or timelines mentioned.“It’s imperative that we stand together on a common set of goals that include stopping callers from hiding their identities, working with other carriers on efforts to trace back illegal calls to the source, and keeping the originators from sending robocalls in the first place," Verizon said in a statement.“The fight against the scourge of illegal robocalls requires all hands on deck, and we welcome and appreciate the support of the state attorneys general,” AT&T said in a statement.(Updates with carriers and FCC comment beginning in seventh paragraph.)\--With assistance from Erik Larson and Scott Moritz.To contact the reporters on this story: Jonathan Reid in Washington at jreid98@bloomberg.net;Susan Decker in Washington at sdecker1@bloomberg.netTo contact the editors responsible for this story: Jon Morgan at jmorgan97@bloomberg.net, ;Keith Perine at kperine2@bloomberg.net, Elizabeth WassermanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Will Disney+ Be the Next Catalyst for DIS Stock?
    InvestorPlace

    Will Disney+ Be the Next Catalyst for DIS Stock?

    Disney (NYSE:DIS) stock has an extremely strong global entertainment brand and exciting growth prospects in streaming media. The House of Mouse has shown robust performance in 2019, and year-to-date, DIS stock is up about 24%.Source: ilikeyellow / Shutterstock.com However, August has not been a good month for Disney shareholders so far. And there will likely be further volatility and some profit-taking in the coming weeks. Therefore investors may want to consider waiting on the sidelines if they do not currently have any positions open in Disney stock.Alternatively, if they already own Disney, investors may either consider taking some money off the table or hedging their positions. As for hedging strategies, covered calls or put spreads with Sep. 20 or Oct. 18 expiry could be appropriate. Any short-term decline in DIS stock may offer a better entry point for long-term investors.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Disney Stock's Q3 EarningsOn Aug. 6, Disney stock reported earnings for the third quarter of fiscal 2019. It logged revenues of $20.25 billion on earnings per share of $1.25. However, DIS stock missed on both revenue and net income. * The 10 Best Marijuana Stocks to Buy Now Disney blamed the Q3 earnings miss on the current integration of Fox Corporation's entertainment assets, which it had acquired earlier in the year for $71 billion.Four segments contribute to Disney's revenue: * Media Networks (such as ABC and ESPN; about 33% of revenue) * Parks, Experiences and Products (such as Disneyland and cruise lines; about 30% of revenue) * Studio Entertainment (including Lucasfilm and Marvel; about 19% of revenue) * Direct-to-Consumer & International (including streaming services and advertising; about 18% of revenue)Results from Disney's operating segments varied. Media Networks unit reported revenue of $6.7 billion, showing a 21% year-over-year increase.Parks, Experiences and Products's revenue came at $6.6 billion during the quarter, with a 7% rise from Q3 2018. Nonetheless, analysts were concerned that there was lower attendance at Disney parks overall.Studio Entertainment segment reported revenue of $3.8 billion, a 33% increase from the same period one year ago. But this isn't a surprise. Most of our readers will be familiar with the fact that a number of Disney's movies have done extremely well in 2019.Direct-to-Consumer & International segment saw revenue of $3.86 billion during the quarter. However, its operating losses increased to $553 million from $168 million. The company blamed the losses on increased investments in ESPN+, Disney+ and Hulu streaming services.In August, Wall Street wanted to see whether the group's diversified revenue streams would remain robust for the second half of 2019. However, the quarterly report raised eyebrows and the stock price since then has been reflecting investors' worries. Content Development Will Be Expensive for DIS StockDisney's third-quarter results highlighted an important headwind that the company is facing in the rest of the year, i.e., increased costs.During the conference call, Disney management said that direct-to-consumer losses are likely to rise to $900 million in the fiscal Q4. The group will continues to invest in content for Disney+ as well as ESPN+ and Hulu.Disney+ will launch in November and feature content from various sources, including Disney, Pixar, Marvel, Star Wars. In the U.S., the service, which is likely to appeal to a wide range of viewers, will