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American Tower (AMT) Outpaces Stock Market Gains: What You Should Know
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American Tower (AMT - Free Report) closed the most recent trading day at $197.53, moving +1.35% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.76%. At the same time, the Dow added 1.05%, and the tech-heavy Nasdaq lost 0.98%.
Heading into today, shares of the wireless communications infrastructure company had lost 14.2% over the past month, lagging the Finance sector's loss of 3.34% and the S&P 500's loss of 3.91% in that time.
American Tower will be looking to display strength as it nears its next earnings release. On that day, American Tower is projected to report earnings of $2.45 per share, which would represent a year-over-year decline of 3.92%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.74 billion, up 3.04% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10 per share and revenue of $11 billion, which would represent changes of +2.46% and +2.72%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for American Tower. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.53% higher within the past month. American Tower is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note American Tower's current valuation metrics, including its Forward P/E ratio of 19.49. Its industry sports an average Forward P/E of 11.75, so we one might conclude that American Tower is trading at a premium comparatively.
Also, we should mention that AMT has a PEG ratio of 1.9. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AMT's industry had an average PEG ratio of 2.14 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 194, which puts it in the bottom 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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American Tower (AMT) Outpaces Stock Market Gains: What You Should Know
American Tower (AMT - Free Report) closed the most recent trading day at $197.53, moving +1.35% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.76%. At the same time, the Dow added 1.05%, and the tech-heavy Nasdaq lost 0.98%.
Heading into today, shares of the wireless communications infrastructure company had lost 14.2% over the past month, lagging the Finance sector's loss of 3.34% and the S&P 500's loss of 3.91% in that time.
American Tower will be looking to display strength as it nears its next earnings release. On that day, American Tower is projected to report earnings of $2.45 per share, which would represent a year-over-year decline of 3.92%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.74 billion, up 3.04% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10 per share and revenue of $11 billion, which would represent changes of +2.46% and +2.72%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for American Tower. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.53% higher within the past month. American Tower is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note American Tower's current valuation metrics, including its Forward P/E ratio of 19.49. Its industry sports an average Forward P/E of 11.75, so we one might conclude that American Tower is trading at a premium comparatively.
Also, we should mention that AMT has a PEG ratio of 1.9. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AMT's industry had an average PEG ratio of 2.14 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 194, which puts it in the bottom 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.