Investing Topics: AT&T

America's two biggest telecoms reported second quarter earnings last week. We look at how they performed in the face of challenges from the competition.

Few companies attract as much attention when they report quarterly earnings as Telecom’s Big Two: AT&T Inc (NYSE: T) and arch rival Verizon Communications (NYSE: VZ). And the past week has been no exception.

You’d be hard-pressed to beat AT&T for steady growth and reliable income--especially in a market where too many are blindly bobbing for Apples.

America's leading telecom doubles down on its US business with a key acquisition.

The massive loss T-Mobile USA (NSDQ: TMUS) reported this week hasn’t slowed the hyperactive tweeting of its CEO John Legere. Nor apparently has the news scared off his groupies on Wall Street, though that may have more to do with continuing takeover speculation.

With large financial institutions and exchange-traded funds (ETFs) dominating daily trading, markets are as volatile as ever.

Fortunately, the key to success in utilities and essential services is the same as it’s been for more than a century: Spotting where investment will earn a fair return, and following the money to a rising stream of dividends.

Last November, I advised income investors to favor AT&T (NYSE: T) a traditional dividend paying stock, over shares of its iPhone partner Apple Inc (NSDQ: AAPL).

Fourth quarter and full-year earnings normally dominate the news this time of year. And rightly so: They’re what ultimately shape shareholder returns.