Kiley Juergens Wealth Management LLC, a financial management company, has reported a significant reduction in its holdings of AT&T Inc. (NYSE:T) shares during the second quarter of this year. According to the company’s recent Form 13F filing with the Securities and Exchange Commission (SEC), it sold approximately 23.9% of its AT&T shares, amounting to 14,464 shares. As a result, the firm now owns 46,102 shares of the technology giant’s stock.
The value of Kiley Juergens Wealth Management LLC’s holdings in AT&T reached $735,000 at the conclusion of the second quarter. This reduction in their shareholding could indicate a strategic move by the firm in response to changes or developments within AT&T or other market factors.
In addition to the divestment of shares, AT&T recently announced that it will be distributing its quarterly dividend on November 1st. Shareholders who are recorded as owners on October 10th will receive a dividend payment of $0.2775 per share. However, investors should note that the ex-dividend date for this payout is October 6th.
With an annualized dividend amounting to $1.11 per share and a dividend yield of 7.68%, AT&T continues to offer an attractive return for investors seeking regular income streams from their investment portfolio.
It is worth noting that AT&T’s current dividend payout ratio stands at -90.98%. While this figure may appear unusual or concerning at first glance, it is essential to interpret it correctly. A negative payout ratio indicates that AT&T is currently reinvesting more than what it can afford to pay out in dividends.
In conclusion, Kiley Juergens Wealth Management LLC has reduced its stake in AT&T Inc., selling a significant portion of its holdings during the second quarter as disclosed in their recent SEC filing. The firm now owns 46,102 shares of AT&T stock. Furthermore, as the company approaches its dividend payment date on November 1st, shareholders can look forward to receiving a dividend of $0.2775 per share. Despite an unusual negative dividend payout ratio, AT&T’s annualized dividend yield of 7.68% remains attractive for income-seeking investors.
Investor Activity and Analyst Sentiments Impact AT&T’s Prospects
In recent quarters, AT&T Inc. (NYSE:T) has garnered the attention of several large investors who have made significant moves in buying and selling shares of the company. One notable investor, Steward Financial Group LLC, raised its position in AT&T by a staggering 159.7% during the first quarter. This move saw them acquire an additional 960 shares, bringing their total ownership to 1,561 shares with a value of $30,000. Similarly, Carmel Capital Partners LLC also entered the arena as a new stakeholder in AT&T during the first quarter, purchasing shares worth approximately $31,000.
Throughout the year, other entities such as FWL Investment Management LLC and Lakewood Asset Management LLC also acquired stakes in AT&T amounting to $31,000 and $32,000 respectively. Even Sageworth Trust Co joined this growing list of institutional investors by buying shares valued at $32,000 during the first quarter. These investments from various sources have resulted in 53.65% of AT&T’s stock now being owned by institutional investors and hedge funds.
While these investments have drawn attention from financial analysts, it is important to consider their sentiments regarding AT&T as well. Analysts from Deutsche Bank Aktiengesellschaft reduced their target price for AT&T from $23.00 to $22.00 back on July 14th this year. Likewise, Wells Fargo & Company lowered its price objective on the stock from $22.00 to $20.00 shortly after on July 20th while maintaining an “overweight” rating on the stock.
Citigroup took a more optimistic stance by upgrading its rating on AT&T from “neutral” to “buy” and setting a target price of $17.00 for the company on August 29th. However, JPMorgan Chase & Co echoed Deutsche Bank’s concerns by downgrading AT&T from “overweight” to “neutral” and reducing their price target from $22.00 to $17.00. Argus also expressed a cautious outlook by downgrading AT&T from “buy” to “hold” on July 19th.
With an average rating of “Hold” based on data from Bloomberg.com, it is evident that opinions are mixed when it comes to AT&T’s prospects. Despite this, analysts have agreed on a consensus target price of $20.00 for the company, reflecting cautious optimism within the market.
As of Friday, October 8th, shares of AT&T opened at $14.45 on the New York Stock Exchange (NYSE). The company’s financial standing indicates a debt-to-equity ratio of 1.10, a current ratio of 0.68, and a quick ratio of 0.63. The stock has been fluctuating around its moving averages with a 50-day moving average price of $14.56 and a 200-day moving average price of $15.98.
AT&T released its quarterly earnings report on Wednesday, July 26th earlier this year and exceeded expectations by reporting earnings per share (EPS) of $0.63 compared to the consensus estimate of $0.60 per share—a positive surprise of $0.03 per share. Additionally, the company achieved a return on equity (ROE) figure of 15.91%, showcasing healthy profitability amidst challenging market conditions.
However, analysts remained concerned about AT&T’s net margin which stood at -7.22% during this period—an area where improvement is warranted moving forward.
During the quarter in review, AT&T reported revenue figures amounting to $29.92 billion as opposed to the consensus estimate of $30.07 billion—a slight difference resulting in only a 0.9% increase compared to the same quarter last year.
Moving ahead into the immediate future, analysts forecast that AT&T Inc. will post earnings per share of 2.43 for the current fiscal year. With all these developments and financial indicators in play, it remains to be seen how AT&T will navigate its path forward within the increasingly competitive telecommunications industry.