# How AT&T (T) compares with the whole market and its popular alternatives

> Source: BetterThanSPY research, https://betterthanspy.com/research/t
> Data as of October 22, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on T alone. It places T (AT&T Inc.) against 18 popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where T stands in the market, and of the alternatives worth a closer look.

Period covered: T's full trading record, from October 1986 through September 2026. All returns include reinvested dividends. Data as of October 22, 2026.

## Key findings

- **Right now:** T has gone against the market, falling 10.3% over the past 6 months while the S&P 500 rose 8.0%. Its integrated telecommunication peers split over the past 6 months: VOD (Vodafone Group Public) rose 7.3%, while CHTR (Charter Communications) fell 53.9%.
- **Stock or market?:** T fell 0.2% over the past 3 months, 5.0 points ahead of the integrated telecommunications ETF IYZ (iShares U.S. Telecommunications ETF), which fell 5.2%. The S&P 500 rose 2.5%. Its integrated telecommunication peers did not move as one over the past 3 months: VOD (Vodafone Group Public) rose 3.9%, while TMUS (T-Mobile US) fell 16.4%.
- **Past 1 to 3 years:** Over the past year, T fell 6.8% while the S&P 500 rose 15.6%. The same gap shows up over 3 years (76.8% against 88.4%).
- **Long term:** T turned $10,000 into $16,300 over the past decade, against $41,600 in the S&P 500.
- **In a crash:** In the 2022 bear market, T fell 29.2%, against 24.5% for the S&P 500. That was more than TMUS (T-Mobile US, 12.1%) but less than VZ (Verizon Communications, 33.2%).
- **Diversification:** Against the S&P 500, T has a correlation of 0.14 over 5 years, less closely than 92% of stocks worth at least $300 million. Next to an index fund it is a real diversifier. T's link to the S&P 500 has loosened: a correlation of 0.14 over the past 5 years, down from 0.63 in the 5 years before.
- **Better options**
  - **Popular alternatives:** KT earned more than T with less volatility over the past 5 years: 11.4% a year at 22.7% volatility, against 9.5% a year at 25.4%.
  - **Nearby categories and themes:** MSI (Motorola Solutions, communications equipment) and NXTG (First Trust Indxx NextG ETF, 5G networks theme) earned more than T with less volatility over the past 5 years. MSI returned 15.2% a year at 23.6% volatility, against 9.5% a year at 25.4%.
  - **Whole market:** 346 of the 3,641 stocks and funds worth at least $500 million earned more than T with less volatility over the past 5 years, among them VTI (Vanguard Morningstar Total Stock Market ETF), VOO (Vanguard S&P 500 ETF) and BRK-A (Berkshire Hathaway).

## How much would $10,000 in T have grown?

This chart tracks a hypothetical $10,000 investment in T over the past 29 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of T over the same span and T's popular alternatives, among those that traded for the entire period.

- $10,000 invested in T at the end of September 1997 would have grown to $65,217 by September 2026, less than the $132,907 it would have become in SPY, an S&P 500 fund.
- Five of the eight other investments on the chart ended ahead of T, and RCI finished highest, at $210,974.

## T at a glance

This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- T's deepest decline since it began trading in 1986 was 63.9%, from November 2000 to March 2003. It took about four years from the low to climb back to its old high.
- Over 29 full calendar years, T's best was 2006, when it returned 55.6%, and its worst was 2002, when it lost 27.6%. It lost money in nine of those years.
- T is 19.1% below its all-time high.

- Type: Stock, Communication (Telecommunications Services)
- Trading since: October 17, 1986
- Market value: $156B
- Volatility (5 years): 25.4%; Sharpe ratio: 0.49
- Worst decline ever: −63.9%, from November 22, 2000 to March 10, 2003; back at its high by May 15, 2007

| Period | T total return |
| --- | --- |
| 1 month | −8.4% |
| 3 months | −0.2% |
| 6 months | −10.3% |
| year to date | −3.0% |
| 1 year | −6.8% |
| 3 years | +76.8% |
| 5 years | +57.5% |
| 10 years | +63.4% |

## T against the whole market

Where T ranks among every stock and fund, and what across the market has done better.

