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2023-12-16	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Multi-Factor Investor model based on the published strategy of Pim van Vliet. This multi-factor model seeks low volatility stocks that also have strong momentum and high net payout yields. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 56% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. MARKET CAP: PASS STANDARD DEVIATION: PASS TWELVE MINUS ONE MOMENTUM: NEUTRAL NET PAYOUT YIELD: NEUTRAL FINAL RANK: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Pim van Vliet Pim van Vliet Portfolio About Pim van Vliet: In investing, you typically need to take more risk to get more return. There is one major exception to this in the factor investing world, though. Low volatility stocks have been proven to outperform their high volatility counterparts, and do so with less risk. Pim van Vliet is the head of Conservative Equities at Robeco Asset Management. His research into conservative factor investing led to the creation of this strategy and the publication of the book "High Returns From Low Risk: A Remarkable Stock Market Paradox". Van Vliet holds a PhD in Financial and Business Economics from Erasmus University Rotterdam. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	AMT	No one can predict what the stock market will do in 2024 or how any individual stock will fare. Investors can set themselves up for success by buying shares of companies with solid long-term prospects that are trading at reasonable valuations and holding on tight. I'm betting that International Business Machines (NYSE: IBM), Intel (NASDAQ: INTC), AT&T (NYSE: T), Walt Disney (NYSE: DIS), and American Tower (NYSE: AMT) will deliver in 2024 and beyond. Here's why. IBM Cloud computing is complicated. So is artificial intelligence. For large enterprises and organizations with vast IT infrastructures and low risk tolerances, moving everything to Amazon Web Services (AWS) or tapping OpenAI may not be viable options. IBM has positioned itself as a critical partner for enterprises looking to digitally transform and modernize their operations. The company's hybrid cloud platform can run anywhere, enabling clients to mix and match public clouds and their own private data centers. And watsonx, IBM's new enterprise AI platform, is tailor-made for enterprises that need to ensure their proprietary data remains safe and that they comply with regulatory requirements. IBM expects to grow revenue by 3% to 5% this year, driven by strong demand for digital-transformation projects that deliver clear returns on investment for customers. IBM certainly isn't the fastest growing tech company, but valued at just 14 times forward free cash flow, it doesn't need to be to produce solid returns for investors. Intel What stands out about Intel is how many ways it can win. The company is best known for its PC and server central processing units (CPUs), but it also sells graphics cards, AI accelerators, and other specialized chips. In addition to making its own chips, Intel is building a foundry business to rival market leader TSMC. With the launch of the Intel 18A manufacturing process scheduled for late 2024, Intel expects to gain a technological advantage. No matter where the semiconductor industry goes, Intel will benefit through its foundry business. As demand for AI accelerators continues to explode, not only does Intel sell its Gaudi AI chips and data-center graphics processing units (GPUs), but it could eventually manufacture AI chips for others. If Arm-based PCs become a thing, Intel will be ready to manufacture those Arm chips thanks to a collaboration with Arm. Once the Intel 18A process is ready, the company's total addressable market will expand dramatically. Intel stock is down around 33% from its pandemic-era high, and the company has a market value below that of rival AMD. Neither will remain true for long as Intel's foundry strategy plays out over the next few years. AT&T Telecom giant AT&T has a lot of debt, and its expensive fumbles in the media industry should rightly give investors some pause. But the company has gotten back to basics. Fiber internet and 5G wireless are the core focuses. The wireless business continues to gain subscribers, albeit at a slower rate than last year, and the fiber business is steadily expanding. AT&T expects to generate free cash flow of $16.5 billion this year, and the company's capital intensity should ease over the next few years as the 5G investment cycle winds down. A recent move to revamp its wireless infrastructure with more flexible hardware and software could free up some capital to grow other businesses, including fiber internet, a bit faster. AT&T trades for just 7 times free-cash-flow guidance and sports a 6.7% dividend yield. The company's results are sensitive to economic conditions, but that valuation seems far too pessimistic to me. Walt Disney The reason to own Disney stock is simple: The iconic company will eventually figure out how to make its valuable intellectual property and assets work in the age of streaming. Disney's linear TV business has long been a cash cow, but that won't remain the case forever. The company is focusing on four areas: Making the streaming business profitable, turning ESPN into a digital sports powerhouse, fixing the film business that's been stumbling in the post-pandemic era, and accelerating growth in the experiences business, which includes the company's parks and its cruise line. Disney's superpower has always been its ability to have each business feed into and strengthen the others, fueled by its vast catalog of media assets. It will take time for Disney to fully right the ship, but there's little reason to believe the company won't eventually figure it out. American Tower American Tower owns cell towers and other communications assets around the world. While its growth depends on the capital spending of its telecom customers, long-term contracts make its revenue extremely predictable. As long as demand for mobile data continues to rise, American Tower will benefit as wireless providers race to keep pace with each other. Shares of American Tower have rallied over the past two months, but the stock still looks like a solid deal. The company has been consistently raising its dividend, even throughout the pandemic. The stock currently has a dividend yield of about 3.2 %, more than double that of the S&P 500. American Tower's business is about as stable as they come. For long-term investors, it's a stock worth buying and holding. Should you invest $1,000 in International Business Machines right now? Before you buy stock in International Business Machines, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and International Business Machines wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002. See the 10 stocks Stock Advisor returns as of December 18, 2023 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Timothy Green has positions in AT&T, American Tower, Intel, International Business Machines, and Walt Disney. The Motley Fool has positions in and recommends Advanced Micro Devices, Amazon, American Tower, Taiwan Semiconductor Manufacturing, and Walt Disney. The Motley Fool recommends Intel and International Business Machines and recommends the following options: long January 2023 $57.50 calls on Intel, long January 2025 $45 calls on Intel, long January 2026 $180 calls on American Tower, short February 2024 $47 calls on Intel, and short January 2026 $185 calls on American Tower. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-16	AMT	In mid-October, I wrote a bullish piece on American Tower (NYSE:AMT), suggesting that the stock could be a dividend growth powerhouse. The REIT, owning and leasing 225,000 communication towers and 28 data centers, was trading near its five-year-lows at the time. Since then, the stock has surged, leading to a current dividend yield of roughly 3%, notably lower than the pre-rebound figure of 4%. Despite this, I believe AMT remains a solid dividend growth Buy at its current levels, and I maintain a bullish outlook. What Has Caused AMT Stock to Surge? AMT stock has experienced a remarkable upswing, surging by nearly 38% from its October 52-week low of ~$153/share. This notable surge is likely a result of investors anticipating interest rate cuts in 2024, a development that could significantly benefit AMT and the broader REIT market. Specifically, interest rate cuts should benefit the company in two ways: improved profitability and more exciting growth prospects. Regarding improved profitability, this is primarily due to the potential decrease in interest expenses on the company's heavily indebted balance sheet. To elaborate, despite a decrease in AMT's total debt from $52.0 billion at the end of 2021 (Q4) to $46.8 billion by the end of Q3-2023, the company witnessed a surge in interest expenses from $224.1 million to $359.2 million over this period. This escalation can be attributed to the swift interest rate hikes that took place in between these quarters. The inverse effect is anticipated with rate cuts, with lower interest expenses set to improve AMT's overall profitability. Secondly, lower rates should make management more comfortable with undertaking additional debt, which, in turn, should improve the company's growth prospects. Remember that REITs primarily fuel their growth through a combination of debt and equity, given their regular distribution of earnings in the form of dividends. Consequently, the ability to access cheaper debt, as was the case before rates surged, should reignite AMT's growth trajectory. As the demand for AMT's equity premium decreases and stock valuation multiples rise in the face of lower interest rates, the stock will likely gain positive momentum upward. This already appears to be the case, which, in turn, should foster more beneficial equity raises and thus contribute to a healthy funding mix along with debt issuances. Based on the signals emanating from the Federal Reserve's December meeting, which strongly indicate the possibility of three imminent rate cuts in the upcoming year, investors' anticipation of a shift in stock sentiment to bullish in mid-October was, in fact, prescient. Thus, the scenario described above, including improved profitability and growth prospects, as described earlier, seems increasingly probable. Robust Results Support Exciting Dividend Growth Potential While interest rate cuts should be a strong tailwind for the stock next year, my enthusiasm for AMT extends beyond this, fueled predominantly by its promising dividend growth prospects. To elaborate, let me give a quick overview of the company's most recent results, as well as its future anticipated results. During the third quarter, AMT experienced sustained positive trends across its operations, resulting in a robust 7% increase in property revenue. This growth was fueled by a 7.3% increase in organic tenant billings within its tower business. Interestingly, organic tenant billings growth surpassed 6% for the third consecutive quarter. This solid performance was coupled with a notable rise of over 9% in its Data Center business. Source: American Tower's Q3 Earnings Presentation Further, despite the significant year-over-year increase of 22.2% in interest expenses to $359.2 million due to rising rates, AFFO (adjusted funds from operations, a cash-flow metric used by REITs) grew by 9.5% to $1.2 billion due to prudent cost management. AFFO/share also grew by 9.3% to $2.58. With results coming in better than expected, the company raised its guidance for the year, expecting its Fiscal 2023 AFFO/share to be between $9.72 and $9.85 billion. The midpoint within this range suggests modest year-over-year growth of only 0.3%, with profitability notably hampered by increased interest costs in AMT's initial half of the year. Nevertheless, consensus estimates indicate a more optimistic outlook for Fiscal 2024 and Fiscal 2025, with anticipated AFFO/share figures of $10.34 and $11.21, respectively. This reflects the market's expectation of improved profitability, potentially driven by lower interest rates. The significant rebound in AFFO/share from 2024 onward should also allow the company to maintain its thrilling dividend growth track record. For context, AMT has increased its dividend for 12 consecutive years, with its 10-year dividend growth CAGR standing at an outstanding 19.2%. With expectations for a strong reacceleration in AFFO/share and the payout ratio standing at about 2/3 of AFFO/share, double-digit dividend hikes will likely persist. Coupled with the current dividend yield of about 3%, AMT remains a highly attractive dividend growth powerhouse, in my view. Is AMT Stock a Buy, According to Analysts? Checking Wall Street’s sentiment on the stock, American Tower Corp currently boasts a Strong Buy consensus rating based on 12 Buys and two Holds assigned in the past three months. At $221.85, the average AMT stock price target implies 5.1% upside potential. If you’re wondering which analyst you should listen to if you want to buy and sell AMT stock, the most accurate analyst covering the stock (on a one-year timeframe) is David Barden, representing Bank of America Securities. His track record is robust, with an average return of 11.6% per rating and a 78% success rate. Click on the image below to learn more. The Takeaway American Tower's impressive surge from its October lows underscores the positive impact of anticipated interest rate cuts. Simultaneously, the company's robust dividend growth track record and optimistic future projections are poised to support substantial dividend increases moving forward and reinforce its status as a dividend growth powerhouse. Consequently, I remain bullish on the stock. Disclosure The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-15	AMT	Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares U.S. Real Estate ETF (Symbol: IYR) where we have detected an approximate $332.8 million dollar inflow -- that's a 8.0% increase week over week in outstanding units (from 45,600,000 to 49,250,000). Among the largest underlying components of IYR, in trading today Prologis Inc (Symbol: PLD) is trading flat, American Tower Corp (Symbol: AMT) is trading flat, and Equinix Inc (Symbol: EQIX) is lower by about 0.2%. For a complete list of holdings, visit the IYR Holdings page » The chart below shows the one year price performance of IYR, versus its 200 day moving average: Looking at the chart above, IYR's low point in its 52 week range is $72.88 per share, with $96.02 as the 52 week high point — that compares with a last trade of $91.22. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». Free Report: Top 8%+ Dividends (paid monthly) Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. Click here to find out which 9 other ETFs had notable inflows » Also see: Top Ten Hedge Funds Holding MCRS SERV market cap history Top Ten Hedge Funds Holding MGV The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-15	AMT	All of the three widely followed indexes closed a seventh straight winning week. The Dow Jones Industrial Average, the tech-heavy Nasdaq Composite and the S&P 500 jumped 2.9%, 2.8% and 2.5%, respectively. During the week, investor mood remained upbeat upon the conclusion of the Fed December meeting, where it signaled that interest rates may have already peaked and rate cuts were to be expected in 2024. Inflation indicators also suggested that the tight monetary policy employed by the central bank was taking effect, with headline PPI remaining flat and CPI coming in way below expectations. Treasury yields fell, hovering around the 4% mark, down from their October peak of above 5%. The Fed currently expects interest rates to be 4.6% by the end of 2024, down from the 5.1% it had projected earlier. On cue, market participants are expecting rate cuts as early as March 2024. Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market. As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action. Here are some of our key achievements: Block and FB Financial Surge Following Zacks Rank Upgrade Shares of Block, Inc. SQ have gained 68% (versus the S&P 500’s 9.5% increase) since it was upgraded to a Zacks Rank #2 (Buy) on October 20. Another stock, FB Financial Corporation FBK, which was upgraded to a Zacks Rank #2 on October 19, has returned 34.2% (versus the S&P 500’s 8.6% increase) since then. Zacks Rank, our short-term rating system, has earnings estimate revisions at its core. Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. A hypothetical portfolio of Zacks Rank #1 (Strong Buy) stocks returned +12.02% this year (through September 4th) vs. +18.2% for the S&P 500 index and +7.6% for the equal-weight S&P 500 index. The portfolio of Zacks Rank #1 stocks is an equal-weight portfolio, while the S&P 500 index is a market-cap-weighted index that has been notably distorted by the strong recent performance of mega-cap stocks. We are not trying to cherry-pick here. But since this Zacks Model portfolio, consisting of Zacks Rank #1 stocks, is an equal-weight portfolio, the equal-weight S&P 500 index is the appropriate benchmark for comparison. Looked at this way, this portfolio has outperformed the index this year. The Zacks Model Portfolio - consisting of Zacks Rank #1 stocks – has outperformed the S&P index by more than 13 percentage points since 1988 (Through September 4th, 2023, the Zacks # 1 Rank stocks has generated an annualized return of +24.17% since 1988 vs. +10.82% for the S&P 500 index).You can see the complete list of today’s Zacks Rank #1 stocks here >>> Check Block’s historical EPS and Sales here>>> Check FB Financial’s historical EPS and Sales here>>> Image Source: Zacks Investment Research Zacks Recommendation Upgrades Manitex and GoDaddy Higher Shares of Manitex International, Inc. MNTX and GoDaddy Inc. GDDY have advanced 57.7% (versus the S&P 500’s 8.3% rise) and 38.8% (versus the S&P 500’s 7.2% rise) since their Zacks Recommendation was upgraded to Outperform on October 16 and October 17, respectively. While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions. The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model. To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>> Zacks Focus List Stocks Shopify, Uber Shoot Up Shares of Shopify Inc. SHOP, which belongs to the Zacks Focus List, have gained 44.7% over the past 12 weeks. The stock was added to the Focus List on September 6, 2022. Another Focus-List holding, Uber Technologies, Inc. UBER, which was added to the portfolio on August 16, 2019, has returned 39.3% over the past 12 weeks. The S&P 500 has advanced 9% over this period. The 50-stock Zacks Focus List model portfolio returned +22.3% in 2023 (through July 31st) vs. +20.6% for the S&P 500 index and +10.5% for the equal-weight S&P 500 index. In 2022, the portfolio produced -15.2% vs. the S&P 500 index’s -17.96%. Since 2004, the Focus List portfolio has produced an annualized return of +11.27% through July 31st, 2023. This compares to a +9.65% annualized return for the S&P 500 index in the same time period. On a rolling one-, three- and five-year bases, the Zacks Focus List returned +21.76%, +16.33%, and +12.54% vs. +12.99%, +13.71% and +12.19% for the S&P 500 index, respectively. Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >> Zacks ECAP Stocks Fair Isaac and Intuit Make Significant Gains Fair Isaac Corporation FICO, a component of our Earnings Certain Admiral Portfolio (ECAP), has jumped 27% over the past 12 weeks. Intuit Inc. INTU has followed Fair Isaac with 19.7% returns. ECAP, which consists of 30 concentrated, ultra-defensive, long-term Buy-and-Hold stocks, has returned +6.67% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -4.7% in 2022 versus the S&P 500 Index’s -17.96%. With little to no turnover and annual rebalance periodicity, the ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500. The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo. Zacks ECDP Stocks American Tower and Fastenal Outperform Peers American Tower Corporation AMT, which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 27.6% over the past 12 weeks. Another ECDP stock, Fastenal Company FAST, has climbed 18.4% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid heightened market volatility contributed to this performance. Check American Tower’s dividend history here>>> Check Fastenal’s dividend history here>>> With an extremely low Beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk. ECDP has returned +0.18% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -2.3% in 2022 versus -17.96% for the S&P 500 Index and -8.34% for the ProShares S&P 500 Dividend Aristocrats ETF NOBL. Click here to access this portfolio on Zacks Advisor Tools. Zacks Top 10 Stocks — Celsius Delivers Solid Returns Celsius Holdings, Inc. CELH, from the Zacks Top 10 Stocks for 2023, has surged 43.3% year to date, which compares to a 24.8% gain for the S&P 500 Index. The portfolio returned +16.16% through the end of July 2023 vs. +20.64% for the S&P 500 index and +10.73% for the equal-weighted version of the index. The portfolio returned -15.8% in 2022 vs. -18.1% for the S&P 500 index. Since 2012, the Top 10 portfolio has generated an annualized return of +22.78% vs. +13.65% for the S&P 500 index. Since the start of 2012 through July 31, 2023, the Zacks Top 10 Stocks have produced a cumulative return of +977.47% vs. +340.35% cumulative return for the S&P 500 index. Zacks Naming Top 10 Stocks for 2024 Want to be tipped off early to our 10 top picks for the entirety of 2024? History suggests their performance could be sensational. From 2012 (when our Director of Research, Sheraz Mian assumed responsibility for the portfolio) through November, 2023, the Zacks Top 10 Stocks gained +974.1%, nearly TRIPLING the S&P 500’s +340.1%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2024. Don’t miss your chance to get in on these stocks when they’re released on January 2. Be First to New Top 10 Stocks >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Fastenal Company (FAST) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report Manitex International, Inc. (MNTX) : Free Stock Analysis Report Fair Isaac Corporation (FICO) : Free Stock Analysis Report GoDaddy Inc. (GDDY) : Free Stock Analysis Report Shopify Inc. (SHOP) : Free Stock Analysis Report Block, Inc. (SQ) : Free Stock Analysis Report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports FB Financial Corporation (FBK) : Free Stock Analysis Report Celsius Holdings Inc. (CELH) : Free Stock Analysis Report Uber Technologies, Inc. (UBER) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-14	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The real estate sector is a big deal in our economy. Beyond bricks and mortar, the sector creates jobs, services, and growth across the continental United States. Also, real estate stocks let you invest without buying actual buildings. It’s like owning a small part of the companies rather than the properties themselves. As a result, real estate stocks are a popular choice among investors. Popular as the sector might be, many people have been pessimistic about the market’s current condition. High real estate prices, high mortgage rates, and low inventory remain prevalent. And this has had its effect on real estate in general. Despite the setbacks, some companies offer refuge by offering a stable dividend and growth opportunities. Here are some of the most promising real estate stocks to look at right now. American Tower Corp (AMT) Source: Shutterstock American Tower Corporation (NYSE:AMT) is the first real estate stock on the list. The company is one of the leading global real estate investment trusts (REITs) and has over 28 years of experience owning, operating, and developing property for wireless and broadcast communications. Headquartered in Boston, American Tower has a portfolio of nearly 225,000 communication sites worldwide, about 43,000 properties in the U.S. and Canada, and approximately 182,000 international properties. American Tower was recently named Top 25 “Dividend Giant” with “a staggering” $14.86 billion in ETF-held stock. Today, the company pays a 3.14% dividend yield, has a consistent payout history, and has strong long-term growth, solidifying its industry position. AMT’s third-quarter financials show strong growth despite a dip in net income. Total revenue rose 5.5% to $2.819 billion, mostly driven by a 7% increase in property revenue to $2.792 billion. Adjusted EBITDA also grew 10.4% to $1.814 billion, although net income fell 29.6% to $577 million. All in all, 19 analysts rate AMT a strong buy rating with a high estimate of $259, representing 20% upside potential. With all that being said, AMT represents a promising investment opportunity and one of the best real estate stocks to buy. Alexandria Real Estate Equities (ARE) Source: Shutterstock The next real estate stock on our list is Alexandria Real Estate Equities (NYSE:ARE). Like American Towers, the company is an REIT that has been around for almost 30 years. Alexandria manages over 75-million square feet of properties across research centers in North America, serving over 800 high-profile tenants. These include companies specializing in life science, agricultural tech, and technology campuses. Today, its market capitalization is roughly $20 billion. The company recently announced a 2.4% dividend increase to $1.27 per share for the fourth quarter this year, up from $1.24 last quarter. The dividend ex-date is Dec. 28 and will be paid out on Jan. 12, 2024. ARE delivered solid financial results in the third quarter, with net income rising 7.9% year-over-year to $1.8 billion. This growth builds on consistent positive trends in the company’s same property net operating income. Looking ahead, ARE’s decision to incorporate a 3% annual rent increase in 96% of its leases helps ensure future profitability. Their balance sheet also reflects robust liquidity of $5.9 billion and no debt maturities due before 2025. And for the icing on the cake, analysts estimate the stock has roughly 55% upside potential. Ventas, Inc. (VTR) Source: Monkey Business Images / Shutterstock.com The last real estate stock, but not least, is Ventas, Inc. (NYSE:VTR). Ventas is a healthcare REIT that has been around for over 26 years and is listed on the S&P 500. With an enterprise value over $31.75 billion and 1,400 properties, it capitalizes on the growing aging population’s demand for senior housing and medical facilities. Ranking as the 19th largest REIT in the S&P 500, Ventas has delivered an impressive 17% annualized return to shareholders since 1999. The company reported positive financial growth in the third quarter. Net operating income increased by 5.1%, while same-store cash net operating Income jumped by 7.9%. This growth came from higher occupancy rates, increased revenue per occupied room, and controlled operating expenses, resulting in a 230 basis point margin expansion. Although net loss per share was $0.18 for the quarter, this was recorded as a non-cash impairment on real estate assets held for sale. The company maintained a dividend of $0.45 per share, translating to a 3.85% yield. On top of that, analysts rate the stock as a strong buy with a high target of $53 per share. On the date of publication, Rick Orford did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Rick Orford is a Wall Street Journal best-selling author, investor, influencer, and mentor. His work has appeared in the most authoritative publications, including Good Morning America, Washington Post, Yahoo Finance, MSN, Business Insider, NBC, FOX, CBS, and ABC News. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Real Estate Stocks Still Worth Buying in Today’s Uncertain Housing Market appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-13	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Multi-Factor Investor model based on the published strategy of Pim van Vliet. This multi-factor model seeks low volatility stocks that also have strong momentum and high net payout yields. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 56% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. MARKET CAP: PASS STANDARD DEVIATION: PASS TWELVE MINUS ONE MOMENTUM: NEUTRAL NET PAYOUT YIELD: NEUTRAL FINAL RANK: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Pim van Vliet Pim van Vliet Portfolio About Pim van Vliet: In investing, you typically need to take more risk to get more return. There is one major exception to this in the factor investing world, though. Low volatility stocks have been proven to outperform their high volatility counterparts, and do so with less risk. Pim van Vliet is the head of Conservative Equities at Robeco Asset Management. His research into conservative factor investing led to the creation of this strategy and the publication of the book "High Returns From Low Risk: A Remarkable Stock Market Paradox". Van Vliet holds a PhD in Financial and Business Economics from Erasmus University Rotterdam. Additional Research Links Top NASDAQ 100 Stocks Factor-Based ETF Portfolios Harry Browne Permanent Portfolio Ray Dalio All Weather Portfolio High Shareholder Yield Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-13	AMT	American Tower Corporation’s AMT subsidiary, CoreSite, is making significant strides in meeting the escalating demands of the digital landscape. The recent announcement of major expansions in its New York and Denver data center campuses underscores the company's commitment to providing cutting-edge hybrid IT solutions. The new facilities will add 685,000 square feet of data center space to the company’s portfolio. The most recent addition to CoreSite's New York campus, referred to as NY3, has obtained final permitting for the construction of an 85,000-square-foot facility with a capacity of 15 critical megawatts (CMW). Additionally, CoreSite received conceptual approval for a Denver market expansion, featuring a three-building data center campus covering approximately 600,000 square feet and boasting a capacity of 60 CMW. One of CoreSite's flagship projects is the purpose-built NY3 data center adjacent to its existing NY2 facility. This expansion, comprising an 85,000-square-foot facility, with 15 critical megawatts (CMW) of capacity, is a response to the burgeoning needs of public and private cloud providers, enterprises, and network and service providers. The construction of NY3 is expected to be completed in fourth-quarter 2024. The New York expansion is a strategic move, reinforcing CoreSite's presence on the Eastern Seaboard and enhancing its position as one of the best-connected and most scalable data center campuses in the region. This development aligns with CoreSite's mission to help enterprises enhance application performance, reduce total cost of ownership and accelerate time to market. In Denver, CoreSite's expansion plans include a three-building data center development on a 15-acre site. This ambitious project aims to meet the increasing capacity and power demands in the Denver market, where CoreSite already operates DE1 and DE2 data centers. The new campus, featuring an on-site substation, will provide 18 CMW of capacity across three floors in the first facility. Brian Warren, CoreSite's SVP of Development and Product Engineering, emphasized the company's commitment to best practices in data center design and construction. The campus model is driven by customer demand, as well as the surge in the adoption of artificial intelligence and other high-density, high-performance computing applications. Such efforts offer American Tower the opportunity to capitalize on the CoreSite's highly interconnected data center facilities and bank on the robust demand from enterprises, the cloud, network and IT service providers in the major U.S. markets. Shares of this Zacks Rank #3 (Hold) company have gained 13.2% in the past three months, outperforming the industry’s growth of 3.6%. Image Source: Zacks Investment Research Stocks to Consider Some better-ranked stocks from the REIT sector are Lamar Advertising Company LAMR and STAG Industrial, Inc. STAG, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for Lamar’s current-year FFO per share has been revised 1.7% upward over the past two months to $7.31. The Zacks Consensus Estimate for STAG Industrial’s 2023 FFO per share has moved marginally upward in the past two months to $2.28 and indicates an estimated increase of 3.2% year over year. Note: Anything related to earnings presented in this write-up represents FFO — a widely used metric to gauge the performance of REITs. Disclaimer: This article has been written with the assistance of Generative AI. However, the author has reviewed, revised, supplemented, and rewritten parts of this content to ensure its originality and the precision of the incorporated information. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale. Download FREE: How To Profit From Trillions On Spending For Infrastructure >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Lamar Advertising Company (LAMR) : Free Stock Analysis Report Stag Industrial, Inc. (STAG) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-12	AMT	Fintel reports that on December 14, 2023, HSBC initiated coverage of American Tower (NYSE:AMT) with a Buy recommendation. Analyst Price Forecast Suggests 0.59% Upside As of November 27, 2023, the average one-year price target for American Tower is 213.42. The forecasts range from a low of 170.69 to a high of $271.95. The average price target represents an increase of 0.59% from its latest reported closing price of 212.17. See our leaderboard of companies with the largest price target upside. The projected annual revenue for American Tower is 11,220MM, an increase of 1.42%. The projected annual non-GAAP EPS is 4.72. American Tower Declares $1.62 Dividend On September 20, 2023 the company declared a regular quarterly dividend of $1.62 per share ($6.48 annualized). Shareholders of record as of October 11, 2023 received the payment on October 27, 2023. Previously, the company paid $1.57 per share. At the current share price of $212.17 / share, the stock's dividend yield is 3.05%. Looking back five years and taking a sample every week, the average dividend yield has been 2.24%, the lowest has been 1.60%, and the highest has been 4.07%. The standard deviation of yields is 0.60 (n=236). The current dividend yield is 1.36 standard deviations above the historical average. Additionally, the company's dividend payout ratio is 4.23. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5. The company's 3-Year dividend growth rate is 0.34%, demonstrating that it has increased its dividend over time. What is the Fund Sentiment? There are 2806 funds or institutions reporting positions in American Tower. This is a decrease of 22 owner(s) or 0.78% in the last quarter. Average portfolio weight of all funds dedicated to AMT is 0.66%, a decrease of 4.27%. Total shares owned by institutions increased in the last three months by 2.49% to 499,049K shares. The put/call ratio of AMT is 0.50, indicating a bullish outlook. What are Other Shareholders Doing? VGSIX - Vanguard Real Estate Index Fund Investor Shares holds 19,637K shares representing 4.21% ownership of the company. In it's prior filing, the firm reported owning 20,462K shares, representing a decrease of 4.20%. The firm decreased its portfolio allocation in AMT by 12.56% over the last quarter. Cohen & Steers holds 15,857K shares representing 3.40% ownership of the company. In it's prior filing, the firm reported owning 9,843K shares, representing an increase of 37.93%. The firm increased its portfolio allocation in AMT by 49.06% over the last quarter. VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 14,510K shares representing 3.11% ownership of the company. In it's prior filing, the firm reported owning 14,527K shares, representing a decrease of 0.12%. The firm decreased its portfolio allocation in AMT by 12.09% over the last quarter. Wellington Management Group Llp holds 12,984K shares representing 2.79% ownership of the company. In it's prior filing, the firm reported owning 12,292K shares, representing an increase of 5.33%. The firm decreased its portfolio allocation in AMT by 5.25% over the last quarter. VFINX - Vanguard 500 Index Fund Investor Shares holds 11,201K shares representing 2.40% ownership of the company. In it's prior filing, the firm reported owning 11,096K shares, representing an increase of 0.94%. The firm decreased its portfolio allocation in AMT by 12.35% over the last quarter. American Tower Background Information (This description is provided by the company.) American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of approximately 186,000 communications sites. Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds. Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits. Click to Learn More This story originally appeared on Fintel. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-12	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Multi-Factor Investor model based on the published strategy of Pim van Vliet. This multi-factor model seeks low volatility stocks that also have strong momentum and high net payout yields. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 56% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. MARKET CAP: PASS STANDARD DEVIATION: PASS TWELVE MINUS ONE MOMENTUM: NEUTRAL NET PAYOUT YIELD: NEUTRAL FINAL RANK: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Pim van Vliet Pim van Vliet Portfolio About Pim van Vliet: In investing, you typically need to take more risk to get more return. There is one major exception to this in the factor investing world, though. Low volatility stocks have been proven to outperform their high volatility counterparts, and do so with less risk. Pim van Vliet is the head of Conservative Equities at Robeco Asset Management. His research into conservative factor investing led to the creation of this strategy and the publication of the book "High Returns From Low Risk: A Remarkable Stock Market Paradox". Van Vliet holds a PhD in Financial and Business Economics from Erasmus University Rotterdam. Additional Research Links Top NASDAQ 100 Stocks Factor-Based ETF Portfolios Harry Browne Permanent Portfolio Ray Dalio All Weather Portfolio High Shareholder Yield Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-12	AMT	For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries. Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks. What if you'd invested in American Tower (AMT) ten years ago? It may not have been easy to hold on to AMT for all that time, but if you did, how much would your investment be worth today? American Tower's Business In-Depth With that in mind, let's take a look at American Tower's main business drivers. Boston, MA-based American Tower Corporation is a leading independent operator of wireless communications towers. The company leases space on its communication sites to tenants and offers a range of tower-related services. Its tenants include wireless service providers, broadcasters and other communication service providers. It is also an S&P 500 constituent. As of Sep 30, 2023, American Tower had a global portfolio of nearly 225,000 communication sites spread across 25 countries. The company’s communication sites included 42,983 in the United States & Canada, 78,088 in the Asia Pacific, 23,931 in Africa, 30,969 in Europe and 48,559 in Latin America. As of the same date, American Tower’s portfolio included 28 operating data center facilities across 10 markets in the United States encompassing 3.2 million net rentable square feet of data center space. In December 2021, American Tower completed the CoreSite buyout, through which it acquired more than 20 data center facilities and related assets in eight U.S. markets for a total consideration of $10.4 billion, including the assumption and repayment of CoreSite’s existing debt. With this, American Tower capitalized on CoreSite’s highly interconnected data center facilities and critical cloud on-ramps and banks on the robust demand from enterprises, the cloud, network, and IT service providers in the major U.S. markets. American Tower reports under the Property segment (98.5% of its total revenues for the nine months ended Sep 30, 2023) and the Service segment (1.5%). The Property segment includes the U.S. & Canada property, Asia-Pacific property, Africa property, Europe property and Latin America property segments and the Data Centers segment. The Service segment offers tower-related services in the United States, including site application, zoning and permitting and structural analysis, which primarily support the company’s site-leasing business, including the addition of new tenants and equipment at sites. Note: All EPS numbers presented in this report represents funds from operations (FFO) per share. FFO, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation, amortization, and other non-cash expenses to net income. Bottom Line Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in American Tower a decade ago, you're probably feeling pretty good about your investment today. According to our calculations, a $1000 investment made in December 2013 would be worth $2,642.33, or a 164.23% gain, as of December 12, 2023. Investors should keep in mind that this return excludes dividends but includes price appreciation. The S&P 500 rose 159.36% and the price of gold increased 55.20% over the same time frame in comparison. Analysts are forecasting more upside for AMT too. American Tower owns an extensive and geographically diversified communication real estate portfolio. The high capital spending by wireless carriers amid the incremental demand from global 4G and 5G deployment efforts, growing wireless penetration and spectrum auctions positions it well for growth. A resilient and stable business model assures stable revenues. The company’s continued focus on macro-tower investments to expand its global footprint and address the demand in these markets augur well for long-term growth. For 2023, we expect year-over-year growth of 3.4% and 5.7% in total revenues and adjusted EBITDA, respectively. However, customer concentration and consolidation in the wireless industry raise concerns. High interest rates add to its woes. We estimate a year-over-year rise of 23.9% in the company’s interest expenses this year. Shares have gained 11.97% over the past four weeks and there have been 2 higher earnings estimate revisions for fiscal 2023 compared to none lower. 