Better Buy: Verizon Communications vs. AT&T
Verizon (NYSE: VZ) and AT&T (NYSE: T) have both long been considered reliable dividend stocks for conservative investors. But over the past decade, Verizon stock generated a total return of more than 40% after factoring in reinvested dividends. AT&T generated an anemic total return of 3%.
Let's see why Verizon outperformed AT&T by such a wide margin, and whether or not it will remain the better investment over the next five years.
Verizon and AT&T were both once part of the original AT&T, which antitrust regulators split into the "Baby Bells" in the early 1980s. Bell Atlantic became Verizon, and Southwestern Bell became the modern AT&T after buying the remnants of its former parent company in 2005.
Source Fool.com