### How does T rank among all stocks?

This section ranks T on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history.

- T's worst decline of the past 10 years ranks in the top 6% of the 2,184 stocks worth at least $300 million, where the top fell the least.

| Measure | T | Rank |
| --- | --- | --- |
| 1-year return | −6.8% | 2,284 of 3,282 (top 70%) |
| 3-year return | +76.8% | 1,194 of 3,016 (top 40%) |
| 5-year return | +57.5% | 1,031 of 2,897 (top 36%) |
| 10-year return | +63.4% | 1,520 of 2,201 (top 70%) |
| Volatility, 5 years | 25.4% | 362 of 2,897 (top 13%) |
| Sharpe ratio, 5 years | 0.49 | 981 of 2,897 (top 34%) |
| Worst decline, past 10 years | −39.4% | 139 of 2,184 (top 7%) |

### What has beaten T on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- 75 stocks and 271 ETFs worth at least $500 million sit in the green region: each earned more than T over the past 5 years with smaller price swings. That is 10% of the 3,641 screened.
- Among those with at least half T's swings, DXJ has the best return for its risk: 26.6% a year at 19.1% volatility, 25% less than T's 25.4%, and a Sharpe ratio (return above cash per unit of volatility) of 1.34 against 0.49 for T. WELL earned the most, 27.0% a year, while still swinging less than T (23.8% against 25.4%).
- Among T's popular alternatives, KT is in the region. KT earned 11.4% a year against 9.5% a year for T, at 22.7% volatility, 11% less than T's 25.4%.

### Is there a better investment than T?

The table below lists investments that beat T over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes.

- Among T's popular alternatives, KT earned more than T with less volatility over the past 5 years: 11.4% a year at 22.7% volatility, against 9.5% a year at 25.4%.
- Looking beyond its popular alternatives, MSI (communications equipment) and NXTG (5G networks theme) earned more than T with less volatility over the past 5 years. MSI returned 15.2% a year at 23.6% volatility, against 9.5% a year at 25.4%.
- Across the whole market, 346 of the 3,641 stocks and funds worth at least $500 million earned more than T with less volatility over the past 5 years, among them VTI, VOO and BRK-A.

