American Tower (AMT) Declines More Than Market: Some Information for Investors
American Tower (AMT) closed the most recent trading day at $207.65, moving -0.63% from the previous trading session. This change lagged the S&P 500's 0.07% loss on the day.
The wireless communications infrastructure company's stock has dropped by 0.98% in the past month, falling short of the Finance sector's gain of 1.65% and the S&P 500's gain of 3.98%.
Analysts and investors alike will be keeping a close eye on the performance of American Tower in its upcoming earnings disclosure. In that report, analysts expect American Tower to post earnings of $2.18 per share. This would mark a year-over-year decline of 6.84%. Alongside, our most recent consensus estimate is anticipating revenue of $2.73 billion, indicating a 0.99% upward movement from the same quarter last year.
Any recent changes to analyst estimates for American Tower should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.12% lower. As of now, American Tower holds a Zacks Rank of #3 (Hold).
Investors should also note American Tower's current valuation metrics, including its Forward P/E ratio of 20.48. This signifies a premium in comparison to the average Forward P/E of 11.05 for its industry.
Investors should also note that AMT has a PEG ratio of 1.52 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the REIT and Equity Trust - Other industry held an average PEG ratio of 2.59.
The REIT and Equity Trust - Other industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 159, positioning it in the bottom 37% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AMT in the coming trading sessions, be sure to utilize Zacks.com.
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American Tower Corporation (AMT) : Free Stock Analysis Report
