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

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In the latest trading session, American Tower (AMT - Free Report) closed at $248.62, marking a +0.59% move from the previous day. This move outpaced the S&P 500's daily gain of 0.36%.

Prior to today's trading, shares of the wireless communications infrastructure company had gained 8.29% over the past month. This has outpaced the Finance sector's gain of 1% and the S&P 500's gain of 5.21% in that time.

AMT will be looking to display strength as it nears its next earnings release, which is expected to be April 29, 2021. The company is expected to report EPS of $2.32, up 9.43% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.18 billion, up 9.62% from the prior-year quarter.

AMT's full-year Zacks Consensus Estimates are calling for earnings of $9.32 per share and revenue of $8.87 billion. These results would represent year-over-year changes of +10.43% and +10.29%, respectively.

Investors should also note any recent changes to analyst estimates for AMT. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. The Zacks Consensus EPS estimate has moved 0.38% higher within the past month. AMT is currently a Zacks Rank #4 (Sell).

Investors should also note AMT's current valuation metrics, including its Forward P/E ratio of 25.92. For comparison, its industry has an average Forward P/E of 17.75, which means AMT is trading at a premium to the group.

Also, we should mention that AMT has a PEG ratio of 1.79. 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 was holding an average PEG ratio of 3.74 at yesterday's closing price.

The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 202, putting it in the bottom 21% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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