The 15 strongest of 346 investments that beat T over the past 5 years, out of 3,641 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with T | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| T: AT&T Inc. (this page) |  | +9.5% | 25.4% | 0.49 | −39.4% | +63.4% |  |  |
| [VOO](https://betterthanspy.com/research/voo): Vanguard S&P 500 ETF | US Large-Cap Equity | +12.6% | 16.9% | 0.79 | −34.0% | +319% | 0.14 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [WMT](https://betterthanspy.com/research/wmt): Walmart Inc. | Discount Retail | +21.1% | 22.6% | 0.97 | −25.7% | +521% | 0.14 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [BRK-A](https://betterthanspy.com/research/brk-a): Berkshire Hathaway Inc. | Insurance | +13.5% | 17.2% | 0.83 | −30.4% | +281% | 0.23 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [JNJ](https://betterthanspy.com/research/jnj): Johnson & Johnson | Pharmaceuticals | +13.5% | 18.0% | 0.80 | −27.4% | +209% | 0.24 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | International Dividend Equity | +16.9% | 11.1% | 1.48 | −32.4% | +194% | 0.49 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [COST](https://betterthanspy.com/research/cost): Costco Wholesale Corporation | Discount Retail | +17.4% | 22.9% | 0.82 | −31.4% | +692% | 0.17 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [NVS](https://betterthanspy.com/research/nvs): Novartis AG | Pharmaceuticals | +17.4% | 20.7% | 0.89 | −26.8% | +234% | 0.33 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [LIN](https://betterthanspy.com/research/lin): Linde plc | Chemicals | +11.7% | 20.9% | 0.64 | −32.6% | +404% | 0.26 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [COR](https://betterthanspy.com/research/cor): Cencora, Inc. | Health Care Distribution | +23.6% | 22.8% | 1.05 | −32.4% | +403% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [IWF](https://betterthanspy.com/research/iwf): iShares Russell 1000 Growth ETF | US Large-Cap Growth | +11.2% | 21.8% | 0.60 | −32.7% | +402% | -0.03 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [DFAC](https://betterthanspy.com/research/dfac): Dimensional - US Core Equity 2 ETF | US Total Market | +11.3% | 17.0% | 0.72 | −23.1% | — | 0.18 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [RSG](https://betterthanspy.com/research/rsg): Republic Services, Inc. | Waste Management | +14.1% | 18.6% | 0.80 | −34.0% | +461% | 0.17 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [AEP](https://betterthanspy.com/research/aep): American Electric Power Company, Inc. | Electric Utilities | +12.8% | 20.2% | 0.70 | −32.9% | +192% | 0.18 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [QUAL](https://betterthanspy.com/research/qual): iShares MSCI USA Quality Factor ETF | US Quality Equity | +11.2% | 17.3% | 0.70 | −34.1% | +290% | 0.15 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [ED](https://betterthanspy.com/research/ed): Consolidated Edison, Inc. | Electric Utilities | +12.7% | 18.9% | 0.73 | −30.9% | +123% | 0.29 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## T against its popular alternatives

The investments people most often weigh against T, compared period by period and year by year.

### How do T's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- Only KT was both more rewarding and calmer than T over the past 5 years, earning a higher annual return with lower volatility.
- Ten of the 18 popular alternatives earned less than T over the past 5 years while swinging more, the weaker corner of the map.
- Over the past 5 years, T returned 9.5% a year, less than the S&P 500's 12.5%, with higher volatility (25.4% against 17.2%).

### Has T consistently beaten its popular alternatives?

This section compares T with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- Three of the 18 popular alternatives, CSCO, TDS and AMX, outperformed T in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- CSCO and TDS outperformed T in every long-term period and in all but one short-term period, the most consistent record in the group.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of T | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| T: AT&T Inc. (this page) | −6.8% | +76.8% | +57.5% | +63.4% |  |  | 0.49 |
| [CSCO](https://betterthanspy.com/research/csco): Cisco Systems, Inc. | +51.2% | +117% | +118% | +361% | 4/5 short-term, 3/3 long-term | all-weather | 0.73 |
| TDS: Telephone and Data Systems, Inc. | +18.9% | +160% | +170% | +122% | 4/5 short-term, 3/3 long-term | all-weather | 0.59 |
| [AMX](https://betterthanspy.com/research/amx): América Móvil, S.A.B. de C.V. | +13.8% | +62.1% | +68.2% | +169% | 4/5 short-term, 2/3 long-term | consistent | 0.53 |
| [NOK](https://betterthanspy.com/research/nok): Nokia Oyj | +44.4% | +170% | +51.9% | +96.3% | 2/5 short-term, 2/3 long-term |  | 0.41 |
| KT: KT Corporation | −4.5% | +71.1% | +71.8% | +69.3% | 1/5 short-term, 2/3 long-term |  | 0.59 |
| [AMT](https://betterthanspy.com/research/amt): American Tower Corporation | −1.2% | +26.7% | −24.9% | +102% | 5/5 short-term, 1/3 long-term |  | -0.07 |
| [VOD](https://betterthanspy.com/research/vod): Vodafone Group Public Limited Company | +43.2% | +115% | +48.7% | +11.6% | 5/5 short-term, 1/3 long-term |  | 0.42 |
| SKM: SK Telecom Co.,Ltd | +46.7% | +73.1% | +38.0% | +132% | 2/5 short-term, 1/3 long-term |  | 0.36 |
| SBAC: SBA Communications Corporation | −7.3% | −1.7% | −43.9% | +71.0% | 2/5 short-term, 1/3 long-term |  | -0.23 |
| [TMUS](https://betterthanspy.com/research/tmus): T-Mobile US, Inc. | −28.7% | +21.3% | +42.9% | +226% | 1/5 short-term, 1/3 long-term |  | 0.41 |
| LUMN: Lumen Technologies, Inc. | −36.6% | +243% | −61.0% | −72.3% | 0/5 short-term, 1/3 long-term |  | 0.17 |
| [VZ](https://betterthanspy.com/research/vz): Verizon Communications Inc. | +21.1% | +75.1% | +17.6% | +61.2% | 5/5 short-term, 0/3 long-term |  | 0.26 |
| CCI: Crown Castle Inc. | −15.2% | +7.0% | −43.6% | +26.6% | 3/5 short-term, 0/3 long-term |  | -0.27 |
| RCI: Rogers Communications Inc. | −7.8% | +0.6% | −17.7% | +16.2% | 3/5 short-term, 0/3 long-term |  | -0.05 |
| TU: TELUS Corporation | −36.5% | −31.2% | −45.7% | −4.4% | 1/5 short-term, 0/3 long-term |  | -0.50 |
| [CMCSA](https://betterthanspy.com/research/cmcsa): Comcast Corporation | −18.2% | −40.2% | −50.2% | −8.9% | 1/5 short-term, 0/3 long-term |  | -0.36 |
| BCE: BCE Inc. | −8.8% | −30.8% | −43.0% | −16.9% | 1/5 short-term, 0/3 long-term |  | -0.46 |
| CHTR: Charter Communications, Inc. | −54.4% | −74.0% | −84.7% | −56.9% | 1/5 short-term, 0/3 long-term |  | -0.70 |