cost $6.99 a month or $69.99 a year. And the global launch of Disney+ will start in early 2020.Disney will offer U.S. consumers a bundle of Disney+, ESPN+ and an ad-supported Hulu subscription for $12.99 per month. Incidentally, that would be the same cost as Netflix's (NASDAQ:NFLX) standard subscription plan.Hulu will have have mostly adult content as opposed to Disney+, which will focus on kids and will not feature any R-rated movies. The bundle will launch alongside Disney+ on Nov 12. CEO Bob Iger said that Disney+ is not likely to have as much content as Netflix, which may become an important concern for investors, especially in the short run.All of these exciting developments in the streaming space have begun to cost Disney real money. Disney management has to ensure that the technical backbone of the streaming services works well. It also has to create content to keep the subscribers happy.Another way to think about the cost of producing original content is that until now, Disney was making money selling content to Netflix. Now it may have to spend serious cash every year to develop content. Of course, the list of competitors for DIS stock includes Amazon (NASDAQ:AMZN), Apple (NASDAQ:AAPL), and AT&T (NYSE:T), too.Many analysts are also wondering if the streaming space needs this many services. Could there also be a price war around the corner that could benefit the U.S. consumer, but not necessarily the stock price of Disney or of its competitors? Where Disney Stock Price is NowOver the past year, Disney stock price is up about 20%. Prior to 2019, between late 2015 and late 2018, DIS stock had not done much for shareholders as it hovered around the $100 per share level.Let us briefly remember how the stock has traded since early April: On Apr 11, prior to Disney's investor day presentation, the share price closed at $116.60. The next morning, DIS stock gapped up to open at $127.91. Then, on April 29, DIS stock reached what was then an all-time high of $142.37.In early May, Disney stock gave back some of its April gains, mirroring the stock market's volatility. On May 31, the stock saw $130.78. June and July were once again good to shareholders, as the stock reached an all-time high of $147.15 on July 29. Since then, investors have been taking money off the table and Disney stock is hovering around $135.As a result of the recent declines, the technical outlook of Disney stock has been damaged. Its short-term chart still looks weak, and DIS share price looks poised to exhibit even further volatility in the near-term.Despite this recent fall in the price of Disney shares, there might still be further declines. In the next several weeks, I expect DIS stock to be choppy and its price to decline below the $130 level, possibly toward $120. The Bottom Line on DIS stockSo what should investors think about Disney shares right now? The acquisition costs and the direct-to-consumer costs have been considerable. Yet Disney management is at this point ready to rack up losses in the streaming space. They are of course hoping to collect sizeable recurring revenue from subscribers both in the U.S. and worldwide. * 10 Marijuana Stocks That Could See 100% Gains, If Not More Therefore, investors will have to keep an eye on Disney's costs as well as other fundamental metrics in the coming months to see if the long-term prospects are still in place. Several bearish trends have recently been emerging in DIS stock. I'd say hold off investing in Disney shares until we have more data in the coming months. There might be a few more bumpy quarters ahead of us.At the time of writing, the author did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Marijuana Stocks That Could See 100% Gains, If Not More * 11 Stocks Under $10 to Buy Now * 6 China Stocks to Buy on the Dip The post Will Disney+ Be the Next Catalyst for DIS Stock? appeared first on InvestorPlace.

  • AT&T looks to part ways with Orlando property near airport
    American City Business Journals

    AT&T looks to part ways with Orlando property near airport

    AT&T Inc. looks to sell nearly a dozen properties in Florida — including one in Orlando — which may lead to redevelopment opportunities. The Dallas-based telecommunications company (NYSE: T) will auction off its 3.4-acre property at 1501 S. Semoran Blvd. on Oct. 25. Tulsa-based real estate auction company Williams & Williams is organizing the AT&T property sales in Florida and across the U.S. The Orlando property features a roughly 27,000-square-foot industrial building built in 1974, according to Orange County records.

