Dow Today: AT&T (T) Leads The Day Higher, Microsoft (MSFT) Lags

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

The Dow Jones Industrial Average ( ^DJI) is trading up 44 points (+0.3%) at 16,562 as of Thursday, May 8, 2014, 9:36 a.m. ET. During this time, 15 million shares of the 30 Dow components have changed hands vs. an average daily trading volume of 394.9 million. The NYSE advances/declines ratio sits at 1,639 issues advancing vs. 1,004 declining with 261 unchanged.
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The Dow component leading the way higher looks to be AT&T (NYSE: T), which is sporting a 35-cent gain (+1%) bringing the stock to $36.11. This single gain is lifting the Dow Jones Industrial Average by 2.65 points or roughly accounting for 6% of the Dow's overall gain. Volume for AT&T currently sits at 4.7 million shares traded vs. an average daily trading volume of 29.1 million shares.

AT&T has a market cap of $184.19 billion and is part of the technology sector and telecommunications industry. Shares are up 1.7% year-to-date as of Wednesday's close. The stock's dividend yield sits at 5.2%.

AT&T Inc. provides telecommunications services to consumers and businesses in the United States and internationally.

TheStreet Ratings rates AT&T as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

Holding back the Dow today is Microsoft (Nasdaq: MSFT), which is lagging the broader Dow index with a 34-cent decline (-0.8%) bringing the stock to $39.09. Volume for Microsoft currently sits at one million shares traded vs. an average daily trading volume of 35.3 million shares.

Microsoft has a market cap of $322.65 billion and is part of the technology sector and computer software & services industry. Shares are up 5.4% year-to-date as of Wednesday's close. The stock's dividend yield sits at 2.9%.

Microsoft Corporation develops, licenses, and supports software, services, and hardware devices. Its Windows division offers Windows operating system; Windows Services suite of applications and Web services, including Outlook.com and SkyDrive; Surface RT and Pro devices; and PC accessories.

TheStreet Ratings rates Microsoft as a buy. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, notable return on equity, reasonable valuation levels, solid stock price performance and good cash flow from operations. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

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