Compare AT&T and Verizon stock, wireless subscribers, dividend yields, and which telecom company is the better investment.
AT&T vs Verizon Overview
AT&T and Verizon are America’s largest telecommunications companies, competing primarily in wireless services. Both are known for their high dividend yields and stable business models.
Company Comparison
Metric
AT&T
Verizon
Market Cap
~$150B
~$180B
Revenue (2025)
~$125B
~$135B
Founded
1983 (current form)
1983
Headquarters
Dallas, TX
New York, NY
Dividend Yield
~5%
~6%
Wireless Subscribers
Metric
AT&T
Verizon
Postpaid Phone
~70M
~95M
Prepaid
~18M
~22M
Total Connections
~240M
~300M
Verizon leads in postpaid wireless, the most valuable segment.
Business Segments
AT&T
Segment
Revenue %
Wireless
~65%
Business Wireline
~25%
Consumer Wireline
~10%
Verizon
Segment
Revenue %
Wireless
~75%
Wireline/Business
~25%
Financial Comparison
Metric
AT&T
Verizon
Revenue Growth
~1%
~1%
EBITDA Margin
~35%
~37%
Free Cash Flow
~$18B
~$20B
Debt
~$130B
~$150B
Debt/EBITDA
~3.0x
~2.8x
Dividend Analysis
Metric
AT&T
Verizon
Dividend Yield
~5%
~6%
Payout Ratio (vs FCF)
~45%
~55%
Consecutive Years Paid
30+ years
30+ years
Recent Dividend Trend
Cut in 2022 (post spin-off)
Stable growth
Note: AT&T cut its dividend after spinning off WarnerMedia.
5G Investment
Both companies have invested heavily in 5G:
Factor
AT&T
Verizon
5G Strategy
Mid-band focus
Mix of all bands
C-Band Investment
~$23B
~$53B
Coverage
Expanding
Expanding
Competitive Position
AT&T Strengths
Strong fiber expansion program
FirstNet (public safety network)
Lower debt after WarnerMedia spin
Improving wireless net adds
Verizon Strengths
Best network reputation
Largest postpaid subscriber base
Higher-value customer mix
Fixed wireless momentum
Risks
Risk
AT&T
Verizon
Debt levels
High
High
Competition (T-Mobile)
High
High
Cord cutting
Medium
Medium
5G return on investment
Uncertain
Uncertain
T-Mobile Competition
T-Mobile has gained significant market share, pressuring both AT&T and Verizon on pricing and subscriber growth.
Valuation
Metric
AT&T
Verizon
P/E Ratio
~10x
~10x
EV/EBITDA
~6x
~6x
Price/FCF
~8x
~9x
Both trade at similar, low valuations typical for mature telecoms.
Which Stock to Buy?
Preference
Choose
Higher dividend yield
Verizon
Better network perception
Verizon
Turnaround potential
AT&T
Fiber growth story
AT&T
Lower debt ratio
AT&T
For income investors, both offer attractive yields with similar risk profiles.