5 Best Blue Chip Stocks To Buy Now

4. AT&T Inc. (NYSE:T)

Number of Hedge Fund Holders: 66

Consecutive Years of Dividend Payouts: 37    

Dividend Yield: 7.94%  

As AT&T Inc. (NYSE:T) prepares to roll out 5G services, investors should breathe a sigh of relief as it seems that a turbulent short-term period for the stock may be nearing an end. In 2021, AT&T Inc. (NYSE:T) had undergone a massive overhaul as management took steps to create long-term value for shareholders, including sales of assets. AT&T Inc. (NYSE:T) management now expects free cash flow to be in the $20 billion range annually for the coming years. In 2021, the firm has also drastically reduced the net debt from $147 billion to around $50 billion. 

Hedge funds appreciate the growth profile of AT&T Inc. (NYSE:T). 66 hedge funds in the database of Insider Monkey were long AT&T Inc. (NYSE:T) at the end of September with stakes worth $3.2 billion. 

In its Q1 2021 investor letter, Nelson Capital Management, an asset management firm, highlighted a few stocks and AT&T Inc. (NYSE:T) was one of them. Here is what the fund said:

“Nelson Capital stayed busy in the first quarter, making several adjustments within our core portfolio. In the communication services sector, we sold AT&T (tkr: T). Over the years, AT&T has made several poor acquisitions, especially in the content realm, leaving the company saddled with debt and unable to change directions.”