How is it legal that AT&T forces us to buy worthless company stock for its 401k match instead of cash? Sorry but I don’t want stock in a nearly bankrupt company whose stock has gone down every year for eons. I know I can go sell it each time but who has time for that? It should be illegal to scam employees to prop up this junk stock!
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Instead of complaining.. find another job??? Just saying
All of this talk about "the stock going up" and barely a mention that T stick is mostly a dividend stock. You don't buy T because you think someone else will pay you more for it than you paid. You buy it because T pays you cash every year just because you have it. The lower the price of the stock, the better the payout percentage, because it's a per share payout, not dependent on stock price. The dividend yield is currently about 6%.
Do your research before you do anything.
I always switched att stocks to all market index. When T dropped to 30s, I believe our CFO plan, seems like pretty solid, I rolled 10% money to T, so far return and dividend both great. Maybe I will keep it through this down turn, it was safe plan if you compare with other stocks. Do not use your personal feeling to invest , use the number.
This post and thread is a candidate for dumbest post ever.
Free = free.
Don't like it, don't participate.
You should really learn how to invest.
AT&T is shameful with these kind of shenanigans. They should be put behind bars.
I an recommend this book-
https://www.penguin.co.uk/books/305/305332/aftermath/9780241304082.html
href="https://www.penguin.co.uk/books/305/305332/aftermath/9780241304082.html"
Total Debt/Equity (TTM) 101.88%
Doesn't that mean if you buy a share of AT&T what you owe is greater than what you paid for that share?
that's right -oni
you can diversify within the standard 401k offerings and not be over loaded with $T
Fact:
- You don't have to open a brokerage account
- You don't have to keep the stock
- You can sell it the day after it's awarded
- T stock has actually been rising for a while
Learn how your 401(k) works. It, being at an extremely low cost provider (Fidelity), as well as the match provided, is one of the most valuable benefits the company provides.
Apparently you don't know how math works. AT&T stock total return year-to-date is 28.50%. The stock is currently only 1.04% off it's 52 week high.
@10M4hfFz-fkl So your T stock has been declining for 10 years and you continue to watch it go down and come on here to complain about it? Some people on this board really are dumb huh. Its very simple, if the stock is going down or your analysis or "feeling" is that the company is or will be bankrupt then sell and buy something else. Really not that hard champ.
"How is it legal that AT&T forces us to buy worthless company stock for its 401k match instead of cash"
You aren't forced to buy anything. They are giving you the match. They don't have to give you anything by law. Why would it be illegal? AT&T is not nearly bankrupt. AT&T is ranked #9 on the Fortune 500 list, and that's up from #39 in 2006. Which show how much Randall Stephenson has accomplished since taking over in 2007.
- jun LoL
@pou >I never really recoup from the losses of 2007-8
You tried timing the market and lost a lot money... and yet you feel qualified to give advice.
"I never really recoup from the losses of 2007-8 "
Then you're doing it wrong. Market is up overall about 300% since then.
something wrong with person calling dope to someone mentioning stock performance for past 6 months. We all know a dog and sellout quickly.
You can move the company match out of T stock if you want. A bigger concern should be the large amount of Mobility tracking stock in the pension. The government should never have allowed that to happen.
@10M4hfFz-pou, if the interest rate goes up, then value of your bond investment will go down too.
COMPANY: HEY HERE'S SOME FREE STOCK!!
EMPLOYEE: tHIs is C-ap, hOW iS thIs LegUL?!?
who is the dope who said look at the stock up 16 percent this year? Yes, true HOWEVER, what about the previous 10 years of 'contributions' where the value to the stock steadily and consistently declined?
It WAS over 40 many years ago? The smart thing to do is move it out of T once it is in your 401K... I would pick a diversified fund or ETF or better yet, a strong GROWING stock WITH a dividend like Microsoft (which also has a bright CEO and sound strategy for the future, unlike T).... What were once 'safe' stocks 20 years ago are no longer safe. That has always been true.. Most fortune 500 companies from 30 or 40 years ago are NO LONGER fortune 500 or are extinct.
Last I heard, participation in a 401K is voluntary. If you don't like the arrangement, don't participate.
Complaining about free money? They don’t have to offer you a 401K, let alone offer any company match too.
Compare your cost basis with the current balance, if the balance is higher than the cost basis, move it to another find. If the cost basis is higher than the balance hold it until it you have a positive balance to cost ratio.
This isn't hard.
@10M4hfFz You do know that you can sell the match and use the proceeds to diversify into something else right? So you are just lazy or ignorant then?
I can guarantee 2 things stocks go up and down and the only way to double money is to fold it across the middle. Why complain about getting a match (answer to that will become no match)? Look at T stock last 6 months up approximately 16 percent. Comments of worthless company are just not true. Look at company revenue and profit. Look at debt pay down and management of debt where street view of debt pay down is within expectations. Present facts. Buying bonds will be good till rates rise which is not coming soon. The time to move money is when you have a better place for it and I do. Buy dips as if the China trade gets worked out the Dow could go to 30k.
Diversify = don't put all your eggs in the $T basket.
"I know I can go sell it each time but who has time for that?"
Laziness is your problem not the stock match.
I’ve been investing since just before the ‘87 Recession (and every recession since) and what I learned is that timing the market is a losing situation because people are always afraid of staying “in the market” because of fear and afraid of getting back “in the market”.....because of fear.
If you regularly invest in a 401K monthly, let that be your teacher. Your investment buys low when the market is at its worst and the ones that stayed in after ‘07-‘08 saw a 350% gain. For those near retirement, get close council from a Fidelity CFP (or the one you invest with) and let them help you with your decisions....just my thoughts, good luck.
I put all my money in bonds
The stock market is going to crash again and I don’t have enough time to ride it back up again
Basically just a piggy bank anyway
I never really recoup from the losses of 2007-8
dump it you can open a brokerage account and invest in what you want. you can move it to any number of funds in fidelity. you can also get more dividend than T stock if you look around.
Every month I transfer all my matching funds from AT&T stock to one of the other funds available. I haven’t had AT&T stock in my portfolio for 15 years.
The stock is going to tank. Look at where the market is headed. Cash out.
Diversify your portfolio and dump the company stock. Problem solved. You will get a return on their dividends though