American Tower Corporation: I Want To Love It, But I Don’t

Summary:

  • American Tower Corporation is a highly respected REIT, and as the price has been declining I decided to look more into it as a possible investment.
  • AMT has done a great job at growing its top and bottom line, but its yield is too low for me and the valuation is too rich at this point.
  • I think there are better opportunities for yield in the REIT sector and paying 19.66x for AMT’s FFO when its yield is 3.23% isn’t a good trade-off for me.

stack of silver coins with trading chart in financial concepts and financial investment business stock growth

Sakorn Sukkasemsakorn

There hasn’t been a negative article on American Tower Corporation (NYSE:AMT) since October of 2022, and you would need to go back to December 2021 to find another. I am having difficulty understanding why so many

AMT

Seeking Alpha

Fed Fund Rate

Fortune

AMT Dividend

Seeking Alpha

Price to FFO

Steven Fiorillo, Seeking Alpha

Debt to EBITDA

Steven Fiorillo, Seeking Alpha

Dividend

Steven Fiorillo, Seeking Alpha

Price to FFO

Steven Fiorillo, Seeking Alpha

Debt to EBITDA

Steven Fiorillo, Seeking Alpha

Discount to Book

Steven Fiorillo, Seeking Alpha


Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMZN, TFC, PLTR, O, NNN, SPG, MPW, OHI, SLG either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Disclaimer: I am not an investment advisor or professional. This article is my own personal opinion and is not meant to be a recommendation of the purchase or sale of stock. The investments and strategies discussed within this article are solely my personal opinions and commentary on the subject. This article has been written for research and educational purposes only. Anything written in this article does not take into account the reader’s particular investment objectives, financial situation, needs, or personal circumstances and is not intended to be specific to you. Investors should conduct their own research before investing to see if the companies discussed in this article fit into their portfolio parameters. Just because something may be an enticing investment for myself or someone else, it may not be the correct investment for you.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.


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