AT&T’s Stock Is Popping After Earnings Report Beats the Street

AT&T shares are up more than 7% in midday trading, after the company reported robust earnings on Thursday.

The telecommunications giant reported third-quarter adjusted earnings per share of 64 cents, narrowly beating analysts' exceptions of 63 cents per share, according to estimates provided by Morningstar.

The company's free cash flow hit $5.2 billion, a $1.3 billion jump from this time last year. AT&T's revenue was also up 1% at $30.4 billion compared with $30 billion last year.

AT&T's raised its guidance for full-year free cash flow to $16.5 billion from the $16 billion previously forecast.

However, AT&T's operating expenses went up to $24.6 billion from $24 billion last year, with the company noting increased severance and restructuring charges as well as inflation-related costs in the third quarter of this year.