While the stock market has been in rally mode with tax reform chatter in the air, one particularly big winner has been AT&T Inc. (NYSE:T). Over the past month, the T stock price is up nearly 10% versus a 2.5% gain for the S&P 500.

What is driving the rally in T stock? Multiple catalysts.

AT&T is starting to make concessions in its proposed acquisition of Time Warner Inc (NYSE:TWX). AT&T’s FirstNet public safety broadband network is gaining significant momentum. Investors are starting to get excited about a 5G broadband rollout.

Meanwhile, wireless pricing trends, which have long been exceptionally promotional, are starting to stabilize. Net neutrality is getting close to being repealed, giving internet service providers (ISPs) like AT&T more power in controlling internet access. And AT&T successfully jumped on the newest trend in wireless offerings (bundling entertainment options with wireless connectivity plans).

Against the backdrop of all these positive catalysts, T stock has a 5.4% dividend yield (almost a five-year high) and a 7.3% free cash flow (almost a three-year high).

Multiyear high yields plus a strengthening fundamental growth narrative is a good setup. That is why I’m bullish on T stock.

The Fundamental Growth Narrative Is Strengthening

For a while, the fundamental growth narrative at AT&T was bleak.

Cord cutting has presented a never-ending risk to the company’s pay-TV business. The explosion in mobile usage has presented a threat to the company’s legacy wire-line business. Meanwhile, AT&T’s recent attempts to reignite growth (acquiring TWX) have been short-circuited by regulators.

These headline risks have weighed on the T stock price and drove it to a multiyear low of $33 not too long ago.

But the fundamental growth narrative has strengthened dramatically since then.

Firstly, AT&T is starting to make concessions in its proposed acquisition of TWX. These concessions increase the likelihood and accelerate the timeline of a TWX acquisition. This is critical to improving the T growth narrative. TWX has assets (TNT, TBS, CNN, HBO, among others) which T can leverage to add tremendous value for shareholders.

Secondly, AT&T’s FirstNet public safety broadband network continues to add states to its customer list. This past week, FirstNet added its 34th and 35th states in Vermont and Ohio.

This is also critical to improving the T growth narrative because it illustrates just how far-reaching AT&T’s value is in an increasing internet-first world. As more things become “smart” and get connected to the internet, AT&T’s value only grows.

Thirdly, wireless pricing trends are starting to stabilize. The boom in mobile usage has created intense competition among wireless providers, all of whom have participated in deep promotional activity to win over customers. That promotional activity seems to be easing, according to AT&T CFO John Stephens. He expects T’s wireless revenues to be stable or even grow in the near term.

Fourthly, we are closing in on an era where net neutrality is a relic of the past. Net neutrality was an Obama-era implemented regulation that essentially forced ISPs like T to treat all content and data on the internet equally.

But the Trump administration wants to repeal net neutrality, and it looks like it will. Doing so would be great news for AT&T, as it would give the ISP more control over internet access. AT&T could charge other companies higher fees for higher speeds, while showing preference for and pushing its own content and services, like DirectTV Now.

Fifthly, AT&T is set to benefit from the newest trend in wireless carrier plans, which is bundling in video entertainment options. AT&T has already jumped on this trend by launching an HBO bundle. The TWX acquisition would give AT&T a big leg up in this battle. T can leverage TWX’s entertainment assets to create compelling bundle offerings.

Bottom Line on T Stock

The AT&T growth story is getting stronger by the minute.

But T stock continues to trade at an attractive valuation, which includes a near five-year high dividend yield and a near three-year high free cash flow yield.

I like the setup of a cheap stock against the backdrop of a strengthening growth narrative. I’m bullish on T stock at these levels.

As of this writing, Luke Lango was long T.