NEW YORK (CNN/Money) - A one-for-five reverse stock split propelled shares of AT&T to $25 Tuesday as the company returned to its long-distance phone service roots a day after officially shedding its cable assets.

CNN/Money incorrectly reported Monday that AT&T shares would trade in the $69-range. But that report didn't subtract the roughly $8 per share value of AT&T Broadband, which became part of Comcast Corp. after the close of trading Monday.

AT&T (T: Research, Estimates), the first Dow component to boost its share price by cutting its outstanding shares, closed at a split-adjusted $67.55 Monday and a non-split adjusted $13.51. It opened Tuesday at $25.41 after subtracting the value of its cable assets.

Shareholders of AT&T common stock will receive one share of AT&T stock for every five shares they hold. AT&T anticipates it will have approximately 770 million shares outstanding.

The reverse split follows the spinoff of its cable and wireless operations. AT&T officially spun off its cable assets to Comcast (CMCSA: Research, Estimates) for $29.2 billion Monday. It spun off AT&T Wireless (AWE: Research, Estimates) in an IPO in 2001.

Johnson & Johnson (JNJ: Research, Estimates) andExxon Mobil (XOM: Research, Estimates) have split their stocks in recent months. But the reverse split puts AT&T in the company of Palm and Ericsson, former penny stocks which cut their shares outstanding to raise their stocks' price.

AT&T is now closer to a pure phone company like it was in 1984 before regulators split the then-monopoly up.  

-- Reuters contributed to this report