### How did T do year by year?

This table shows each investment's total return in every full calendar year since 1997, along with where T ranked among its popular alternatives each year.

- T finished ahead of the S&P 500 in 13 of its 29 full calendar years.
- Among its popular alternatives, CHTR came out ahead of T most often, in 11 of the 15 years both traded.
- Ranked against its popular alternatives each year, T finished in the top quarter in seven of 29 years and in the bottom quarter in seven. In 2025, it ranked 9 of 19.

| Year | T | SPY |
| --- | --- | --- |
| 2025 | +14.0% | +17.7% |
| 2024 | +44.0% | +24.9% |
| 2023 | −2.8% | +26.2% |
| 2022 | +6.5% | −18.2% |
| 2021 | −5.9% | +28.7% |
| 2020 | −19.6% | +18.3% |
| 2019 | +48.5% | +31.2% |
| 2018 | −20.8% | −4.6% |
| 2017 | −2.4% | +21.7% |
| 2016 | +32.0% | +12.0% |

## Risk and diversification

How T has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were T's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- Not every decline was the market's doing: T fell 39.5% from July 1999 to February 2000, while the S&P 500 slipped only 3.2%.
- The slowest recovery came after T fell 63.9% from November 2000 to March 2003; it did not regain that peak until May 2007, four years later.
- In three of T's four worst declines, the S&P 500 held up better over the same dates.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −63.9% | November 22, 2000 | March 10, 2003 | May 15, 2007 | −36.5% | dot-com bust |
| −44.4% | December 28, 2007 | March 9, 2009 | March 1, 2012 | −52.6% | 2008 financial crisis |
| −39.5% | July 16, 1999 | February 23, 2000 | October 30, 2000 | −3.2% |  |
| −39.4% | January 22, 2020 | July 18, 2023 | September 6, 2024 | +44.9% | 2022 bear market |
| −31.2% | September 28, 1987 | October 19, 1987 | October 7, 1988 | — |  |

