AT&T: A Classic Value Trap


  • I believe AT&T’s consistently poor revenue growth and high capital investment requirements make it a value trap for long-term investors.
  • Stiff competition in the telecommunications industry limits AT&T’s pricing power and hampers revenue growth.
  • AT&T’s massive debt load and low returns on invested capital further contribute to its unfavorable investment outlook.

Downwards glowing red arrow on grey statistic grid background



AT&T (NYSE:T)… It’s one of the largest companies in the world, and it’s one that many of us utilize on a daily basis. In fact, it used to be so important that up until a few years back, it was

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

1 thought on “AT&T: A Classic Value Trap

  1. Why, no mention of the partnership with Microsoft and they’re moving all their stuff to the cloud in Microsoft AZure,, why no mention of them having intellectual rights of candy cloud that is required for any vendors of the government know also go mention of the 30% savings. They are going to have removing all their stuff to Microsoft Azure cloud. This equals billions per year in savings,, Why not mention all the partners ships they have no such as 59 the Candy platform Store well I agree with you on some things. You have to have many important things in my opinion did a half ass job of reading AT&T lately merry Christmas.

Leave a Reply

Your email address will not be published. Required fields are marked *