By: Dividend Sensei
AT&T has been one of the worst investments of the last decade, delivering about 2% inflation-adjusted annual total returns.
Terrible management decisions and expensive debt-funded empire building resulted in the dividend getting almost cut in half and new management vowing to return to its telecom roots.
AT&T is expected to grow at 3.4% over time, though earnings will take about five years to fully recover, and the dividend isn’t expected to grow for several years.
These 11 companies are higher-yielding and far superior long-term blue-chip alternatives to AT&T.
They average a potentially very safe 7% yield, and each one offers superior growth, income safety, and total return potential in my opinion.
In the short-term, analysts expect potentially 24% annualized returns (through 2024) vs. 20% for AT&T, and over the long-term, 13.6% consensus returns (vs 13.4% 19-year returns) are far better than the 8.8% expected from AT&T.
In other words, unlike AT&T, these 11 higher-yielding and far better blue-chips bargains can help you retire in safety and splendor.