AT&T (NYSE: T) made headlines this week when it announced it would be purchasing DirecTV (NASDAQ: DTV) for $48.5 billion in cash and stock.
The move underscores a strategic focus to add additional cable subscribers to AT&T’s core business of internet and wireless consumers.
Both companies expect the acquisition will ultimately add to revenue and free cash flow in the first 12-months, in addition to cutting costs.
With that in mind, there are several ETFs that stand to benefit from the transaction because of their high stakes in these large companies.
The Fidelity MSCI Telecommunications Services ETF (NYSE: FCOM) contains a basket of 31 stocks that are laser focused on major telecommunications companies. AT&T is currently the largest holding with 24.36 percent of the ETF's total assets.
This ETF ...
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