Among all companies out there that have outperformed the S&P 500, AT&T (NYSE:T) is among the best value picks right now that I have for investors interested in companies that are undervalued currently, particularly given the overvalued nature of the markets today.
AT&T has outperformed the S&P500 by approximately 50 points this year, an incredible achievement, and one which is warranted. The portfolio of the company’s assets is impressive, and is primed to generate outsized growth over the long-term. With the 5G transition taking hold across the world, AT&T has a number of secular trends underpinning its growth thesis, making this company a key contender for a core portfolio position for growth and value investors alike.
Finding growth companies at an excellent value is hard to do, particularly today. In this environment, I would encourage all investors to consider companies like AT&T with both growth and value fundamentals, as such companies are likely to outperform in the years to come.
With interest rates so low, investors everywhere are reaching for yield and high-quality growth, and AT&T is a winner on both fronts. The company has a dividend yield of 7.3% at the time of writing, an extremely lucrative yield and one which I view as relatively safe given the aforementioned growth drivers underpinning this stock right now.
With strong income, value, and growth fundamentals underpinning this stock right now, there really is no reason not to like AT&T in this environment.
Invest wisely, my friends.
