AL vs AT&T Which Is More Lucrative?

AL (Alabama Power Company) and AT&T (American Telephone and Telegraph Company) are two prominent companies in the telecommunications and energy sectors, respectively. Both companies are well-established with a strong presence in their respective industries. Investors may be interested in comparing and contrasting the performance and stability of AL and AT&T stocks to make informed decisions on their investment portfolios. Understanding the financial health and growth potential of these companies can help investors navigate the complexities of the stock market.

AL or AT&T?

When comparing AL and AT&T, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between AL and AT&T.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. AL has a dividend yield of -%, while AT&T has a dividend yield of 6.22%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. AL reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, AT&T reports a 5-year dividend growth of -11.11% year and a payout ratio of 90.45%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with AL P/E ratio at -16.63 and AT&T's P/E ratio at 17.74. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. AL P/B ratio is -39.06 while AT&T's P/B ratio is 1.57.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, AL has seen a 5-year revenue growth of -0.93%, while AT&T's is -0.32%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with AL's ROE at 166.45% and AT&T's ROE at 8.72%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$0.60 for AL and $22.25 for AT&T. Over the past year, AL's prices ranged from HK$0.48 to HK$1.15, with a yearly change of 139.58%. AT&T's prices fluctuated between $15.51 and $22.73, with a yearly change of 46.55%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.