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American Tower (AMT) Stock Dips While Market Gains: Key Facts

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American Tower (AMT - Free Report) closed the most recent trading day at $193.94, moving -0.35% from the previous trading session. This change lagged the S&P 500's daily gain of 0.32%. Elsewhere, the Dow saw an upswing of 0.68%, while the tech-heavy Nasdaq appreciated by 0.2%.

Shares of the wireless communications infrastructure company have appreciated by 3.41% over the course of the past month, underperforming the Finance sector's gain of 4.23% and the S&P 500's gain of 5.11%.

Investors will be eagerly watching for the performance of American Tower in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $2.55, marking a 0.39% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $2.8 billion, indicating a 1.17% increase compared to the same quarter of the previous year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $10.20 per share and revenue of $11.27 billion, indicating changes of +3.34% and +1.15%, respectively, compared to the previous year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for American Tower. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.71% higher. American Tower is currently a Zacks Rank #2 (Buy).

In terms of valuation, American Tower is currently trading at a Forward P/E ratio of 19.07. This denotes a premium relative to the industry's average Forward P/E of 11.53.

We can additionally observe that AMT currently boasts a PEG ratio of 1.33. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the REIT and Equity Trust - Other industry was having an average PEG ratio of 2.33.

The REIT and Equity Trust - Other industry is part of the Finance sector. With its current Zacks Industry Rank of 135, this industry ranks in the bottom 47% of all industries, numbering over 250.

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.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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