Metro PCS Down 30 Percent on Weak Subscriber Numbers

Shares of pre-paid cellular operator Metro PCS (PCS), which offers phone plans in the $30 to $50 neighborhood, are plunging today, falling $3.74, or 30 percent, to $8.95, after the company missed Q2 EPS estimates by quite a bit on revenue that was in line. The company’s churn, or rate of customer defections, jumped.

Q2 revenue rose 27 percent, the company said, to $859.6 million, in line with the average $861.7 million estimate, while profit per share of 7 cents was half what analysts were looking for. The company reiterated an outlook for net subscriber additions this year of 1.4 million to 1.7 million.

Read the rest of this post on the original site