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Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	AMT	American Eagle Outfitters announced that its Board of Directors has raised the amount of its quarterly cash dividend by 25%. The Board declared a regular quarterly cash dividend of $0.125 on December 13, 2023, payable on January 19, 2024 to stockholders of record at the close of business on January 5, 2024. "I am pleased to announce a 25% increase in our quarterly dividend, reflecting improved fundamentals and free cash flow over the course of 2023. This underscores the strength of our balance sheet and confidence in our strategic direction as we enter 2024. We remain committed to delivering sustained profitable growth and returns to our shareholders," commented Jay Schottenstein, AEO's Executive Chairman of the Board and Chief Executive Officer. Conagra Brands, today announced that its Board of Directors approved a quarterly dividend payment of $0.35 per share of CAG common stock to be paid on February 29, 2024 to stockholders of record as of the close of business on January 30, 2024. Conagra Brands has paid consecutive quarterly dividends since January 1976. American Tower today announced that its board of directors has declared its quarterly cash distribution of $1.70 per share on shares of the Company's common stock. The distribution is payable on February 1, 2024 to the stockholders of record at the close of business on December 28, 2023. The Board of Directors of Xcel Energy today declared a quarterly dividend on its common stock of 52 cents per share. The dividends are payable January 20, 2024, to shareholders of record on December 28, 2023. Toll Brothers, the nation's leading builder of luxury homes, today announced that its Board of Directors has approved a quarterly cash dividend to shareholders. The dividend of $0.21 per share will be paid on January 26, 2023 to shareholders of record on the close of business on January 12, 2023. VIDEO: Daily Dividend Report: AEO,CAG,AMT,XEL,TOL The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-11	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips At first blush, the case for reliable REITs – that is, real estate investment trusts – might not seem relevant. After all, the U.S. jobs market continues to print impressive figures that beat analysts’ estimates. Still, as a Forbes article pointed out, despite a strong jobs print, recession concerns still exist. As CNBC explained, a divergence now exists between falling oil prices, rising gold prices and a boost in the 10-Year Treasury yield. The former two events indicate that a recession may impact the U.S. economy. However, the latter indicator implies hopes for a soft landing. In other words, the ambiguity presents a case for property investment opportunities. Thanks to their distinct structure, REITs are required to distribute at least 90% of their taxable income to shareholders as dividends. Further, these enterprises tend to align themselves with industries benefitting from predictable demand streams. Therefore, if you don’t know what may happen next, income-generating real estate makes plenty of sense. Recession or not, it’s always nice to have passive income to mitigate against any uncertainties. With that, below are reliable REITs to consider. Prologis (PLD) Source: rafapress / Shutterstock.com What it is: One of the top reliable REITs available, Prologis (NYSE:PLD) invests in logistics facilities. According to the company’s Form 10-K, Prologis is the global leader in logistics real estate with a focus on high-barrier, high-growth markets. Further, its footprint covers 19 countries across four continents. At the moment, the company carries a market capitalization of $112.7 billion. Relevance: Because of Prologis’ focus on high-barrier markets, it may benefit from economic insulation. Put another way, a hefty commitment exists among the REIT’s tenants, making turnover less likely. Sure enough, one of the strong points in the enterprise’s financials is consistent profitability over the past 10 years. It also posts a strong three-year revenue growth rate of 13.1%. Pros: Right now, Prologis offers a forward yield of 2.85%. While that’s a bit lower than other property investment opportunities, the track record of consecutive dividend increases stands at 10 years. Cons: As with other income-generating real estate plays, the focus is on income rather than capital gains. American Tower (AMT) Source: T. Schneider / Shutterstock What it is: Focused on the wireless and broadcast communications infrastructure field, American Tower (NYSE:AMT) features a massive footprint. According to its website, the company commands 225,000 global sites. Further, it covers 25 countries across six continents while employing around 6,000 workers. It’s also a large enterprise, featuring a market cap of nearly $96 billion, making it a comfortable prospect for reliable REITs. Relevance: Unless you envision a world where telecommunications and wireless initiatives will regress, American Tower should be relevant. According to Precedence Research, the global wireless infrastructure market reached a valuation of just over $160 billion last year. By 2032, experts project that the sector could hit a valuation of nearly $387 billion. Just by downwind benefits, AMT ranks among the top property investment opportunities. Pros: Combined with a growing underlying industry, AMT offers a forward dividend yield of 3.15%. As well, the company enjoys 12 years of consecutive dividend increases, making it an overall attractive idea for income-generating real estate. Cons: While AMT rates as a strong buy, upside potential is limited based on the $217.83 average price target. Stag Industrial (STAG) Source: Don Pablo / Shutterstock.com What it is: Headquartered in Boston, Massachusetts, Stag Industrial (NYSE:STAG) is one of the reliable REITs focused mainly on the e-commerce revolution. Per its website, the REIT targets acquisitions and operation of industrial properties throughout the U.S. These largely involve e-commerce and logistics properties, thus benefitting from a pertinent growth market. Relevance: Back in the second quarter of 2020, e-commerce sales represented 16.5% of all retail transactions. Of course, that stemmed from the surge in retail revenge (basically retail therapy). However, the blistering demand faded as society acclimated to the Covid-19 crisis. However, this metric is back on the rise, hitting 15.6% as of Q3 2023. Indirectly, the upswing makes STAG an intriguing idea for property investment opportunities. Pros: True to this theme, Stag provides a forward yield of 4.05%. Now, the payout ratio is a bit high at 183.71% even for a REIT. Nevertheless, the continued rise of e-commerce should steadily boost STAG. Cons: With STAG having performed relatively well this year, the upside potential inherent in the analysts’ consensus target of $38.25 is limited. Federal Realty Investment Trust (FRT) Source: mTaira / Shutterstock.com What it is: Based in Rockville, Maryland, Federal Realty Investment Trust (NYSE:FRT) is one of the reliable REITs investing in shopping centers in the northeastern region of the U.S. As well, Federal Realty covers the Mid-Atlantic states along with California and South Florida. Fundamentally, it enjoys a mixed geographic footprint that may enable it to benefit from millennial migration trends. Relevance: As stated earlier, the geographic footprint should be a tailwind for Federal Realty. Per its website, its California-focused properties cover Silicon Valley and Southern California. These represent major components of the economic engine that is the Golden State. In addition, its properties in Phoenix, Arizona should add relevance to FRT as younger people move for cost-of-living reasons. Pros: An attractive idea for property investment opportunities, FRT carries a forward yield of 4.39%. Also, it commands 56 years of consecutive dividend increases. There’s no way that management will want to give up this lofty status. Cons: While enticing, Federal Realty lacks diverse property holdings compared to other income-generating real estate. Agree Realty (ADC) Source: Pavel Kapysh / Shutterstock.com What it is: Hailing from Farmington Hills, Michigan, Agree Realty (NYSE:ADC) focuses on neighborhood shopping centers with strong anchor tenants. Though the Covid-19 crisis negatively impacted such businesses during the initial wave, society has mostly normalized. Therefore, Agree might benefit from the acclimatization along with the everyday predictable demand profile that such properties exhibit. Relevance: Again, Agree comes down to serving everyday needs, which makes ADC a solid candidate for reliable REITs. Looking at its financials, the company posts a three-year revenue growth rate of 6.1%, beating out nearly 73% of its peers. Also, Agree unsurprisingly enjoys consistent profitability over the trailing decade. Unless you envision a future where physical shopping becomes obsolete, Agree should be considered one of the top property investment opportunities. Pros: Right now, the REIT offers a forward dividend yield of 5%. That’s noticeably above the sector average yield of 4.46%. Also, analysts rate shares a strong buy with a $64.53 average price target. Cons: As with Federal Realty, Agree isn’t quite as diverse as other REITs. Therefore, exposure to consumer sentiment exists. NNN REIT (NNN) Source: Shutterstock What it is: One of the more riskier ideas for reliable REITs, NNN REIT (NYSE:NNN) will require patience. Per its public profile, the entity primarily invests in high-quality properties that are subject to long-term triple-net (NNN) leases. According to Investopedia, this is a type of lease agreement on a property “whereby the tenant or lessee promises to pay all the expenses of the property, including real estate taxes, building insurance, and maintenance.” Relevance: Fundamentally, the advantage for investors of targeting NNN stock centers on the underlying long-term leases. In addition, market participants may benefit from a diversified tenant base, possibly providing economic insulation. Regarding the financials, National Retail gets the job done with a 2.4% three-year revenue growth rate. However, the real star centers on robust margins and consistent profitability. Pros: If you’re looking for high yields, you’ve come to the right place. NNN carries a forward yield of 5.57%. In addition, the REIT commands 34 years of consecutive dividend increases. Cons: If you’re looking for high capital gains potential, you’ve come to the wrong place. NNN is a consensus hold with a measly $41.79 average analyst price target. Realty Income (O) Source: Shutterstock What it is: Another compelling but risky idea for reliable REITs, Realty Income (NYSE:O) is looking at a year-to-date loss of almost 15%. For conservative investors seeking primarily passive income, that might not cut it. However, Realty focuses on free-standing, single-tenant commercial properties tied to largely to critical businesses such as grocery stores. Relevance: Frankly, the brands that do business with Realty Income speak inherently to the relevance of the enterprise. Unless you envision a future where humans no longer buy groceries, Realty should perform well over the long run. Also, discount retailers do business with the REIT, meaning that there could be added relevance due to the challenging environment. Pros: When it comes to reasons for buying O stock, Realty carries two advantages. First, the company offers a robust forward yield of 5.65%, noticeably above the sector average of 4.46%. Second, it pays this passive income on a monthly basis instead of the typical quarterly basis. Cons: Besides the market volatility, the consensus moderate buy rating is a bit lackluster. We’re talking four buys and six holds, which doesn’t scream confidence. On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Property Pillars: 7 REITs for Reliable Income in Shaky Times appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-08	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Multi-Factor Investor model based on the published strategy of Pim van Vliet. This multi-factor model seeks low volatility stocks that also have strong momentum and high net payout yields. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 56% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. MARKET CAP: PASS STANDARD DEVIATION: PASS TWELVE MINUS ONE MOMENTUM: NEUTRAL NET PAYOUT YIELD: NEUTRAL FINAL RANK: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Pim van Vliet Pim van Vliet Portfolio About Pim van Vliet: In investing, you typically need to take more risk to get more return. There is one major exception to this in the factor investing world, though. Low volatility stocks have been proven to outperform their high volatility counterparts, and do so with less risk. Pim van Vliet is the head of Conservative Equities at Robeco Asset Management. His research into conservative factor investing led to the creation of this strategy and the publication of the book "High Returns From Low Risk: A Remarkable Stock Market Paradox". Van Vliet holds a PhD in Financial and Business Economics from Erasmus University Rotterdam. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-08	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The nationwide rollout of the 5G mobile network three years ago marked a critical moment in telecommunications, ushering in a new era of investment in 5G stocks. This upgrade from 4G LTE to 5G represented a quantum leap in technology, promising download speeds up to 100 times faster. Beyond the buzz of lightning-fast internet, 5G remains a powerful catalyst for cutting-edge advancements across a myriad of sectors from artificial intelligence to autonomous vehicles. The valuation of the 5G market started at an impressive $5.53 billion in 2020 and is expected to skyrocket to an astounding $667.9 billion by 2026. Factors driving this rapid expansion include the increased adoption of virtual networking architecture and the surge in mobile data traffic. Moreover, the influence of 5G stretches beyond telecommunications, infusing sectors such as healthcare, automotive and manufacturing while promising a future woven with revolutionary technologies. Here are three top 5G stocks for investors to focus on if they want to take advantage of the expected growth in this sector. American Tower (AMT) Source: T. Schneider / Shutterstock American Tower (NYSE:AMT) boasts over 225,000 communication sites making it a colossus in the global telecom landscape and critical to the burgeoning 5G sector. As a real estate investment trust (REIT), the company leases tower space to various clients including wireless service providers, broadcasters, public sector organizations and other entities. With it operating under long-term leases of five to 10 years, the firm maintains exceptionally low churn rates, though a lease with T-Mobile (NYSE:TMUS) is currently set to expire in 2025. Furthermore, in adherence to REIT requirements, it distributes a hefty 90% of its profits as dividends, yielding a healthy 3.2%. The third quarter saw the company outperform expectations, leading to an upward revision of its funds-from-operations per share guidance. Hence, for those eyeing dividends, AMT’s compelling 3% yield and a decade-long history of consistent payout growth make it a standout choice among 5G stocks. T-Mobile (TMUS) Source: Shutterstock T-Mobile (NYSE:TMUS) is the third-largest wireless internet carrier in the U.S., dynamically expanding its customer base in its niche briskly. The company’s steadfast focus on adding postpaid wireless customers is paying off, with a clear path towards adding a remarkable 8 million customers by 2025. Notably, T-Mobile’s 5G network deployment advancement places it ahead of its primary competition, solidifying its leadership in the 5G internet rollout. T-Mobile’s board recently pivoted by authorizing a $14 billion share repurchase program, signaling a long-term strategy to buy back $60 billion in stock. In a strategic turn, TMUS announced its first-ever dividend, which resonated positively with shareholders. The company’s financial performance in the third quarter was impressive, generating a whopping $4 billion in free cash flow (FCF), a massive 50% increase from the same period last year. This surge was attributed to reduced cash outlays for property and equipment and increased cash flow from operations. Additionally, TMUS bolstered its financial health with a rise in net income to $2.1 billion and a boost in net cash to $5.3 billion. AT&T (T) Source: Roman Tiraspolsky / Shutterstock.com In the dynamic landscape of the telecom industry, AT&T (NYSE:T) emerges as a standout contender and is skillfully navigating the 5G market. Its current undervaluation presents a golden opportunity for savvy investors to scoop up the stock at just one times forward sales estimates. Additionally, the company’s strong customer loyalty highlights AT&T’s service excellence and underpins its robust financial health. Financially, AT&T’s performance is nothing short of impressive. In the third quarter, the company saw a significant uptick in operating margins of 24.9% and an EBITDA margin jump to 43%. It expects its FCF to rise to $16.5 billion for the full year, a $500 million improvement from previous estimates. Moreover, AT&T’s 468,000 postpaid phone net additions this quarter are a testament to its growing appeal and the effectiveness of its strategies in attracting and retaining customers. AT&T’s current market position, financial performance and growth prospects make it an appealing choice for those looking to invest in 5G stocks. On the date of publication, Muslim Farooque did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post Telecom Titans: 3 Stocks Outperforming in the 5G Race appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-08	AMT	Dec 8 (Reuters) - Activist investor Elliott Investment Management said on Friday that the exit of Crown Castle CCI.N CEO Jay Brown, who will be leaving in January, was a step in the "right direction" but more changes were needed at the wireless tower owner. Brown led the company for more than two decades, and his departure is a major win for Elliot, which sought a management shakeup for what it said was years of underperformance. "We look forward to continuing our dialogue," the hedge fund, which has about $2 billion stake in the company, said in a statement. The activist investor said it wants a comprehensive review of Crown's Fiber business and a transparent search process for the next CEO. Crown Castle, which competes with American Tower AMT.N and SBA Communications SBAC.O, did not immediately respond to a request for comment. Board member Anthony Melone will serve as interim head while the company looks for a permanent CEO, Crown Castle said on Thursday. This is the second time in three years Elliott has publicly tried to pressure the Houston, Texas-based company, which has a market capitalization of about $51 billion. Elliott had first pushed for changes in 2020, when it had a $1 billion stake in the company. Crown Castle responded by refreshing its board and announcing that five long-serving directors would not seek re-election. (Reporting by Jaspreet Singh in Bengaluru; Editing by Tasim Zahid) ((Jaspreet.Singh@thomsonreuters.com; https://twitter.com/i_jass;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-07	AMT	By Nqobile Dludla JOHANNESBURG, Dec 7 (Reuters) - IHS Holding IHS.N has offered improved commercial terms to MTN Nigeria MTNN.LG for the lease of 2,500 towers it lost to American Tower Corporation (ATC) AMT.N, saying the move would prevent network disruption in Africa's most populous country. MTN Nigeria, owned by South Africa's MTN Group MTNJ.J announced in September that the leasing on 2,500 sites due to expire in 2024 and 2025 was awarded to ATC Nigeria after a bidding process. The mobile network operator said the deal would diversify its towers portfolio and unlock significant network cost efficiencies. IHS Towers Chairman and CEO Sam Darwish told Reuters that these towers represent only a small fraction of his company's total tenancies but it is willing to match ATC's terms. "IHS has offered improved commercial terms on the 2,500 towers to close the gap (between the offers) as our main aim is to prevent network disruption in Nigeria," he said, without providing details on the terms. MTN said the agreement with ATC is final and that MTN would continue to engage constructively with IHS on further opportunities that arise, including renewal of its other sites. "Our preference is always for bilateral renewal, subject to competitive pricing and terms. In this instance the ATC proposal was superior," the operator told Reuters. IHS owns 16,000 towers in Nigeria, of which 14,600 are leased by MTN. About 13% of MTN's portfolio sits with ATC, while 80% sits with IHS. There is mounting fear that the cell-tower operator may lose more contracts as MTN Nigeria reviews other tower contracts coming up for renewal. The remaining tower leases with IHS expire between 2025 and 2029. The majority of those expire in 2029. IHS is also embroiled in a shareholder dispute with MTN Group, its largest shareholder with a 26% stake, along with French financial investor Wendel and activist investor Blackwells Capital over governance issues. Darwish said that IHS continues to engage with Wendel and MTN on the issues. (Reporting by Nqobile Dludla Editing by David Goodman) ((nqobile.dludla@thomsonreuters.com; +27103461066;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-07	AMT	For the past 30 years, Wall Street has had no shortage of next-big-thing investment trends to latch onto. Some of these have been game changers, such as the advent of the internet in the 1990s, while others never came close to living up to lofty expectations (e.g., consumer-level 3D printers). No matter what happens with the U.S. economy and stock market in 2024, there are bound to be investment trends that garner the attention of professional and everyday investors. However, today's hottest trends may not carry over into the following year. Recently, I discussed why artificial intelligence (AI) and electric vehicles (EV) are two popular trends that could face-plant next year. Thankfully, other investment trends stand at the ready to take their place. What follows are five unstoppable trends to invest $1,000 in for 2024. Image source: Getty Images. 1. Cybersecurity Perhaps the most surefire trend investors can continue to count on in the upcoming year is cybersecurity. Regardless of how well or poorly the U.S. economy and stock market perform, hackers and robots don't take time off from trying to steal sensitive business or customer information. Any company that has an online or cloud-based presence requires protection, and this is increasingly falling into the hands of third-party providers. The cream of the crop in cybersecurity looks to be CrowdStrike Holdings (NASDAQ: CRWD). CrowdStrike's cloud-native security platform, known as Falcon, relies on AI and machine learning (ML) solutions to become more effective at identifying and responding to potential end-user threats over time. Falcon is overseeing trillions of events each week. Despite being a pricier cloud-based, software-as-a-service (SaaS) solution than many of its peers, CrowdStrike's gross retention rate is superior. Moreover, 63% of its ever-growing client base has purchased at least five or more cloud-module subscriptions. Don't overlook Okta (NASDAQ: OKTA), either. Despite the negative press associated with a recent security breach, identity-verification company Okta is also relying on AI and ML to steadily improve the efficiency of its cybersecurity solutions. In particular, the acquisition of Auth0 opens new doors in international markets for Okta, as well as gives the company a firmer foundation to build on its Customer Identity segment, which is a $30 billion addressable market, according to the company. 2. Gene editing A second potentially unbeatable trend to consider putting $1,000 to work in for 2024 is gene editing. Generally speaking, investors don't have to dig too deeply to find exciting and promising new research in the drug-development space. Gene editing just happens to be one of the more revolutionary approaches. As its name suggests, gene editing involves the "editing" of targeted DNA. A small piece of guide ribonucleic acid (RNA) is attached to an enzyme (e.g., the Cas9 enzyme) and introduced into target cells. The enzyme then "cuts" the DNA at the targeted location. The belief among the scientific community is that gene editing could be a successful approach to treating single-gene disorders, which include cystic fibrosis. What really puts gene editing on the map as a hot investment trend for 2024 is the approval of Casgevy (formerly exa-cel) in the U.K., i.e., the very first approval anywhere for a gene-editing drug. On Nov. 16, Vertex Pharmaceuticals (NASDAQ: VRTX) and CRISPR Therapeutics (NASDAQ: CRSP) announced the groundbreaking approval of Cas9 gene-editing therapy Casgevy for the treatment of sickle cell disease and transfusion-dependent beta thalassemia. With label-expansion opportunities and approvals awaiting in other regions, including the U.S., this gene-editing treatment developed by Vertex and CRISPR has the potential to top $1 billion in annual sales. It's worth noting that gene editing may also hold promise beyond single-gene diseases. It's being examined by CRISPR Therapeutics as a treatment for a variety of cancer types. Image source: Getty Images. 3. Financial technology (fintech) The third unstoppable trend you can confidently invest $1,000 in for 2024 is financial technology, which you probably know better as "fintech." Fintech involves the use of software or technology to facilitate banking and lending services. Based on a report from Boston Consulting Group that was issued in May, global fintech revenue is expected to catapult by more than 500% to $1.5 trillion by 2030. This type of growth isn't hard to believe considering that many of the world's emerging markets are still underbanked, including Southeastern Asia, the Middle East, and Africa. Mobile-based payments and lending solutions may be the answer to bridging this lack of access to basic financial services. PayPal Holdings (NASDAQ: PYPL) currently finds itself in the driver's seat in the fintech space. Even with an above-average inflation rate weighing on the purchasing power of lower-earning workers, PayPal has seen its total payment volume (TPV) grow by a double percentage, without fail, on a currency-neutral basis. Furthermore, PayPal's active users are more engaged than ever. This is a particularly important point given that PayPal's top platforms (PayPal and Venmo) are driven by transaction fees. In other words, more transactions will equate to higher gross profit for the company. In less than three years, PayPal's active customers have increased their average number of transactions completed over the trailing-12-months from 40.9 to 56.6. Even in a challenging economic climate, fintech stocks would be expected to sustain growth in TPV. 4. Data-center economy A fourth seemingly invincible trend to invest $1,000 in for next year is the data-center economy. By this, I mean almost anything that's directly or indirectly tied to the growing demand for data centers. As the world becomes more digitized and data gets moved into the cloud at an accelerated pace, demand for everything from physical facilities that house data-center server towers to the host of solutions powering this expansion will fuel the data-center economy. Perhaps the safest way to play this expansion is with real estate investment trust (REIT) American Tower (NYSE: AMT). Just days before 2021 came to a close, American Tower completed its acquisition of CoreSite Realty, which owned 25 data centers at the time. Purchasing properties and leasing them out for extended periods usually leads to highly predictable operating cash flow and a market-topping yield for REITs. The puzzle pieces are also in place for storage stocks to rebound nicely in 2024. Companies like Western Digital (NASDAQ: WDC) are well positioned to take advantage of the growing storage needs presented by data-center expansion. Though hard-disk drives have been a staple in data centers for as far back as the eye can see, Western Digital's NAND flash-memory solutions have the potential to become the new standard in enterprise data centers. For investors with a higher tolerance for risk, Amazon (NASDAQ: AMZN) and Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG) present smart ways to play the burgeoning data-center economy. Amazon Web Services (AWS) and Google Cloud respectively accounted for 31% and 10% of global cloud infrastructure-service spending in the third quarter -- and enterprise cloud spending is still in its early innings. 5. Small-cap investing As of this time last month, megacap tech stocks were outperforming small-cap stocks by the largest margin on record -- yes, even more than during the dot-com bubble in the early 2000s. While this, in some way, speaks to the time-tested nature of brand-name businesses, it also suggests a generational buying opportunity awaits small-cap investors. As of the closing bell on Dec. 5, the benchmark S&P 500, which houses mostly large-cap and megacap components, had a forward price-to-earnings (P/E) ratio of 18.7. This is roughly the midpoint of where the broad-based index has traded on a forward-earnings basis over the past 25 years. Meanwhile, the S&P 600, which is comprised of small-cap companies, had a forward P/E ratio of 13.2, which isn't too far from its 25-year low. In my view, this makes small-cap stocks a bargain, and 2024 could be the year value investors wake up to this realization. A perfect example of a small-cap company with the potential for multiple expansion is furniture retailer Lovesac (NASDAQ: LOVE). Whereas traditional furniture retailers offer little in the way of true product differentiation and are heavily reliant on foot traffic into physical stores, Lovesac has resolved these headwinds. Lovesac's sactionals (modular couches) are unique in that they can be rearranged to fit most living spaces, have more than 200 different cover choices, come with an assortment of upgrade options, and use recycled plastic water bottles for their yarn. That's functionality, optionality, and eco-friendliness all rolled into one. Furthermore, Lovesac's omnichannel sales platform features a burgeoning online presence, pop-up showrooms, and a couple of brand-name partnerships. With lower overhead expenses and a reduced reliance on brick-and-mortar stores, Lovesac has handily outperformed its peers. This should continue in 2024 and beyond. Find out why CrowdStrike is one of the 10 best stocks to buy now Our analyst team has spent more than a decade beating the market. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed their ten top stock picks for investors to buy right now. CrowdStrike is on the list -- but there are nine others you may be overlooking. Click here to get access to the full list! *Stock Advisor returns as of December 4, 2023 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Sean Williams has positions in Alphabet, Amazon, Lovesac, PayPal, Vertex Pharmaceuticals, and Western Digital. The Motley Fool has positions in and recommends Alphabet, Amazon, American Tower, CRISPR Therapeutics, CrowdStrike, Okta, PayPal, and Vertex Pharmaceuticals. The Motley Fool recommends Lovesac and recommends the following options: long January 2026 $180 calls on American Tower, short December 2023 $67.50 puts on PayPal, and short January 2026 $185 calls on American Tower. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-05	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The year 2023 was not great for telecom companies or their hardware providers. After heavy spending in 2021 and 2022, many firms dialed back investments this year. On the consumer side, sales of smartphones dipped after last year’s record pace. Despite the dip, several 5G stocks have risen up and gained a ton of value. This momentary lull represents an opportunity. It’s no secret that more and more of the world’s work, learning, and commerce is taking place online. That’s especially true in many fast-growing emerging markets. These three 5G stocks are set to cash in as that shift continues. Qualcomm (QCOM) Source: Akshdeep Kaur Raked / Shutterstock.com What’s beyond 5G? Naturally, that would be 6G. This leads us to Qualcomm (NASDAQ:QCOM), which is the long-running innovator in this space. Indeed, the communications-focused chip giant built its fortune from developing and licensing out the technology behind 3G and 4G to telecom companies and smartphone makers. Qualcomm is at the forefront of 5G technology today, along with its other businesses that it has developed such as its Snapdragon computing platform. While most people are still focused on rolling out 5G, Qualcomm is already hard at work on 6G. It released a lengthy presentation highlighting the path to 6G deployment by 2030. Qualcomm isn’t just about faster cell phone communications, though. The company is also a leader in developing AI-enabled chips for mobile applications. This should, over time, allow developers to harness the power of AI for phones, connected cars, and other such devices. Corning (GLW) Source: madamF / Shutterstock.com There is a conception that 5G works entirely through the air. But, on the contrary, data still travels through fiber-optic cables before getting to a tower for last-mile distribution via 5G to the end user. In other words, to have more mobile data and 5G penetration, the world needs a lot more fiber-optics. Specialty glass and ceramics maker Corning (NYSE:GLW) is set to reap much of the benefits from this demand. And it’s not just that legacy business, either. Corning has leaned into the 5G market opportunity with its SpiderCloud small cell Enterprise Radio Access Network (E-RAN). This allows businesses such as office towers and sports venues to deploy on-premise 5G and gives them the central units, radios, and accompanying software for operating these networks. GLW stock gives investors this 5G access at a reasonable price. Shares go for 17 times forward earnings and offer a generous 3.9% dividend yield. American Tower (AMT) Source: T. Schneider / Shutterstock Another way to profit from the spread of 5G is through owning the facilities themselves. American Tower (NYSE:AMT) is the leading real estate investment trust (REIT) focused on data centers and towers. American Tower owns more than 220,000 cell phone towers around the world. More than 40,000 of these are in the United States and these generate about half of the company’s revenues. The firm operates far more towers in emerging markets such as Brazil and India which generate less revenue today but have more growth potential as internet usage and spending power rise in those markets. American Tower also made a big acquisition in data centers. This gives the firm more exposure to the overall growth of the communications market. American Tower’s large size and access to relatively cheap capital give it a sustainable competitive advantage over its smaller peers. As the need for mobile data inexorably grows, American Tower will capture more of that revenue. On the date of publication, Ian Bezek held a long position in QCOM and AMT stock. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Ian Bezek has written more than 1,000 articles for InvestorPlace.com and Seeking Alpha. He also worked as a Junior Analyst for Kerrisdale Capital, a $300 million New York City-based hedge fund. You can reach him on Twitter at @irbezek. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 5G and Beyond: 3 Companies Innovating at the Edge of Connectivity appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. BOOK/MARKET RATIO: PASS RETURN ON ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS RETURN ON ASSETS VARIANCE: PASS SALES VARIANCE: PASS ADVERTISING TO ASSETS: FAIL CAPITAL EXPENDITURES TO ASSETS: FAIL RESEARCH AND DEVELOPMENT TO ASSETS: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-12-04	AMT	Last Friday, all of the three widely followed indexes closed a fifth straight winning week. The tech-heavy Nasdaq Composite, the S&P 500 and the Dow Jones Industrial Average jumped 0.4%, 0.8% and 2.4%, respectively. On Thursday, the markets closed out a winning November after three straight months of losses. Weak economic data and inflation slowing down over the last few weeks have raised hope among investors that the Fed might have finally concluded its rate-hike cycle. The Fed’s favorite inflation metric, PCE, also showed signs of slowing down last week, and third-quarter GDP was revised upward to lift investor mood. Dovish comments coming in from top Fed officials have suggested that the central bank will be extremely cautious before raising rates any further. In fact, Fed Chair Jerome Powell said that the risk of raising interest rates at the current juncture is too much. Market participants are getting into a usual Santa rally and are currently expecting interest rates to go down as early as the first half of 2024. Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market. As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action. Here are some of our key achievements: Pinterest and United Bankshares Surge Following Zacks Rank Upgrade Shares of Pinterest, Inc. PINS have gained 28.7% (versus the S&P 500’s 6.7% increase) since it was upgraded to a Zacks Rank #1 (Strong Buy) on October 3. Another stock, United Bankshares, Inc. UBSI, which was upgraded to a Zacks Rank #2 (Buy) on October 2, has returned 25.2% (versus the S&P 500’s 6.6% increase) since then. Zacks Rank, our short-term rating system, has earnings estimate revisions at its core. Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. A hypothetical portfolio of Zacks Rank #1 (Strong Buy) stocks returned +12.02% this year (through September 4th) vs. +18.2% for the S&P 500 index and +7.6% for the equal-weight S&P 500 index. The portfolio of Zacks Rank #1 stocks is an equal-weight portfolio, while the S&P 500 index is a market-cap-weighted index that has been notably distorted by the strong recent performance of mega-cap stocks. We are not trying to cherry-pick here. But since this Zacks Model portfolio, consisting of Zacks Rank #1 stocks, is an equal-weight portfolio, the equal-weight S&P 500 index is the appropriate benchmark for comparison. Looked at this way, this portfolio has outperformed the index this year. The Zacks Model Portfolio - consisting of Zacks Rank #1 stocks – has outperformed the S&P index by more than 13 percentage points since 1988 (Through September 4th, 2023, the Zacks # 1 Rank stocks has generated an annualized return of +24.17% since 1988 vs. +10.82% for the S&P 500 index).You can see the complete list of today’s Zacks Rank #1 stocks here >>> Check Pinterest’s historical EPS and Sales here>>> Check United Bankshares’ historical EPS and Sales here>>> Image Source: Zacks Investment Research Zacks Recommendation Upgrades Installed Inter and XPO Higher Shares of Inter & Co, Inc. INTR and XPO, Inc. XPO have advanced 24.5% (versus the S&P 500’s 6.6% rise) and 21.3% (versus the S&P 500’s 7.4% rise) since their Zacks Recommendation was upgraded to Outperform on October 2 and October 6, respectively. While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions. The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model. To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>> Zacks Focus List Stocks Block, Uber Shoot Up Shares of Block, Inc. SQ, which belongs to the Zacks Focus List, have gained 22.5% over the past 12 weeks. The stock was added to the Focus List on March 28, 2017. Another Focus-List holding, Uber Technologies, Inc. UBER, which was added to the portfolio on August 16, 2019, has returned 21.4% over the past 12 weeks. The S&P 500 has advanced 3.1% over this period. The 50-stock Zacks Focus List model portfolio returned +22.3% in 2023 (through July 31st) vs. +20.6% for the S&P 500 index and +10.5% for the equal-weight S&P 500 index. In 2022, the portfolio produced -15.2% vs. the S&P 500 index’s -17.96%. Since 2004, the Focus List portfolio has produced an annualized return of +11.27% through July 31st, 2023. This compares to a +9.65% annualized return for the S&P 500 index in the same time period. On a rolling one-, three- and five-year bases, the Zacks Focus List returned +21.76%, +16.33%, and +12.54% vs. +12.99%, +13.71% and +12.19% for the S&P 500 index, respectively. Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >> Zacks ECAP Stocks Fair Isaac and Rollins Make Significant Gains Fair Isaac Corporation FICO, a component of our Earnings Certain Admiral Portfolio (ECAP), has jumped 25.3% over the past 12 weeks. Rollins, Inc. ROL has followed Fair Isaac with 13.3% returns. ECAP, which consists of 30 concentrated, ultra-defensive, long-term Buy-and-Hold stocks, has returned +6.67% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -4.7% in 2022 versus the S&P 500 Index’s -17.96%. With little to no turnover and annual rebalance periodicity, the ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500. The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo. Zacks ECDP Stocks American Tower and Fastenal Outperform Peers American Tower Corporation AMT, which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 16.4% over the past 12 weeks. Another ECDP stock, Fastenal Company FAST, has climbed 11.6% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid heightened market volatility contributed to this performance. Check American Tower’s dividend history here>>> Check Fastenal’s dividend history here>>> With an extremely low Beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk. ECDP has returned +0.18% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -2.3% in 2022 versus -17.96% for the S&P 500 Index and -8.34% for the ProShares S&P 500 Dividend Aristocrats ETF NOBL. Click here to access this portfolio on Zacks Advisor Tools. Zacks Top 10 Stocks — Celsius Delivers Solid Returns Celsius Holdings, Inc. CELH, from the Zacks Top 10 Stocks for 2023, has surged 49.9% year to date, which compares to a 21.3% gain for the S&P 500 Index. The portfolio returned +16.16% through the end of July 2023 vs. +20.64% for the S&P 500 index and +10.73% for the equal-weighted version of the index. The portfolio returned -15.8% in 2022 vs. -18.1% for the S&P 500 index. Since 2012, the Top 10 portfolio has generated an annualized return of +22.78% vs. +13.65% for the S&P 500 index. Since the start of 2012 through July 31, 2023, the Zacks Top 10 Stocks have produced a cumulative return of +977.47% vs. +340.35% cumulative return for the S&P 500 index. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows. It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Fastenal Company (FAST) : Free Stock Analysis Report Fair Isaac Corporation (FICO) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report United Bankshares, Inc. (UBSI) : Free Stock Analysis Report XPO, Inc. (XPO) : Free Stock Analysis Report Block, Inc. (SQ) : Free Stock Analysis Report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Celsius Holdings Inc. (CELH) : Free Stock Analysis Report Pinterest, Inc. (PINS) : Free Stock Analysis Report Uber Technologies, Inc. (UBER) : Free Stock Analysis Report Inter & Co. Inc. (INTR) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-30	AMT	Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares U.S. Real Estate ETF (Symbol: IYR) where we have detected an approximate $163.7 million dollar inflow -- that's a 5.7% increase week over week in outstanding units (from 34,100,000 to 36,050,000). Among the largest underlying components of IYR, in trading today American Tower Corp (Symbol: AMT) is up about 0.3%, Equinix Inc (Symbol: EQIX) is up about 0.1%, and Welltower Inc (Symbol: WELL) is lower by about 0.4%. For a complete list of holdings, visit the IYR Holdings page » The chart below shows the one year price performance of IYR, versus its 200 day moving average: Looking at the chart above, IYR's low point in its 52 week range is $72.88 per share, with $96.02 as the 52 week high point — that compares with a last trade of $84.06. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. Click here to find out which 9 other ETFs had notable inflows » Also see: Dividend Paying Stocks OVID Average Annual Return Funds Holding WWOW The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-30	AMT	American Tower Corp (Symbol: AMT) has been named as a Top 25 ''Dividend Giant'' by ETF Channel, with a staggering $14.86B worth of stock held by ETFs, and above-average ''DividendRank'' statistics including a strong 3.14% yield, according to the most recent Dividend Channel ''DividendRank'' report. The report noted a strong quarterly dividend history at American Tower Corp, and favorable long-term multi-year growth rates in key fundamental data points. The annualized dividend paid by American Tower Corp is $6.48/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 10/10/2023. Below is a long-term dividend history chart for AMT, which the report stressed as being of key importance. Indeed, studying a company's past dividend history can be of good help in judging whether the most recent dividend is likely to continue. 25 Dividend Giants Widely Held By ETFs » Also see: High-Yield Canadian Energy Stocks SNDL YTD Return SOLY shares outstanding history The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-29	AMT	It has been about a month since the last earnings report for Vornado (VNO). Shares have added about 21.1% in that time frame, outperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Vornado due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Vornado's FFO Meets Estimates in Q3, Revenues Miss Vornado Realty's third-quarter 2023 FFO plus assumed conversions as adjusted per share of 66 cents matched the Zacks Consensus Estimate. However, the figure declined 18.5% year over year. Results displayed lower-than-anticipated revenues. A rise in operating expenses during the quarter was a concern. Total revenues came in at $451 million in the reported quarter, missing the Zacks Consensus Estimate of $460 million. On a year-over-year basis, revenues declined nearly 1.4%. Quarter in Detail In the reported quarter, total same-store NOI (at share) came in at $271.3 million compared with the prior-year quarter’s $279.8 million. The metric for the New York and 555 California Street portfolios improved 4% and 2.9%, respectively. However, the same-store NOI (at share) for THE MART portfolio declined 54% from the prior-year period. Operating expenses increased 5.5% to $233.7 million year over year. During the quarter, in the New York office portfolio, 236,000 square feet of office space (190,000 square feet at share) was leased for an initial rent of $93.33 per square foot and a weighted average lease term of 7.9 years. The tenant improvements and leasing commissions were $12.87 per square foot per annum or 13.8% of the initial rent. In the New York retail portfolio, 29,000 square feet were leased (21,000 square feet at share) at an initial rent of $373.28 per square foot and a weighted average lease term of 8.4 years. The tenant improvements and leasing commissions were $26.02 per square foot per annum or 7% of the initial rent. Additionally, at THE MART, 68,000 square feet of space (63,000 square feet at share) was leased for an initial rent of $54.71 per square foot and a weighted average lease term of 5.2 years. The tenant improvements and leasing commissions were $10.46 per square foot per annum or 19.1% of the initial rent. Vornado ended the quarter with occupancy in the New York portfolio at 89.9%, down 40 basis points (bps) year over year. Occupancy in THE MART declined to 76.8% from 87.3%. Further, occupancy in 555 California Street also declined 20 bps to 94.5%. Portfolio Activity On Aug 28, 2023, Vornado entered into Manhattan’s first public-private partnership venture with Hudson Pacific Properties, Blackstone, the City of New York and New York City Economic Development Corporation to build a 266,000-square-foot purpose-built studio campus at Pier 94 with a joint investment of around $350 million. Balance Sheet Vornado exited third-quarter 2023 with cash and cash equivalents of $1 billion, down from $1.1 million as of Jun 30, 2023. During the quarter ended Sep 30, 2023, it repurchased 302,200 common shares for $5.9 million at an average price of $19.61 per share. How Have Estimates Been Moving Since Then? It turns out, estimates review have trended downward during the past month. VGM Scores At this time, Vornado has a poor Growth Score of F, a grade with the same score on the momentum front. However, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy. Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in. Outlook Estimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Notably, Vornado has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Performance of an Industry Player Vornado belongs to the Zacks REIT and Equity Trust - Other industry. Another stock from the same industry, American Tower (AMT), has gained 14.1% over the past month. More than a month has passed since the company reported results for the quarter ended September 2023. American Tower reported revenues of $2.82 billion in the last reported quarter, representing a year-over-year change of +5.5%. EPS of $1.26 for the same period compares with $2.36 a year ago. American Tower is expected to post earnings of $2.33 per share for the current quarter, representing a year-over-year change of -0.4%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged. The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for American Tower. Also, the stock has a VGM Score of F. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows. It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Vornado Realty Trust (VNO) : Free Stock Analysis Report American Tower Corporation (AMT) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-29	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. BOOK/MARKET RATIO: PASS RETURN ON ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS RETURN ON ASSETS VARIANCE: PASS SALES VARIANCE: PASS ADVERTISING TO ASSETS: FAIL CAPITAL EXPENDITURES TO ASSETS: FAIL RESEARCH AND DEVELOPMENT TO ASSETS: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-26	AMT	By Svea Herbst-Bayliss Nov 26 (Reuters) - Elliott Investment Management, a large shareholder in Crown Castle International CCI.N, plans to speak with the wireless tower owner about ways to boost its share price, two people familiar with the matter said on Sunday. It is the second time that the U.S. activist hedge fund has sought to pressure Crown Castle for change. Three years ago, it asked management to rethink its fiber infrastructure strategy and criticized the company's returns. At the time, Elliott said it controlled an economic interest of $1 billion in the Houston, Texas-headquartered company. Elliott currently has a stake worth more than $2 billion, the people said. They declined to be identified as the discussions were private. A spokesperson for Elliott declined to comment. Crown Castle, which is a real estate investment trust, did not immediately respond to a request for comment. The Wall Street Journal first reported Elliott's fresh push for changes. Crown Castle's share price has tumbled 25% for the year to date, hurt in part due to costs related to its fiber program. By comparison, American Tower AMT.N shares have fallen 6% while SBA Communications SBAC.O have slid 16% during the same period. Crown Castle's shares have lost almost half of their value since hitting an all-time high of $209 in early January, 2022. Three years ago, Crown Castle responded to Elliott's prodding by refreshing its board of directors and announcing a mandatory board-retirement policy. The window for investors to nominate directors to the board, something activist shareholders often do, opens early next year. (Reporting by Svea Herbst-Bayliss in New York and Baranjot Kaur in Bengaluru; Editing by Edwina Gibbs) ((svea.herbst@thomsonreuters.com; +617 233 2138; Reuters Messaging: svea.herbst.thomsonreuters.com@reuters.net)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-25	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. BOOK/MARKET RATIO: PASS RETURN ON ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS RETURN ON ASSETS VARIANCE: PASS SALES VARIANCE: PASS ADVERTISING TO ASSETS: FAIL CAPITAL EXPENDITURES TO ASSETS: FAIL RESEARCH AND DEVELOPMENT TO ASSETS: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School. Additional Research Links Top NASDAQ 100 Stocks Factor-Based ETF Portfolios Harry Browne Permanent Portfolio Ray Dalio All Weather Portfolio High Shareholder Yield Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-23	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips The nationwide launch of fifth-generation (5G) wireless networks three years ago heralded the start of a new investment cycle. It marked the first time in over a decade that wireless carriers had significantly upgraded their infrastructure. Going from 4G LTE to 5G means the potential for a massive increase in download speeds, possibly 100 times greater! This lead us to creating this list of 5G stocks to buy. For mobile phone users, the change promises to meet their data-hungry demands for greater bandwidth. For the carriers, it promises more profits as data usage tends to be the most profitable portion of their business. The revolution should usher in a device replacement cycle that could last for years. What follows are a trio of the top undervalued 5G stocks you can buy for your portfolio today. AT&T (T) Source: Lester Balajadia / Shutterstock.com There is no good reason the market hung up on Ma Bell. AT&T (NYSE:T) is perfectly positioned to capitalize on the trends sweeping the industry. However, since the market chooses to offer up the telecom at a discount, investors should not hesitate to buy. Customers love AT&T’s service. Its phone churn rate of 0.79% last quarter shows they stick with the carrier after signing up for service. In comparison, Verizon (NYSE:VZ) reported its churn was 0.85%. The carrier says managing churn “is critical to our ability to maximize revenue growth and to maintain and improve margins.” Operating margins improved 90 basis points to 24.9% in the latest period while EBITDA margin jump to 43% from 40.8% a year ago. AT&T added yet another 468,000 postpaid phone net additions this quarter. That’s a metric the industry uses to signify a company’s success at attracting customers and generating dependable revenue streams. It’s now has 8.7 million postpaid phone adds over the last three years compared to fewer than 1 million in the three years prior to 2020. AT&T trades at six times earnings estimates, a fraction of sales, and a deeply discounted seven times free cash flow (FCF). These are incredibly cheap valuations, even for telecoms. T-Mobile (TMUS) Source: Shutterstock Rival carrier T-Mobile (NYSE:TMUS) might not be as deep into the bargain bin as Ma Bell, but the “Un-carrier” is still deceptively cheap. Wall Street forecasts the telecom will grow earnings at a blistering 67% annually for the next five years. Both AT&T and Verizon are essentially expected to see negligible growth. That means T-Mobile trades at just 0.3 times its earnings growth rate. It also just became the largest prepaid carrier when it finished the third quarter with 21.6 million compared to Verizon’s 21.4 million. T-Mobile is only just ramping up its growth. Adjusted FCF grew to $4 billion this past quarter, a 94% increase from last year. It now expects FCF to be between $13.4 billion and $13.6 billion for the full year. It’s also notable the telecom now pays a dividend. Announced last quarter, it yields a paltry 0.4% annually (the first payment will be in December). In contrast, AT&T yields 7% while Verizon’s yields 7.3%. However, it’s part of a larger capital allocation program. T-Mobile promised to return $19 billion to shareholders throughout the next five quarters. Dividends would be $3.75 billion between Oct. 1 and Dec. 31, 2024. The remainder would be share buybacks. The Un-carrier is an unusual opportunity for investors looking to cash in on the industry’s future growth. American Tower (AMT) Source: T. Schneider / Shutterstock Not a carrier, real estate investment trust (REIT) American Tower (NYSE:AMT) is still essential to and will benefit from the 5G boom. As its name suggests, the REIT leases space on its towers primarily to wireless service providers, but also to radio and TV broadcasters, wireless data providers and the government. American Tower operates under long-term leases of between five to 10 years. It has historically low churn rates of just 1% to 2%, though it expects rates to be higher through 2025. Obligations it has with T-Mobile will see a number of those leases expire and not renew. After adding a tenant, American Tower incurs little additional cost. That means it enjoys high profits margins with little fluctuation. Trailing gross margins are north of 71% while operating margins are 31.7%. The stock is down 10% over the last year. Inflation impacted American Tower’s performance, like other REITs. Yet, similar to all REITs, American Tower still has to pay out at least 90% of its profits as dividends. Its dividend currently yields a healthy 3.2%. If inflation eases, expect its profits to soar. That makes this undervalued REIT a 5G stock to buy now, and it more than earned its spot on our list of 5G stocks to buy. On the date of publication, Rich Duprey held a LONG position in T stock. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Rich Duprey has written about stocks and investing for the past 20 years. His articles have appeared on Nasdaq.com, The Motley Fool, and Yahoo! Finance, and he has been referenced by U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, USA Today, Milwaukee Journal Sentinel, Cheddar News, The Boston Globe, L’Express, and numerous other news outlets. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 5G Stocks to Buy Before Wall Street Catches Up appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-21	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips Investing directly in real estate properties requires a large amount of capital and many other resources that most average investors cannot access. But, for investors looking to gain exposure to the real estate market and the many benefits of real estate investing, REITs (real estate investment trusts) are the way to go. They offer investors exposure to real estate and the mortgage industry, serving growth potential. If you’re looking to diversify your portfolio with REIT ETFs, look no further. Below, I discuss three different REIT ETFs that offer investors looking for safe and reliable returns in the real estate and mortgage markets some great options to check out. iShares Mortgage Real Estate Capped ETF (REM) Source: Sundry Photography / Shutterstock.com iShares Mortgage Real Estate Capped ETF (NYSEARCA:REM) is a fund composed of companies that engage in selling mortgage servicing rights and other loan types, such as mortgage-backed securities, which are home loans that are bundled together and investors who are holding mortgage-backed securities will receive interest payments on those loans on a predictable basis. They are much like bonds in that way. Mortgage REITs fare better than other real estate companies during a high-interest rate environment. The fund was created on May 1, 2007, and tracks the FTSE Nareit All Mortgage Capped Index. It has an expense ratio of approximately 0.48%. The fund also offers an annual dividend payout of 10.18%, with its most recent payment being 56 cents per share, which was paid to investors on Oct. 2. The fund issuer is BlackRock Financial Management (NYSE:BLK), with a one-month average volume of 536,000. And they also have $580 million in assets under management. This ETF has 32 different holdings and the top three include Annaly Capital Management (NYSE:NLY), based in New York, New York. It finances mortgages and other similar loan products and represents 16% of the fund. Starwood Property Trust (NYSE:STWD) provides commercial and residential loan servicing and represents 11% of the fund. Finally, AGNC Investment (NASDAQ:AGNC), located in Bethesda, Maryland, operates as a provider of primarily residential mortgage-backed securities. It composes 9% of the total fund. Vanguard Real Estate Fund ETF (VNQ) Source: Shutterstock Vanguard Real Estate Fund ETF (NYSEARCA:VNQ) is the largest real estate investment fund based on assets under management. It tracks The MSCI US Investable Market Real Estate 25/50 Index. They have an expose ratio of 0.12% and were created on Sept. 23, 2004. This ETF is focused on a wide range of real estate investment companies. They have $28.1 billion in assets under management and have a single-month average volume of just over 6 million. They have a dividend yield of approximately 4.80% on an annual basis. The fund carries 160 separate holdings and the top three for this ETF include Prologis (NYSE:PLD), an industrial real estate investment trust that owns and leases large-scale logistic facilities in nearly 20 countries. They make up 7% of the fund. Next is American Tower (NYSE:AMT), a company that invests in telecom infrastructure and comprises 6% of the fund. Lastly, Equinix (NASDAQ:EQIX) is a leading provider in data center real estate; it composes 5% of the total fund. iShares Core U.S. REIT ETF (USRT) Source: Shutterstock Lastly, iShares Core REIT ETF (NYSEARCA:USRT) is a fund that tracks the FTSE Nareit Equity REITS Index. It’s among the REIT ETFs BlackRock Financial Management handles, created on May 1, 2007. The fund’s goal is to have diversified exposure to the real estate market and focus on long-term potential returns. Their expense ratio is approximately 0.08%, and they offer an annual dividend payout of 3.70%. It has a one-month average volume of 429,000 and $2 billion in assets under management. This ETF has 135 holdings and the top three include the aforementioned Prologis and Equinox, and Welltower (NYSE:WELL), an REIT that specializes in the investment of health care infrastructure, which makes up 5% of the fund. As of this writing, Noah Bolton did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Noah has about a year of freelance writing experience. He’s worked with Investopedia dealing with topics such as the stock market and financial news. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 REIT ETFs to Buy for Massive Long-Term Gains appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-21	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. BOOK/MARKET RATIO: PASS RETURN ON ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS RETURN ON ASSETS VARIANCE: PASS SALES VARIANCE: PASS ADVERTISING TO ASSETS: FAIL CAPITAL EXPENDITURES TO ASSETS: FAIL RESEARCH AND DEVELOPMENT TO ASSETS: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School. Additional Research Links Top NASDAQ 100 Stocks Factor-Based ETF Portfolios Harry Browne Permanent Portfolio Ray Dalio All Weather Portfolio High Shareholder Yield Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-20	AMT	Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares U.S. Real Estate ETF (Symbol: IYR) where we have detected an approximate $110.3 million dollar inflow -- that's a 4.1% increase week over week in outstanding units (from 32,750,000 to 34,100,000). Among the largest underlying components of IYR, in trading today Prologis Inc (Symbol: PLD) is down about 0.1%, American Tower Corp (Symbol: AMT) is up about 0.4%, and Equinix Inc (Symbol: EQIX) is higher by about 0.4%. For a complete list of holdings, visit the IYR Holdings page » The chart below shows the one year price performance of IYR, versus its 200 day moving average: Looking at the chart above, IYR's low point in its 52 week range is $72.88 per share, with $96.02 as the 52 week high point — that compares with a last trade of $81.76. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. Click here to find out which 9 other ETFs had notable inflows » Also see: Mergers and Acquisitions Funds Holding F5 Institutional Holders of QVCB The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-20	AMT	Lots of people think that they'd love being a real estate investor, buying and renting out properties. It can seem like easy money, with all those rent checks rolling in. But you generally need to have a fair amount of money in order to buy property in the first place -- a down payment, at least. And there are downsides to being a property owner, too: You can't just sell half the building when you need money. You might lose money when the unit is empty between tenants. You'll still be on the hook for taxes, insurance, maintenance, and repairs, too. Fortunately, there's a much easier way to invest in real estate: Via real estate investment trusts (REITs). You don't even have to find and invest in the perfect REIT, because you can invest in many via a REIT-focused exchange-traded fund (ETF). Here's a look at what REITs and ETFs are, along with a few exemplary ETFs to consider. Image source: Getty Images. What's a REIT? A REIT is a company that invests in real estate. So, by investing in one, you can be a real estate investor -- without any headaches related to owning properties on your own. A REIT will typically own many, many properties, leasing them out (often with long-term contracts) and collecting rental payments. REITs will typically focus on a particular segment of the real estate market -- such as apartments, medical properties, warehouses, retail outlets, storage facilities, industrial buildings, and so on. REITs trade like regular stocks, and by law, they're required to pay out at least 90% of their income to shareholders. Thus, many of them sport attractive dividend yields. Sounds good, right? What's an ETF? You can definitely read up on REITs and select the most promising ones in which to invest your money. But that takes time, energy, and some stock evaluation skills. So consider this alternative: Invest in REITs via one or more ETFs. An ETF is essentially a mutual fund-like investment that trades like a stock. As with stocks, you can buy or sell as little as a single share at a time. An ETF's value is based on the values of its holdings, and it will fluctuate throughout a trading day. An ETF will contain a range of securities, such as stocks and/or bonds. Many ETFs are broad-market index funds, tracking, for example, the S&P 500 index. Many others have narrower focuses, such as a particular region in the world, companies of a certain size, or companies within a certain industry -- such as real estate. Solid REIT ETFs to consider Below, for your consideration, are a few solid ETFs that are focused on REITs. There are many others out there, of course. Whether you give some thought to these or others, be sure to pay attention to their "expense ratio," which is essentially the annual fee. You might also compare these funds' five-year average annual gain to that of the FTSE NAREIT All Equity REITs Index, a good benchmark index for the industry. Over the past five years, the index has averaged annual gains of 2.2%. That's not an exciting return, but few industries will post terrific returns in every five-year period. The Vanguard ETF below, for example, averaged annual gains of 10.75% over the past 15 years. It's worth checking out the longer-term performance of any ETF of interest -- and not counting on any representative return to be very predictive of future returns. ETF EXPENSE RATIO RECENT DIVIDEND YIELD 5-YEAR AVERAGE ANNUAL GAIN Invesco S&P 500 Equal Weight Real Estate ETF (RSPR) 0.40% 3.91% 3.87% iShares Core US REIT ETF (USRT) 0.08% 3.69% 2.24% Real Estate Select Sector SPDR (XLRE) 0.10% 3.95% 3.91% Vanguard Real Estate ETF (VNQ) 0.12% 2.91%* 2.21% Shares U.S. Real Estate ETF (IYR) 0.40% 3.51% 3.20% JPMorgan Realty Income ETF (JPRE) 0.50% 3.63% 3.31% Source: Morningstar.com. Vanguard has listed this recent adjusted effective yield instead of a more typical 30-day SEC yield. As an example of what you'll find when you peek under an ETF's hood, know that the Vanguard Real Estate ETF encompasses more than 150 different holdings. Its top 10 make up 47% of its total assets, and its top three holdings are Prologis (focused on logistics properties such as warehouses, with a 7.5% weighting), American Tower (focused on communications properties, 5.55%), and Equinix (focused on digital infrastructure, 4.9%). Other REIT ETFs will be somewhat similar, typically with dozens or even hundreds of different holdings. Remember, too, that each REIT will generally own gobs of properties. Here's how American Tower describes itself, for example: "Our global portfolio includes nearly 225,000 communications sites, including nearly 43,000 properties in the United States and Canada and nearly 182,000 properties internationally." Think about your overall portfolio and about how much of your assets you want to have in real estate. You might spread that sum across a few different REIT ETFs -- and then let those underlying REITs do all the investing in properties and the collecting of rents, sharing most of their wealth with you. 10 stocks we like better than Walmart When our analyst team has an investing tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. They just revealed what they believe are the ten best stocks for investors to buy right now... and Walmart wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of 11/6/2023 Selena Maranjian has positions in American Tower. The Motley Fool has positions in and recommends American Tower, Equinix, Prologis, and Vanguard Specialized Funds-Vanguard Real Estate ETF. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-20	AMT	All of the three widely followed indexes closed out last week with gains. The tech-heavy Nasdaq Composite, the S&P 500 and the Dow Jones Industrial Average jumped 2.4%, 2.2% and 1.9%, respectively, marking three straight weeks of gains. For the S&P 500 and the Dow, it was their longest weekly gaining streak since July. For the Nasdaq, it marked the longest winning streak since June. Thanks to the gradual decline in gasoline prices, the consumer price index numbers for October came in cooler than expected. This could convince the Fed that no further rate hikes are required. In recent weeks, investors are shrugging off hawkish comments coming in from Fed officials, believing that the economy may have reached the end of the rate-hike cycle. The consumer-side inflation numbers only fuel that sentiment further. Treasury yields have also been coming down from the 16-year highs seen a few weeks ago, boosting investor morale. On Friday, the U.S 10-Year Treasury Note yielded its lowest in about two months. Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market. As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action. Here are some of our key achievements: eGain and Ferguson Surge Following Zacks Rank Upgrade Shares of eGain Corporation EGAN have gained 13.9% (versus the S&P 500’s 1.3% increase) since it was upgraded to a Zacks Rank #1 (Strong Buy) on September 20. Another stock, Ferguson plc FERG, which was upgraded to a Zacks Rank #2 (Buy) also on September 20, has returned 8.1% (versus the S&P 500’s 1.3% increase) since then. Zacks Rank, our short-term rating system, has earnings estimate revisions at its core. Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. A hypothetical portfolio of Zacks Rank #1 (Strong Buy) stocks returned +12.02% this year (through September 4th) vs. +18.2% for the S&P 500 index and +7.6% for the equal-weight S&P 500 index. The portfolio of Zacks Rank #1 stocks is an equal-weight portfolio, while the S&P 500 index is a market-cap-weighted index that has been notably distorted by the strong recent performance of mega-cap stocks. We are not trying to cherry-pick here. But since this Zacks Model portfolio, consisting of Zacks Rank #1 stocks, is an equal-weight portfolio, the equal-weight S&P 500 index is the appropriate benchmark for comparison. Looked at this way, this portfolio has outperformed the index this year. The Zacks Model Portfolio - consisting of Zacks Rank #1 stocks – has outperformed the S&P index by more than 13 percentage points since 1988 (Through September 4th, 2023, the Zacks # 1 Rank stocks has generated an annualized return of +24.17% since 1988 vs. +10.82% for the S&P 500 index).You can see the complete list of today’s Zacks Rank #1 stocks here >>> Check eGain’s historical EPS and Sales here>>> Check Ferguson’s historical EPS and Sales here>>> Image Source: Zacks Investment Research Zacks Recommendation Upgrades Installed Building Products and G-III Apparel Higher Shares of Installed Building Products, Inc. IBP and G-III Apparel Group, Ltd. GIII have advanced 15.8% (versus the S&P 500’s 4.3% rise) and 11.8% (versus the S&P 500’s 1% rise) since their Zacks Recommendation was upgraded to Outperform on September 25 and September 19, respectively. While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions. The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model. To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>> Zacks Focus List Stocks Shopify, Uber Shoot Up Shares of Shopify Inc. SHOP, which belongs to the Zacks Focus List, have gained 23.2% over the past 12 weeks. The stock was added to the Focus List on September 6, 2022. Another Focus-List holding, Uber Technologies, Inc. UBER, which was added to the portfolio on August 16, 2019, has returned 21.8% over the past 12 weeks. The S&P 500 has advanced 3.2% over this period. The 50-stock Zacks Focus List model portfolio returned +22.3% in 2023 (through July 31st) vs. +20.6% for the S&P 500 index and +10.5% for the equal-weight S&P 500 index. In 2022, the portfolio produced -15.2% vs. the S&P 500 index’s -17.96%. Since 2004, the Focus List portfolio has produced an annualized return of +11.27% through July 31st, 2023. This compares to a +9.65% annualized return for the S&P 500 index in the same time period. On a rolling one-, three- and five-year bases, the Zacks Focus List returned +21.76%, +16.33%, and +12.54% vs. +12.99%, +13.71% and +12.19% for the S&P 500 index, respectively. Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >> Zacks ECAP Stocks Fair Isaac and Intuit Make Significant Gains Fair Isaac Corporation FICO, a component of our Earnings Certain Admiral Portfolio (ECAP), has jumped 23.1% over the past 12 weeks. Intuit Inc. INTU has followed Fair Isaac with 12.4% returns. ECAP, which consists of 30 concentrated, ultra-defensive, long-term Buy-and-Hold stocks, has returned +6.67% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -4.7% in 2022 versus the S&P 500 Index’s -17.96%. With little to no turnover and annual rebalance periodicity, the ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500. The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo. Zacks ECDP Stocks American Tower and Fastenal Outperform Peers American Tower Corporation AMT, which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 11.6% over the past 12 weeks. Another ECDP stock, Fastenal Company FAST, has climbed 7.6% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid heightened market volatility contributed to this performance. Check American Tower’s dividend history here>>> Check Fastenal’s dividend history here>>> With an extremely low Beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk. ECDP has returned +0.18% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -2.3% in 2022 versus -17.96% for the S&P 500 Index and -8.34% for the ProShares S&P 500 Dividend Aristocrats ETF NOBL. Click here to access this portfolio on Zacks Advisor Tools. Zacks Top 10 Stocks — Fabrinet Delivers Solid Returns Fabrinet FN, from the Zacks Top 10 Stocks for 2023, has surged 33.5% year to date, which compares to a 19% gain for the S&P 500 Index. The portfolio returned +16.16% through the end of July 2023 vs. +20.64% for the S&P 500 index and +10.73% for the equal-weighted version of the index. The portfolio returned -15.8% in 2022 vs. -18.1% for the S&P 500 index. Since 2012, the Top 10 portfolio has generated an annualized return of +22.78% vs. +13.65% for the S&P 500 index. Since the start of 2012 through July 31, 2023, the Zacks Top 10 Stocks have produced a cumulative return of +977.47% vs. +340.35% cumulative return for the S&P 500 index. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows. It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Fastenal Company (FAST) : Free Stock Analysis Report Intuit Inc. (INTU) : Free Stock Analysis Report G-III Apparel Group, LTD. (GIII) : Free Stock Analysis Report Fair Isaac Corporation (FICO) : Free Stock Analysis Report Fabrinet (FN) : Free Stock Analysis Report eGain Corporation (EGAN) : Free Stock Analysis Report Installed Building Products, Inc. (IBP) : Free Stock Analysis Report Shopify Inc. (SHOP) : Free Stock Analysis Report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Uber Technologies, Inc. (UBER) : Free Stock Analysis Report Ferguson plc (FERG) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-17	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhibit characteristics associated with sustained future growth. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. BOOK/MARKET RATIO: PASS RETURN ON ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS: PASS CASH FLOW FROM OPERATIONS TO ASSETS VS. RETURN ON ASSETS: PASS RETURN ON ASSETS VARIANCE: PASS SALES VARIANCE: PASS ADVERTISING TO ASSETS: FAIL CAPITAL EXPENDITURES TO ASSETS: FAIL RESEARCH AND DEVELOPMENT TO ASSETS: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Partha Mohanram Partha Mohanram Portfolio About Partha Mohanram: Sometimes the best investing strategies don't come from the world of investing. Sometimes research that changes the investing world can come from the halls of academia. Partha Mohanram is a great example of this. While academic research has shown that value investing works over time, it has found the opposite for growth investing. Mohanram turned that research on its head by developing a growth model that produced significant market outperformance. His research paper "Separating Winners from Losers among Low Book-to-Market Stocks using Financial Statement Analysis" looked at the criteria that can be used to separate growth stocks that continue their upward trajectory from those that don't. Mohanram is currently the John H. Watson Chair in Value Investing at the University of Toronto and was previously an Associate Professor at the Columbia Business School. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-16	AMT	Investors in American Tower Corp (Symbol: AMT) saw new options begin trading today, for the July 2024 expiration. One of the key inputs that goes into the price an option buyer is willing to pay, is the time value, so with 246 days until expiration the newly trading contracts represent a potential opportunity for sellers of puts or calls to achieve a higher premium than would be available for the contracts with a closer expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AMT options chain for the new July 2024 contracts and identified one put and one call contract of particular interest. The put contract at the $195.00 strike price has a current bid of $14.40. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $195.00, but will also collect the premium, putting the cost basis of the shares at $180.60 (before broker commissions). To an investor already interested in purchasing shares of AMT, that could represent an attractive alternative to paying $197.24/share today. Because the $195.00 strike represents an approximate 1% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 7.38% return on the cash commitment, or 10.96% annualized — at Stock Options Channel we call this the YieldBoost. Below is a chart showing the trailing twelve month trading history for American Tower Corp, and highlighting in green where the $195.00 strike is located relative to that history: Turning to the calls side of the option chain, the call contract at the $200.00 strike price has a current bid of $16.40. If an investor was to purchase shares of AMT stock at the current price level of $197.24/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $200.