NEW YORK (TheStreet) -- AT&T (T) rose Thursday amid reports that DirecTV (DTV) is speaking with advisers, such as Goldman Sachs (GS), about a possible combination with the wireless carrier, which has pursued a takeover of the satellite television company.
DirecTV and the advisers have been evaluating whether or not to dive into serious conversations with AT&T, though the exact status of the talks remained unclear, according to the reports. DirecTV has discussed an AT&T combination at board meetings, but the company also thinks the wireless carrier could have more interest in buying Dish Network (DISH). DirecTV does not own any wireless spectrum, but Dish has accumulated billions in wireless airwaves under chairman Charlie Ergen in the past few years.
Separately, TheStreet Ratings team rates AT&T INC as a "buy" with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate AT&T INC (T) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. 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."