AT&T shares were sinking Thursday despite an earnings beat in a quarter with a lot of moving parts due to recent business divestments. While the company raised its annual forecast for mobility service revenue in light of stronger-than-expected customer additions, it also pulled down its free-cash-flow outlook to account for factors such as higher investment spending linked to customer growth and revised expectations around the timing of customer payments.
was oscillating between being on pace for its worst single-day percentage decline in two years and its worst such drop in more than two decades. Shares were down as much as 10.9% earlier in Thursday’s session, which would have been larger than the 10.2% drop sustained July 22, 2002 and second only to the 12.7% drop experienced Dec. 19, 2000. The stock has bounced slightly from its intraday low and was recently off 8.9% in midday trading, putting it on track for its worst single-day fall since March 12, 2020, when it lost 9.2%. AT&T said it saw the best second quarter for postpaid phone net additions in more than a decade as it delivered 813,000 adds during the latest period. Postpaid phone churn was 0.75%. The company sees the subscriber momentum as indicative of efforts over the l …