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American Tower (AMT) Stock Sinks As Market Gains: What You Should Know

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American Tower (AMT) closed at $268.35 in the latest trading session, marking a -0.91% move from the prior day. This change lagged the S&P 500's 0.2% gain on the day.

Prior to today's trading, shares of the wireless communications infrastructure company had gained 10.99% over the past month. This has outpaced the Finance sector's gain of 1.63% and the S&P 500's gain of 1.06% in that time.

Wall Street will be looking for positivity from AMT as it approaches its next earnings report date. On that day, AMT is projected to report earnings of $2.32 per share, which would represent year-over-year growth of 12.08%. Our most recent consensus estimate is calling for quarterly revenue of $2.19 billion, up 14.3% from the year-ago period.

AMT's full-year Zacks Consensus Estimates are calling for earnings of $9.43 per share and revenue of $8.83 billion. These results would represent year-over-year changes of +11.73% and +9.84%, respectively.

It is also important to note the recent changes to analyst estimates for AMT. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.22% higher. AMT is currently a Zacks Rank #3 (Hold).

Investors should also note AMT's current valuation metrics, including its Forward P/E ratio of 28.73. This valuation marks a premium compared to its industry's average Forward P/E of 19.78.

Also, we should mention that AMT has a PEG ratio of 2.04. 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. The REIT and Equity Trust - Other industry currently had an average PEG ratio of 3.31 as of yesterday's close.

The REIT and Equity Trust - Other industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 209, which puts it in the bottom 18% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the 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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