Summary
- AT&T has an incredibly strong portfolio. The company will continue to generate strong revenue from its mobility business, while expanding into entertainment.
- AT&T will continue to generate a significant amount of cash flow going forward, while aggressively paying off its debt. This debt payoff is a catalyst I recommend paying attention too.
- AT&T anticipates reaching 70 million users for its streaming service. If this happens it could allow the company to compete with giants, and I believe it's possible.
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AT&T (NYSE: T) is an American multinational conglomerate, one of the last major conglomerates remaining in the United States. After some recent purchases, the company has grown to become my single largest investment ever. I will outline the details in this article. However, that is because I believe the company’s cash flow abilities and growth potential will make this an incredibly valuable long-term holding.
AT&T Stable Business Overview
AT&T operates under four major business segments. The three largest fall under the purview of the company’s communication segment, and they are entertainment, mobility, and business wireline. The fourth runs outside of the company’s main segment, and is the company’s Warner Media division. These four divisions together combine to make AT&T a powerhouse.
Let’s start by discussing the stable components of the company’s business, it’s mobility and business wireline.
The company’s mobility business is by far the company’s most important business and by far what the company is known for. The company is the single largest wireless telecommunications provider in the United States, larger than Verizon. You know that cellphone that everyone has in their pocket. Well chances are whoever owns that cell phone pays a bill to AT&T each month.