Assessing American Tower: Insights From 9 Financial Analysts

Analysts' ratings for American Tower AMT over the last quarter vary from bullish to bearish, as provided by 9 analysts.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $219.78, a high estimate of $251.00, and a low estimate of $195.00. Observing a downward trend, the current average is 7.85% lower than the prior average price target of $238.50.

Exploring Analyst Ratings: An In-Depth Overview

The perception of American Tower by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to American Tower. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of American Tower compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for American Tower's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of American Tower's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on American Tower analyst ratings.

Get to Know American Tower Better

American Tower owns and operates more than 220,000 cell towers throughout the us, Asia, Latin America, Europe, and Africa. It also owns and/or operates 28 data centers in 10 us markets after acquiring CoreSite. On its towers, the company has a very concentrated customer base, with most revenue in each market being generated by just the top few mobile carriers. The company operates more than 40,000 towers in the us, which accounted for almost half of the company's total revenue in 2023. Outside the us, American Tower operates over 75,000 towers in India, almost 50,000 towers in Latin America (dominated by Brazil), 30,000 towers in Europe, and nearly 25,000 towers in Africa. American Tower operates as a REIT.

Unraveling the Financial Story of American Tower

Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.

Revenue Growth: American Tower's revenue growth over a period of 3 months has been noteworthy. As of 30 September, 2024, the company achieved a revenue growth rate of approximately 0.05%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Real Estate sector.

Net Margin: American Tower's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -31.41%, the company may face hurdles in effective cost management.

Return on Equity (ROE): American Tower's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -21.13%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): American Tower's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -1.23%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: American Tower's debt-to-equity ratio stands notably higher than the industry average, reaching 12.3. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

The Core of Analyst Ratings: What Every Investor Should Know

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.