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 9.71% if the stock gets called away at the July 2024 expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AMT shares really soar, which is why looking at the trailing twelve month trading history for American Tower Corp, as well as studying the business fundamentals becomes important. Below is a chart showing AMT's trailing twelve month trading history, with the $200.00 strike highlighted in red: Considering the fact that the $200.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 8.31% boost of extra return to the investor, or 12.34% annualized, which we refer to as the YieldBoost. Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $197.24) to be 27%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com. Top YieldBoost Calls of Stocks Analysts Like » Also see: Highest Yield Preferreds ACRE Insider Buying Institutional Holders of FDIS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-15	AMT	American Tower Corp (Symbol: AMT) has been named a Top Socially Responsible Dividend Stock by Dividend Channel, signifying a stock with above-average ''DividendRank'' statistics including a strong 3.3% yield, as well as being recognized by prominent asset managers as being a socially responsible investment, through analysis of social and environmental criteria. Environmental criteria include considerations like the environmental impact of the company's products and services, as well as the company's efficiency in terms of its use of energy and resources. Social criteria include elements such as human rights, child labor, corporate diversity, and the company's impact on society — for instance, taken into consideration would be business activities tied to weapons, gambling, tobacco, and alcohol. According to the ETF Finder at ETF Channel, American Tower Corp is a member of both the iShares MSCI USA ESG Select ETF (SUSA), making up 0.46% of the underlying holdings of the fund, as well as the iShares MSCI KLD 400 Social Index Fund ETF (DSI), where AMT makes up 0.43% of the underlying holdings of the fund. The annualized dividend paid by American Tower Corp is $6.48/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 10/10/2023. Below is a long-term dividend history chart for AMT, which the DividendRank report stressed as being of key importance. Indeed, studying a company's past dividend history can be of good help in judging whether the most recent dividend is likely to continue. AMT operates in the REITs sector, among companies like Prologis Inc (PLD), and Welltower Inc (WELL). Top 25 Socially Responsible Dividend Stocks — Income To Feel Good About » Also see: Split History Institutional Holders of DXGE Funds Holding UMBF The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-14	AMT	"It's the economy, stupid," is a maxim of long-standing in the political world. It's also front of mind for many investors in real estate investment trusts (REITs), as evidenced by the dramatic upswings of many stocks in the sector on Tuesday. There was some highly encouraging news about inflation, and the market reacted accordingly and strongly. Many REITs booked notable gains on the day, no matter what niche or niches they specialize in. Realty Income (NYSE: O) closed nearly 5% higher in price, while American Tower (NYSE: AMT) and Sun Communities (NYSE: SUI) both rose by nearly 6%. Stag Industrial (NYSE: STAG) and W.P. Carey (NYSE: WPC) moved higher by 4.6% and 3.3%, respectively. Inflation came in lower than expected There was little consequential news from any of those five REITs (or any prominent company in the sector, come to think of it). Rather, the bullishness was due to the latest inflation data from the federal government's Labor Department. It revealed that consumer prices were more or less flat in October month over month, while the year-over-year rise from the previous October, 3.2%, was lower than the 3.7% of September. Drilling down a bit, core inflation (which strips out relatively volatile food and energy prices) moved up by 2.8% year over year. That was well down from the 5.1% we experienced in the first five months of this year. The October figures were lower than the consensus estimates from economists. All of this increases the chances that the Federal Reserve will not raise interest rates, at least in the proximate future. It has been an aggressive raiser over the past few years, spurred by a desire to dampen the inflation that has plagued the U.S. economy since the pandemic. A pause in interest rate increases (or even, eventually, perhaps a reversal) is a clear benefit to any business in or adjacent to real estate. Investing in property is expensive, which is why real estate in general and REITs in particular rely so heavily on debt financing. With rates turning steady ahead -- or, again, even potentially declining -- they won't have to pay more for the credit they need to build, acquire, or maintain properties. A broad rally throughout the REIT sector That's why Tuesday's REIT rally was indiscriminate, benefiting operators that concentrate on retail properties (Realty Income), warehouses (Stag Industrial), communications infrastructure (American Tower), or basically any other niche in the sector. Is the surge likely to continue? I would imagine not, as news items tend to provide very short-term pops to stock prices. Yet the inflation figures made for very positive and encouraging news that brightens the outlook for nearly every title in the REIT sector. Now is a good time to be invested there. 10 stocks we like better than Realty Income When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Realty Income wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of November 6, 2023 Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends American Tower, Realty Income, Stag Industrial, and Sun Communities. The Motley Fool recommends W. P. Carey. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-13	AMT	American Tower Corporation AMT, through its Africa operations (ATC Africa), is set to make significant strides in improving wireless connectivity in Nigeria via an agreement with MTN Nigeria. The recently announced collaboration highlights AMT's commitment to sustainability and responsible business practices while expanding its presence in the African market. Under the terms of this agreement, starting in the second half of 2024, ATC Africa is set to facilitate new tenancies for MTN Nigeria over a multi-year period. Leveraging its extensive portfolio of more than 8,000 sites in Nigeria, a considerable portion of which already integrates green energy solutions, ATC Africa is poised to play a pivotal role in meeting MTN Nigeria's evolving site requirements. Additionally, the agreement involves the deployment of new sites adhering to ATC Africa's green site specifications, reinforcing a commitment to sustainable business practices. According to Marek Busfy, the senior vice president and CEO of ATC Africa, “We believe this agreement, which secures incremental lease-up on our existing portfolio and a strong development pipeline, clearly demonstrates the differentiated value ATC Africa can provide its customers through our quality of assets, leading build-to-suit capabilities, and best-in-class Power-as-a-Service and green site offerings." AMT continues focusing on macro-tower investment opportunities and gaining scale in attractive global markets. It has built more than 45,000 international sites since it began expanding internationally. Around 8,000 of these sites have been built in Africa as carriers continue to invest in their network coverage and densification needs. Further, in the nine months ended Sep 30, 2023, it purchased 69 communications sites and other communications infrastructure assets in the United States, Canada, France, Poland and Spain for $65.7 million. Moreover, in 2022, AMT acquired and constructed roughly 7,405 communications sites globally. Its 2021 acquisition of Telxius’ European and Latin American tower divisions, consisting of around 31,000 communications sites in Argentina, Brazil, Chile, Germany, Peru and Spain, has offered a significant scale in these attractive markets, diversifying its footprint with the strong, primarily tier-1, multinational tenant base. The advancement in mobile technology, such as 4G and 5G, and the proliferation of bandwidth-intensive applications propel growth in mobile data usage globally. Moreover, the advent of next-generation technologies, including edge computing functionality, autonomous vehicle networks and the Internet of Things, and the rampant usage of network-intensive applications for video conferencing and cloud services and hybrid-working scenarios have rapidly increased wireless connectivity usage. Amid this, wireless service providers and carriers have been deploying additional equipment for existing networks to enhance network coverage and capacity. Given its portfolio of nearly 225,000 communication sites worldwide and the unmatched geographic diversification of its sites, American Tower is strategically positioned to capture incremental demand from global 4G and 5G deployment efforts, growing wireless penetration and spectrum auctions. In the third quarter of 2023, the company recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. In the nine months ended Sep 30, 2023, revenues from the property segment and adjusted EBITDA increased by 5.2% and 7.9%, respectively, on a year-over-year basis. However, customer concentration and high interest rates pose key concerns for AMT. Shares of this Zacks Rank #3 (Hold) company have risen 8.6% in the past month against the industry’s decline of 1.3%. Image Source: Zacks Investment Research Stocks to Consider Some better-ranked stocks from the REIT sector are Welltower WELL, Iron Mountain Incorporated IRM and Boston Properties BXP, each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for Welltower’s current-year funds from operations (FFO) per share has moved marginally northward over the past week to $3.58. The Zacks Consensus Estimate for Iron Mountain’s 2023 FFO per share has moved marginally upward in the past three months to $3.97. The Zacks Consensus Estimate for Boston Properties’ ongoing year’s FFO per share has been raised marginally over the past two months to $7.30. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 4 Oil Stocks with Massive Upsides Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold." Zacks Investment Research has just released an urgent special report to help you bank on this trend. In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations. Download your free report now to see them. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Iron Mountain Incorporated (IRM) : Free Stock Analysis Report Boston Properties, Inc. (BXP) : Free Stock Analysis Report Welltower Inc. (WELL) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-13	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: FAIL QUALITY AND DEBT: FAIL VALUATION: FAIL RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-10	AMT	American Tower Corporation’s AMT extensive and geographically diversified communication real estate portfolio positions it well to ride the growth curve amid rising capital spending by wireless carriers on the incremental demand from global 4G and 5G deployment efforts. Its expansionary efforts and disciplined capital-allocation strategy augur well for long-term growth. However, customer concentration and high interest rates pose key concerns for the company. What’s Aiding It? With the advancement in mobile technology, such as 4G and 5G networks and the proliferation of bandwidth-intensive applications, mobile data usage has increased significantly globally. The excessive use of network-intensive applications for video conferencing, cloud services and hybrid-working scenarios is likely to fuel the rise. This has led to greater capital spending by wireless carriers on the back of incremental demand from global 4G and 5G deployment efforts, growing wireless penetration and spectrum auctions, driving demand for AMT’s wireless communication infrastructure. This upbeat trend is likely to continue in the upcoming period, boosting demand for the company’s assets and driving healthy leasing activity. American Tower has a solid track record of delivering healthy performance due to the robust demand for its global macro-tower-oriented asset base. It has witnessed strong growth in key financial metrics while continuing platform expansion. In the third quarter of 2023, the company recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. In the nine months ended Sep 30, 2023, revenues from the property segment and adjusted EBITDA increased by 5.2% and 7.9%, respectively, on a year-over-year basis. Between 2012 and 2022, American Tower’s revenues from the property segment and adjusted EBITDA grew at CAGRs of 14.1% and 13.4%, respectively. Amid secular growth trends in the wireless industry, healthy performance is expected to continue in 2023, with management projecting property revenues and adjusted EBITDA growth of 4.5% and 6.1%, respectively, at the midpoint. To capitalize on the secular trends of the industry, AMT is consistently focusing on macro-tower investment opportunities and expansionary efforts across global markets. It has built more than 45,000 international sites since it began expanding internationally. Around 8,000 of these sites have been built in Africa as carriers continue to invest in their network coverage and densification needs. In the nine months ended Sep 30, 2023, it purchased 69 communications sites, as well as other communications infrastructure assets, in the United States, Canada, France, Poland and Spain for $65.7 million. Apart from having a robust operating platform, American Tower has ample liquidity to support its debt servicing. Its consistent adjusted EBITDA margins and revenue growth, as well as its favorable return on invested capital, indicate strength in its underlying core business and support its ability to manage its near-term obligations. The company's net leverage ratio for the third quarter of 2023 was 5.0. As of Sep 30, 2023, the company had $9.7 billion in total liquidity. In addition, with a weighted average remaining debt term of 6.1 years, it has decent financial flexibility. American Tower has a disciplined capital allocation strategy and remains committed to increasing shareholder value through regular dividend hikes. In September 2023, it announced a 3.2% hike in its quarterly dividend on the company’s common stock to $1.62 per share from $1.57 paid out earlier. The company has consistently increased its quarterly dividends since 2012 and its average annual dividend per share has grown more than 20% since then. In the last five years, American Tower has increased its dividend 19 times and the annualized dividend growth rate for this period is 15.10%. This is attractive to income investors and represents a steady income stream. Check American Tower’s dividend history here. What’s Hurting It? Customer concentration is high for American Tower, with the company’s top three customers in terms of property revenues for third-quarter 2023 being T-Mobile (17%), AT&T (13%) and Verizon Wireless (12%). The loss of any of these customers, consolidation among them or reduction in network spending leads to a material impact on the company’s top line. The elevated churn is a concern in emerging markets where the company operates. The merger between T-Mobile and Sprint, which closed in April 2020, resulted in tower site overlap for American Tower. During the nine months ended Sep 30, 2023, the churn was roughly 3% of its tenant billings, mainly driven by the churn in its U.S. & Canada property segment. Given the contractual lease cancellations and non-renewals by T-Mobile, including legacy Sprint Corporation leases, management expects the churn rate in its U.S. & Canada property segment to remain elevated for several years through 2025. A high interest rate environment is a concern for American Tower. Essentially, the elevated rates imply a higher borrowing cost for the company, which will affect its ability to purchase or develop real estate. The company has a substantial debt burden and its total consolidated debt as of Sep 30, 2023, was approximately $38.6 billion. Moreover, with high interest rates in place, the dividend payout might seem less attractive than the yields on fixed-income and money market accounts. Shares of this Zacks Rank #3 (Hold) company have gained 9.8% in the past month against the industry’s decline of 0.9%. Image Source: Zacks Investment Research Stocks to Consider Some better-ranked stocks from the REIT sector are Welltower WELL, Iron Mountain Incorporated IRM and Boston Properties BXP, each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for Welltower’s current-year funds from operations (FFO) per share has moved marginally northward over the past month to $3.57. The Zacks Consensus Estimate for Iron Mountain’s 2023 FFO per share has moved marginally upward in the past three months to $3.97. The Zacks Consensus Estimate for Boston Properties’ ongoing year’s FFO per share has been raised marginally over the past two months to $7.30. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time. This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock and 4 Runners Up >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Iron Mountain Incorporated (IRM) : Free Stock Analysis Report Boston Properties, Inc. (BXP) : Free Stock Analysis Report Welltower Inc. (WELL) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-10	AMT	Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares Russell Top 200 Growth ETF (Symbol: IWY) where we have detected an approximate $426.8 million dollar inflow -- that's a 5.8% increase week over week in outstanding units (from 46,000,000 to 48,650,000). Among the largest underlying components of IWY, in trading today Uber Technologies Inc (Symbol: UBER) is up about 2.8%, American Tower Corp (Symbol: AMT) is down about 0.8%, and Lam Research Corp (Symbol: LRCX) is higher by about 2.2%. For a complete list of holdings, visit the IWY Holdings page » The chart below shows the one year price performance of IWY, versus its 200 day moving average: Looking at the chart above, IWY's low point in its 52 week range is $117.31 per share, with $165.41 as the 52 week high point — that compares with a last trade of $161.70. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. Click here to find out which 9 other ETFs had notable inflows » Also see: AMWD Price Target Top Ten Hedge Funds Holding FCFP SWBI Dividend History The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-06	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips 5G stocks aren’t just riding the wave of a technology trend, they’re at the helm of a revolution in the communications sphere. Think of 5G as the transformative step from the slide rule to the personal computer, a robust paradigm shift. With speeds almost 100 times faster than 4G and a tenfold increase in connectivity potential, 5G is redefining the tech sphere with aplomb. It slashes latency, a critical factor for seamless data transfer, by 90%, ushering in a powerful new era of innovation and efficiency. That leap in capability paves the way for advancements across various sectors from mobile communications and automotive tech to the Internet of Things. Moreover, with Markets and Markets projecting a leap in 5G-generated annual sales to $331.1 billion by 2027, the trajectory for 5G stocks remains crystal clear. Qualcomm (QCOM) Source: Akshdeep Kaur Raked / Shutterstock.com In the competitive semiconductor space, Qualcomm (NASDAQ:QCOM) emerges as a key player, especially in the burgeoning 5G realm. Its powerful innovations serve as a critical element in the deployment of advanced 5G networks, typically described as the framework underpinning the seamless operation of wireless internet. Despite the headwinds in the global tech space, the company’s fourth-quarter earnings per share of $2.02 surpassed the street’s forecast by 11 cents, a testament to its resilient business model. Interestingly, this comes at a time when revenues dipped 24% year-over-year to $8.67 billion yet still edged past analyst estimates by roughly $146 million. Moreover, the automotive sector provided a silver lining with a commendable 15% year-on-year revenue hike to $535 million. Additionally, with a forward dividend yield of 2.67% and a remarkable 21-year streak of dividend growth, Qualcomm demonstrates an attractive income opportunity. Furthermore, trading at a mere 3.29 times forward sales, Qualcomm’s stock presents a discount relative to historical multiples. AT&T (T) Source: ©iStock.com/toxaww AT&T (NYSE:T) is a true titan in the telecom industry, which continues to make waves with its robust 5G network. The company has been steadfast in expanding its infrastructure, a strategic move that effectively places it on the path of the 5G adoption curve, set to benefit from the burgeoning demand for high-speed, reliable wireless service. Consequently, AT&T’s stock witnessed a 10% uptick in value since its third-quarter earnings announcement. The Dallas-based giant surpassed EPS expectations, outperforming estimates by a couple of cents to 64 cents per share. Also, it nudged its revenue up by 1% year-over-year to $30.4 billion, slightly ahead of the $30.2 billion anticipated by analysts. Moreover, AT&T upgraded its free cash flow forecast to $16.5 billion, up from an earlier estimate of $16 billion. Likewise, the company also projected a healthy 7% growth in broadband sales. Additionally, for those with an eye on sturdy returns, AT&T’s impressive dividend yield stands at 7%, marking 27 years of unwavering payouts. American Tower (AMT) Source: Pavel Kapysh / Shutterstock.com As 5G technology fuels a global connectivity revolution, American Tower (NYSE:AMT), a juggernaut among global Real Estate Investment Trusts (REITs), stands firm with its extensive network of cell towers. Despite a double-digit drop in share price this year, AMT is strategically positioned to leverage the predicted $333.01 billion surge in the REIT market over the next five years. Beyond its financials, American Tower’s portfolio of over 225,000 communication sites accentuates its formidable global presence. The third quarter showcased the company’s robust operational performance, exceeding forecasts and raising its average-funds-from-operations per share guidance slightly above analyst expectations. This upward adjustment reflects a steady 0.3% year-on-year growth. Further solidifying investor confidence, American Tower also improved its full-year adjusted EBITDA outlook, forecasting a healthy 5.2% yearly bump. For dividend enthusiasts, AMT’s attractive 3.5% yield, along with over a decade of consistent payout expansion, presents a thrilling case for those banking on the 5G-driven future. On the date of publication, Muslim Farooque did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University. More From InvestorPlace ChatGPT IPO Could Shock the World, Make This Move Before the Announcement Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 5G Takeover: The 3 Tech Titans Leading the Charge in 2024 appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-06	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: FAIL QUALITY AND DEBT: FAIL VALUATION: FAIL RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-06	AMT	All of the three widely followed indexes closed out last week with big gains. The tech-heavy Nasdaq Composite, the S&P 500 and the Dow Jones Industrial Average jumped 6.6%, 5.9% and 5.1%, respectively. For the S&P 500 and Nasdaq, it was their biggest weekly gain since November 2022. For the Dow, the gain surpassed a high last seen in late October of 2022. Stock prices soared on rising hopes that the Fed is finally done with its interest rate hikes to get inflation under control. The jobs report on Friday showed that employers hired fewer workers last month than was expected and added further optimism to investors’ expectations from the Fed. The weakening of the labor market and rising unemployment should deter the central bank from raising the federal funds rate any further. Treasury yields coming down for four straight sessions in the week starting Tuesday also helped. The market is currently immersed in the “bad news is good news” mood. Last week, stocks rose on indications that the economy may be slowing down. Regardless of market conditions, we, here at Zacks, provide investors with unbiased guidance on how to beat the market. As usual, Zacks Research guided investors over the past three months with its time-tested methodologies. Given the prevailing market uncertainty, you may want to look at our feats to prepare better for your next action. Here are some of our key achievements: Hilton and Greystone Housing Surge Following Zacks Rank Upgrade Shares of Hilton Worldwide Holdings Inc. HLT have gained 4.7% (versus the S&P 500’s 3.2% decrease) since it was upgraded to a Zacks Rank #2 (Buy) on August 30. Another stock, Greystone Housing Impact Investors LP GHI, which was upgraded to a Zacks Rank #1 (Strong Buy) on September 1, has returned 3.4% (versus the S&P 500’s 3.4% decrease) since then. Zacks Rank, our short-term rating system, has earnings estimate revisions at its core. Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. A hypothetical portfolio of Zacks Rank #1 (Strong Buy) stocks returned +12.02% this year (through September 4th) vs. +18.2% for the S&P 500 index and +7.6% for the equal-weight S&P 500 index. The portfolio of Zacks Rank #1 stocks is an equal-weight portfolio, while the S&P 500 index is a market-cap-weighted index that has been notably distorted by the strong recent performance of mega-cap stocks. We are not trying to cherry-pick here. But since this Zacks Model portfolio, consisting of Zacks Rank #1 stocks, is an equal-weight portfolio, the equal-weight S&P 500 index is the appropriate benchmark for comparison. Looked at this way, this portfolio has outperformed the index this year. The Zacks Model Portfolio - consisting of Zacks Rank #1 stocks – has outperformed the S&P index by more than 13 percentage points since 1988 (Through September 4th, 2023, the Zacks # 1 Rank stocks has generated an annualized return of +24.17% since 1988 vs. +10.82% for the S&P 500 index).You can see the complete list of today’s Zacks Rank #1 stocks here >>> Check Hilton’s historical EPS and Sales here>>> Check Greystone Housing’s historical EPS and Sales here>>> Zacks Recommendation Upgrades Vistra and ProAssurance Higher Shares of Vistra Corp. VST and ProAssurance Corporation PRA have advanced 15.4% (versus the S&P 500’s 1.8% fall) and 3.6% (versus the S&P 500’s 0.9% fall) since their Zacks Recommendation was upgraded to Outperform on August 24 and August 22, respectively. While the Zacks Rank is our short-term rating system that is most effective over the one- to three-month holding horizon, the Zacks Recommendation aims to predict performance over the next 6 to 12 months. However, just like the Zacks Rank, the foundation for the Zacks Recommendation is trends in earnings estimate revisions. The Zacks Recommendation classifies stocks into three groups — Outperform, Neutral and Underperform. While these recommendations are determined quantitatively, our analysts have the flexibility to override them for the 1100+ stocks they closely follow based on their better judgment of factors such as valuation, industry conditions and management effectiveness than the quantitative model. To access our research reports with Zacks Recommendations for the 1100+ stocks we cover, click here>>> Zacks Focus List Stocks Micron, Adobe Shoot Up Shares of Micron Technology, Inc. MU, which belongs to the Zacks Focus List, have gained 10.9% over the past 12 weeks. The stock was added to the Focus List on December 27, 2016. Another Focus-List holding, Adobe Inc. ADBE, which was added to the portfolio on March 13, 2020, has returned 9.3% over the past 12 weeks. The S&P 500 has declined 2.3% over this period. The 50-stock Zacks Focus List model portfolio returned +22.3% in 2023 (through July 31st) vs. +20.6% for the S&P 500 index and +10.5% for the equal-weight S&P 500 index. In 2022, the portfolio produced -15.2% vs. the S&P 500 index’s -17.96%. Since 2004, the Focus List portfolio has produced an annualized return of +11.27% through July 31st, 2023. This compares to a +9.65% annualized return for the S&P 500 index in the same time period. On a rolling one-, three- and five-year bases, the Zacks Focus List returned +21.76%, +16.33%, and +12.54% vs. +12.99%, +13.71% and +12.19% for the S&P 500 index, respectively. Unlock all of our powerful research, tools and analysis, including the Focus List, Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. Gain full access now >> Zacks ECAP Stocks Fair Isaac and Check Point Software Make Significant Gains Fair Isaac Corporation FICO, a component of our Earnings Certain Admiral Portfolio (ECAP), has jumped 8.3% over the past 12 weeks. Check Point Software Technologies Ltd. CHKP has followed Fair Isaac with 5.3% returns. ECAP, which consists of 30 concentrated, ultra-defensive, long-term Buy and Hold stocks, has returned +6.67% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -4.7% in 2022 versus the S&P 500 Index’s -17.96%. With little to no turnover and annual rebalance periodicity, the ECAP seeks to minimize capital loss by holding shares of companies whose earnings streams exhibit a proven 20+ year track record of surviving recessionary periods with minimal impact on aggregate earnings growth relative to the overall S&P 500. The ECAP and many other model portfolios are available as part of Zacks Advisor Tools, a cloud-based solution to access Zacks award-winning stock, mutual fund and ETF research. Click here to schedule a demo. Zacks ECDP Stocks Fastenal and American Tower Outperform Peers Fastenal Company FAST, which is part of our Earnings Certain Dividend Portfolio (ECDP), has returned 5.3% over the past 12 weeks. Another ECDP stock, American Tower Corporation AMT, has climbed 1.9% over the same time frame. Of course, the inclination of investors toward quality dividend stocks to secure an income stream amid heightened market volatility contributed to this performance. Check Fastenal’s dividend history here>>> Check American Tower’s dividend history here>>> With an extremely low Beta and a history of minimum earnings variability over the last 20+ years, this 25-stock portfolio helps significantly mitigate risk. ECDP has returned +0.18% in 2023 (through June 30) versus +16.90% for the S&P 500 Index. The portfolio returned -2.3% in 2022 versus -17.96% for the S&P 500 Index and -8.34% for the ProShares S&P 500 Dividend Aristocrats ETF NOBL. Click here to access this portfolio on Zacks Advisor Tools. Zacks Top 10 Stocks — Fabrinet Delivers Solid Returns Fabrinet FN, from the Zacks Top 10 Stocks for 2023, has gained 26.8% year to date, which compares to a 14.9% gain for the S&P 500 Index. The portfolio returned +16.16% through the end of July 2023 vs. +20.64% for the S&P 500 index and +10.73% for the equal-weighted version of the index. The portfolio returned -15.8% in 2022 vs. -18.1% for the S&P 500 index. Since 2012, the Top 10 portfolio has generated an annualized return of +22.78% vs. +13.65% for the S&P 500 index. Since the start of 2012 through July 31, 2023, the Zacks Top 10 Stocks have produced a cumulative return of +977.47% vs. +340.35% cumulative return for the S&P 500 index. Zacks Reveals ChatGPT "Sleeper" Stock One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more. Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Fastenal Company (FAST) : Free Stock Analysis Report Check Point Software Technologies Ltd. (CHKP) : Free Stock Analysis Report Micron Technology, Inc. (MU) : Free Stock Analysis Report ProAssurance Corporation (PRA) : Free Stock Analysis Report Adobe Inc. (ADBE) : Free Stock Analysis Report Fair Isaac Corporation (FICO) : Free Stock Analysis Report Fabrinet (FN) : Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT) : Free Stock Analysis Report ProShares S&P 500 Dividend Aristocrats ETF (NOBL): ETF Research Reports Vistra Corp. (VST) : Free Stock Analysis Report Greystone Housing Impact Investors LP (GHI) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-06	AMT	A myriad of headwinds has hampered American Tower (NYSE: AMT) this year. As a result, the infrastructure-focused real estate investment trust (REIT) is only on track to grow its adjusted funds from operations (FFO) by 0.3% per share. That's a dramatic deceleration for a company that had been growing at a double-digit annual pace over the past decade. It has put a lot of downward pressure on the stock, which has lost nearly 20% of its value from its peak. However, while a few things are currently holding the company back, those headwinds are beginning to fade. Meanwhile, 5G will provide a robust growth tailwind in the coming years. That drives the company's view that it will grow its tower business at a healthy pace. Unabated growth "The fundamental factor that drives demand for our global tower portfolio, growth in mobile data consumption, continues unabated," stated American Tower CEO Tom Bartlett on the company's third-quarter conference call. He pointed out that "mobile network data traffic has almost doubled over the last two years alone to a staggering 126 exabytes per month." The company expects this to continue. Bartlett stated: "Looking out over the next five years, forecasted growth in data traffic per device remains compelling as more spectrum for 5G networks will be deployed at scale. Average monthly data usage per smartphone across our key developed markets like the U.S., Germany, and Spain is expected to grow at a healthy compounded annual rate of 18% between 2023 and 2028." Growing data usage is increasing the demand for communications infrastructure. That's enabling the infrastructure REIT to add more tenants to its existing towers, driving healthy organic tenant billings growth. That metric was up over 6% during the third quarter across its global tower portfolio. It's also providing the company with opportunities to build more tower sites. The REIT is investing $1.7 billion this year to build new tower sites (primarily overseas) and expand its U.S. data center business. These two drivers will grow the cash flows of its global tower portfolio over the long term. The three stages of 5G American Tower believes the telecom industry is still very early in the 5G network investment cycle. Bartlett commented, "Just as we saw with the 3G and 4G rollouts, we expect the 5G investment cycle to play out in three phases that represent discrete business cases for the carriers, and these three phases will drive two peak periods of spend that are bridged by a temporary phase of more moderate activity." Bartlett pointed out that the U.S. telecom industry spent a record of over $40 billion last year building out their 5G networks. Those investments were coverage-driven. Mobile carriers upgraded existing infrastructure with new spectrum bands and radio technology to provide broad nationwide 5G coverage. The industry is now past the peak of its initial heavy investment phase. However, while spending is moderating, Bartlett stated: "We retain a high degree of conviction that there's a long tail of network investment to come. This belief is predicated on several factors, including our experience with past investment cycles, industry forecast for growth in mobile data consumption that apply a necessity for significant incremental coverage and capacity, and the visibility into network needs we get through our contract structures." He noted that investment spending in the second phase will see mobile carriers focus on harvesting the network efficiency benefits of their initial investment to build out their networks. This investment will enable them to shift the majority of their network traffic to 5G, which the company expects will happen in 2025. While the industry will spend less capital than last year through the early part of this phase, at $35 billion in 2023, it's $5 billion more than the average spending during the 4G investment cycle. Finally, American Tower sees "a third capacity-focused phase aimed at significant densification of 5G networks." That will require even more infrastructure. The industry will need to add additional towers and build smaller cell networks to support more data-intensive applications like higher-resolution video. Not done growing With two more 5G investment phases ahead, American Tower has a lot of growth left in its U.S. tower business. Meanwhile, its international tower business is even earlier in the 5G investment cycle. So, while the REIT's earnings growth rate has slowed to a crawl this year, a reacceleration awaits. That growth potential makes American Tower look like a compelling long-term investment opportunity, especially considering the sell-off in the shares. 10 stocks we like better than American Tower When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Tower wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 30, 2023 Matthew DiLallo has positions in American Tower. The Motley Fool has positions in and recommends American Tower. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-03	AMT	In trading on Friday, shares of American Tower Corp (Symbol: AMT) crossed above their 200 day moving average of $190.79, changing hands as high as $192.41 per share. American Tower Corp shares are currently trading up about 3.4% on the day. The chart below shows the one year performance of AMT shares, versus its 200 day moving average: Looking at the chart above, AMT's low point in its 52 week range is $154.58 per share, with $235.57 as the 52 week high point — that compares with a last trade of $190.49. The AMT DMA information above was sourced from TechnicalAnalysisChannel.com Click here to find out which 9 other dividend stocks recently crossed above their 200 day moving average » Also see: QID Videos SBCF Historical Earnings Yum! Brands shares outstanding history The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-03	AMT	Shares of Jones Lang LaSalle Incorporated JLL — popularly known as JLL — gained 7.01% during the Nov 2 regular trading session on the NYSE, reflecting positive broader market sentiments in response to the Federal Reserve’s decision to keep interest rates unchanged in its latest meeting. However, the real estate operations company reported third-quarter 2023 adjusted earnings per share (EPS) of $2.01, lagging the Zacks Consensus Estimate of $2.35. The reported figure also plunged 40.9% from the prior-year quarter. Results reflect underperformance in the transaction-based businesses, specifically Investment Sales and Debt/Equity Advisory within Capital Markets and Leasing within Markets Advisory, owing to economic uncertainty, elevated interest rates and geopolitical instability in several regions. Nonetheless, the company benefited from the continued strength in its resilient lines of business. Revenues of $5.11 billion, although falling 1.3% from the year-ago quarter’s $5.18 billion, surpassed the Zacks Consensus Estimate of $5.10 billion. The quarterly adjusted EBITDA margin dipped 200 basis points to 11.5% (USD) from the prior-year period. Lower transaction-based revenues and the change in equity earnings/losses, net of carried interest, led to this fall, which was partially offset by the benefit received from recent cost reduction actions. Per Christian Ulbrich, CEO of JLL, “JLL's third-quarter financial results reflected continued focus on diversifying our business. During the quarter, fee revenue expanded across our resilient business lines while the industry-wide slowdown in investment sales and leasing transactions continued. Our investments in technology and the improved efficiency of our operating model position us to expand margins even if a slower transaction environment persists.” Segment-Wise Performance During the third quarter, the Markets Advisory segment’s revenues and fee revenues came in at $992.4 million and $704.0 million, respectively, reflecting a fall of 10.7% and 17% (in USD) year over year. The decline was mainly due to the Leasing segment’s underperformance amid continued economic uncertainty, which has delayed commercial real estate decision-making, particularly for large-scale leasing actions. As a result, lower transaction volume and a decrease in average deal size across almost all asset types, specifically the office sector, hurt the segment’s performance. Revenues and fee revenues for the Capital Markets segment were $435.8 million and $431.4 million, respectively, decreasing 26.8% and 25.5% (in USD) year over year. The fall was mainly due to muted transaction volume compared with 2022 due to economic and interest rate uncertainty. This chiefly affected JLL’s Investment Sales and Debt/Equity Advisory businesses across almost all asset sectors and regions compared with the prior-year quarter. JLL’s Work Dynamics segment reported revenues and fee revenues of $3.51 billion and $497.7 million, respectively, up 6.8% and 9.9% (in USD) year over year. The uptick in revenues and fee growth was broad-based across service lines. Ongoing project execution, predominantly in the U.K., MENA, Italy and Southeast Asia, drove strong Project Management results while an increase in new, global client wins aided Workplace Management’s growth. JLL Technologies segment reported revenues and fee revenues of $58.9 million and $55.6 million, respectively, rising 4.2% and 5.5% (in USD) from the prior-year quarter levels. The growth in solutions and service offerings, largely from existing enterprise clients, supported the uptick. The revenues and fee revenues in the LaSalle segment fell 11.6% and 11.5% (in USD) year over year to $110.1 million and $102.7 million, respectively. The decline was mainly due to subdued transaction volumes, as evidenced by lower incentives and transaction fees. Although real estate valuation decreased over the trailing 12 months, adversely impacting assets under management (AUM), Advisory fee performance remained resilient. As of Sep 30, 2023, LaSalle had $77.7 billion of real estate AUM, down from $$78.2 billion as of Jun 30, 2023. This resulted from decreases in net valuation and foreign currency and dispositions and withdrawals, partially offset by the rise in acquisitions. Balance Sheet JLL exited the third quarter with cash and cash equivalents of $389.5 million, down from $402.5 million as of Jun 30, 2023. As of Sep 30, 2023, the net leverage ratio was 2.2, down from 2.3 as of Jun 30, 2023, but up from 1.1 as of Sep 30, 2022. The corporate liquidity was $2.1 billion as of the third quarter's end. The company repurchased 123,160 shares during the reported quarter for $20.1 million. As of Sep 30, 2023, $1,115.5 million remained authorized for repurchase under the share repurchase program. JLL currently carries a Zacks Rank #5 (Strong Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Jones Lang LaSalle Incorporated Price, Consensus and EPS Surprise Jones Lang LaSalle Incorporated price-consensus-eps-surprise-chart \| Jones Lang LaSalle Incorporated Quote Performance of Other Broader Real Estate Market Stocks CBRE Group Inc.’s CBRE third-quarter 2023 core EPS of 72 cents surpassed the Zacks Consensus Estimate of 65 cents. The quarterly revenues of $7.87 billion also compared favorably with the Zacks Consensus Estimate of $7.63 billion. CBRE’s results reflected growth in its resilient lines of business, led by Global Workplace Solutions (“GWS”). However, on a year-over-year basis, the core EPS declined by 35.7%, while revenues increased 4.5%. Despite growth in GWS and other resilient businesses, commercial real estate capital markets were under significant pressure in the third quarter, leading to a continued slowdown in property sales and debt financing activity. Host Hotels & Resorts, Inc. HST reported adjusted funds from operations (AFFO) per share of 41 cents, outpacing the Zacks Consensus Estimate of 35 cents. Moreover, the figure increased 7.9% from the prior-year quarter. Results reflected higher revenues driven by year-over-year occupancy growth and improvements in group business. HST also raised its 2023 outlook for AFFO per share. American Tower Corporation AMT reported AFFO per share, attributable to AMT common stockholders, of $2.58, beating the Zacks Consensus Estimate of $2.35. The figure climbed 9.3% year over year. Results reflected better-than-anticipated revenues, aided by revenue growth across its Property segment. American Tower recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. It also raised its outlook for 2023. 