### How did T do in stock market crashes?

This section measures how far T, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- T fell less than the S&P 500 in seven of the ten crashes it has traded through. The clearest case was the 2008 financial crisis, when T fell 44.4% and the S&P 500 fell 55.2%.
- None of its popular alternatives fell less than T in most of the crashes they both traded through.

| Crash | Dates | T fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | −63.5% | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −44.4% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | −0.3% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −9.1% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −8.6% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −6.5% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −18.3% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −30.6% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −29.2% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −1.6% | −3.4% |

### How closely does T move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- Over the past 10 years, T captured 47% of the S&P 500's gains in rising months and 62% of its losses in falling months, with a beta of 0.50. Its share of the market's losses was larger than its share of the gains.
- TMUS took just 37% of the S&P 500's losses, against 62% for T, while still keeping 63% of its gains.
- Seven of the 18 popular alternatives had a higher capture ratio (upside capture divided by downside capture) than T's 0.76, led by TMUS, CSCO and TDS.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| T: AT&T Inc. (this page) | 47.0% | 62.0% | 0.50 |
| [CSCO](https://betterthanspy.com/research/csco): Cisco Systems, Inc. | 101% | 96.0% | 0.97 |
| TDS: Telephone and Data Systems, Inc. | 50.0% | 47.0% | 0.70 |
| [AMX](https://betterthanspy.com/research/amx): América Móvil, S.A.B. de C.V. | 58.0% | 55.0% | 0.69 |
| [NOK](https://betterthanspy.com/research/nok): Nokia Oyj | 63.0% | 72.0% | 1.01 |
| KT: KT Corporation | 66.0% | 88.0% | 0.71 |
| [AMT](https://betterthanspy.com/research/amt): American Tower Corporation | 61.0% | 79.0% | 0.60 |
| [VOD](https://betterthanspy.com/research/vod): Vodafone Group Public Limited Company | 52.0% | 100% | 0.69 |
| SKM: SK Telecom Co.,Ltd | 90.0% | 111% | 0.86 |
| SBAC: SBA Communications Corporation | 55.0% | 79.0% | 0.64 |
| [TMUS](https://betterthanspy.com/research/tmus): T-Mobile US, Inc. | 63.0% | 37.0% | 0.46 |
| LUMN: Lumen Technologies, Inc. | 99.0% | 255% | 1.44 |
| [VZ](https://betterthanspy.com/research/vz): Verizon Communications Inc. | 44.0% | 60.0% | 0.36 |
| CCI: Crown Castle Inc. | 54.0% | 101% | 0.70 |
| RCI: Rogers Communications Inc. | 53.0% | 104% | 0.59 |
| TU: TELUS Corporation | 42.0% | 93.0% | 0.67 |
| [CMCSA](https://betterthanspy.com/research/cmcsa): Comcast Corporation | 65.0% | 139% | 0.87 |
| BCE: BCE Inc. | 43.0% | 100% | 0.50 |
| CHTR: Charter Communications, Inc. | 41.0% | 141% | 0.88 |

### What diversifies T?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- Moving a fifth of the money in T into SMH would have cut the portfolio's volatility by 20% over the past 5 years and raised its annual return (+10.1% for T alone, +17.1% for the mix).
- Among large ETFs, LVHI, DXJ and EMLP have moved largely independently of T over the past 5 years, with correlations of 0.49 or lower, and each still earned a positive 5-year return.
- FIX made money in six of the nine calendar years in which T lost money.

