AT&T (T, $31.39) to cut dividend payout ratio, amid media asset merger with Discovery
AT&T will slash its dividend payout ratio by more than 20 percentage points, amid its media asset merger with Discovery .
AT&T said its dividend payout ratio, which was around 63% in the previous quarter, will be "re-sized" to account for the distribution of WarnerMedia assets into a new company. The remaining AT&T assets will intend to give shareholders a dividend payout ratio of between 40% and 43%, based on expected free cash flow of around $20 billion.
AT&T Inc. agreed to spin off its media operations in a deal with Discovery Inc. that will create a new company, merging assets such as CNN and HBO with HGTV and the Food Network. The transaction values the combined entity at about $130 billion including debt, based on WarnerMedia’s estimated enterprise value of more than $90 billion.
As part of the 'Reverse Morris Trust' agreement structure, AT&T shareholders will own 71% of the combined entity. The entity is expected to generate $52 billion in 2023 revenues and a combined subscriber base of nearly 150 million.
T in +3.46% Uptrend, rising for three consecutive days on March 04, 2026
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where T advanced for three days, in of 322 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
T moved above its 50-day moving average on January 29, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for T crossed bullishly above the 50-day moving average on February 03, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In of 11 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The 10-day RSI Indicator for T moved out of overbought territory on February 24, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 36 similar instances where the indicator moved out of overbought territory. In of the 36 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 62 cases where T's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on March 09, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on T as a result. In of 84 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for T turned negative on February 25, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 58 similar instances when the indicator turned negative. In of the 58 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where T declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
T broke above its upper Bollinger Band on January 29, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.814) is normal, around the industry mean (8.602). P/E Ratio (9.421) is within average values for comparable stocks, (33.169). Projected Growth (PEG Ratio) (1.610) is also within normal values, averaging (28.251). Dividend Yield (0.039) settles around the average of (0.050) among similar stocks. P/S Ratio (1.636) is also within normal values, averaging (2.981).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. T’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Advertisement
General Information
a provider of dsl internet, local and long-distance voice and data services
Industry MajorTelecommunications
Advertisement