  • US cell carriers team up to combat robocalls — but no deadline set
    TechCrunch

    US cell carriers team up to combat robocalls — but no deadline set

    Twelve cell carriers, including the four largest — AT&T, Sprint, T-Mobile andVerizon — have promised to make efforts to prevent spoofed and automatedrobocalls

  • The Concerning Combination Pressuring Netflix Stock
    InvestorPlace

    The Concerning Combination Pressuring Netflix Stock

    Since its disappointing earnings report last month, Netflix (NASDAQ:NFLX) stock has declined 17%. And the pressure hasn't let up of late: Netflix stock has reached its lowest levels since last December.Source: Flickr via Mike K.It's not difficult to see why. Netflix stock is a story based on subscriber growth, as I wrote after NFLX reported disappointing user metrics in last year's second quarter. And its numbers on that front were terrible in its recent Q2 report.With Netflix stock now back below $300, some investors might see a "buy the dip" opportunity at this point. The growth of streaming is going to continue, and NFLX remains the leader of that market. Indeed, I've recommended buying NFLX stock on weakness in the past; in November, I called the stock the best contrarian bet in tech.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut this is a different situation. The selloff late last year was driven by external factors - most notably, a plunging stock market that dragged down many, if not most, highly-valued growth stocks with it. NFLX itself was performing reasonably well. And in fact, there was (and is) an argument that Netflix stock would benefit from a recession, which might accelerate cord-cutting as consumers look to save money. * 10 Marijuana Stocks That Could See 100% Gains, If Not More The recent selloff of Netflix stock is based on the company's performance, however. And as weak as that performance looked in Q2, when combined with what's going on elsewhere in the U.S. content sector, it's something close to disastrous. As a result, it can get worse before it gets better for Netflix, and for Netflix stock. Q2 Subscriber Numbers Hammer NFLX StockNetflix's headline numbers actually looked solid. GAAP EPS of 60 cents beat consensus expectations by 4 cents. Revenue of $4.92 billion rose 33% and was in-line with analysts' average estimates.But the subscriber figures were the big issue for Netflix stock, and led to a 10.3% decline by NFLX stock. Net paid subscriber additions of 2.7 million badly missed the company's guidance of 5 million. As a helpful chart in the Q2 shareholder letter showed, that was the biggest miss relative to guidance since at least the beginning of 2016.And it was the U.S. market that caused the miss. Netflix's U.S. paid subscriber count actually declined in the quarter for the first time since 2011.That alone likely drove investors to flee Netflix stock. But NFLX has continued to fall, dropping another 8% from its immediate post-earnings levels. That continued decline may come from a growing realization that the quarter was even worse than investors initially realized. The Content Question for NFLX StockOne of the reasons that Netflix stock has been so divisive is that the company continues to burn cash. Its content spending is expected to come in above $15 billion this year.That spending makes some sense. Instead of licensing content - and paying for it annually - NFLX essentially is buying its content upfront. Free cash flow now might be negative, but if that content drives subscriptions down the line, its free cash flow several years from now will be higher, making the near-term investments worthwhile.But that strategy only works if subscribers will stay with NFLX for a long time, allowing that content to be monetized in future