Which is better, AT&T Or Verizon? Both companies (T), (VZ) are the two largest wireless communication providers in the United States. Together they dominate approximately 70% of the wireless market. They have been favorite choices among dividend growth investors in the past. However, both companies are facing strong competitions from T-Mobile (TMUS) and Sprint (S) lately. With increasing competition, and declining margin, many wondered which company will be a better investment choice. In this article, we will compare both companies and help investors make a better decision.
Let us first take a look at AT&T and Verizon’s past performance. The chart below shows the stock prices between the two companies in the past 10 years with blue line representing Verizon and yellow line representing AT&T. As can be seen, an investment 10 years ago on AT&T would resulted in a loss of about 10% while an investment on Verizon would result in about 20% return. The stock price reflected both companies’ struggle to gain revenue growth while Verizon fared better due to better margin as we will see in the next section. While Verizon fared better than AT&T, both companies……READ MORE