Motley Fool
Why AT&T Tumbled in 2021, but Is Rebounding in 2022
Despite AT&T’s (NYSE: T) merger with TimeWarner in 2018 being blamed for holding the telecom giant back over the years, the market hasn’t exactly rewarded Ma Bell’s decision to shed its WarnerMedia division and merge it with Discovery (NASDAQ: DISCA)(NASDAQ: DISCK). According to data provided by S&P Global Market Intelligence, AT&T stock lost 14.5% of its value in 2021, very likely because in addition to getting rid of its media business, AT&T is also slashing its dividend in half. The TimeWarner acquisition saddled the telecom with a mountain of debt, and the spinoff is expected to net it some $43 billion, which will go a long way to paying down its debt load.