years. That alone makes the Q2 subscriber decline concerning. So does a widely-cited passage from the company's shareholder letter: "We think Q2's content slate drove less growth in paid net adds than we anticipated."If that's the case, NFLX has a problem. It means the company can only keep adding subscribers if it continues to spend a great deal on content That sounds an awful lot like the old joke about selling at a loss, and making it up on volume. If Netflix's content budgets can't come down, free cash flow will stay negative or at best modestly positive. And that does not support the market capitalization of NFLX stock, which still sits at $130 billion. Where Are the Cord-Cutters Going?There's another major concern about Netflix's Q2 results. Specifically, Netflix's weak performance came at the same time that cord-cutting appears to have accelerated.Indeed, legacy cable companies had a horrible quarter. AT&T (NYSE:T) lost almost 1 million video subscribers. Comcast (NASDAQ:CMCSA) and Charter Communications (NASDAQ:CHTR) lost a combined total of nearly 400,000 viewers.Industry analyst MoffettNathanson called the quarter "freaking ugly" for cable companies and projected an unprecedented 5.5% cord-cutting rate in the quarter.So the question relative to Netflix numbers is: where are these subscribers going? One answer might be Hulu, now majority-owned by Disney (NYSE:DIS). At the Disney Investor Day in April, the company said Hulu had more than 25 million paid subscribers. Earlier this month, the company said the figure was "approximately 28 million."Whatever the case, Netflix should have been set up to have a blowout Q2 on the subscriber front in the U.S. Instead, it posted a stunning decline. In that context, its performance looks even weaker, and more concerning, than a simple guidance miss. The Competitive Concern for Netflix StockI wrote ahead of NFLX's Q2 results that the earnings report was critical for Netflix stock. And a key reason is that new competition is on the way from Disney, AT&T, and Comcast.Netflix, in its shareholder letter, wrote that it didn't think competition was a key factor in the disappointing subscriber numbers. That may well be true. But competition will be a factor in 2020, when those streaming services - with a great deal of content, backed by high marketing budgets - come online.And so investors can rightly wonder: if Netflix's U.S. subscriber growth is stalling out already, what happens when its competition increases next year? Real ConcernsNetflix stock bulls might respond that the U.S. isn't Netflix's only market. That's true: the company now has more subscribers overseas than in the U.S. More of its revenue comes from overseas as well.But about two-thirds of its profits still come from the U.S.. America is still the company's key market. And with NFLX stock trading at 53 times analysts' average 2020 EPS estimate, a stumble in the U.S. is likely to prove damaging for Netflix stock.On the other hand, the company's Q3 guidance was strong, and it's possible NFLX can bounce back. But its Q2 performance raises real questions and suggests more downside for Netflix stock could be ahead. It's the type of quarter that raises concerns about the company's overall strategy and market positioning, as well as the valuation of NFLX stock.And that's why it's been the type of quarter that leads not only to a big post-earnings decline, but more selling in the following weeks. Investors who buy the dip of Netflix stock do so at their peril.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Marijuana Stocks That Could See 100% Gains, If Not More * 11 Stocks Under $10 to Buy Now * 6 China Stocks to Buy on the Dip The post The Concerning Combination Pressuring Netflix Stock appeared first on InvestorPlace.

