5 Companies That Just Smashed Earnings Estimates

4. AT&T Inc. (NYSE:T)

Number of Hedge Fund Holders: 74

AT&T Inc. (NYSE:T) recently surpassed profit and sales expectations for the second quarter. However, its shares fell nearly seven percent on Thursday, July 21, 2022, apparently due to a lower-than-expected free cash flow for the quarter.

The Texas-based telecommunications giant reported adjusted earnings of 65 cents per share, beating the consensus of 61 cents per share. The quarterly revenue of $29.64 billion also came in above the expectations of $29.56 billion. In addition, AT&T Inc. (NYSE:T) reported postpaid net additions of just over 1 million, well ahead of the consensus of 0.55 million.

On the downside, AT&T Inc. (NYSE:T) generated a free cash flow of $1.4 billion in the quarter, missing the expectations of $4.7 billion with a big margin. The company also lowered its full-year free cash flow outlook to $14 billion versus its previous guidance of $16 billion.