| Investment | Correlation with T | 5Y return | Volatility | Sharpe | Rose in T's 9 down years |
| --- | --- | --- | --- | --- | --- |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | 0.49 | +119% | 11.1% | 1.48 | 3 of 9 |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.15 | +225% | 19.1% | 1.34 | 4 of 9 |
| EMLP: First Trust North American Energy Infrastructure Fund | 0.38 | +103% | 14.5% | 1.06 | 3 of 9 |
| DBEF: Xtrackers MSCI EAFE Hedged Equity ETF | 0.26 | +83.6% | 13.8% | 0.95 | 4 of 9 |
| [SMH](https://betterthanspy.com/research/smh): VanEck Semiconductor ETF | -0.17 | +304% | 37.0% | 0.94 | 4 of 9 |
| [XLE](https://betterthanspy.com/research/xle): State Street Energy Select Sector SPDR ETF | 0.48 | +178% | 25.5% | 0.94 | 2 of 9 |
| [GLD](https://betterthanspy.com/research/gld): SPDR Gold Shares | 0.32 | +120% | 19.0% | 0.93 | 4 of 9 |
| DFIV: Dimensional - International Value ETF | 0.46 | +99.4% | 16.4% | 0.93 | 1 of 9 |

## Common questions

### What was T's worst drawdown?

T's deepest decline since it began trading in 1986 was 63.9%, from November 2000 to March 2003. It took about four years from the low to climb back to its old high.

### What were T's best and worst years?

Over 29 full calendar years, T's best year was 2006, when it returned 55.6%. Its worst was 2002, with a return of -27.6%.

### Is there a better investment than T?

Among T's popular alternatives, KT earned more than T with less volatility over the past 5 years: 11.4% a year at 22.7% volatility, against 9.5% a year at 25.4%. Looking beyond its popular alternatives, MSI (communications equipment) and NXTG (5G networks theme) earned more than T with less volatility over the past 5 years. MSI returned 15.2% a year at 23.6% volatility, against 9.5% a year at 25.4%.

### Is T more volatile than the S&P 500?

Yes. T's volatility over the past 5 years was 25.4%, 1.5 times the S&P 500's 17.2%. Volatility measures how widely returns swing around their average: in roughly two years out of three, T's return lands within 25.4% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is T's Sharpe ratio?

T's Sharpe ratio over the past 5 years was 0.49, against 0.78 for the S&P 500, so T earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is T with the S&P 500?

Over the past 5 years, T's monthly returns had a correlation of 0.14 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They are only loosely linked, which makes it a real diversifier next to an index fund. In the table, the correlation column measures each option against T instead: the lower it is, the more that option would diversify a T holding.

### What are the best alternatives to T?

Of the 18 popular alternatives we compared, three outperformed T in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: CSCO, TDS and AMX.

### Did T outperform the S&P 500?

T finished ahead of the S&P 500 (SPY) in 13 of 29 full calendar years. In 2025, it returned +14.0%, against +17.7% for the index.

### How did T do in stock market crashes?

T fell less than the S&P 500 (SPY) in seven of the ten major crashes it has traded through, and further in two. The clearest case was the 2008 financial crisis, when T fell 44.4% and the S&P 500 fell 55.2%.

### What diversifies T?

These had a low correlation with T over the past 5 years and still earned a positive 5-year return: among large ETFs, LVHI (correlation 0.49), DXJ (correlation 0.15) and EMLP (correlation 0.38); among large stocks, CAH (correlation 0.01), CLS (correlation -0.07) and MCK (correlation 0.28). A correlation near zero means the two have moved largely independently.

## More research

- [Cisco Systems (CSCO) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/csco)
- [América Móvil, S.A.B. de C.V. (AMX) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/amx)
- [Nokia Oyj (NOK) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/nok)
- [American Tower (AMT) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/amt)
- [Vodafone Group Public (VOD) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/vod)
- [T-Mobile US (TMUS) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/tmus)
- [Verizon Communications (VZ) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/vz)
- [Comcast (CMCSA) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/cmcsa)
- [Schwab U.S. Dividend Equity ETF (SCHD) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/schd)
- [NVIDIA (NVDA) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/nvda)
- [Apple (AAPL) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/aapl)
- [Alphabet (GOOG) Performance, Alternatives and Market Rank](https://betterthanspy.com/research/goog)

## Explore further

- Full page with charts: https://betterthanspy.com/research/t
- All research pages: https://betterthanspy.com/llms.txt
- Compare the entire market against T live: https://betterthanspy.com/?b=T