  • Jeff Clark’s Market Minute: World War 5G
    InvestorPlace

    Jeff Clark’s Market Minute: World War 5G

    Mike's Note: For the past week, we've featured Jeff Brown's insights on the 5G wireless network rollout. Thanks to his direct connection to Silicon Valley's inner circle, and his decades of experience in the technology sector, Jeff's able to uncover big tech news before it hits the mainstream media.Source: Shutterstock Earlier, he showed us why this tech isn't just an investment megatrend, but a "winner-take-all economic struggle."Read on below as Jeff continues to dive into why deploying this technology is a must-win race for the U.S… and a smart move for our national security…InvestorPlace - Stock Market News, Stock Advice & Trading TipsBy Jeff Brown, Editor, Exponential Tech InvestorIn the summer of 2018, Boston-based cybersecurity firm Cybereason discovered something troubling… * 10 Marijuana Stocks That Could See 100% Gains, If Not More The company exposed a massive international espionage campaign that had hacked into at least 10 major wireless carriers.The hackers wanted to track around 20 high-profile political and military figures - including monitoring their phone calls, texts, and physical locations. It's something right out of a spy movie.This campaign (called Operation Soft Cell) had been going on for years. And based on the data, it appeared to be a nation-state attack - by China.Now, Cybereason didn't release the identities of the targets. It's too dangerous. And while we don't know for sure, prominent Western targets are a safe bet.But all this info was revealed to key U.S. government officials around the same time they started banning 5G tech and networking equipment from China's Huawei and ZTE.And today, I'll share why the ban was a smart move for our national security - and what it means for investors… The Next Generation of Wireless TechYou see, I've been tracking the 5G space very closely. It's the next evolution of wireless networks. And these new networks are going live on a weekly - and sometimes, daily - basis.On average, 5G will deliver mobile speeds 100 times faster than the 4G networks we connect to today. And having the fastest possible communications network on the planet is critical for economic growth and strength…Consider this: The economic impact of 5G will be in the range of three to five times more than the 4G wireless buildout.With 5G, as much as $275 billion will be invested by U.S. wireless carriers. Roughly three million jobs will be created in the U.S. And we can expect approximately $500 billion in GDP growth, too.At an industry level, expect $200 billion invested per year through 2025.So it's no wonder President Trump is eager to push the 5G wireless buildout forward.In fact, early last year, the current administration "threatened" to build out its own national 5G network if wireless carriers couldn't get it done. And my suspicion is that it was a warning.The White House was saying, "Get out there and build these 5G networks quickly - or we'll do it for you." It was lighting a fire under private companies involved in the 5G buildout.And it worked…Verizon just launched 5G in four more U.S. cities: Atlanta, Detroit, Indianapolis, and Washington, D.C. So President Trump and America's senators will now have access to blazing-fast 5G.Now, some of us might be thinking that this early 5G coverage launch in D.C. isn't a coincidence. And we'd be absolutely right…Putting 5G tech in the hands of busy policymakers demonstrates progress. After all, the president has made his intentions on 5G very clear. In April, he said:The race to 5G is a race America must win, and it's a race, frankly, that our great companies are now involved in. We've given them the incentive they need. It's a race that we will win.And America winning this 5G race could be a matter of national security… Wireless World WarHere's what I mean by that: Countries leading the way in deploying 5G networks will have a competitive advantage over others.And the tech companies in these "first-mover" countries will be the first to develop the hardware and software enabling these 5G wireless services.Now, the fear is that China will set the 5G precedent. It'd leave America dependent on Chinese 5G infrastructure. The U.S. would be vulnerable to further cyber-spying.That's why Cybereason's discovery of Operation Soft Cell was alarming. And it's why the government further determined equipment from Huawei and ZTE was a security threat.Now, given the scale and origin of the operation, the ban looks like a smart move.Plus, the president is now insistent on getting America's 5G networks built out quickly - by American and European firms.And for investors, here's the bottom line…Behind the scenes, the world's top superpowers - the U.S. and China - are waging a war for 5G supremacy.So 5G is an unstoppable trend. And companies providing the necessary tech for these 5G networks will benefit.American Tower (NYSE:AMT) is one of these wireless communications infrastructure companies. It builds and maintains communications infrastructure like cell towers.It was instrumental in the 4G buildout that started in 2011. And it's also heavily involved in erecting and maintaining the towers used in the 5G buildout.Right now, investors should be looking at companies like American Tower that provide critical network infrastructure. These key 5G stocks will soar.Keep this trend on your radar. I expect 5G to be the best investing opportunity of the next decade.Regards,Jeff Brown Editor, Exponential Tech InvestorP.S. Investors who miss the 5G boom will regret it for the rest of their lives. I expect key 5G stocks to soar as much as 10x - perhaps higher. 99% of investors will miss this chance. I encourage you not to be one of them.That's why I'm hosting the 5G Investment Summit tonight at 8 p.m. ET. I'll reveal my stock-picking method for finding the fastest-moving 5G stocks. I'll even give you the name of my No. 1 5G company to add to your watchlist.I haven't revealed this research anywhere else. And the only way to claim it is by signing up right here. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Marijuana Stocks That Could See 100% Gains, If Not More * 11 Stocks Under $10 to Buy Now * 6 China Stocks to Buy on the Dip The post Jeff Clark's Market Minute: World War 5G appeared first on InvestorPlace.