Back to top

Image: Bigstock

American Tower (AMT) International Revenue in Focus: Trends and Expectations

Read MoreHide Full Article

Have you assessed how the international operations of American Tower (AMT - Free Report) performed in the quarter ended September 2026? For this wireless communications infrastructure company, possessing an expansive global footprint, parsing the trends of international revenues could be critical to gauge its financial resilience and growth prospects.

In today's increasingly interconnected global economy, a company's ability to tap into international markets can be a pivotal factor in shaping its overall financial health and growth trajectory. For investors, understanding a company's reliance on overseas markets has become increasingly crucial, as it offers insights into the company's sustainability of earnings, ability to tap into diverse economic cycles and overall growth potential.

Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.

In our recent assessment of AMT's quarterly performance, we discovered notable trends in its overseas revenue sections, which are typically modeled and scrutinized by Wall Street analysts.

The company's total revenue for the quarter amounted to $2.79 billion, marking an increase of 2.5% from the year-ago quarter. We will next turn our attention to dissecting AMT's international revenue to get a clearer picture of how significant its operations are outside its main base.

A Look into AMT's International Revenue Streams

During the quarter, Africa & APAC contributed $428 million in revenue, making up 15.4% of the total revenue. When compared to the consensus estimate of $418.61 million, this meant a surprise of +2.24%. Looking back, Africa & APAC contributed $415 million, or 15.1%, in the previous quarter, and $371 million, or 13.7%, in the same quarter of the previous year.

Europe generated $258 million in revenues for the company in the last quarter, constituting 9.3% of the total. This represented a surprise of +1.5% compared to the $254.2 million projected by Wall Street analysts. Comparatively, in the previous quarter, Europe accounted for $259 million (9.4%), and in the year-ago quarter, it contributed $244 million (9%) to the total revenue.

Latin America accounted for 16.5% of the company's total revenue during the quarter, translating to $460 million. Revenues from this region represented a surprise of +3.8%, with Wall Street analysts collectively expecting $443.17 million. When compared to the preceding quarter and the same quarter in the previous year, Latin America contributed $442 million (16.1%) and $417 million (15.4%) to the total revenue, respectively.

Projected Revenues in Foreign Markets

The current fiscal quarter's total revenue for American Tower, as projected by Wall Street analysts, is expected to reach $2.79 billion, reflecting an increase of 1.9% from the same quarter last year. The breakdown of this revenue by foreign region is as follows: Africa & APAC is anticipated to contribute 15.1% or $420.77 million, Europe 9.6% or $268.26 million and Latin America 15.8% or $440.47 million.

Analysts expect the company to report a total annual revenue of $11.04 billion for the full year, marking an increase of 3.7% compared to last year. The expected revenue contributions from Africa & APAC, Europe and Latin America are projected to be 14.8% ($1.63 billion), 9.4% ($1.04 billion) and 16.4% ($1.81 billion) of the total revenue, in that order.

Final Thoughts

American Tower's reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.

In an era of growing international interdependencies and escalating geopolitical disputes, Wall Street analysts are vigilant in tracking these trends for businesses with a global reach, in order to refine their predictions of earnings. It should be noted, however, that a multitude of other elements, such as a company's domestic position, also play a significant role in shaping the earnings forecasts.

Here at Zacks, we put a great deal of emphasis on a company's changing earnings outlook, as empirical research has shown that's a powerful force driving a stock's near-term price performance. Quite naturally, the correlation is positive here -- an upward revision in earnings estimates drives the stock price higher.

Boasting a remarkable track record that's been externally verified, the Zacks Rank, our unique stock rating system, leverages changes in earnings projections to function as a reliable gauge for predicting short-term stock price movements.

Currently, American Tower holds a Zacks Rank #3 (Hold), signifying its potential to match the overall market's performance in the forthcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Examining the Latest Trends in American Tower's Stock Value

The stock has increased by 15.8% over the past month compared to the 0.9% fall of the Zacks S&P 500 composite. Meanwhile, the Zacks Finance sector, which includes American Tower,has increased 0.9% during this time frame. Over the past three months, the company's shares have experienced a gain of 8.8% relative to the S&P 500's 2.2% increase. Throughout this period, the sector overall has witnessed a 3.2% decrease.

Published in