S&P 500
7,588.60
+0.51%
Dow Jones
52,758.90
+0.47%
Nasdaq 100
29,885.70
+0.46%
Russell 2000
2,982.51
-0.27%
FTSE 100
10,543.60
+0.61%
Nikkei 225
69,317.20
+0.42%

Infrastructure

AT&T Dividend Declaration, Prelude to Hike Right Before Year-End

Photo of Jon C. Ogg
By Jon C. Ogg Updated Published
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Invalid Image
AT&T Inc. (NYSE: T) has just initiated its fourth payment of a $0.44 per common share quarterly dividend. We were not expecting a dividend hike this month, but we are formally setting December for the next dividend hike now.

Verizon Communications Inc. (NYSE: VZ) has raised its dividend in the last month with a declaration date of September 6. That was a 3% raise to $0.515 from $0.50 per common share per quarter.

If we our expectations pan out on the coming AT&T hike in December then realistically that payout will rise to $0.45 or $0.455 per common share per quarter. AT&T has lifted its dividend by 1 penny per quarter once a year for each of the past four years.

With a Thomson Reuters consensus earnings estimate of $2.57 EPS for 2013, AT&T’s payout ratio would be about 70% if the hike just goes up to $0.45 from $0.44. That is a high payout ratio, but it is not as if AT&T has to save all of its cash for endless acquisitions at this point even if it wants to (and needs to) buy more wireless spectrum.

JON C. OGG

Contact [email protected] for any questions or corrections.

DISCLOSURE:
INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUE Brokerage and Active investing products offered through SoFi Securities LLC, member FINRA(www.finra.org)/SIPC(www.sipc.org). Advisory services are offered by SoFi Wealth LLC, an SEC-registered investment adviser. Information about SoFi Wealth’s advisory operations, services, and fees is set forth in SoFi Wealth’s current Form ADV Part 2 (Brochure), a copy of which is available upon request and at www.adviserinfo.sec.gov. Probability of Member receiving $1,000 is a probability of 0.026%; If you don’t make a selection in 30 days, you’ll no longer qualify for the promo. Customer must fund their account with a minimum of $50.00 to qualify. Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees. Investing in alternative investments and/or strategies may not be suitable for all investors and involves unique risks, including the risk of loss. An investor should consider their individual circumstances and any investment information, such as a prospectus, prior to investing. Interval Funds are illiquid instruments, the ability to trade on your timeline may be restricted. Brokerage and Active investing products offered through SoFi Securities LLC, Member FINRA(www.finra.org) /SIPC(www.sipc.org). There are limitations with fractional shares to consider before investing. During market hours fractional share orders are transmitted immediately in the order received. There may be system delays from receipt of your order until execution and market conditions may adversely impact execution prices. Outside of market hours orders are received on a not held basis and will be aggregated for each security then executed in the morning trade window of the next business day at market open. Share will be delivered at an average price received for executing the securities through a single batched order. Fractional shares may not be transferred to another firm. Fractional shares will be sold when a transfer or closure request is initiated. Please consider that selling securities is a taxable event. Options involve risks, including substantial risk of loss and the possibility an investor may lose the entire investment Before trading options please review the Characteristics and Risks of Standardized Options  Investing in an Initial Public Offering (IPO) involves substantial risk, including the risk of loss. Further, there are a variety of risk factors to consider when investing in an IPO, including but not limited to, unproven management, significant debt, and lack of operating history. For a comprehensive discussion of these risks please refer to SoFi Securities’ IPO Risk Disclosure Statement This should not be considered a recommendation to participate in IPOs and investors should carefully read the offering prospectus to determine whether an offering is consistent with their investment objectives, risk tolerance, and financial situation. New offerings generally have high demand and there are a limited number of shares available for distribution to participants. Many customers may not be allocated shares and share allocations may be significantly smaller than the shares requested in the customer’s initial offer (Indication of Interest). For more information on the allocation process please visit IPO Allocation.
Follow 24/7 Wall St. on Google
Photo of Jon C. Ogg
About the Author Jon C. Ogg →

Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.

Continue Reading

Jon C. Ogg |

AT&T Answers Higher Dividend Tax Rates with Premature Dividend Hike

ThinkstockAT&T Inc. (NYSE: T) outlined its capital spending plans for the next three years this morning. The moves look to…

Jon C. Ogg |

Honeywell Guidance and the Conglomerate Dividend Chase (HON, GE, MMM, UTX)

Honeywell International Inc. (NYSE: HON) made our top day trader alerts this morning after the firm raised its guidance.  The…

Jon C. Ogg |

Twelve Major Dividend Hikes Expected Before the End of 2012

Most investors have discovered that earning less than 1% per year in short-term Treasuries or even less than 2% out in…

Jon C. Ogg |

Five Big Dividend Hikes Expected Very Soon

ThinkstockDividend stocks may have come under some pressure of late, but this is due to the demand for high dividends…

Jon C. Ogg |

Altria Raises Dividend, Expect 11 More Big Hikes Coming Before Year-End

It was just on Monday that we released the 24/7 Wall St. “12 Big Dividend Hikes Coming Before The End…

Jon C. Ogg |

All 30 DJIA Dividend Trends into 2012, Stock by Stock (DIA, AA, AXP, T, BAC, BA, CAT, CVX, CSCO, KO, DD, XOM, GE, HD, HPQ, IBM, INTC, JNJ, JPM, KFT, MCD, MMM, MRK, MSFT, PFE, PG, TRV, UTX, VZ, WMT, DIS)

The economic choppiness is coming to a head with the age of dividend hikes. The pressure is going to remain…

Jon C. Ogg |

Eight Big Dividend Hikes Expected Before 2013 Ends

ThinkstockInvestors love dividends, particularly safe and dependable dividends that rise through time. The S&P 500 Index currently has the most…

Jon C. Ogg |

Only A Few Remaining DJIA Dividend Hikes Still To Come In 2012 (T, VZ, CAT, GE, MCD, MSFT, DIS)

The Dow Jones Industrial Average has one trait that most other broad market indexes cannot claim: Every single component pays…

Jon C. Ogg |

5 Big DJIA Dividend Hikes Expected Before 2014 Ends

24/7 Wall St. has projected five Dow stocks that should make dividend hike announcements before 2014 comes to an end.

Top Gaining Stocks

Meta
META • Vol: 40,760,422
CarMax
KMX • Vol: 2,288,021
Weyerhaeuser
WY • Vol: 6,523,553
SBA Communications
SBAC • Vol: 1,443,801
NVIDIA
NVDA • Vol: 148,249,982

Top Losing Stocks

Moderna
MRNA • Vol: 9,176,778
Coterra Energy
CTRA • Vol: 73,319,495
CrowdStrike
CRWD • Vol: 9,269,567
Datadog
DDOG • Vol: 5,135,556
EPAM Systems
EPAM • Vol: 1,164,561