AT&T’s (T) share price has declined dramatically this year (due to the global Covid-19 pandemic), similar to declines when the Tech Bubble burst (early 2000’s) and during the Financial Crisis (2008-2009). However, AT&T’s dividend has continued to steadily rise for over 36 consecutive years (it’s a dividend aristocrat), and the current yield (over 7%) is the highest it’s been during the past two decades. This article reviews the health of the business, valuation, risks, dividend safety, and concludes with our opinion about investing in AT&T.
Don’t Chase the Highest Yield, Own the Healthiest Yield (Part I)
Unfortunately, many investors make the mistake of chasing the highest yielding securities without doing their homework. We believe in owning healthy yielding securities. This week’s Weekly highlights a group of healthy yielding securities. We also provide details for several specific high yielders with significant long-term price appreciation potential, including one we own in our Blue Harbinger Income Equity portfolio.
An Alternative High Income Bond Strategy
If it is safe high income you seek, this alternative strategy may be worth considering. Rather than investing only in big-dividend stocks, this article highlights three specific corporate bonds, and an advanced-strategy to generate high income with relatively low risk. We believe these three specific bonds offer an attractive risk-versus-reward opportunity to boost your income and diversify your portfolio.
Know Your Goals, Hold Your Ground.
Our favorite cloud-based small cap holding is up 31% in the last month, and it beat the market again this week despite the broad sell off we are experiencing. If you are a diversified long-term investor, there is no reason to change your strategy just because volatility has picked up. Buying and holding quality stocks is a proven winning strategy.