Reddit’s WallStreetBets is Buying These 5 Stocks To Survive Upcoming Recession

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

Number of Hedge Fund Holders: 74

AT&T Inc. (NYSE:T) is a media, communications, and technology firm. During periods of recession, investors often flock towards mature businesses that generate lots of cash. AT&T is one of these stocks. The company recently spun off the media business and is now solely focused on communications, making the valuation more attractive. It was also recently named among a basket of stocks by investment bank Morgan Stanley that are expected to weather the upcoming bear market. 

On April 25, Goldman Sachs analyst Brett Feldman reinstated coverage of AT&T Inc. (NYSE:T) stock with a Buy rating and a price target of $23, noting that the valuation of the stock was “attractive, especially versus its large cap peers”. 

At the end of the first quarter of 2022, 74 hedge funds in the database of Insider Monkey held stakes worth $4 billion in AT&T Inc. (NYSE:T), compared to 70 in the preceding quarter worth $4.9 billion.  

In its Q4 2021 investor letter, Weitz Investment 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:

“After several quarters of pandemic-induced outsized growth, new broadband connection growth has slowed for U.S. cable operators. This slower growth has coincided with a renewed push by competitors like Verizon and AT&T Inc. (NYSE:T) to offer high-speed data (either via wireless connects or by building new fiber-optic networks).”