Telecom stocks have long appealed to investors looking for regular income, but the size of the payout is only part of the story. This month, Verizon (VZ) declared a quarterly dividend of almost $0.71 per share, unchanged from its previous payment. What really matters for investors following the sector is which carriers generate enough cash flow to keep raising their dividends.
That brings T-Mobile US (TMUS) into focus. On Sept. 24, the company raised its quarterly dividend by 14.7% to $1.17 per share. This announcement came after T-Mobile generated $4.8 billion in adjusted free cash flow in the second quarter, up 4% year-over-year (YOY).
