AT&T shared its third-quarter free cash flow guidance at an industry conference.
The company expects to deliver $4.5 billion to $5 billion in free cash for the current quarter.
AT&T reiterated its full-year free cash flow guidance of $16 billion or more.
The stock rose almost 2% in premarket trading after the release of the guidance.
AT&T needs to make up for the $11 billion in free cash flow in the third and fourth quarters to meet its full-year guidance.
Analysts expect AT&T to generate $4.955 billion in free cash flow in the third quarter.
Free cash flow is an important metric for telecom stocks and is used to pay dividends.
AT&T currently pays $1.12 in annual dividends per share.