AT&T (NYSE:T) May Raise Dividend, Buy Back Shares

AT&T (NYSE:T) is the recipient of a bullish outlook from Piper Jaffray analyst Chris Larsen, who believes they're going to raise the dividend this month along with buying back shares.

The share repurchase is anticipated by Larsen to be in a range of 300 to 400 million shares.

As far as the Verizon (NYSE:VZ) effect, he said, “It’s possible that when Verizon announces the iPhone, AT&T shares could create another buying opportunity.”

That should happen sometime in the first quarter of 2011.

AT&T closed Tuesday at $28.54, up $0.24, or 0.85 percent.