AT&T  expects its free cash flow to be more than $18 billion in 2027, the company said on Tuesday as it detailed a three-year vision for the business to expand its 5G and fiber services across the United States.

Shares of the company rose 4.3%, hitting its highest in more than three years.

The wireless carrier aims to double its fiber internet availability and enhance its 5G network, offering customers bundled discounts on high-speed fiber data and wireless phone services.

The Dallas, Texas-based company’s efforts align with industry trends toward high-speed internet and have already yielded significant customer gains.

The company expects to reach more than 50 million locations with fiber by 2029. It earlier reported 28.3 million fiber passings, or the number of potential customer locations a fiber network passes by.

The company’s unlimited plans, featuring perks like increased hotspot data, have driven higher-than-expected wireless subscriber growth in the third quarter.

AT&T plans to return more than $40 billion to shareholders over the next three years through dividends and share repurchases. Annual capital investment is expected to remain around $22 billion in the period.

New Street Research analyst Jonathan Chaplin said AT&T’s forecast and strategy suggest that the company is continuing its new course, and “perhaps at a slightly faster clip than we anticipated.”

The company raised the lower end of its 2024 adjusted earnings per share forecast to between $2.20 and $2.25, compared with analysts’ estimates of $2.21 per share, according to data compiled by LSEG.

It outlined the growth expectations for 2025 to 2027, excluding its 70% stake in DirecTV, which is being sold to TPG for $7.6 billion. The deal is expected to close by mid-2025.

In September, rival T-Mobile expects adjusted free cash flow between $18 billion and $19 billion in 2027.

From 2025 to 2027, AT&T forecast annual service revenue growth in the low-single-digit range.