AT&T Inc (T): Today's Featured Telecommunications Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

AT&T ( T) pushed the Telecommunications industry higher today making it today's featured telecommunications winner. The industry as a whole was unchanged today. By the end of trading, AT&T rose 55 cents (1.6%) to $34.68 on average volume. Throughout the day, 30.8 million shares of AT&T exchanged hands as compared to its average daily volume of 26.6 million shares. The stock ranged in a price between $34.12-$34.83 after having opened the day at $34.13 as compared to the previous trading day's close of $34.13. Other companies within the Telecommunications industry that increased today were: Sierra Wireless ( SWIR), up 18.4%, Maxcom Telecomunicaciones S.A.B. de C.V ( MXT), up 9.6%, China TechFaith Wireless Comm Tech ( CNTF), up 7.3%, and MERU Networks ( MERU), up 6.7%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

AT&T Inc., together with its subsidiaries, provides telecommunications services to consumers, businesses, and other providers worldwide. AT&T has a market cap of $193.23 billion and is part of the technology sector. The company has a P/E ratio of 44.2, above the S&P 500 P/E ratio of 17.7. Shares are up 0.9% year to date as of the close of trading on Monday. Currently there are nine analysts that rate AT&T a buy, two analysts rate it a sell, and 19 rate it a hold.

TheStreet Ratings rates AT&T as a buy. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, impressive record of earnings per share growth, compelling growth in net income, revenue growth and good cash flow from operations. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.

On the negative front, Powerwave Technologies ( PWAV), down 25%, Netgear ( NTGR), down 10.9%, Parametric Sound ( PAMT), down 5.9%, and Net Element International ( NETE), down 5.2%, were all laggards within the telecommunications industry with Ciena Corporation ( CIEN) being today's telecommunications industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the telecommunications industry could consider iShares Dow Jones US Telecom ( IYZ) while those bearish on the telecommunications industry could consider ProShares Ult Sht Telecommunication ( TLL).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.

If you liked this article you might like

Sprint T-Mobile Merger Will Have to Contend With This Wonky Number the DOJ Uses

T-Mobile and Sprint Will Have to Overcome These 4 Things in Order to Merge

T-Mobile and Sprint Reportedly Agree on a Deal to Split Ownership

Cord Cutters Aren't Just Leaving Pay-TV Because of Price

Netflix Shares Could Rise 16% on Big Boost in Subscribers