A Glimpse Into The Expert Outlook On American Tower Through 7 Analysts
In the last three months, 7 analysts have published ratings on American Tower (NYSE:AMT), offering a diverse range of perspectives from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 3 | 2 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 1 | 2 | 2 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for American Tower, presenting an average target of $220.71, a high estimate of $248.00, and a low estimate of $196.00. A 0.94% drop is evident in the current average compared to the previous average price target of $222.80.
Deciphering Analyst Ratings: An In-Depth Analysis
A clear picture of American Tower's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| James Schneider | Goldman Sachs | Announces | Buy | $230.00 | - |
| Tim Long | Barclays | Lowers | Overweight | $223.00 | $234.00 |
| Maher Yaghi | Scotiabank | Lowers | Sector Outperform | $223.00 | $243.00 |
| Ari Klein | BMO Capital | Lowers | Outperform | $220.00 | $228.00 |
| Ric Prentiss | Raymond James | Raises | Strong Buy | $248.00 | $226.00 |
| Simon Flannery | Morgan Stanley | Raises | Equal-Weight | $196.00 | $183.00 |
| Vikram Malhorta | Mizuho | Announces | Neutral | $205.00 | - |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to American Tower. This information provides a snapshot of how analysts perceive 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 navigate through adjustments in price targets, providing estimates for American Tower's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of American Tower's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on American Tower analyst ratings.
Discovering American Tower: A Closer Look
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 an REIT.
Breaking Down American Tower's Financial Performance
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Revenue Growth: American Tower's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 2.42%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Real Estate sector.
Net Margin: American Tower's net margin is impressive, surpassing industry averages. With a net margin of 32.37%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): American Tower's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 22.25% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.38%, the company showcases effective utilization of assets.
Debt Management: With a below-average debt-to-equity ratio of 11.82, American Tower adopts a prudent financial strategy, indicating a balanced approach to debt management.
The Basics of Analyst Ratings
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.