Is AT&T Stock a Buy?

AT (NYSE: T) is the third-largest wireless carrier in the U.S., serving over 90 million customers. Wireless generates the majority of the company's roughly $120 billion in annual revenue. AT also operates a growing fiber broadband business and provides business services nationwide.

After spinning off DirecTV and WarnerMedia to refocus on core operations, AT is now investing heavily in infrastructure. The company recently closed a $23 billion EchoStar (NASDAQ: SATS) spectrum acquisition and announced a $5.75 billion deal for Lumen Technologies' fiber assets.

Yet shares trade at roughly half the valuation of the benchmark S 500 while yielding over 4%. Before you chase that bargain, however, you may want to consider why AT stock commands such a steep discount to the broader market.

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Source Fool.com