CenturyTel shares jump after strong 1Q earnings, forecast
NEW YORK—CenturyTel's shares soared Thursday in the heels of strong-first-quarter results and better-than-expected outlook from the regional telecom service provider.
Monroe, La.-based CenturyTel Inc. said Thursday its first-quarter profit jumped 14 percent, boosted by a growing number of Internet subscribers. The company also expects full-year earnings above Wall Street's estimates.
Citi Investment Research analyst Michael Rollins notes that the company's adjusted earnings were higher than its prior guidance -- though sales were within CenturyTel's forecast.
The analyst, who rates CenturyTel "Hold," says lower expenses helped send the quarter's profit higher. Rollins adds that CenturyTel's reported access-line losses were modestly lower than he had expected.
The company's shares rose $3.48, or 10.7 percent, to close at $35.93. In the past 52 weeks, the stock has traded between $30.55 and $49.94.
