AT&T completes divestiture of DIRECTV stake, focusing on future growth areas

AT&T (T) has completed the divestiture of its remaining 70% stake in DIRECTV, freeing up capital to cut debt and invest in 5G and fiber expansion. The move follows an agreement with TPG Capital and will result in a $7.6B payout by 2029, on top of $19B from past distributions. The company aims to focus on core growth areas amidst stiff competition from Charter Communications and Comcast. While AT&T’s stock has gained 51.8% in the past year, its price/book ratio is currently 13.27. Earnings estimates for 2025 and 2026 have remained steady. AT&T currently holds a Zacks Rank #3 (Hold).

Read more at Zacks Investment Research: T Optimizes Portfolio With Strategic Divestiture: Will it Fuel Growth? – July 4, 2025