4 Oil Stocks with Massive Upsides Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold." Zacks Investment Research has just released an urgent special report to help you bank on this trend. In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations. Download your free report now to see them. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Host Hotels & Resorts, Inc. (HST) : Free Stock Analysis Report Jones Lang LaSalle Incorporated (JLL) : Free Stock Analysis Report CBRE Group, Inc. (CBRE) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-02	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips In the ever-evolving financial landscape, 2023 has marked a triumphant return for tech stocks. Bouncing back from notable downturns last year, these stocks are now outpacing the broader market. Even as economic momentum slows, investors are flocking to industries flashing long-term growth potential. Moreover, while the allure of innovation tempts many, there’s a hidden gem in the mix in tech dividend stocks. However, dividend-paying tech stocks paint a slightly different picture, showcasing the industry’s diverse offerings. At its core, tech firms champion transformative solutions, amplifying convenience and productivity. Financial stability, though, remains a concern for some, which is where tech dividend stocks come into play. Oracle (ORCL) Source: Sundry Photography / Shutterstock.com Oracle (NYSE:ORCL) continues to make waves this year, with its stock surging a remarkable 23.5% year-to-date. The tech titan’s prowess in cloud computing solutions, particularly in artificial intelligence (AI), is undeniable. Moreover, its Oracle Cloud Infrastructure (OCI) boasts the industry’s lowest ownership cost, leading many companies to lean on Oracle for crafting and refining AI models. Moreover, a hearty 29% spike in organic cloud sales, driven by stalwarts including OCI Gen 2 and back-office apps, speaks volumes of the company’s market traction. While a revenue shortfall of $20 million in its most recent quarter, analysts were quick to pinpoint the culprits in diminishing licenses and hardware revenue. Additionally, Oracle’s consistent cloud growth and bettering margin landscape reinforces optimism for its fiscal year 2026 goals. Given the infancy of the AI boom, Oracle’s horizon appears vast and luminous. It yields a remarkable 1.6%, with the management primed to build on their 9-year dividend growth legacy. Factor in the bullish stance from TipRanks analysts and a potential 29% stock uptick, and Oracle holds a promising trajectory. Texas Instruments (TXN) Source: Katherine Welles / Shutterstock.com Texas Instruments (NASDAQ:TXN), boasting EBITDA margins soaring above the 49% mark, is a semiconductor giant that’s hard to overlook. Proficiently sailing through the ongoing analog chip slump, TXN remains incredibly resilient and an emblem of innovation. As automation gains momentum, Texas Instruments’ integrated circuits, critical cogs in modern systems, will continue to shine brighter. While many analysts may get entangled in the short-term narrative, Texas Instruments’s gaze is firmly on the horizon. By laying the foundation for wafer fabrication facilities in Texas and Utah, the company is efficiently laying its blueprint for future dominance. Although its third quarter figures wavered due to industry headwinds, its current valuation is tantalizing for long-term investors. Couple this with a 17-year streak of swelling dividends and a juicy 3.67% yield, and TXN stock’s allure is undeniable. With an eye on domestic manufacturing expansion, courtesy of the U.S. Chips Act, and a firm dedication to long-run growth, Texas Instruments emerges as a compelling investment narrative. American Tower (AMT) Source: Pavel Kapysh / Shutterstock.com American Tower (NYSE:AMT) is a unique tech stock specializing as a data center real-estate-investment-trust (REIT). Managing U.S. data centers and an impressive portfolio of more than 226,000 communication sites in 25 countries. Distinctively, while American Tower retains ownership of these tower structures, the tenants maintain their antenna gear, base station, and HVAC. This dual ownership effectively ensures consistent revenue through non-cancellable leases that span five to ten years, which positions at an advantageous position amid the surging demand from 4G, LTE and 5G transitions. The third quarter of 2023 brought good tidings for American Tower, which outpaced expectations on the top and bottom lines. Consequently, it lifted its 2023 adjusted funds from operations (AFFO) per share guidance to a range of $9.72 to $9.85, slightly edging over the average analyst projection of $9.75. This new forecast points to a 0.3% year-on-year growth at its midpoint. Not stopping there, the company also nudged its full-year adjusted EBITDA forecast, hinting at a commendable 5.2% annual bump. Additionally, AMT offers an enticing 3.7% dividend yield with 10 years of payout growth. On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University. More From InvestorPlace The #1 AI Investment Might Be This Company You’ve Never Heard Of Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 3 Dividend-Paying Tech Stocks to Boost Your Portfolio in November appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-02	AMT	The stock market has been wobbly this year. The S&P 500 index gained 18.5% in the first seven months of 2023 but has dropped back to a year-to-date increase of just 9.6% since then. The retreat has made no-brainer buys out of some top-quality stocks, but there are some I still wouldn't touch with a 10-foot pole. An ebbing tide may uncover some hidden treasures, but not every sinking ship can be rescued. Let's take a look at one fantastic company whose stock looks deeply undervalued right now and another that truly belongs in Wall Street's bargain bin -- and should be left there. The undervalued stock to buy in November: American Tower Cell tower and communications infrastructure specialist American Tower (NYSE: AMT) looks incredibly cheap right now. I mean that in a good way, like finding a luxury-brand jacket in a yard sale. The pockets are full of cash, too. The stock is down by 17% in 2023, including a 6% dip since the end of July. In a longer perspective, American Tower shares are trading at prices not seen since February 2019. That's nearly five years' worth of stalled chart squiggles, missing out on a 52% gain in the S&P 500 over the same period. In the meantime, American Tower's robust business just kept growing. Top-line sales are up by 47% in five years. Free cash flow took a dip in 2022 due to slower prepayments from major customers -- understandable amid an inflation-flavored economic crisis. The diminished cash flow was still positive to the tune of $1.8 billion in that softer year -- and closer to $3 billion per year in the other reporting periods. So, American Tower runs an ultra-reliable business tied to multiyear contracts, and its services should be in demand as long as wireless broadcasting and networking are a thing -- in other words, essentially forever. Yet, the stock has been treading water for five years while the business continued growing. It's a no-brainer buy in my book, and we haven't even talked about the generous dividend yield of 3.6% yet. It is to be expected from a real estate investment trust (REIT), which has to distribute at least 90% of its taxable income in the form of dividends to skip paying income taxes. As this cash machine grows, American Tower will keep growing its dividend payouts and stuff billions of dollars straight into shareholders' pockets. And I think it's a good idea to lock in this juicy dividend yield at today's undervalued share price. The risky stock to avoid no matter what: Norwegian Cruise Lines You know that old adage about buying the most affordable home in the best neighborhood you can afford? You can apply that idea to investments as well -- or flip it around to find stocks you should avoid. In this example, the cruise line industry strikes me as a sector to avoid in the long run, and Norwegian Cruise Lines (NYSE: NCLH) is arguably the worst idea in that uncalled-for market. This stock is down by 41% since the end of July, undermined by weak guidance in two earnings reports. First, the cruise sector has been struggling as a whole since the coronavirus crisis kept every ship anchored in 2020. To escape that brutal downturn, they financed their operations with uncomfortable combinations of expensive debt and dilutive stock sales. The best of the best will struggle with these decisions for years to come, especially since annual rates on variable-interest loans have skyrocketed over the last two years. And Norwegian is absolutely not the best investment in this struggling industry. With less than $700 million in cash balanced against $12.6 billion of long-term debt, the company is buckling under the debt load. That wouldn't be so bad if Norwegian generated cash profits, as Royal Caribbean and Carnival Cruise Lines are doing again after a long period of red ink. But this underperformer burned $356 million of free cash in the third quarter. Long story short, I think the cruise industry is full of falling knives that will leave your fingers scarred in the long run if you try to catch them at a low price. And Norwegian Cruise Lines looks more dangerous than its larger and more cash-efficient rivals. I don't recommend investing your hard-earned cash in this risky stock. 10 stocks we like better than American Tower When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Tower wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 30, 2023 Anders Bylund has positions in American Tower. The Motley Fool has positions in and recommends American Tower. The Motley Fool recommends Carnival Corp. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-02	AMT	Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the iShares U.S. Real Estate ETF (Symbol: IYR) where we have detected an approximate $94.8 million dollar outflow -- that's a 3.7% decrease week over week (from 33,700,000 to 32,450,000). Among the largest underlying components of IYR, in trading today Prologis Inc (Symbol: PLD) is up about 3%, American Tower Corp (Symbol: AMT) is up about 2.3%, and Equinix Inc (Symbol: EQIX) is up by about 2.6%. For a complete list of holdings, visit the IYR Holdings page » The chart below shows the one year price performance of IYR, versus its 200 day moving average: Looking at the chart above, IYR's low point in its 52 week range is $72.88 per share, with $96.02 as the 52 week high point — that compares with a last trade of $77.65. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ». Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs. Click here to find out which 9 other ETFs experienced notable outflows » Also see: Advertising Dividend Stocks Funds Holding FVAC Top Ten Hedge Funds Holding HEWC The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-02	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Shareholder Yield Investor model based on the published strategy of Meb Faber. This strategy looks for companies returning cash to shareholders via dividends, buybacks and debt paydown. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 55% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. UNIVERSE: PASS NET PAYOUT YIELD: FAIL QUALITY AND DEBT: FAIL VALUATION: FAIL RELATIVE STRENGTH: PASS SHAREHOLDER YIELD: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Meb Faber Meb Faber Portfolio About Meb Faber: Meb Faber is the founder of Cambria Investments. His research has covered a wide spectrum of the investment world, including topics like shareholder yield, trend following, global asset allocation and home country bias. His shareholder yield strategy, which is based on his book "Shareholder Yield" and forms the basis for an ETF of the same name, looks for companies that are focused on creating value for shareholders by returning cash to them in the form of dividends, share buybacks and debt paydown. Meb is also the author of 4 other books and numerous white papers on investing related topics. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-02	AMT	Iron Mountain Incorporated IRM reported third-quarter adjusted funds from operations (AFFO) per share of 99 cents, missing the Zacks Consensus Estimate by a whisker. Despite solid performance in the storage segment and the data center business, higher interest expenses during the quarter acted as a dampener, partially offsetting AFFO growth. The company reaffirmed its outlook for 2023. Quarterly total revenues of $1.39 billion, too, lagged the Zacks Consensus Estimate of $1.41 billion. On a year-over-year basis, AFFO per share and total revenues increased 1% and 7.9%, respectively. Shares of the company are trending upward in the pre-market trading session today. According to William L. Meaney, president and CEO of Iron Mountain, “We are delighted to have achieved outstanding performance in the third quarter, again resulting in all-time record Revenue and Adjusted EBITDA.” Concurrent with the earnings release, Iron Mountain entered into a definitive agreement to acquire Regency Technologies for an initial purchase price of $200 million, of which $125 million is to be paid at close and the remainder is due in 2025. This represents an EBITDA multiple of around 7.5X. Regency Technologies is a leading provider of IT asset disposition services in the United States, with trailing four-quarter revenues of more than $100 million. The transaction, subject to customary closing conditions, is expected to add operational scale and enhance IRM’s capabilities in Asset Lifecycle Management. Behind the Headlines Storage rental revenues were $858.7 million in the third quarter, up 12.9% year over year. We had estimated quarterly storage rental revenues of $837.3 million. Service revenues increased marginally from the prior-year quarter to $529.5 million. Our estimate was pegged at $569.5 million. The Global Data Center business reported revenues of $127.5 million in the third quarter, rising 27.1% year over year. The adjusted EBITDA rose 6.5% year over year to nearly $500 million. The adjusted EBITDA margin contracted 50 basis points to 36%. However, interest expenses flared up 25.5% year over year to $152.8 million in the quarter. Balance-Sheet Position IRM exited the third quarter with $170.5 million of cash and cash equivalents, up from $149.5 million as of Jun 30, 2023. Dividend Update Concurrently, IRM announced a quarterly cash dividend of 65 cents per share for the fourth quarter of 2023. The dividend will be paid out on Jan 4, 2024, to its shareholders on record as of Dec 15, 2023. 2023 Guidance Iron Mountain issued its outlook for the fourth quarter of 2023 and reaffirmed its guidance for the current year. For the fourth quarter, it expects AFFO per share of $1.05. The Zacks Consensus Estimate presently stands at $1.07. Revenues and adjusted EBITDA are projected to be $1.44 billion and $520 million, respectively. For the full year, the company projects AFFO per share in the range of $3.91-$4.00. The Zacks Consensus Estimate is currently pegged at $3.97, which lies within expectations. Revenues are estimated to be $5,500 -$5,600 million, while adjusted EBITDA is anticipated to be $1,940-$1,975 million. Iron Mountain currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Iron Mountain Incorporated Price, Consensus and EPS Surprise Iron Mountain Incorporated price-consensus-eps-surprise-chart \| Iron Mountain Incorporated Quote Performance of Other REITs American Tower Corporation AMT reported AFFO per share, attributable to AMT common stockholders, of $2.58, beating the Zacks Consensus Estimate of $2.35. The figure climbed 9.3% year over year. Results reflected better-than-anticipated revenues, aided by revenue growth across its Property segment. American Tower recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. It also raised its outlook for 2023. Crown Castle Inc. CCI reported AFFO per share of $1.77, lagging the Zacks Consensus Estimate by a whisker. The reported figure declined 4.3% from the year-ago quarter. Results reflected lower-than-anticipated revenues. Higher interest expense and lower contribution from adjusted EBITDA were undermining factors. While CCI maintained its outlook for 2023, it issued 2024 AFFO per share guidance below the consensus mark. Equinix Inc.’s EQIX third-quarter 2023 AFFO per share of $8.19 surpassed the Zacks Consensus Estimate of $7.79. The figure improved nearly 6% from the prior-year quarter. EQIX’s results reflected steady growth in colocation and inter-connection revenues as enterprises and service providers look to integrate artificial intelligence into their strategies and offerings. During the quarter, Equinix’s total interconnections reached 460,500, rising 1% sequentially and 4% year over year. The company also raised its AFFO per share guidance for 2023. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Names #1 Semiconductor Stock It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom. With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028. See This Stock Now for Free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Iron Mountain Incorporated (IRM) : Free Stock Analysis Report Crown Castle Inc. (CCI) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-01	AMT	Iron Mountain Incorporated IRM is slated to release third-quarter 2023 results on Nov 2, before the opening bell. The quarterly results are likely to display year-over-year revenue growth and funds from operations (FFO) per share. In the last reported quarter, this real estate investment trust (REIT) delivered a surprise of 1.08% in terms of adjusted FFO (AFFO) per share. Its results reflected solid performance in the storage segment and the data center business. Over the trailing four quarters, Iron Mountain’s FFO per share surpassed the Zacks Consensus Estimate on all occasions, the average beat being 2.93%. The graph below depicts this surprise history: Iron Mountain Incorporated Price and EPS Surprise Iron Mountain Incorporated price-eps-surprise \| Iron Mountain Incorporated Quote Factors to Note During the third quarter, Iron Mountain is expected to have benefited from its stable and resilient core storage and records management businesses. Storage rental revenue growth, which accounts for the lion’s share of IRM’s revenues, is likely to have been supported by healthy revenue management and volume trends. The company’s new and existing digital offerings, and healthy demand for traditional services, which comprise charges for related core service activities and a wide array of complementary products and services, are likely to have aided service revenue growth. Moreover, robust demand for connectivity, interconnection and colocation space is likely to have driven healthy data center leasing activity in the quarter, boosting the company’s Global Data Center business quarterly performance. Further, Iron Mountain’s diversified tenant and revenue base across different industries is expected to have led to stable revenues during the quarter. The Zacks Consensus Estimate for storage rental revenues is pegged at $851.4 million, suggesting a 2.5% rise from the prior quarter’s $830.8 million and 12% from the year-ago period’s $760.0 million. Our estimate for quarterly storage rental revenues is pegged at $837.3 million, indicating an increase of 10.1% year over year. The consensus estimate for service revenues is pegged at $557.8 million, indicating a rise of 5.8% from the prior-year quarter’s $527.0 million. We estimate quarterly service revenues to be $569.5 million, implying growth of 8.2% year over year. In the second-quarter 2023 earnings presentation, management projected total revenues to be around $1.4 billion, adjusted EBITDA to approach $500 million, AFFO to be nearly $290 million and AFFO per share to be 99 cents for the third quarter. The consensus estimate for quarterly total revenues is pegged at $1.41 billion, suggesting an increase of 9.5% from the prior-quarter’s reported figure. Nonetheless, given that a major part of the company’s business lies outside the United States, adverse foreign currency exchange rate fluctuations are anticipated to have impeded its quarterly performance to some extent. Also, higher interest expenses are likely to have been a spoilsport. We estimate third-quarter interest expenses to rise 23.6% on a year-over-year basis. The company’s activities during the to-be-reported quarter were inadequate to garner analysts’ confidence. The Zacks Consensus Estimate for the quarterly FFO per share has been unchanged at $1.00 over the past month. However, the figure implies growth of 2.04% from the year-ago quarter’s reported number. What Our Quantitative Model Predicts Our proven model does not conclusively predict an FFO beat for Iron Mountain this time. The right combination of two key ingredients — a positive Earnings ESP and a Zacks Rank #3 (Hold) or higher — increases the odds of a beat. However, that is not the case here. Earnings ESP: IRM has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: IRM currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Performance of Other REITs American Tower Corporation AMT reported AFFO per share, attributable to AMT common stockholders, of $2.58, which beat the Zacks Consensus Estimate of $2.35 and climbed 9.3% year over year. Results reflected better-than-anticipated revenues, aided by revenue growth across its Property segment. American Tower recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. It also raised its outlook for 2023. Equinix Inc.’s EQIX third-quarter 2023 AFFO per share of $8.19 surpassed the Zacks Consensus Estimate of $7.79. The figure improved nearly 6% from the prior-year quarter. EQIX’s results reflected steady growth in colocation and inter-connection revenues as enterprises and service providers look to integrate artificial intelligence into their strategies and offerings. During the quarter, Equinix’s total interconnections reached 460,500, rising 1% sequentially and 4% year over year. The company also raised its AFFO per share guidance for 2023. Healthpeak Properties, Inc. PEAK reported third-quarter 2023 FFO as adjusted per share of 45 cents, beating the Zacks Consensus Estimate by a whisker. The reported figure rose 4.6% from the prior-year quarter. Results reflected better-than-anticipated revenues. Moreover, growth in same-store portfolio cash (adjusted) net operating income was witnessed across the portfolio. The company raised its outlook for the current year. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.3% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Iron Mountain Incorporated (IRM) : Free Stock Analysis Report Healthpeak Properties, Inc. (PEAK) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-01	AMT	With their share prices down 44% and 24% from their all-time highs, American Tower (NYSE: AMT) and Tractor Supply (NASDAQ: TSCO) now offer investors the highest dividend yields they ever have, at 3.7% and 2.1%, respectively. Although a ballooning dividend yield can be dangerous to chase if the company's payouts are not sustainable, that doesn't appear to be the case for these two steady operators. While things are far from perfect for either of these companies -- hence their struggling share prices -- American Tower and Tractor Supply could be two of the smartest dividend stocks to buy now with $400. Here is what makes them so attractive at today's discounted prices. American Tower: When a pause in raising dividends is a good thing As the second-largest real estate investment trust (REIT) in the S&P 500 index, American Tower -- with its 226,000 communications sites -- is arguably one of the most important stocks of our time. Currently, American Tower leases space on its towers out to wireless service providers, radio and TV broadcast stations, and even government agencies. Naturally, Verizon, AT&T, and T-Mobile US are three of the company's largest customers, accounting for around 46% of its total revenue in 2022. This places American Tower's operations in a unique position to benefit from the continued rollout of 5G mobile networks and rapidly rising mobile data consumption. To highlight how powerful the shift to 5G is for American Tower, consider that 5G users consume two to three times more data than their 4G peers. Thanks in part to the wider adoption of 5G, mobile network data has almost doubled in just the last two years. Making things all the brighter for American Tower, mobile data use per phone is expected to grow by an average of 18% annually through 2028 in mature markets like the United States, Germany, and Spain. So why has the company paused its dividend hikes with these positive trends? First, the company's debt-to-EBITDA (earnings before interest, taxes, depreciation, and amortization) ratio has been hitting new all-time highs, and it's still rising. AMT Financial Debt to EBITDA (TTM) data by YCharts. Generally speaking, a debt-to-EBITDA ratio above 5 is considered risky. However, in American Tower's case, it has $62 billion in non-cancellable lease obligations on its books versus $39 billion in debt. So, while the company is more leveraged than most, it is not in immediate danger. Second, the company's dividend payments temporarily grew larger than its free cash flow (FCF) as it doubled capital expenditures between late 2020 and today. AMT Capital Expenditures (TTM) data by YCharts. This left American Tower paying more in dividends annually than it was generating in FCF, making it wise to pause the payout increases until it can reel in spending. Currently, management is guiding for roughly $1.6 billion in capital expenditures in 2023, a respectable dip from its recent level. Finally -- and tied to its rising debt load -- American Tower's decision to pause its dividend for a year makes a lot of sense after spending $10 billion to acquire CoreSite and its 28 data centers in 2021. While that deal certainly boosted the company's debt load, the addition of CoreSite's infrastructure could create immense value as those data centers combine with American Tower's wireless capabilities to create a behemoth in the edge computing space. Trading at its lowest price-to-sales (P/S) ratio of the last decade and sporting its highest-ever dividend yield, American Tower could be a great buy as mobile data consumption continues skyrocketing -- even if the next dividend hike doesn't arrive until 2025. Tractor Supply's repeat sales build stability over the long haul Rural lifestyle retailer Tractor Supply may be one of the most successful investments many people have never heard of. Delivering total returns north of 54,000% since its initial public offering in 1994, Tractor Supply's footprint has grown to more than 2,200 stores, and management has its sights set on reaching 3,000. Tractor Supply's 31 million-member-strong Neighbor's Club reward program has powered this incredible ascension. Its members, who account for 77% of the company's total sales, spend roughly three times as much as non-member customers, and create a steady, recurring revenue stream. Adding further stability to Tractor Supply's sales, it generates most of its revenue from consumable, useable, and edible purchases. Livestock and pet sales accounted for 50% of sales in 2022, the vast majority of which were animal food and other useable animal items, such as bedding. Despite the retailer's steady operations, the market has sold off Tractor Supply's stock in 2023 as revenue growth slowed 4% in its most recent quarter, and same-store sales declined by less than 1%. As problematic as these results may seem, the company grew earnings per share by 11% thanks to increased share buybacks and improved profit margins. Lowering its share count by an average of 2% a year since 2013, Tractor Supply's stock buyback plan pairs beautifully with its well-funded 2.1% dividend. Best yet for investors, its dividend yield is the highest it has ever been, yet it only uses 39% of Tractor Supply's net income for funding. TSCO Dividend Yield data by YCharts. Meanwhile, the company's price-to-earnings ratio has dipped well below its 10-year average and the S&P 500's current ratio of 25. Posting its highest-ever member retention and customer satisfaction figures in its most recent quarter, Tractor Supply looks like a tremendous dividend stock investment at this discounted valuation. 10 stocks we like better than American Tower When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Tower wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 23, 2023 Josh Kohn-Lindquist has positions in American Tower and Tractor Supply. The Motley Fool has positions in and recommends American Tower. The Motley Fool recommends T-Mobile US, Tractor Supply, and Verizon Communications. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-11-01	AMT	W. P. Carey Inc. WPC is set to report third-quarter 2023 results on Nov 3, before the opening bell. While revenues are expected to reflect year-over-year growth, funds from operations (FFO) per share might exhibit a decline. In the last reported quarter, this New York-based net lease real estate investment trust (REIT) delivered a surprise of 2.26% in terms of adjusted FFO per share. Over the trailing four quarters, W. P. Carey’s adjusted FFO per share surpassed the Zacks Consensus Estimate on two occasions, met once and missed in the remaining one, with the average beat being 1.73%. The graph below depicts the surprise history of the company: W.P. Carey Inc. Price and EPS Surprise W.P. Carey Inc. price-eps-surprise \| W.P. Carey Inc. Quote Factors to Note W. P. Carey owns a well-diversified portfolio of high-quality, operationally critical commercial real estate. It focuses on investing in high-quality single-tenant, industrial, warehouse and retail properties, mainly in the United States and Northern and Western Europe. The continued strength in demand in these asset categories during the quarter is expected to have led to healthy leasing activity and a gain in occupancy rates. The company leases its properties to tenants via long-term net leases with built-in rent escalators. This shifts most of the operating expenses, taxes and insurance costs to the tenant, paving the way for stable rental revenue generation and boosting top-line growth. The Zacks Consensus Estimate for third-quarter 2023 revenues is pegged at $459.5 million, indicating a 19.8% increase from the prior-year quarter’s reported figure. Further, we expect WPC to have continued with its accretive investment opportunities backed by a robust balance sheet position. However, the choppiness in certain real estate categories, especially the office real estate market, is expected to have cast a pall on the company’s quarterly performance to some extent. Also, higher interest expenses are likely to have been a spoilsport. The company’s activities during the to-be-reported quarter were inadequate to secure analysts’ confidence. The Zacks Consensus Estimate for quarterly FFO per share has been revised 2.9% downward over the past month to $1.32. Moreover, the figure suggests a fall of 2.9% year over year. Q3 Developments W. P. Carey’s board of directors has collectively approved a plan to exit the office assets within its portfolio. Given that the United States office real estate market environment has been choppy for quite some time now, the company’s decision seems prudent. This exit will be carried out by spinning off 59 office properties into a separate publicly-traded REIT — Net Lease Office Properties — and an asset sale program will be arranged for the remaining 87 office properties. The move is expected to benefit the company in terms of improving its overall portfolio quality and key portfolio metrics, including an increased weighting to warehouse and industrial assets. WPC anticipates achieving an improved cost of capital, enhancing its growth profile. Further, the spinoff and asset sale are likely to result in increased quality and stability of the company’s earnings and cash flows through better end-of-lease outcomes while maintaining a strong, scalable, investment-grade balance sheet. Earnings Whispers Our proven model does not conclusively predict a surprise in terms of FFO per share for W.P. Carey this season. The combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or higher — increases the odds of a beat. However, that is not the case here. Earnings ESP: WPC has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: WPC currently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Performance of Other REITs Prologis, Inc. PLD reported third-quarter 2023 core FFO per share of $1.30, beating the Zacks Consensus Estimate of $1.26. The figure, however, declined 24.9% from the year-ago quarter. The results of this industrial REIT reflected healthy rent growth. However, lower occupancy and higher interest expenses were undermining factors. PLD also raised the midpoint of its 2023 core FFO per share guidance by a cent. American Tower Corporation AMT reported AFFO per share, attributable to AMT common stockholders, of $2.58, which beat the Zacks Consensus Estimate of $2.35 and climbed 9.3% year over year. Results reflected better-than-anticipated revenues, aided by revenue growth across its Property segment. American Tower recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. It also raised its outlook for 2023. Equinix Inc.’s EQIX third-quarter 2023 AFFO per share of $8.19 surpassed the Zacks Consensus Estimate of $7.79. The figure improved nearly 6% from the prior-year quarter. EQIX’s results reflected steady growth in colocation and inter-connection revenues as enterprises and service providers look to integrate artificial intelligence into their strategies and offerings. During the quarter, Equinix’s total interconnections reached 460,500, rising 1% sequentially and 4% year over year. The company also raised its AFFO per share guidance for 2023. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.3% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Prologis, Inc. (PLD) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report W.P. Carey Inc. (WPC) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-30	AMT	SBA Communications Corporation SBAC is scheduled to report third-quarter 2023 results on Nov 2 after market close. The company’s quarterly results are expected to reflect year-over-year growth in revenues and funds from operations (FFO) per share. This Boca Raton, FL-based communications tower REIT delivered a surprise of 3.18% in terms of adjusted FFO (AFFO) per share in the last reported quarter. SBAC’s site-leasing revenues improved year over year on healthy leasing activity amid elevated tower space demand. Moreover, it has continued to benefit from the addition of sites to its portfolio. Over the preceding four quarters, SBAC’s AFFO per share surpassed the Zacks Consensus Estimate on three occasions and missed once, the average beat being 1.29%. The graph below depicts this surprise history: SBA Communications Corporation Price and EPS Surprise SBA Communications Corporation price-eps-surprise \| SBA Communications Corporation Quote Factors at Play SBA Communications is likely to have benefited from the secular growth trends of the wireless industry in the third quarter. With the advancement in mobile technology, such as 4G and 5G networks, and the proliferation of bandwidth-intensive applications, mobile data usage has increased significantly globally. Furthermore, the extensive use of network-intensive applications for activities like video conferencing and cloud services, coupled with the prevalence of hybrid work arrangements, has further contributed to this upward trend. Consequently, wireless carriers have increased their capital investments due to the growing demand resulting from global initiatives to roll out 4G and 5G networks, the expanding reach of wireless services and spectrum auctions. This heightened investment has supported the demand for SBA Communications' wireless communication infrastructure. This positive trend is likely to have stimulated robust tower leasing activities in the quarter, thereby enhancing the company's earnings for the period. Moreover, SBAC’s long-term (typically five to 10 years) tower leases with wireless service providers that have built-in rent escalators are likely to have supported stable site-leasing revenues for the company in the quarter, boosting its top line. The Zacks Consensus Estimate for third-quarter site-leasing revenues, which account for the lion’s share of total revenues, is pegged at $628.54 million, indicating an increase of 7% from the year-ago quarter’s $587.30 million. Our estimate for quarterly site-leasing revenues is pegged at $624.6 million, suggesting year-over-year growth of 6.3%. However, site-development revenues are expected to be on the lower side in the third quarter. The consensus mark stands at $50.10 million, implying a 43.3% decline from $88.3 million reported in the year-ago period. We expect this quarter’s site-development revenues to slide 42.4% year over year to $50.9 million. The Zacks Consensus Estimate for total quarterly revenues is pegged at $678.01 million, implying year-over-year growth of 0.36%. SBAC’s solid balance sheet position is expected to have supported its investments in the existing 4G networks and efforts for 5G deployment. Also, asset-base expansion through acquisitions and development activities is likely to have given it an edge. The company’s activities during the to-be-reported quarter were adequate to garner analysts’ confidence. The Zacks Consensus Estimate for quarterly FFO per share has been revised marginally upward to $3.23 over the past two months. Moreover, the figure implies year-over-year growth of 4.19%. However, high interest expenses and elevated churn in certain markets where the company operates might have been a deterrent for SBAC’s quarterly performance to some extent. We estimate the company’s interest expense to have risen 12.2% year over year. Here Is What Our Quantitative Model Predicts: Our proven model predicts a surprise in terms of FFO per share for SBA Communications this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an FFO beat, which is the case here. SBA Communications currently has a Zacks Rank of 3 and an Earnings ESP of +0.27%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Another Stock That Warrants a Look Our model shows that Easterly Government Properties, Inc. DEA also has the right combination of elements to report a surprise this quarter. Easterly Government Properties is slated to report quarterly numbers on Oct 31. DEA has an Earnings ESP of +1.16% and carries a Zacks Rank of 3 presently. You can see the complete list of today’s Zacks #1 Rank stocks here. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Performance of Other REITs Crown Castle Inc. CCI reported a third-quarter 2023 AFFO per share of $1.77, lagging the Zacks Consensus Estimate by a whisker. The reported figure declined 4.3% from the year-ago quarter. Results reflected lower-than-anticipated revenues. Higher interest expenses and lower contributions from adjusted EBITDA were undermining factors. While CCI maintained its outlook for 2023, it issued the 2024 AFFO per share guidance below the consensus mark. American Tower Corporation's AMT third-quarter 2023 AFFO per share, attributable to AMT common stockholders, of $2.58 beat the Zacks Consensus Estimate of $2.35 and climbed 9.3% year over year. Results reflected better-than-anticipated revenues, aided by revenue growth across its Property segment. American Tower recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. It also raised its outlook for 2023. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows. It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Crown Castle Inc. (CCI) : Free Stock Analysis Report SBA Communications Corporation (SBAC) : Free Stock Analysis Report Easterly Government Properties, Inc. (DEA) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-27	AMT	Digital Realty Trust DLR reported third-quarter 2023 core funds from operations (FFO) per share of $1.62, in line with the Zacks Consensus Estimate. Results reflected better-than-anticipated revenues, aided by strong enterprise leasing activity. The company registered operating revenues of $1.402 billion in the third quarter, surpassing the Zacks Consensus Estimate marginally. DLR also reported "same-capital" cash net operating income (NOI) growth of 9.4% in the third quarter. On a year-over-year basis, while operating revenues increased 17.65%, core FFO per share fell 3%. Total operating expenses increased 29.9% year over year to $1.34 billion, with expenses related to utilities, rental property operating and property taxes moving north. Moreover, DLR has narrowed its 2023 core FFO per share outlook. According to Digital Realty’s president & chief executive officer, Andy Power, "Accelerating Same-Capital cash NOI growth combined with strong progress on our funding plan have enabled the company to de-lever while reinvesting to meet the needs of our customers." Quarter in Detail In the reported quarter, signed total bookings were estimated to generate $152 million of annualized GAAP rental revenues, including a $42 million contribution from the 0-1-megawatt category and a $12 million contribution from interconnection. The weighted-average lag between the new leases signed in the third quarter and the contractual commencement date was 12 months. Digital Realty signed renewal leases, marking $157 million of annualized GAAP rental revenues during the July-September quarter. Rental rates on renewal leases signed during the quarter rose 7.4% on a cash basis and 9.5% on a GAAP basis. Adjusted EBITDA of $685.9 million in the quarter marked a 10.7% increase year over year. Balance Sheet Digital Realty exited the third quarter with cash and cash equivalents of $1.06 billion, up from the $124.5 million recorded as of Jun 30, 2023. As of Sep 30, 2023, this data center REIT had $16.9 billion of total debt outstanding, of which $16.3 billion was unsecured debt and $0.6 billion was secured debt and other. As of the same date, its net debt-to-adjusted EBITDA was 6.3X, while the fixed charge coverage was 4.1X. Its debt maturity schedule is well-laddered with modest near-term maturities, with a weighted average maturity of 4.6 years and a 2.9% weighted average coupon as of Sep 30, 2023. Digital Realty also settled its previously disclosed forward sales agreements under its ATM program during the quarter. This involved the issuance of 3.5 million shares at a weighted average price of $97.23 per share, reaping around $336 million in net proceeds. DLR has also completed $2.5 billion in capital recycling transactions, bolstering and diversifying its sources of capital and improving its balance sheet. 2023 Guidance Digital Realty narrowed its 2023 core FFO per share guidance to the $6.58-$6.62 band from the $6.55-$6.65 range guided earlier. The Zacks Consensus Estimate is currently pegged at $6.60. DLR also revised its expectations for total revenues in the band of $5.475-$5.525 billion from the $5.50-$5.60 billion range guided earlier. The consensus mark is pegged at $5.51 billion, within the guided range. The adjusted EBITDA outlook has been revised to the $2.685-$2.715 billion range from the $2.675-$2.725 billion range guided earlier. This data center REIT revised its projections for rental rates on renewal leases, which are expected to be greater than 5% (earlier projected to be greater than 4%) on a cash basis and 9% on a GAAP basis (greater than 8% guided before). The year-end portfolio occupancy is now expected between 83% and 84%, lower than 84-85% stated earlier. However, the same-capital cash NOI is estimated to grow 6-7%, revised upward from the prior-guided range of 4-5%. Currently, DLR carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Digital Realty Trust, Inc. Price, Consensus and EPS Surprise Digital Realty Trust, Inc. price-consensus-eps-surprise-chart \| Digital Realty Trust, Inc. Quote Performance of Other REITs American Tower Corporation AMT reported third-quarter 2023 adjusted funds from operations (AFFO) per share, attributable to AMT common stockholders, of $2.58, which surpassed the Zacks Consensus Estimate of $2.35 and climbed 9.3% year over year. Results reflected better-than-anticipated revenues, aided by revenue growth across its Property segment. American Tower recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. It also raised its outlook for 2023. Equinix Inc.’s EQIX third-quarter 2023 AFFO per share of $8.19 surpassed the Zacks Consensus Estimate of $7.79. The figure improved nearly 6% from the prior-year quarter. EQIX’s results reflected steady growth in colocation and inter-connection revenues as enterprises and service providers look to integrate artificial intelligence into their strategies and offerings. During the quarter, Equinix’s total interconnections reached 460,500, rising 1% sequentially and 4% year over year. The company also raised its AFFO per share guidance for 2023. Note: Anything related to earnings presented in this write-up represent funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time. This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock and 4 Runners Up >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-27	AMT	American Tower (NYSE: AMT), a real estate investment trust (REIT) that owns telecom towers, communications sites, and data centers around the world, is about as stable as it gets. The company leases space on its towers to wireless network operators, signing long-term, non-cancellable leases. As long as mobile data usage continues to rise and wireless carriers continue to invest in their networks, American Tower should see solid revenue and profit growth over the long run. In the short run, American Tower is somewhat sensitive to economic conditions and the investment cycles of its customers. In tough times, wireless carriers can pull back on capital spending. And as carriers wrap up the capital-intensive process of building out 5G wireless networks, American Tower's growth could slow in the U.S. These challenges have been part of the reason for American Tower's poor stock performance this year. Prior to the company's third-quarter report, American Tower stock was down nearly 24% since the start of 2023. A strong earnings report on Thursday flipped the script, sending the stock soaring and erasing a portion of those losses. American Tower's results and guidance should help quell any concerns investors had about the stock. Growth and a guidance bump American Tower grew its total revenue by 5.5% year over year to $2.82 billion in Q3, and it grew its property revenue by 7% to $2.79 billion. Property revenue was up in most geographies, and the data center segment grew revenue by 9%. The company booked a sizable goodwill impairment charge related to its business in India, which hurt reported net income. But adjusted funds from operations (AFFO) per share rose 9.3% to $2.58, thanks to higher revenue and the company's efforts to keep costs in check. Free cash flow soared over 90%, although this metric can be volatile. American Tower raised its guidance for the full year following its strong Q3 results. The company now expects property revenue to grow by 4.5%, up from a previous outlook calling for 3.9% growth. AFFO per share is now expected between $9.72 and $9.85, slight growth compared to 2022 and up from a previous guidance range of $9.61 to $9.79. Tenant billings should grow by about 7% in 2023, with 5% growth in the U.S. and Canada, and 9% growth in international markets. A safe dividend stock American Tower stock now sports a forward dividend yield of roughly 3.6% following the stock's post-earnings rally. That yield isn't as impressive today given how quickly interest rates have risen, but American Tower's dividend is both safe and has the potential to grow in the coming years. Based on the latest dividend payment, American Tower will pay out $6.28 per share in dividends annually. That represents 64% of AFFO at the midpoint of the company's guidance range. While AFFO growth will be slow this year, the profit metric can rise faster as American Tower grows revenue and continues to keep a lid on costs. In Q3, the company managed to slightly reduce the direct costs associated with its properties, and it kept other operating costs approximately unchanged. Shares of American Tower are still down more than 40% from their pandemic-era high. While the company is certainly facing some headwinds, the stock now trades below pre-pandemic levels. With American Tower focused on increasing efficiency while still growing revenue, now's a great time to buy this top dividend stock. 10 stocks we like better than American Tower When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Tower wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 23, 2023 Timothy Green has positions in American Tower. The Motley Fool has positions in and recommends American Tower. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	Image source: The Motley Fool. American Tower (NYSE: AMT) Q3 2023 Earnings Call Oct 26, 2023, 8:30 a.m. ET Contents: Prepared Remarks Questions and Answers Call Participants Prepared Remarks: Operator Ladies and gentlemen, thank you for standing by. Welcome to the American Tower third quarter 2023earnings conference call As a reminder, today's conference call is being recorded. Following the prepared remarks, we will open the call for questions. [Operator instructions] I would now like to turn the call over to your host, Adam Smith, senior vice president of investor relations. Please go ahead, sir. Adam Smith -- Senior Vice President of Investor Relations Good morning, and thank you for joining American Tower's third quarter 2023earnings conference call We have posted a presentation, which we will refer to throughout our prepared remarks under the investor relations tab of our website www.americantower.com. On this morning's call, Tom Barlett, our president and CEO will discuss current technology trends, and how our distributed portfolio of assets is positioned to benefit from ongoing wireless technology evolution. And then, Rod Smith, our executive vice president, CFO and treasurer will discuss our Q3 2023 results and revised full year outlook. We are also joined on the call today by Steve Vondran, our current executive vice president and president of our U.S. tower division, who as announced this morning will assume the role of global chief operating officer effective November 1, before assuming the role of our president and chief executive officer on February 1, 2024. After these comments, we will open up the call for your questions. Before we begin, I'll remind you that our comments will contain forward-looking statements that involve a number of risks and uncertainties. 10 stocks we like better than American Tower When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Tower wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 23, 2023 Examples of these statements include our expectations regarding future growth, including our 2023 outlook, capital allocation and future operating performance; our collections expectations associated with Vodafone Idea in India and any other statements regarding matters that are not historical facts. You should be aware that certain factors may affect us in the future and could cause actual results to differ materially from those expressed in these forward-looking statements. Such factors include the risk factors set forth in this morning's earnings press release, those set forth in our Form 10-K for the year ended December 31, 2022, as updated in our Form 10-Q for the six months ended June 30, 2023, and in other filings we make with the SEC. We urge you to consider these factors and remind you that we undertake no obligation to update the information contained in this call to reflect subsequent events or circumstances. With that, I'll turn the call over to Tom. Tom Bartlett -- President and Chief Executive Officer Thanks, Adam. Good morning, everyone. And my focus for today's call will be on the technology trends and network investments that drive demand for our leading tower and data center platforms, as well as the developments we're seeing at the edge. While my comments will largely be focused on the 5G evolution and the progress we're seeing in the United States, we believe similar trends will prevail across our international footprint as they have historically. Beginning with our macro tower business, the fundamental factor that drives demand for our global power portfolio, growth in mobile data consumption continues unabated. This is true both in the United States and across the globe, where mobile network data traffic has almost doubled over the last two years alone to a staggering 126 exabytes per month. Looking out over the next five years, forecasted growth in data traffic per device remains compelling as more spectrum for 5G networks will be deployed at scale. Average monthly data usage per smartphone across our key developed markets like the U.S., Germany and Spain is expected to grow at a healthy compounded annual rate of 18% between 2023 and 2028. And I would note that these estimates have been somewhat conservative historically. So let's spend a moment on where we are in the 5G investment cycle in the U.S. and where we believe we're going over the next several years. Just as we saw with the 3G and 4G rollouts, we expect the 5G investment cycle to play out in three phases that represent discrete business cases for the carriers and these three phases will drive two peak periods of spend that are bridged by a temporary phase of more moderate activity. The first phase is coverage-driven and aimed at upgrading existing infrastructure with new spectrum bands and radio technology, its competition to provide broad nationwide coverage with the new G ramps up. At the same time, carriers are looking to realize the efficiency benefits of their investments in new software, hardware and upgraded user devices. Initial equipment upgrades and new spectrum deployment quickly deliver reduced cost per gigabyte resulting in the ability to maintain margin profiles. Absent this migration, any incremental investments in the prior generation would be expected to result in significantly diminished returns as the additional densification required to sustain increasing network traffic on existing spectrum bands would be cost prohibitive. As the cadence of initial coverage investments begin to moderate from record spend of over $40 billion in 2022, the first peak of the 5G cycle, we retain a high degree of conviction that there's a long tail of network investment to come. This belief is predicated on several factors, including our experience with past investment cycles, industry forecast for growth in mobile data consumption that apply a necessity for significant incremental coverage and capacity and the visibility into network needs, we get through our contract structures. Today, Phase 1 of the 5G rollout is winding down and we're heading into a second phase. We expect Phase 2 to be characterized by carriers beginning to harvest the network efficiency benefits of their initial investments, while moderating spend from the record levels of 2022 to roughly $35 billion in 2023, which is $5 billion in excess of 4G averages, representing the second highest level of annual spend on record. In this next phase, we will begin to see a seeping in of 5G technology across the wireless and enterprise landscape. For example, 5G smartphone penetration has now surpassed the 50% mark in North America, which will ultimately allow for the majority of network traffic to shift over to 5G networks which we would expect to occur in the 2025 time frame. We're also looking forward to the emergence of more ubiquitous accessibility of stand-alone 5G core networks, which will unlock improved 5G network quality, higher speeds and lower latency and provide a platform for the development of innovative services and consumer applications. Finally, we anticipate that the arrival of end-to-end 5G capabilities will facilitate additional monetization opportunities at the enterprise level through use cases like private networks, network slicing and other IoT services that are beginning to emerge today. Ultimately, these dynamics will culminate in a third capacity focused phase aimed at significant densification of 5G networks. We continue to believe that 5G will advance and enable the next generation of mass market consumer use cases, particularly once 3GPP-released 17 and 18 are in the market, coupled with 5G cores that provide the true benefits of the end-to-end technology upgrade at scale. That said, meeting industry forecasts for growth in mobile data consumption that will drive the need for substantial network capacity investments seems highly achievable when taking into account the technology we have at our fingertips today. In fact, industry estimates already show that 5G subscribers are consuming two times to three times more mobile data than the average 4G subscriber. So let's take the case of mobile video consumption, which has consistently shown to be a dominant use case across subscriber usage types. As you can see on Slide 6, today the average smartphone subscriber in North America utilizes roughly 21 gigabytes of mobile data per month, and this is expected to grow to about 48 gigabytes by 2028. Of the 21 gigabytes consumed today, the majority or approximately 19 gigabytes are attributed to video streaming, which corresponds to a little over an hour of daily video usage and 360 and 480 pixel videos currently make up around half of that time. So by simply assuming a modest level of incremental usage toward higher resolution streaming such as eight minutes of 4K Ultra HD, we would see video consumption alone drive usage to the forecasted 48 gigabytes per month or approximately 2.3 times the current rate. Furthermore, the data already shows that 5G is driving increased usage of higher resolution video formats. A recent report from Ericsson found that since 2021, 5G users report a nearly 50% increase in time spent on enhanced video formats. For example, among that user base, usage of new video formats like 360 degree videos and multi-view streaming have increased by an average of 10 minutes and 15 minutes per day, respectively, while time spent streaming videos and standard resolution has decreased by 23 minutes over the same period. In short, we've already seen 5G adoption linked with a shift in behavior toward using more data intensive applications, a trend we firmly believe will continue going forward. And while we remain confident that new low latency, high bandwidth consumer applications will be born as 5G stand-alone networks are deployed at scale, we see a highly tangible case for densification requirements from where we stand today. With that, I'll briefly provide an update on CoreSite in our data center segment before shifting to the progress we're making at the edge. The case remains that demand in CoreSite's interconnection centric business is exceeding our initial expectations. Our teams delivered record signed new business in 2022, a record we are targeting to exceed in 2023. We've also seen consistent elevated growth in interconnection revenue, mark-to-market pricing increases that exceed our historical averages, low churn and ongoing performance that we believe positions us to deliver compelling results in the segment for many years to come. And much like we see in our tower business, the secular trends that underpin the business model like the migration of workloads from on-prem to hybrid multi-cloud environments and the emergence of AI use cases that will drive more demand in our ecosystem continue on a path toward long-term acceleration. For example, findings from our recent 2023 state of the data center report showed that 94% of IT leaders noted that native direct connection between co-location data centers, major cloud providers, which CoreSite provides is essential for improved performance, enhanced security, cost savings and hybrid cloud connectivity. Further, 92% of IT leaders are considering moving critical workloads from public cloud to colocation to accelerate revenue growth and support the increasing need for AI and machine learning applications. In this context, we continue to upgrade our offerings and capabilities within the business to support emerging use cases. For example, earlier this month, we launched new capabilities on our OCX, our pioneering software defined networking platform, enabling clients to rapidly create higher bandwidth virtual connections to Google Cloud and AWS Direct Connect and between CoreSite data centers, including 50 gigabit services. These upgrades reduce the time required for organizations to augment network capacity to support high bandwidth, low latency hybrid applications like AI, machine learning and digital media production. When it comes to current and future AI and machine learning applications, CoreSite's flexible, purpose-built design data centers position us to host power-intensive GPU services being used for AI and ML use cases. For example, we're already providing GPU capacity for applications like 3D visualization and rendering and for software development with a niche cloud environment. And for the densest AI applications, our purpose built facilities are designed to accommodate liquid cooling with modest development efforts when required. As we've stated previously, in the near term, we continue to believe the majority of today's generative AI workloads will provide hyperscale opportunities that don't meet our investment criteria or fit within the CoreSite ecosystem. However, as GEN AI evolves, we would expect the balance of workloads to shift from large language model development, intensive training and public prompts to specialized inference-based use cases as productivity gains from the deployment of custom models accelerates. At this stage, when low latency interconnection high power density and distributed high performance compute become the priorities, we believe CoreSite and ultimately, our distributed portfolio of franchise real estate assets across the U.S. are going to be optimally positioned to benefit. On that note, we've continued to see progress toward the realization of demand cases that support our initial edge thesis, and we believe we have an opportunity to enable a more efficient exchange of network traffic and support cloud services and peering in a more distributed manner. As a result, we've been working both internally and with external stakeholders to develop an edge model we can execute on as compelling opportunities present themselves. In our initial assumption that through CoreSite, our seat at the table and visibility into the customer demand environment would be materially enhanced is holding true. We're increasingly seeing interest from potential customers looking to extend technologies such as private cloud computing AI and 5G applications closer to the end device through a more distributed architecture. This is resulting from several key demand cases including availability of future power requirements, business efficiency, revenue generation opportunities and customer experience. When it comes to power, CoreSite has secured significant future power availability and is insulated from expected shortages in markets like Northern Virginia. However, power constraints in general are increasingly in focus in legacy data center markets. In this case, we believe our distributed land footprint in Tier 2 and 3 markets with significant power availability and capability to connect back to CoreSite campuses can serve more distributed power capacity needs, while enabling customers to enjoy the interconnection benefits of the CoreSite ecosystem. And as potential customers increasingly focus on new revenue opportunities and customer experience including through the proliferation of applications like next-generation gaming, AR and devices and wearables that leverage interactive AI, we believe we have a compelling combination of distributed points of presence and interconnection capabilities that can be extended to a broader edge. In addition, by prioritizing our existing owned real estate, which in many cases is already designated for use as digital infrastructure, we see an opportunity to drive a significant time to market advantage and reduce overall development costs, which could be compelling to customers and enhance returns on investment. As a result of these factors, we continue to work toward establishing a repeatable, rapidly deployable design with initial capacity in the 1 megawatt range, which could then be scalable to incremental megawatts with interconnection to multisite campuses as demand dictates. As always, we'll assess potential growth at the edge through the prism of our disciplined capital allocation framework committing capital only if the opportunity meets our investment criteria and aligns with our long-term strategic vision of growing our interconnection ecosystem in a way that maximizes shareholder value. In closing, the bottom line is that we remain at the relatively early stages of a 5G and network technology evolution that we believe will necessitate continuous incremental investment in existing infrastructure like towers, data centers and distributed edge infrastructure. We also believe that ongoing technology developments will unlock new capabilities that will drive the next wave of innovative and data intensive consumer and enterprise devices and applications. And American Tower, with its leading tower portfolio and real estate footprint combined with a highly interconnected data center ecosystem is in a truly differentiated position to serve the network infrastructure needs of the future. Before I hand the call over to Rod, I'd like to close my remarks by congratulating Steve Vondran, who effective November 1 will hold the role of global chief operating officer until February 1 of next year, at which point he'll transition to the position of chief executive officer; and Bud Noel, who will become our new executive vice president and president of our U.S. tower division. The board and I have worked diligently on succession planning weighing the merits of an external search against the talent we have within our organization. Steve joined American Tower in 2000 and currently serves as the executive vice president of our U.S. and Canada business, including both towers and data centers. For the past 23 years, Steve has been instrumental to the growth and sustainability of earnings from American Tower and has built tremendous credibility with our global organization his peers, the board of directors, the American Tower investor base and our customers. All this to say, Steve is a clear candidate to lead American Tower in its next growth phase. And over the next several months, I'll work closely with Steve, the executive leadership team and the board to ensure a seamless transition. Lastly, I want to thank all of the incredible American Tower employees around the world both past and present, our customers and investors for their support and confidence you've demonstrated since I joined in 2009. Although, this is a difficult decision on my part, I look forward to the time ahead with family and friends and new challenges, while watching the company under Steve's leadership continue to succeed. With that, I'll turn the call over to Rod to review our latest results and updated outlook. Rod? Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Thanks, Tom. Good morning, and thank you for joining today's call. In Q3, we continued our trend of strong performance, driven by solid demand for our diverse global portfolio of assets. Against the challenging macroeconomic backdrop, we remain focused on delivering results and creating value by driving organic growth across our existing portfolio and demonstrating global operational efficiency and cost management in support of attractive margin expansion. At the same time, we are committed to strengthening our balance sheet by enhancing our liquidity extending our maturities, reducing floating rate debt volatility and making progress toward our leverage target. These efforts coupled with the evolving technological trends highlighted by Tom, remain key drivers of our current performance and give us confidence in our ability to drive sustained growth over the long term. Before delving into the specifics of our Q3 results and raised outlook, let me touch on a few highlights from the quarter. First, we saw a continuation of solid trends across our global operations, driving consolidated property revenue growth of 7%, consolidated organic tenant billings growth in our tower business exceeded 6% for the third consecutive quarter and was complemented by over 9% revenue growth in our data center business. As a result of this strong performance and visibility extending through the end of 2023, we raised our full year expectations across nearly all segments, which I'll discuss in more detail later. Next, our keen focus on cost management resulted in conversion rates exceeding 100% and adjusted EBITDA margin expansion of roughly 290 basis points year over year and still over 215 basis points when normalized for the prior year VIL revenue reserves, complementing our operational efforts. On the balance sheet side, we raised $1.5 billion in senior unsecured notes at a weighted average cost of approximately 5.9% by utilizing the proceeds to pay down revolver balances, we reduced our floating rate debt exposure to approximately $4 billion or less than 11% of our total outstanding debt as of the end of the third quarter down from over 22% at the start of the year. Finally, we're making significant progress on the strategic review of our India business. As we are in the final stages of this process, we remain committed to communicating the outcome to our shareholders before the end of the year, consistent with our past messaging. In Q3, we recorded $322 million in goodwill impairment charges associated with our India business. This was prompted by indications of value obtained through the process conducted over the past several months, supported by our own interim goodwill impairment test. We believe this impairment accurately reflects the current market conditions, evolving risk premiums associated with operating in the India market and more generally increases in the cost of capital. With that, please turn to Slide 8, and I'll review our property revenue and organic tenant billings growth for the quarter. As you can see, consolidated property revenue growth was 7% or 8% on an FX neutral basis. U.S. and Canada property revenue growth was over 5%, which includes a nearly 2% headwind associated with a reduction in straight-line revenue, offset by timing benefits associated with certain non-recurring one-time items in the quarter. International growth was nearly 9% or approximately 11% excluding the impacts of currency fluctuations, which included a 4% benefit associated with the full collection of VIL billings in India in the quarter, as compared to the approximately $48 million revenue reserve in the prior year. Finally, as I mentioned in my earlier remarks, our data center business revenue increased by over 9% and continues to demonstrate solid outperformance as compared to our initial underwriting plan. As Tom mentioned earlier, we anticipate 2023 to again break the signed new business record just set in 2022, setting up CoreSite to drive sustained attractive levels of growth as the backlog of new business commences over the next several years. Moving to the right side of the slide. Strong performance across each of our segments drove consolidated organic tenant billings growth of 6.3%. Within our U.S. and Canada segment, organic tenant billings growth was 5.3% and greater than 6.5% absent sprint related churn, including another quarter of colocation and amendment contributions of nearly $60 million. Our International segment saw outperformance across nearly all reported segments, primarily driven by higher new business in Africa and churn delays in Latin America and APAC resulting in organic tenant billings growth of 7.9%. Turning to Slide 9. Adjusted EBITDA grew over 10% to $1.8 billion for the quarter or approximately 11% on an FX neutral basis. As I highlighted in my opening remarks, adjusted EBITDA margin expanded to 64.4%, a 290 basis point improvement compared to the previous year, primarily driven by solid organic growth, effective cost management throughout the business and the one-time revenue items I mentioned. In fact, despite the current inflationary environment, we have managed to maintain a relatively flat year over year cash SG&A profile remaining consistent with the themes from the first half of the year, with cash SG&A as a percent of property revenue standing at approximately 6.5% for the quarter, a nearly 70 basis point improvement versus Q3 of 2022. Moving to the right side of the slide. Attributable AFFO and attributable AFFO per share each increased by over 9%, driven by solid cash adjusted EBITDA growth partially offset by an approximately 5% headwind from financing costs. Now, shifting focus to our revised full year outlook. I'll start by highlighting a few key items. First, as a result of our strong performance in the third quarter and the momentum taking us through the end of the year, we've raised our guidance for property revenue, adjusted EBITDA, attributable AFFO and attributable AFFO per share. Next, our revised outlook includes a reduction in U.S. services, resulting in a $20 million decrease in gross margin compared to our previous expectations for the year. As we've highlighted in the past, although, quarter-to-quarter variations in tower leasing activity have impacted our services revenue in 2023, our leasing revenue remains unaffected, underpinned by the comprehensive master lease agreements currently in place. Finally, the updated midpoints include revised FX assumptions that have resulted in outlook to outlook headwinds of approximately $28 million for property revenue, $14 million for adjusted EBITDA and $5 million for attributable AFFO. With that, let's dive into the numbers. Turning to Slide 10. We are increasing our expectations for property revenue by approximately $60 million as compared to our prior outlook. Our revised expectations are driven by $31 million in core property revenue outperformance, along with approximately $45 million and $12 million in additional pass-through and straight-line revenues, respectively. Our revised guidance includes $10 million in outperformance associated with VIL collections with roughly half included in our core property revenue and the balance in the pass-through outperformance illustrated. Growth was partially offset by $28 million of negative FX impacts. Turning to Slide 11. We are increasing our expectations for organic tenant billings growth across nearly all segments. In the U.S. and Canada, we are increasing our guidance to greater than 5% or approximately 6.5% excluding Sprint churn, now with an expectation for approximately $230 million in colocation and amendment growth contributions. Growth is further benefiting from non-Sprint related churn delays, which we now anticipate occurring in 2024. In Latin America, we have increased our outlook from approximately 4% up now to approximately 5%, largely driven by continued delays in anticipated consolidation-related churn. Next, we're increasing our Africa outlook from greater than 11% to approximately 12%, primarily due to a continued uptick in colocation and amendment demand. In APAC, we are increasing our guidance from approximately 4% to about 5% supported by a combination of strong new business in delayed churn. Moving on to Slide 12. We are raising our adjusted EBITDA outlook by $60 million. This reflects the strong conversion of the incremental property revenue highlighted earlier, coupled with prudent cost controls, resulting in an incremental $67 million in cash property gross margin outperformance along with an additional $14 million in cash, SG&A savings and $30 million of straight line. This growth was partially offset by a reduction of $20 million associated with our U.S. services business and a negative FX impact of $14 million. Turning to Slide 13. We are raising our expectations for AFFO attributable to common stockholders by $40 million at the midpoint or approximately $0.09 on a per share basis, moving the midpoint to $9.79 per share. Our performance was driven by the cash adjusted EBITDA increase of $61 million partially offset by $16 million of other items, including an acceleration of certain maintenance projects in cash taxes, along with incremental minority interest due to outperformance in our JV businesses, partially offset by improvements to net interest. As I noted earlier, FX caused a headwind of approximately $5 million. Moving on to Slide 14. Let's review our capital allocation plans for the full year. Consistent with the expectations set at the beginning of the year, we are planning to distribute approximately $3 billion in common stock dividends which represents a year-over-year growth rate of 10% on a per share basis, subject to board approval. Our full year capex spend also remains consistent at $1.7 billion with the acceleration of certain non-discretionary projects that I mentioned earlier, offset by lower discretionary spend, which includes a reduction in development capex associated with lower anticipated new build volumes. As always, our goal is to execute a capital deployment strategy that maximizes total shareholder returns. In line with my earlier remarks, we're focused on creating incremental value through solid organic growth and quality of earnings optimizing global operational efficiency and expanding cash margins, all while strengthening our financial position by further reducing balance sheet risk and enhancing financial flexibility. As it relates to capital allocation and against the current economic backdrop, we believe it's optimal to prioritize balance sheet strength and keep discretionary spend focused on select capital expenditure projects that yield the best risk-adjusted returns and quality of earnings. Additionally, decoupled from our current line of sight to its attributable AFFO growth for next year, we anticipate maintaining a dividend per share profile in 2024 that closely aligns with our 2023 expectation of $6.45 per share resuming growth in a manner supportive of our REIT taxable income thereafter, all subject to board approval. By focusing on the above priorities, we believe American Tower is positioned for sustained and compelling total shareholder returns supported through balance sheet strength over the long term. Consistent with our historical practice, we'll discuss our 2024 plans in more detail on our nextearnings call Moving to the right side of the slide and as highlighted earlier, as a result of the successful execution of our financing initiatives in the third quarter, we reduced our floating rate debt balance to below 11%, increased our liquidity to $9.7 billion, and our average maturity remains over six years. We closed the quarter with net leverage of approximately five times, which benefits from certain non-recurring items in the quarter, as I mentioned earlier, and we expect to close the year slightly above five times. Moving forward, we'll remain opportunistic and potentially further accessing the debt capital markets, ensuring continued strength in our balance sheet, reducing risk and enhancing our financial flexibility. Turning to Slide 15, and in summary, our diverse portfolio of global communications assets continue to demonstrate resiliency in the face of a challenging macroeconomic backdrop, producing attractive growth through organic leasing, further amplified by exceptional cost management at the margin. Complementing our operational performance, we continue to make progress in strengthening and de-risking our balance sheet. Furthermore, we remain committed to managing our capital structure, sources and uses and capital allocation priorities in a manner that positions American Tower to drive sustained attractive returns for our shareholders over the long term. With that, operator, we can open the line for questions. Questions & Answers: Operator Thank you. [Operator instructions] And we'll go to the line of Simon Flannery with Morgan Stanley. Simon Flannery -- Morgan Stanley -- Analyst Tom, all the best for the future. It's been great working with you over the years, even back to the Verizon use of cell days. And Steve, congratulations and best of luck in the new role. If we could come back to the capital allocation please. The comments around the dividend and perhaps, Rod, you could just talk about target leverage? Are you thinking about bringing leverage down more aggressively given the rate environment and the uncertain macro environment? Just any color around that would be great or any other drivers of the dividend decision? And perhaps how are you thinking about M&A more broadly outside of the India process that you referenced earlier. There's a big gap here between public and private markets. Any opportunities there that you see? And what about buybacks? Is that something that could come into your toolbox in the coming quarters here? Thank you. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. Simon, good morning. Thanks for joining. I'll hit the leverage piece first, and then Tom will address the dividend more broadly. When you think about the leverage, we've been a little bit higher than our stated range. We've been up in the five, three range. We did end this quarter at around 5.0 that was benefited from some non-recurring one-time revenue items. So we do expect that to tick back up toward the end of this year. And we expect to end this year, again, higher than our stated range of three to five times up in the 5.2%, 5.3% range. It is a priority of ours to bring that leverage down, along with driving organic growth operational efficiency, expanding margins, controlling the SG&A in the -- and ultimately, the AFFO and AFFO growth that we can drive. So the target is to get to 5.0 as soon as we can. We'll be working through that diligently next year. And a lot of these operational objectives around organic growth and driving AFFO, as well as capital allocation, our capital plan, specifically you'll see a reduction -- you've seen a reduction in our capital plans this year versus last year. And that, again, is all in line with trying to drive down leverage and strengthen our balance sheet. We do think those are important steps to take to drive total shareholder return in the short term and the long term. So that's what it's really all about the dividend holding it flat next year is in line with that. I mean, I'll say, we believe that's the best use of capital in terms of strengthening the balance sheet in this time of uncertain rates. When it comes to M&A, we continue to not see compelling M&A opportunities in our pipeline. So it's not something that's hitting our radar screen in terms of capital allocation this year and we turn the corner into next year. Then I'll turn it over to Tom to hit and a little bit more directly. Tom Bartlett -- President and Chief Executive Officer First of all, Simon, thanks for your kind words. But maybe with regards to the dividend, it's important just to just take a step back and understand how we really manage this dividend growth. Since we became a REIT over a decade ago back in 2012, we've always looked to complement AFFO growth with a compelling yield, which we've grown, as you all know, around 20% annually as compared to our AFFO per share growth, which has been closer to 10% over that same time period. We've aligned our distribution with REIT taxable income, as you would expect. And within REIT AI you do have a recurring run rate and more of one-time buckets, consistent of things like earnings and profits, settlements, throwbacks NOLs, which we used last decade, much of which is discretionary in the planning that are absolutely separate from AFFO. And these tools allow us for to manage a more predictable glide path on our dividend. So here we are in 2023, we're committed to a 10% dividend growth rate which, like other years, consisted of certain one-time items to manage the dividend path and ensure alignment between our distribution and REIT AI. And so, although our recurring REIT AI bucket was negatively impacted by interest rates, we utilize certain one-time items to manage toward the distribution. And absent those items, like most years, we'd be overdistributed. So as we look ahead to '24, we see an opportunity to accelerate our glide path and reset REIT AI closer to the run rate, which means temporarily relatively flat dividends per share in '24 decoupled from our expectations for AFFO growth based on our line of sight today. So our priorities that Rod just laid out really remain on maximizing our total shareholder returns. And we see the optimal path to do so, really centered around strengthening and de-risking our balance sheet, which means, in part, reducing our debt balance and advancing our pathway to sub five times net leverage and with that, more financial flexibility. And we view the levers to accelerate this path through maximizing organic growth, reducing our cost base as we've done in '23 and will continue to do in '24 with disciplined capital allocation that Rod just referred to, together with managing the dividend in a relatively flat basis before resuming growth in line with our recurring REIT AI thereafter. So this isn't a decision we take lightly, as you would expect. But given the current macro volatility, we believe that the balance sheet strength and accelerating financial flexibility for future opportunities, which could include buybacks is the optimal approach from where we sit today. So hopefully, that gives you a little bit of a sense, at least in terms of how we're thinking about it and how it fits into our overall plans for creating value long term. Simon Flannery -- Morgan Stanley -- Analyst Right. Yeah. That's very helpful. So just to be clear, the hope would be to resume dividend growth in '25 or into 25? Tom Bartlett -- President and Chief Executive Officer Yes. Simon Flannery -- Morgan Stanley -- Analyst Great. Thank a lot. Operator And next, we go to Michael Rollins with Citi. Please go ahead. Michael Rollins -- Citi -- Analyst Thank and good morning. And Tom, I also want to express my thanks and best wishes for your upcoming retirement. Congratulations to Steve on your upcoming transition to the CEO role. Just a couple of questions for me. -- You're welcome. And again, thank you, it's both at Verizon and at AMP. We've been working -- Tom Bartlett -- President and Chief Executive Officer We got a long answer. My hairline has receded more than yours. Michael Rollins -- Citi -- Analyst So a couple of things. So first, on activity levels in the domestic business. Curious, if you could just go deeper into what you're seeing as you're looking at the balance of this year and what it means for next year in terms of how that domestic business can grow relative to the long-term annual targets that you set for that business? And if you can -- within that context, also unpack the delays that you're seeing in Sprint related churn and what that means for that decommissioning pace as we look forward? Thanks. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Sure. I'll take that one. So we're not going to give specific guidance for 2024 at this time, obviously. And I don't want to get into specific care activity levels because I want to leave it to them to talk about the rollout plans. But in general, we have seen activity levels moderate over the last several months from the recent highs. However, the visibility that we have into a baseline level of contractually guaranteed growth through these comprehensive MLAs allow us to reiterate our expectation that we're going to achieve an average annual OTBG growth rate of at least 5% in the U.S. and Canada segment between 2023 and 2027. And despite some of the concerns that people have in the market over the recent moderation we have visibility into a level of organic growth in 2024 that's supportive of that average. Now, having said that, I want to break down the components a little bit, we do not have visibility into another year of $230 million growth from colocation and amendment activity. That's far away a record from American Tower. But we balance that with an expectation for some moderation in churn following 2023, excluding Sprint. Our MLAs do provide us visibility into a level of colocation and movement contributions that exceeds the average we've seen over the past several years. And again, it's supportive of that at least 5% average OTBG that we've guided to between 2023 and 2027. And to reiterate on our Sprint churn, the annual impacts of our Sprint churn have been $195 million in 2021, $60 million in 2022, and $50 million in 2023 and $70 million in 2024 for a total of $375 million. So we're past the peak of that churn, and there's no change to that cadence versus our prior guidance in that respect. Tom Bartlett -- President and Chief Executive Officer And Mike, I would just add just to make it clear, the delays in churn that we're seeing in the U.S. is not Sprint related. It's other items that we were planning that could be moved out a bit, as Steve is saying the Sprint cadence has not changed. And when you think about next year 2024 in our long-term guide, it's unlikely that there's going to be material upside based on where we sit today. We do think there's potential for upside in the longer-term growth rates, but that would probably come in '26 and '27 and down the line, not necessarily in '24. Michael Rollins -- Citi -- Analyst Thanks. And just one quick one, what's the percent that you're seeing in terms of the mid-band upgrades, the percent of sites that have been upgraded for mid-band already versus the amount that might be remaining? Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer It's a little over half at this point. Michael Rollins -- Citi -- Analyst Thank you. Tom Bartlett -- President and Chief Executive Officer Thanks, Michael. Operator And next, we can go to David Barden with Bank of America. Please go ahead. David Barden -- Bank of America Merrill Lynch -- Analyst Hey, guys. Thanks so much for taking the questions and let me echo Tom, the years we've spent together. It's been great and congrats to Budd and Steve on the new roles. Tom Bartlett -- President and Chief Executive Officer Thanks, Dave. David Barden -- Bank of America Merrill Lynch -- Analyst So I guess, if I could start, just maybe more on the finance side, Rod. Slide 11, you talked about some of the increases we're seeing in some of the non-U.S. regions. Could you break that down into kind of core organic leasing and then some of the inflation driven escalators? And so, is this real growth that we're seeing that could be sustained or is it more of an inflation driven bubble that we need to kind of be conscious of that might reverse? And then, second, just on the India situation with the write-down, I think the tactic acknowledgment that maybe some of the loftier valuation ambitions were not there. I guess we're all sitting here trying to figure out what kind of dilution we should be baking into 2024? The latest press reports that India suggested kind of a $2 billion valuation, something like a five times EBITDA multiple. Obviously, it depends on kind of how big a stake you sell and when you sell it. But is there any kind of more color you can shed on the shape of what kind of dilution expectation we should be thinking about for '24? Thank you. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah, David. So let me hit the first part of your question. I think I missed a little bit of the second, so I may ask you to repeat that. But when you think about the upside in terms of the growth rates, let me hit it by addressing the organic tenant billings piece first-off. So we are seeing increases in organic tenant billings really across the board. So you can see in the charts, they were increasing our overall organic tenant billings for the company to about 6%, that's up about 50 basis points from prior. And that kind of -- that theme is consistent across many of the regions. So as Steve just highlighted in the U.S., we're bringing that guide to beyond 5% from what was previously around 5%. International is coming up to greater than 7%. Prior, we were at greater than 6.5%. And then, you look at the different parts of the company region by region, LatAm is going up to about 5% versus what was previously a 4%. APAC is coming up to about 5%. Previously, it was 4%. Europe was staying around where it was at 8%. And then, Africa is also coming up to around 12% from what was prior higher than 11%. A couple of things that I would say, in terms of the stay ability or the durability of some of that growth, certainly, in the U.S., it's nice strong performance. There is a little bit of delayed churn, so we can expect to see that hit next year. Other than that, the U.S. is very steady in terms of the demand. Part of that is because of the way the contracts we have work out. When you think of Latin America, we do have higher levels of churn this year than we have had in prior years. Some of the outperformance is churn driven. So when you think about the LatAm over performance, it's really a delay in churn and probably not all that durable from that perspective. When you get into APAC, it's a similar situation. The increase there is delayed churn, maybe some delayed discounts. Europe is staying in line. In Africa, we're seeing higher levels of new business activity. So much of that is, in fact, durable and lasting, that's the way I would kind of articulate that. And then, maybe on the second question, if you could maybe just repeat the question about the dilution, just so I get it right. David Barden -- Bank of America Merrill Lynch -- Analyst Hey. Yeah, Rod. Thank you. So I think we were just trying to – and thank you for those comments, that's helpful on the pieces part. The -- just the India write-down would seem to suggest that the bid-ask spread between what maybe AMT hopes to accomplish from a valuation standpoint and what's been offered has kind of collapsed down to the offer the side of the spread? And is that the right interpretation or reading through that write-down. And then, obviously, we're all attempting to evaluate what the dilution effect for the sale might be on 2024. Any more color on whether it's a full divestiture or 50% divestiture and kind of timetable would help us kind of do that math? Thank you. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. That's good, David. Thank you. So we're making good progress with the strategic review that we've set out. In terms of the write-down, we are writing the India business down about $322 million and sets the book value in around $2.2 billion or so. And as I stated in my prepared remarks, it really is based on our internal impairment review analysis, discounted cash flow driven and certainly, cost of capital plays a significant role in that. But also, as I highlighted in my comments, it does also consider indications of value that we've determined throughout the process. So I think you can understand what that means, and it will help you kind of think about where things might fit. We've also provided a little bit more breakout on the India financials and some of -- in the back of the presentation, which you'll see. But in terms of revenue, we're a little over $1 billion EBITDA. It's about $355 million. Unlevered AFFO is about $290 million. So that gives you a little bit more information to kind of piece through and kind of assume where we may -- the way we may have. I don't want to get into too much direct guidance. We'll certainly lay that out when we complete our strategic review, which -- the good news is we're happy with the way the process is evolving. We're confident we'll be concluding it this year just as we've previously mentioned, once we do, we'll let the investors know exactly what we've concluded and what we plan to do there. We've said that our goal, and we're on track to achieve our goals, which is to sell a majority equity stake to a financial investor. We've said between 51% and 100%, the reality is it's probably going to be a majority stake. We probably will retain a stake, so it will be somewhere between that 61% and 100%. That's where we're kind of directing the process at this point. But again, we are confident that the process will conclude in the next couple of months. And when it does, we'll let the investors know exactly what we've done. David Barden -- Bank of America Merrill Lynch -- Analyst Thanks so much, guys. Appreciate it. Good luck everybody. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Thanks. Operator And next, we'll move to Rick Prentiss with Raymond James. Please go ahead. Rick Prentiss -- Raymond James -- Analyst Guys, I'll echo the bell head, thanks for the memory, Tom. it's been great working with you. I think we went to your first NAREIT like, 14 years ago. Tom Bartlett -- President and Chief Executive Officer Absolutely. You set up the table for us at the NAREIT conference, Rick, I remember that. Rick Prentiss -- Raymond James -- Analyst Yeah. And Steve, been great working with you in the past, and we look forward to the new role. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Thanks, Rick. Rick Prentiss -- Raymond James -- Analyst Yeah. I want to go back to the dividend question from a couple of different angles as well. Rod, I think you mentioned $6.45 a share approximately current dividend announcing getting paid shortly would imply a little bit higher than that $6.48. Are we thinking it's in that range or is the $6.45 million more we should be thinking about? Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. I think at this point, think about it being flat year-on-year. So, of course, every quarter, we get the dividend approved by the board. But our intention is to hold the dividend flat annually year over year to help support deleveraging balance sheet strength and ultimately, AFFO growth, as well as total shareholder returns. Rick Prentiss -- Raymond James -- Analyst OK. I appreciate the comments that you're trying to kind of decouple from AFFO, more related to the REIT taxable income, it sounds like as well, but sort of implicit in that isn't also that thought that the India sale is anticipated and that also can kind of affect what the dividend might have been prior thoughts. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. I guess, Rick, I would say that's not correct. The India business isn't in our REIT at this point. So it really doesn't drive into the retaxable income issue. I think Tom articulated all the drivers with that, which it's really -- this is a management decision and certainly supported by our board to prioritize capital to prioritize deleveraging and balance sheet strength, it's not impacted by the India process at all. And Tom highlighted, there are certain REIT rules that allow one-time items in some pre-tax earnings to be moved from one period to another. So there have been times in the past where we've been over under distributed, and we can move some of that over or under distribution back and forth from year-to-year, which is helpful. So in this case, it really is a decision to drive balance sheet strength and using our capital in the best way we can again, to drive total shareholder return in the short term and in the long term. And in this market with uncertain interest rates going forward, we think that's prudent and that's really the driving factor. Rick Prentiss -- Raymond James -- Analyst OK. And then, you said there was a small acquisition from AT&T/SBCs talking about history lesson. Can you talk a little bit about what you're seeing in the marketplace as far as multiples in the U.S., Europe and other places. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah, Rick. I would -- let me highlight first that we don't see compelling M&A on our pipeline. I think everyone kind of knows that, I'll just reiterate that. We are seeing some things out there. Certainly, there is -- not as robust, but there is a market in the U.S. with some smaller portfolios. And I don't want to get into a lot of detail in terms of what we see. I think we still see very high prices, even though they may have pulled back slightly from where they were, let's say, a year ago. And for that, we still look at the small deals if we can find compelling ways to expand total shareholder return. We have a little flexibility there. We don't see anything major. But we also just see the majority of the deals are probably still priced a little higher than what today's cost of capital would suggest that they should be. The small acquisition you see in our numbers is really just a buyout of a prior SBC sublease, which you'll be familiar with. It was a small tranche. Rick Prentiss -- Raymond James -- Analyst OK. Was that some of the final purchase option stuff as well? Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. That's exactly what it is. It's not the final one. It's just another tranche, and that will continue for a few more years. Rick Prentiss -- Raymond James -- Analyst Makes sense. And last one for me then. I think you've mentioned that all assets are coming on the tail we reviewed with India getting closer to this process. Any update as far as what you're looking at on the balance sheet that might be possible to say it's not where they are, where we thought it would be or maybe someone else wants to pay more, given private versus pilot multiples? Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. I would say, Rick, we routinely review the portfolio performance across our business globally. We do that from a couple of perspectives. One is, there could be capital recycling opportunities, which we think could be very good for our shareholders over the long term, that certainly the decisions we saw driving our exit from the Mexico fiber business. It also is what is driving our consideration around what we're doing in India. So I'll highlight that, I don't want to get into specific other places where we might be looking. But we are looking at our portfolio, and it's something we do constantly. The other thing we do is, we constantly look at our capital deployments. And from that perspective, we can throttle those back or up depending on where the opportunities are. We can also reallocate or redistribute that capital to where we feel that investments will most -- will be most aligned with our priorities of driving organic growth in the short term and the long term, quality of earnings and consistent durable industry-leading AFFO growth and ultimately, total shareholder return. So I wouldn't just look at whether or not we sell a business here or there, those would be kind of operational decisions, as well as recycling capital, but also kind of our capex programs, how much are we investing? Where are we investing? What kind of assets. And again, those decisions are made each and every year, really each and every quarter, and they are meant to and do align with our priorities. Rick Prentiss -- Raymond James -- Analyst OK. Thanks, guys. And again, best wishes everybody. Tom Bartlett -- President and Chief Executive Officer Thanks, Rick. Operator And next -- pardon me, next we go to Matt Niknam with Deutsche Bank. Please go ahead. Matt Niknam -- Deutsche Bank -- Analyst Hey, guys. Thanks for taking the question. Just two related to the U.S. Maybe first on services. So it was a pretty sizable drop off maybe less surprising in terms of what's going on in the industry, but services revenue looks like they dropped off in third quarter. Just wondering if you can share any color in terms of whether this is broad-based or related to one or two customers in particular and how to think about sort of forward trajectory into 4Q? And then, maybe on a somewhat related note, in terms of colo and amendment activity in the U.S., so, 3Q held in relatively stable to what you saw in the first half. I think the implied number for 4Q is around $53 million. Just wondering whether that's sort of an appropriate run rate to consider into next year or whether we should anticipate sort of incremental moderations by virtue of just a broader low in the industry? Thanks. Tom Bartlett -- President and Chief Executive Officer Sure. I'll start out and then, if you want to jump in, Rod. In terms of our service business, it's inherently a non-run rate business, and that makes it difficult to predict. And you saw that in 2021 when we raised our guide materially over a couple of quarters, we're seeing that this year as we've seen a moderation of activity. What I would say is because of our cooperative MLAs, that's not a direct read across to our property revenue, because we are somewhat insulated from the peaks and valleys of activity with the customers on that. And it's too early to be giving guidance for 2024 and where we see the activity levels going there. What I would just reiterate is this is consistent with what we've seen in other Gs of activity. And the carriers have an initial build phase that starts out with kind of a wave of activity, and you'll see that moderate a little bit. We are seeing the capital spend moderate a bit, but it's still settling at levels higher than it was in 4G. And even with our reduced expectations this year for our services business, it's still higher than it was at the same point in 4G. So we're very optimistic that customers will continue to build throughout the cadence of this 5G build. There will be a restart of that activity. We don't know exactly when that's going to happen and we'll give better guidance on that in February as we get more visibility into 2024, what those activity levels are going to be. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. And Matt, I'll just add a couple of data points. When you think about the co-location amendment additions. This year, we're anticipating a number of around $230 million for the U.S. You recall last year, we were around $150 million, we're at about $58 million this quarter and our guide anticipates a further reduction, but still a number that's greater than $50 million in Q4. I wouldn't just take that Q4 number and annualize. And I think you're better off and we won't give guidance, as Steve suggest until next year. But for modeling purposes, if you look at this year and last year and you split the difference, that's probably a safer place to put in your models today. And then, of course, we'll guide in February, and we'll be able to update that number. The only other thing I would say on services is the $140 million number is still higher than the historical average for services, and we're continuing to maintain a very nice gross margin in that business at all levels. So when we saw that go up to about $270 million, we were still in the 50s, low 50s, 53%, 54% margins as it tapered off a little bit to $140 million, we are able to drive up the margins based on the mix of the revenue and the way we service that revenue. So with a lower revenue, we're still able to mitigate some of that with higher margins in the upper 50s at this point. Matt Niknam -- Deutsche Bank -- Analyst Appreciate it. Thank you both. Tom Bartlett -- President and Chief Executive Officer You're welcome. Operator Thank you. And next, we'll go to Eric Luebchow with Wells Fargo. Please go ahead. Eric Luebchow -- Wells Fargo Securities -- Analyst Great. Thanks for taking the question. Just a couple on capital allocation. So given the recent increases in interest rates and cost of capital, I mean, to influence at all as you look into next year, kind of your build-to-suit ambitions internationally or is there any kind of valuation of maybe slowing that to reinvest in other areas and that could potentially be data centers where it seems like you've had really strong performance year-to-date. It seems like growth continues to ramp and maybe you need to allocate more capital to your data center business and how you kind of balance that versus other forms of shareholder return? That would be very helpful. Thank you. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. Good morning, Eric. Thanks for joining in. And absolutely, all those issues are on the table. We look at our capital allocation every year, certainly, and I would say, even more frequently than that in the idea and the approach is to make the best decisions we can to support long-term total shareholder return. With the increase in cost of capital, the increase in interest rates, as well as other factors affecting our markets around the globe, those all play into how much capital we will be deploying, how many build-to-suits will be executing on and where those will be. So that certainly comes into play. I won't get into a lot of detail in terms of decision-making there. I would just maybe highlight again that capital this year is lower than it was last year. And the environment in interest rates, in particular, there's still a fair amount of uncertainty. So we will be continuing to kind of look at that capital plan to decide if putting the capital into build-to-suits around the globe is better than some of the other options we have and a continuation of capital reductions is probably what you'll end up seeing in this environment. That's kind of where we're looking at it. The other part of your question is absolutely, we look at putting capital into places that primarily or specifically drive and align with our priorities. So when you think about us focused on organic growth over the long term, we're focused on quality of earnings. We're focused on operational efficiencies and driving balance sheet strength, all of the different ways that we can execute on achieving those goals are in play. If that means allocating more capital to higher quality markets versus emerging markets or vice versa. If it means putting less into capex and more into debt reduction, if it means reducing the growth of the dividend and putting more toward balance sheet and debt reduction. We think about those things all the time and it plays into our capital allocation and it will next year as well, and we'll lay out what that will mean in February. Eric Luebchow -- Wells Fargo Securities -- Analyst Great. Thanks. And just one follow-up question. Latin America, you've talked about some delayed churn in that business. So maybe you could just kind of walk us through the cadence of when that you expect that churn to kind of layer through and when you may be on the other side of it. And then, obviously, it seems like given a pretty big reduction in inflation in some of those markets like Brazil, would seem to seem like the CPI-linked escalators will be a bit of a headwind at least into next year. So maybe just talk about some of the moving pieces and the growth outlook there? Thank you. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. A couple of things that I'd – that I highlight relative to the LatAm market. I mean, in 2022, we had roughly 5% churn that was part of embedded in our organic tenant billings growth. In Q3 here, it was 5.2%, so pretty consistent. For the full year of '23, we're projecting that to be around 6%. So that's what's driving. When we say elevated churn, that's exactly kind of what we're seeing there. We are seeing delays in churn. Much of that is tied to the churn that we're experiencing and will continue to experience down in Brazil. We also see churn from Telefonica up in Mexico. Those are kind of the two primary places where we see churn. We've laid out a lot of the different pieces of the oi churn. I won't do that again here. But I would say, we do expect elevated churn to continue into next year. I think you're absolutely right in terms of when inflation moderates in some of these markets, that will potentially lower the organic tenant billings growth from that perspective as well. So we'll be watching all of those issues. I think when it comes to LatAm, we'll be watching the churn as we go into next year. I can't tell you yet that we're beyond the peak here because of this churn that was delayed and potentially pushed into next year. But over the next couple of years, LatAm because of the reduction in inflation that could happen and the elevated churn, we could be in the low single digits in terms of organic tenant billings growth as we head into next year. Eric Luebchow -- Wells Fargo Securities -- Analyst OK. Great. Thank you, Rob. Appreciate it. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer You're welcome. Operator And next, we can go to Nick Del Deo with Moffett Nathanson. Please go ahead. Nick Del Deo -- MoffettNathanson -- Analyst Hey. Thanks for taking my questions. And first of all, I want to echo others' comments and congratulate both Tom and Steve on the upcoming changes. Tom Bartlett -- President and Chief Executive Officer All right. Thank you. Nick Del Deo -- MoffettNathanson -- Analyst Tom, just following up on the technology outlook you shared, is there any reason to believe that -- call it, the combination of the volume of spectrum that the carriers have been able to deploy and the capacity improvements enabled by 5G and massive MIMO, are going to allow them to stretch out their 5G upgrades over a longer period of time than may have been the case in the past, I think what you call the harvest phase of the 5G deployment or do you think those -- the impact of those improvements are just confident to what we've seen in the past with other technology upgrades? Tom Bartlett -- President and Chief Executive Officer My sense is that they're more comparable with what we've seen in prior upgrades. Yeah. There are bigger swaps of spectrum in the market today that all of our customers are deploying, particularly in the mid-band. But the demand is disproportionate to what we've seen in the past. So my sense is that given the demand and the additional kind of usage that we would expect over the next several years, it will be very -- rarely, very, very consistent. The data intensity that I even talked about with regards to adding certain levels of video usage is really going to eat into a lot of that spectrum capacity that is out there. So as I said, there is definitely more spectrum out there, definitely more in the mid-band, but I would expect that the usage that we will see and experience over the next several years, we'll put it on the same path as what we've seen in 3G and 4G. Nick Del Deo -- MoffettNathanson -- Analyst OK. And then, maybe for Rod kind of a follow-up question on the dividend outlook. You noted that coming 2025, we should start to see the dividend grow at kind of in line with taxable income. I think historically, you had outlined sort of a 10% expectation. Should we think of your likely taxable income growth as being in that zone or is it going to be sort of a different level or is it just too early to say? Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer I think, Nick, it -- we'll have to watch kind of the trajectory of the REIT taxable income. But in general, I think it's probably safe for you to assume that that will be in line with all material respects with our AFFO growth and AFFO per share growth, that's probably a safe way to kind of think about it. It may not be exact all the time. But given the fact that we can't predict the future certain -- and certainly, we're not going to be guiding long term on that. If you think about where our AFFO and AFFO per share growth is going to be and you think about that being probably consistent with where retaxable income might be and where the dividend growth could be. That's probably the safest bet. I'd just highlight again, we do have a requirement to dividend out 90% of our REIT taxable income. We typically dividend out closer to 100% because we think that's most beneficial to our shareholders from a tax perspective. So that's important to notice. But then, Tom, mentioned, there are other ways that we manage the dividend payout relative to REIT taxable income, and that's where there is a little bit more discretion on our end to try to match it up to AFFO growth. So that's probably the way to think about it. Think about what our AFFO growth is going to be over the long term, what our AFFO per share growth is going to be and a dividend growth very well may align with that.But with that said, we will be considering capital allocation and the best uses of capital for our shareholders each and every year and each and every quarter. And the dividend specifically, is approved by our board each year in each quarter. Nick Del Deo -- MoffettNathanson -- Analyst OK. That's great. Thank you, Rod. And can I just -- one quick clarification on the one-time revenue benefits you called out. It looks like other was elevated in the U.S. in the quarter. I think that's really the Sprint payments. And any other one-timers that you would call out or be able to describe to us? Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer The only thing it's really in the settlement area. I mean, we had about -- I think it was about $50 million in settlements this quarter. Last year, same quarter was much lower, more in the $15 million range. There's a customer equipment removal settlement in the U.S. that was pulled forward from the fourth quarter into the third quarter, that was probably in the range of $25 million or so. But those are really the items. It's the one-time items, it's settlement fees. We get some small settlement fees throughout our other international markets and the timing of those can be somewhat bumpy. One thing you'll see from our guide is those settlement fees, those one-time items do drop off pretty substantially in Q4. So that's one of the things you can think about when you look at the bridge from Q3 to Q4 in terms of our AFFO, there will be a non-recurrence of close to $40 million, $45 million of those one-time items. Nick Del Deo -- MoffettNathanson -- Analyst OK. Great. Thank you so much. Operator And next, we'll go to Batya Levi with UBS. Please go ahead. Batya Levi -- UBS -- Analyst Great. Thank you. Tom and Steve, I wish you all the best as well. Just a couple of quick follow-ups. Rod, you mentioned that we'll end leverage at about 5.2, 5.3 at year-end. Where do you want that to be over the next year or two? And we will get specific guidance next year, but just directionally, do you expect AFFO to grow in '24, assuming India is sold at year-end? Thank you. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Yeah. Hey, Batya. Nice to hear from you. Hope you are well. Yes, so we ended the quarter with 5.0 leverage. It's going to be a little higher than that at the end of the year, primarily driven because of those one-time items on the EBITDA side. But our clear focus is to delever to reduce debt, as well as reduce our exposure to floating rate debt by driving the percentage of our debt that is exposed to floating rates, and we got that down to about 11% or so. Our goal is to get to five times really as soon as we can. And that's what we're focused on, and that's what's driving a lot of our capital allocation decisions is driving balance sheet strength and reducing leverage getting to that 5.0 as soon as we can. So that is clearly the goal. The goal will also -- the goal -- and it's specifically for 2024, that's where we hope to get to. And we're looking for all the opportunities we can find to drive that. And that could include reducing the capital program a little bit next year, that certainly is in line with the dividend decision that you heard us articulate today, you'll see that our SG&A is being held flat year over year. You'll see that our margins are expanding that's the result of a lot of global initiatives around operational efficiency to drive additional EBITDA and AFFO. Not only is that good for everyone. It also helps us get our leverage numbers down a little bit. It provides a little bit more cash flow to reduce the debt. So those are all the pieces that we're focused on. The short answer is five times as soon as possible. Five times in 2024 would be great. That's possible, and we're driving toward that and we'll see if we can achieve it. And then, with AFFO, I would absolutely say, our portfolio, consistent with the way we've explained this for years is really well positioned for durable AFFO per share growth. This year, that was interrupted primarily because of financing cost headwinds, driven by interest rates, additional shares that we issued for some of our prior acquisitions and some minority interest that we have because of some of the private capital that we raised in certain parts of our business. With our new AFFO per share outlook of around $9.79, we're pretty much flat with where we were prior year. So we've been able to convert a 1% to 2% reduction in AFFO, AFFO per share up to closer to flat, which is good. But when you think about that number being flat and an 8% headwind from financing being embedded in it, as well as a 2% headwind from VIL short payments or, let's say, the VIL reserve of $75 million we made, you adjust for those things, the underlying core operating performance of the assets that we own around the globe are driving double-digit growth without those headwinds. So we absolutely believe this business can drive growth over the long term and in 2024. The thing that we'll be watching that a potential interrupters would be any material volatility in FX. We don't know where rates will go. Rate uncertainty is something that we watch. But absent those sorts of items, we think the portfolio is well positioned to grow next year and over the long term. Batya Levi -- UBS -- Analyst Got it. Thank you. Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer You're welcome. Operator And ladies and gentlemen, that does conclude our Q&A session for today. I'll hand the call back over to our team. Adam Smith -- Senior Vice President of Investor Relations Great. Thank you, everyone, for joining today's call. If you have any other questions, please feel free to reach out to me here at the investor relations team. Have a great day. Operator [Operator signoff] Duration: 0 minutes Call participants: Adam Smith -- Senior Vice President of Investor Relations Tom Bartlett -- President and Chief Executive Officer Rod Smith -- Executive Vice President, Chief Financial Officer, and Treasurer Simon Flannery -- Morgan Stanley -- Analyst Michael Rollins -- Citi -- Analyst David Barden -- Bank of America Merrill Lynch -- Analyst Rick Prentiss -- Raymond James -- Analyst Matt Niknam -- Deutsche Bank -- Analyst Eric Luebchow -- Wells Fargo Securities -- Analyst Nick Del Deo -- MoffettNathanson -- Analyst Batya Levi -- UBS -- Analyst More AMT analysis All earnings call transcripts This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has positions in and recommends American Tower. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	Shares of American Tower (NYSE: AMT) were up 8.5% as of 1:50 p.m. ET Thursday after the communications-infrastructure company announced better-than-expected quarterly results. A strong quarter for American Tower despite difficult macroconditions American Tower's third-quarter revenue climbed 5.5% year over year to $2.819 billion, translating to a 30% decline in net income attributable to AMT shareholders to $587 million, or $1.26 per share. The latter drop is primarily attributable to goodwill impairment charges incurred during the quarter as it explores strategic alternatives for its India operations. Analysts, on average, were only expecting earnings of $1.13 per share on revenue of $2.76 billion. As a real estate investment trust (REIT), a better metric than net income to gauge American Tower's success is adjusted funds from operations (AFFO), which effectively measures the company's cash flow from operations. American Tower's AFFO grew 9.5% year over year in Q3 to $1.206 billion and rose 9.3% on a per-share basis to $2.58. American Tower CEO Tom Bartlett lauded the company's performance and "resiliency in an increasingly challenging macroeconomic environment." Bartlett added that organic tenant-billings growth arrived at more than 6%, while U.S. data center business revenue climbed over 9%. American Tower just raised its guidance (again) As such, American Tower now expects total property revenue in 2023 of $10.895 billion to $10.985 billion, up $60 million from its previous range and good for 4.5% growth at the midpoint. American Tower also guided for 2023 AFFO per share of $9.72 to $9.85, up 0.3% at the midpoint and an increase of $0.09 per share from its old range. And finally, the company now expects 2023 adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $7.01 billion to $7.09 billion, up 6.1% at the midpoint and a $60 million increase from its previous outlook. All told, this was a solid beat-and-raise performance from American Tower as it proves yet again it can stand tall as a bastion of strength regardless of broader macroconditions. The stock is responding in kind today. 10 stocks we like better than American Tower When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and American Tower wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 23, 2023 Steve Symington has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends American Tower. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	Looking at the sectors faring best as of midday Thursday, shares of Materials companies are outperforming other sectors, higher by 1.2%. Within that group, Masco Corp. (Symbol: MAS) and Bunge Ltd. (Symbol: BG) are two large stocks leading the way, showing a gain of 6.0% and 4.5%, respectively. Among the high volume ETFs, one ETF closely following materials stocks is the Materials Select Sector SPDR ETF (Symbol: XLB), which is up 1.1% on the day, and down 1.57% year-to-date. Masco Corp., meanwhile, is up 9.82% year-to-date, and Bunge Ltd. is up 13.76% year-to-date. The next best performing sector is the Financial sector, higher by 1.1%. Among large Financial stocks, American Tower Corp (Symbol: AMT) and Crown Castle Inc (Symbol: CCI) are the most notable, showing a gain of 8.1% and 4.9%, respectively. One ETF closely tracking Financial stocks is the Financial Select Sector SPDR ETF (XLF), which is up 0.1% in midday trading, and down 5.02% on a year-to-date basis. American Tower Corp, meanwhile, is down 16.24% year-to-date, and Crown Castle Inc, is down 30.43% year-to-date. Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom: Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Thursday. As you can see, four sectors are up on the day, while five sectors are down. SECTOR % CHANGE Materials +1.2% Financial +1.1% Utilities +0.7% Industrial +0.2% Technology & Communications -0.1% Services -0.3% Consumer Products -0.7% Energy -0.7% Healthcare -1.0% 10 ETFs With Stocks That Insiders Are Buying » Also see: Funds Holding EMP Top Ten Hedge Funds Holding VIXP AMRH Videos The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	The iShares MSCI USA ESG Select ETF is seeing unusually high volume in afternoon trading Thursday, with over 4.6 million shares traded versus three month average volume of about 343,000. Shares of SUSA were down about 0.6% on the day. Components of that ETF with the highest volume on Thursday were Tesla, trading off about 2.6% with over 62.5 million shares changing hands so far this session, and Apple, off about 2.6% on volume of over 29.9 million shares. American Tower is the component faring the best Thursday, up by about 7.7% on the day, while West Pharmaceutical Services is lagging other components of the iShares MSCI USA ESG Select ETF, trading lower by about 10.8%. VIDEO: Thursday's ETF with Unusual Volume: SUSA The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	For the quarter ended September 2023, American Tower (AMT) reported revenue of $2.82 billion, up 5.5% over the same period last year. EPS came in at $2.58, compared to $1.80 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $2.76 billion, representing a surprise of +2.15%. The company delivered an EPS surprise of +9.79%, with the consensus EPS estimate being $2.35. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how American Tower performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Organic Tenant Billings Growth - U.S. & Canada: 5.3% versus 4.9% estimated by four analysts on average. Total - Ending Balance: 222,858 compared to the 224,750 average estimate based on four analysts. International - Ending Balance: 180,330 compared to the 182,107 average estimate based on four analysts. U.S. & Canada - Ending Balance: 42,528 versus 42,701 estimated by four analysts on average. Geographic Revenues- U.S. & Canada: $1.33 billion versus the five-analyst average estimate of $1.30 billion. The reported number represents a year-over-year change of +5.2%. Geographic Revenues- Total International: $1.26 billion versus $1.20 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +8.6% change. Geographic Revenues- Africa: $294 million versus the three-analyst average estimate of $313.04 million. The reported number represents a year-over-year change of -3%. Geographic Revenues- Europe: $200 million versus the three-analyst average estimate of $189.67 million. Geographic Revenues- Asia-Pacific: $302 million versus the three-analyst average estimate of $261.71 million. The reported number represents a year-over-year change of +21.3%. Total operating revenues- Services: $26 million versus $43.19 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -57.8% change. Total operating revenues- Data Centers: $212 million versus the four-analyst average estimate of $205.65 million. Total operating revenues- Total Property: $2.79 billion versus $2.71 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +7% change. View all Key Company Metrics for American Tower here>>> Shares of American Tower have returned +1.4% over the past month versus the Zacks S&P 500 composite's -3.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time. This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock and 4 Runners Up >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	Shares of American Tower Corporation AMT are up 1.28% in today’s pre-market trading session in response to stellar third-quarter results. Adjusted funds from operations (AFFO) per share, attributable to AMT common stockholders, of $2.58 beat the Zacks Consensus Estimate of $2.35 and climbed 9.3% year over year. Results reflect better-than-anticipated revenues, aided by revenue growth across its Property segment. American Tower recorded healthy year-over-year organic tenant billings growth of 6.3% and total tenant billings growth of 7.3%. It also raised its outlook for 2023. The company has clocked in total revenues of $2.82 billion, outpacing the Zacks Consensus Estimate of $2.76 billion. On a year-over-year basis, the figure increased 5.5% from the prior-year quarter. Per Tom Bartlett, CEO, American Tower, “We had a strong quarter, as our global portfolio of communications assets continued to demonstrate resiliency in an increasingly challenging macroeconomic environment. As a result of our strong results, and a high degree of visibility through the balance of the year, we are pleased to again raise our full year outlook for property revenue, Adjusted EBITDA and Attributable AFFO, and remain encouraged by our positioning as we look forward to 2024.” Quarter in Detail Adjusted EBITDA was $1.81 billion, up 10.4% from the prior-year period. The adjusted EBITDA margin was 64.4% in the quarter. In the reported quarter, AMT shelled out $61 million for the purchase of sites related to a sublease agreement with SBC Communications Inc., a predecessor entity to AT&T Inc., and other communications infrastructure assets. Property Operations Revenues were $2.79 billion, up almost 7% on a year-over-year basis. Our estimate for Property revenues was pegged at $2.69 billion. The operating profit was $1.86 billion, and the operating profit margin was 67%. In the Property segment, revenues from the United States and Canada totaled $1.33 billion, up 5.2% year over year. Total international revenues amounted to $1.26 billion, rising 8.6%. Newly formed Data Centers added $212 million to Property revenues, up 9.3% from $194 million in the prior-year period. Service Operations Revenues totaled $26.2 million in the reported quarter, down from $61.6 million in the prior-year quarter. We expected the metric to be $54.9 million. The operating profit was $8 million and the operating profit margin was 29% in the July-September quarter. Cash Flow & Liquidity In the third quarter, American Tower generated $1.30 billion of cash from operating activities, rising 39.5% year over year. Free cash flow in the period was $892 million, jumping substantially from a year ago. As of Sep 30, 2023, the company had $9.7 billion in total liquidity. This comprised $2.1 billion in cash and cash equivalents, and availability of $7.6 billion under its revolving credit facilities (net of any outstanding letters of credit). Upbeat 2023 Guidance American Tower anticipates total property revenues of $10,895 -$10,985 million, suggesting a year-over-year improvement of 4.5% at the mid-point. The earlier guided range was $10,790-$10,970 million. The adjusted EBITDA was revised upward to $7,010-$7,090 million from $6,950-$7,030 million stated earlier. This indicates a mid-point increase of 6.1%. The AFFO attributable to AMT common stockholders is now projected in the band of $4,540 -$4,600 million, implying 1.2% year-over-year growth at the mid-point. The company’s prior expectations ranged between $4,490 million and $4,570 million. AFFO per share was revised upward to $9.72-$ 9.85, indicating a marginal rise at the mid-point of 0.3%. The prior projected range was $9.61-$ 9.79. The Zacks Consensus Estimate for the same is pegged at $9.72. The company maintained its guidance for capital expenditure between $1,650 million and $1,760 million. Currently, AMT carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. American Tower Corporation Price, Consensus and EPS Surprise American Tower Corporation price-consensus-eps-surprise-chart \| American Tower Corporation Quote Performance of Other REITs Prologis, Inc. PLD reported third-quarter 2023 core FFO per share of $1.30, beating the Zacks Consensus Estimate of $1.26. The figure, however, declined 24.9% from the year-ago quarter. The results of this industrial REIT reflected healthy rent growth. However, lower occupancy and higher interest expenses were undermining factors. PLD also raised the midpoint of its 2023 core FFO per share guidance by a cent. Alexandria Real Estate Equities, Inc. ARE reported third-quarter 2023 AFFO per share of $2.26, surpassing the Zacks Consensus Estimate of $2.24. The reported figure climbed 6.1% from the year-ago quarter. Results reflected year-over-year revenue growth, aided by decent leasing activity and solid rental rate growth. ARE also increased the midpoint of its 2023 AFFO per share outlook by 2 cents. Equinix Inc.’s EQIX third-quarter 2023 AFFO per share of $8.19 surpassed the Zacks Consensus Estimate of $7.79. The figure improved nearly 6% from the prior-year quarter. EQIX’s results reflected steady growth in colocation and inter-connection revenues as enterprises and service providers look to integrate artificial intelligence into their strategies and offerings. During the quarter, Equinix’s total interconnections reached 460,500, rising 1% sequentially and 4% year over year. The company also raised its AFFO per share guidance for 2023. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale. Download FREE: How To Profit From Trillions On Spending For Infrastructure >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Prologis, Inc. (PLD) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Alexandria Real Estate Equities, Inc. (ARE) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	American Tower (AMT) came out with quarterly funds from operations (FFO) of $2.58 per share, beating the Zacks Consensus Estimate of $2.35 per share. This compares to FFO of $2.36 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an FFO surprise of 9.79%. A quarter ago, it was expected that this wireless communications infrastructure company would post FFO of $2.36 per share when it actually produced FFO of $2.46, delivering a surprise of 4.24%. Over the last four quarters, the company has surpassed consensus FFO estimates four times. American Tower, which belongs to the Zacks REIT and Equity Trust - Other industry, posted revenues of $2.82 billion for the quarter ended September 2023, surpassing the Zacks Consensus Estimate by 2.15%. This compares to year-ago revenues of $2.67 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future FFO expectations will mostly depend on management's commentary on the earnings call. American Tower shares have lost about 23.6% since the beginning of the year versus the S&P 500's gain of 9%. What's Next for American Tower? While American Tower has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's FFO outlook. Not only does this include current consensus FFO expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of estimate revisions. Ahead of this earnings release, the estimate revisions trend for American Tower: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus FFO estimate is $2.33 on $2.76 billion in revenues for the coming quarter and $9.72 on $11.06 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, REIT and Equity Trust - Other is currently in the bottom 24% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Americold Realty Trust Inc. (COLD), another stock in the same industry, has yet to report results for the quarter ended September 2023. The results are expected to be released on November 2. This company is expected to post quarterly earnings of $0.32 per share in its upcoming report, which represents a year-over-year change of +10.3%. The consensus EPS estimate for the quarter has been revised 1% lower over the last 30 days to the current level. Americold Realty Trust Inc.'s revenues are expected to be $702.89 million, down 7.2% from the year-ago quarter. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale. Download FREE: How To Profit From Trillions On Spending For Infrastructure >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Americold Realty Trust Inc. (COLD) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-26	AMT	(RTTNews) - American Tower Corp. (AMT) will host a conference call at 8:30 AM ET on October 26, 2023, to discuss Q3 23 earnings results. To access the live webcast, log on to https://www.americantower.com/investor-relations/webcasts/ To listen to the call, dial (844) 291-4185 (US) or (409) 207-6997 (International), Access Code: 9155827. For a replay call, dial (866) 207-1041 (US) or (402) 970-0847 (International), Access Code: 1689058. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-25	AMT	The following companies are expected to report earnings prior to market open on 10/26/2023. Visit our Earnings Calendar for a full list of expected earnings releases. Mastercard Incorporated (MA)is reporting for the quarter ending September 30, 2023. The financial transactions company's consensus earnings per share forecast from the 14 analysts that follow the stock is $3.21. This value represents a 19.78% increase compared to the same quarter last year. In the past year MA has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 1.76%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for MA is 31.87 vs. an industry ratio of 10.60, implying that they will have a higher earnings growth than their competitors in the same industry. Merck & Company, Inc. (MRK)is reporting for the quarter ending September 30, 2023. The large cap pharmaceutical company's consensus earnings per share forecast from the 8 analysts that follow the stock is $1.94. This value represents a 4.86% increase compared to the same quarter last year. In the past year MRK has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 5.07%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for MRK is 35.77 vs. an industry ratio of 25.70, implying that they will have a higher earnings growth than their competitors in the same industry. Linde plc (LIN)is reporting for the quarter ending September 30, 2023. The chemical company's consensus earnings per share forecast from the 7 analysts that follow the stock is $3.57. This value represents a 15.16% increase compared to the same quarter last year. In the past year LIN has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 2.88%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for LIN is 26.20 vs. an industry ratio of 8.00, implying that they will have a higher earnings growth than their competitors in the same industry. Comcast Corporation (CMCSA)is reporting for the quarter ending September 30, 2023. The cable tv company's consensus earnings per share forecast from the 8 analysts that follow the stock is $0.94. This value represents a 2.08% decrease compared to the same quarter last year. In the past year CMCSA has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 15.31%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for CMCSA is 11.41 vs. an industry ratio of 7.60, implying that they will have a higher earnings growth than their competitors in the same industry. Honeywell International Inc. (HON)is reporting for the quarter ending September 30, 2023. The diversified operations company's consensus earnings per share forecast from the 7 analysts that follow the stock is $2.22. This value represents a 1.33% decrease compared to the same quarter last year. In the past year HON has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 1.36%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for HON is 19.83 vs. an industry ratio of 8.60, implying that they will have a higher earnings growth than their competitors in the same industry. Bristol-Myers Squibb Company (BMY)is reporting for the quarter ending September 30, 2023. The biomedical (gene) company's consensus earnings per share forecast from the 10 analysts that follow the stock is $1.76. This value represents a 11.56% decrease compared to the same quarter last year. BMY missed the consensus earnings per share in the 2nd calendar quarter of 2023 by -12.06%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for BMY is 7.61 vs. an industry ratio of -4.90, implying that they will have a higher earnings growth than their competitors in the same industry. United Parcel Service, Inc. (UPS)is reporting for the quarter ending September 30, 2023. The transportation company's consensus earnings per share forecast from the 9 analysts that follow the stock is $1.53. This value represents a 48.83% decrease compared to the same quarter last year. In the past year UPS has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 1.2%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for UPS is 16.06 vs. an industry ratio of 15.90, implying that they will have a higher earnings growth than their competitors in the same industry. American Tower Corporation (REIT) (AMT)is reporting for the quarter ending September 30, 2023. The reit company's consensus earnings per share forecast from the 7 analysts that follow the stock is $2.27. This value represents a 3.81% decrease compared to the same quarter last year. In the past year AMT has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 8.37%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for AMT is 17.55 vs. an industry ratio of 10.70, implying that they will have a higher earnings growth than their competitors in the same industry. Altria Group (MO)is reporting for the quarter ending September 30, 2023. The tobacco company's consensus earnings per share forecast from the 6 analysts that follow the stock is $1.29. This value represents a 0.78% increase compared to the same quarter last year. Zacks Investment Research reports that the 2023 Price to Earnings ratio for MO is 8.53 vs. an industry ratio of 8.20, implying that they will have a higher earnings growth than their competitors in the same industry. Boston Scientific Corporation (BSX)is reporting for the quarter ending September 30, 2023. The medical products company's consensus earnings per share forecast from the 13 analysts that follow the stock is $0.48. This value represents a 11.63% increase compared to the same quarter last year. Zacks Investment Research reports that the 2023 Price to Earnings ratio for BSX is 25.61 vs. an industry ratio of -1.90, implying that they will have a higher earnings growth than their competitors in the same industry. Northrop Grumman Corporation (NOC)is reporting for the quarter ending September 30, 2023. The aerospace and defense company's consensus earnings per share forecast from the 8 analysts that follow the stock is $5.81. This value represents a 1.36% decrease compared to the same quarter last year. NOC missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -3.28%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for NOC is 21.10 vs. an industry ratio of 5.20, implying that they will have a higher earnings growth than their competitors in the same industry. Valero Energy Corporation (VLO)is reporting for the quarter ending September 30, 2023. The oil refining company's consensus earnings per share forecast from the 6 analysts that follow the stock is $7.36. This value represents a 3.08% increase compared to the same quarter last year. In the past year VLO has beat the expectations every quarter. The highest one was in the 2nd calendar quarter where they beat the consensus by 6.3%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for VLO is 5.04 vs. an industry ratio of 7.60. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-25	AMT	Public Storage PSA is slated to release third-quarter 2023 results on Oct 30 after market close. Both its quarterly revenues and core funds from operations (FFO) per share are likely to have witnessed year-over-year increases. In the last reported quarter, this self-storage real estate investment trust (REIT) delivered a surprise of 1.90% in terms of core FFO per share. Results reflected a better-than-anticipated top line. The company also benefited from its expansion efforts through acquisitions, developments and extensions. Over the last four quarters, Public Storage surpassed the Zacks Consensus Estimate on all occasions, the average beat being 2.10%. The graph below depicts the surprise history of the company: Public Storage Price and EPS Surprise Public Storage price-eps-surprise \| Public Storage Quote Let’s see how things have shaped up before this announcement. Key Factors In the third quarter, Public Storage is expected to have enjoyed the advantages of its strong foothold in major urban centers, well-established brand reputation and technological edge. Additionally, PSA is likely to have profited from favorable market conditions while maintaining a robust financial position. Public Storage has one of the strongest balance sheets in the sector, with adequate liquidity to bank on expansion opportunities through acquisitions and developments. This is likely to have continued in the third quarter as well. From the beginning of 2021 through Jun 30, 2023, Public Storage acquired 322 facilities, with 28 million net rentable square feet, for $6 billion. Moreover, in September 2023, it acquired Simply Self Storage for $2.2 billion. Such acquisition and expansion initiatives are anticipated to have stoked the company’s growth during the period under consideration. Amid these, Public Storage is likely to have seen growth in revenues in the quarter to be reported. The Zacks Consensus Estimate for quarterly revenues stands at $1.14 billion. This calls for a 4.63% year-over-year increase. The Zacks Consensus Estimate for third-quarter revenues from self-storage facilities stands at $1.07 billion. This suggests an increase from the $1.03 billion witnessed in the year-ago period. Quarterly revenues from ancillary operations are presently projected at $64.47 million, ahead of the $60.76 million registered in the comparable period last year. However, with tenants reverting to more normal move-out behavior as the pandemic’s impact abates, there is upward pressure on vacate trends. Furthermore, there is a development boom of self-storage units in several markets. This high supply is likely to have fueled competition. We estimate weighted average square foot occupancy to decline to 93% from 93.7% reported in the prior quarter. Also, rising interest rates add to its woes. We estimate a significant year-over-year increase in interest expenses. PSA’s activities during the quarter under review were not adequate to gain analysts’ confidence. The Zacks Consensus Estimate for the third-quarter core FFO per share has been revised a cent south to $4.21 in the past month. However, it calls for 1.9% year-over-year growth. Here Is What Our Quantitative Model Predicts: Our proven model does not conclusively predict a surprise in terms of FFO per share for Public Storage this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an FFO beat, which is not the case here. PSA currently carries a Zacks Rank of 3 and has an Earnings ESP of -0.29%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Stocks That Warrant a Look Our model shows that American Tower Corporation AMT and Digital Realty Trust DLR have the right combination of elements to report a surprise this quarter. American Tower is slated to report quarterly numbers on Oct 26. AMT has an Earnings ESP of +0.59% and carries a Zacks Rank of 3 presently. You can see the complete list of today’s Zacks #1 Rank stocks here. Digital Realty, scheduled to report quarterly numbers on Oct 26, has an Earnings ESP of +2.40% and carries a Zacks Rank of 3. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Public Storage (PSA) : Free Stock Analysis Report Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-25	AMT	Investors are always looking for stocks that are poised to beat at earnings season and American Tower Corporation AMT may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report. That is because American Tower is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good indicator of some favorable trends underneath the surface for AMT in this report. In fact, the Most Accurate Estimate for the current quarter is currently at $2.37 per share for AMT, compared to a broader Zacks Consensus Estimate of $2.35 per share. This suggests that analysts have very recently bumped up their estimates for AMT, giving the stock a Zacks Earnings ESP of +0.59% heading into earnings season. American Tower Corporation Price and EPS Surprise American Tower Corporation price-eps-surprise \| American Tower Corporation Quote Why is this Important? A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10-year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here). Given that AMT has a Zacks Rank #3 and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Clearly, recent earnings estimate revisions suggest that good things are ahead for American Tower, and that a beat might be in the cards for the upcoming report. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-25	AMT	Medical Properties Trust, Inc. MPW — also known as MPT — is scheduled to report third-quarter 2023 results on Oct 26, before the opening bell. The company’s quarterly results are expected to reflect a year-over-year decline in revenues and funds from operations (FFO) per share. In the last reported quarter, this real estate investment trust (REIT), which acquires and develops net-leased hospital facilities, posted normalized FFO per share of 48 cents, beating the Zacks Consensus Estimate by 26.32%. Over the trailing four quarters, MPT beat the Zacks Consensus Estimate on one occasion and met the same in the remaining three, with the average being 6.58%. This is depicted in the graph below: Medical Properties Trust, Inc. Price and EPS Surprise Medical Properties Trust, Inc. price-eps-surprise \| Medical Properties Trust, Inc. Quote Factors at Play Medical Properties owns a premium acute care portfolio, which is likely to have benefited from the favorable operating trends of the healthcare industry on the back of an aging population, growing consumer demand and expanded medical service offerings. Its reliable, sustainable and inflation-protected cash-based business model is expected to have supported decent cashflow generation during the third quarter. Also, MPW’s portfolio diversification efforts with respect to the operator and gains from past accretive acquisitions are likely to have driven its quarterly performance. Further, the adoption of a disciplined capital allocation strategy aimed at fortifying its balance sheet strength, lowering the cost of capital and aiding long-term shareholder value creation are likely to have given MPW an edge. Nonetheless, a rise in interest expenses amid a high interest rate environment and exposure to certain troubled operators are anticipated to have cast a pall on the company’s quarterly performance to some extent. Q3 Projections The Zacks Consensus Estimate for third-quarter rent billed is pegged at $248.5 million, suggesting an increase from the prior quarter’s $247.5 million and the year-ago period’s $232.4 million. Straight-line rent is estimated at $55.3 million, up from $39.3 million reported in the prior quarter and $26.6 million in the year-ago period. The consensus estimate for income from financing leases stands at $11.66 million, suggesting a decline from $51.01 million reported in the year-ago quarter. The Zacks Consensus Estimate for quarterly revenues is pegged at $346.5 million, implying a 1.7% fall from the prior-year quarter’s reported figure. Medical Properties’ activities during the to-be-reported quarter were inadequate to garner analysts’ confidence. The Zacks Consensus Estimate for the quarterly FFO per share has been revised 2.8% downward to 35 cents over the past month. Also, the figure implies a year-over-year fall of 22.2%. Earnings Whispers Our proven model predicts a surprise in terms of FFO per share for Medical Properties this season. The combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or higher — increases the odds of a beat. That is just the case here. Earnings ESP: MPW has an Earnings ESP of +2.86%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: MPW currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Other Stocks That Warrant a Look Here are some stocks that are worth considering from the REIT sector, as our model shows that these, too, have the right combination of elements to deliver a surprise this reporting cycle: Digital Realty Trust DLR is scheduled to report quarterly figures on Oct 26. DLR has an Earnings ESP of +2.40% and a Zacks Rank #3 currently. American Tower AMT is slated to report quarterly numbers on Oct 26. AMT has an Earnings ESP of +0.59% and carries a Zacks Rank #3 presently. SBA Communications SBAC is slated to report quarterly numbers on Nov 2. SBAC has an Earnings ESP of +0.27% and carries a Zacks Rank #3 presently. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report SBA Communications Corporation (SBAC) : Free Stock Analysis Report Medical Properties Trust, Inc. (MPW) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-24	AMT	Shares of Alexandria Real Estate Equities, Inc. ARE gained 1.60% in the after-hours trading session on Oct 23 after it reported third-quarter 2023 adjusted funds from operations (AFFO) per share of $2.26, surpassing the Zacks Consensus Estimate of $2.24. The reported figure climbed 6.1% from the year-ago quarter. Results reflect year-over-year revenue growth, aided by decent leasing activity and solid rental rate growth. ARE also increased the midpoint of its 2023 AFFO per share outlook by 2 cents. Total revenues of $713.8 million increased 8.2% on a year-over-year basis but missed the consensus estimate of $720.9 million. Behind the Headlines Alexandria’s total leasing activity aggregated 867,582 rentable square feet (RSF) of space in the third quarter, reflecting healthy demand for its high-quality office/laboratory space. Of this, lease renewals and re-leasing of space amounted to 396,334 RSF. The company registered rental rate growth of 28.8% during the quarter. On a cash basis, the rental rate increased 19.7%. On a year-over-year basis, same-property net operating income (NOI) was up 3.1%. It improved 4.6% on a cash basis. The occupancy of operating properties in North America was 93.7% as of Sep 30, 2023, up from 93.6% in the prior quarter but down from 94.3% in the year-ago quarter. In the reported quarter, investment-grade or publicly traded large-cap tenants accounted for 49% of the annual rental revenues in effect. The weighted average remaining lease term of all tenants is seven years. For Alexandria’s top 20 tenants, it is 8.9 years. As of Sep 30, 2023, the tenant receivable balance was $6.9 million. As of Oct 23, 2023, Alexandria completed acquisitions worth $258.9 million. Also, in the third quarter, the company placed 450,134 RSF into service development and redevelopment projects across multiple submarkets, which resulted in $39 million of incremental annual NOI. Liquidity The company exited the third quarter with cash and cash equivalents of $532.4 million, down from $924.4 million as of Jun 30, 2023. It had $5.9 billion of liquidity at the end of the reported quarter. The net debt and preferred stock to adjusted EBITDA was 5.4X, and the fixed-charge coverage was 4.8X on an annualized basis. As of the third-quarter end, ARE had no debt maturities before 2025, and its weighted-average remaining term was 13.1 years. As of Sep 30, 2023, the company’s remaining aggregate amount available under its at-the-market program for future sales of common stock was $141.9 million. Further, in September and October 2023, the company received reaffirmations on its credit ratings of BBB+/Positive and Baa1/Stable from S&P Global Ratings and Moody’s, respectively. These ratings affirmations reflect the scale and quality of ARE’s essential Labspace assets and market leadership. 2023 Guidance Revised Alexandria revised its 2023 guidance for AFFO per share to $8.97-$8.99 from $8.93-$8.99 estimated earlier. This represents a 2-cent increase at the midpoint to $8.98, driven by the accelerated delivery of Moderna’s new global headquarters at 325 Binney Street (set to be delivered in November 2023) and general and administrative savings after Sep 15, 2023, arising from the resignation of its president and CFO, Dean A. Shigenaga. The Zacks Consensus Estimate for AFFO per share is currently pegged at $8.96. ARE maintained its guidance for same-property NOI growth at 2-4%, and rental rate increases for lease renewals and re-leasing of space at 28-33%. It also retained its guidance for occupancy in North America (as of Dec 31, 2023) in the band of 94.6-95.6%. Alexandria currently carries a Zacks Rank #4 (Sell). Alexandria Real Estate Equities, Inc. Price, Consensus and EPS Surprise Alexandria Real Estate Equities, Inc. price-consensus-eps-surprise-chart \| Alexandria Real Estate Equities, Inc. Quote Upcoming Earnings Releases We now look forward to the earnings releases of other REITs like Equinix EQIX and American Tower AMT, slated to report on Oct 25 and Oct 26, respectively. Meanwhile, Boston Properties BXP is scheduled on Nov 1. The Zacks Consensus Estimate for Equinix’s third-quarter 2023 FFO per share is pegged at $7.79, implying a marginal year-over-year increase. EQIX currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for American Tower’s third-quarter 2023 FFO per share stands at $2.35, indicating a marginal fall year over year. AMT currently has a Zacks Rank #3. The Zacks Consensus Estimate for Boston Properties’ third-quarter 2023 FFO per share is pegged at $1.85, suggesting a year-over-year fall of 3.14%. BXP currently carries a Zacks Rank #2 (Buy). Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows. It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Boston Properties, Inc. (BXP) : Free Stock Analysis Report Alexandria Real Estate Equities, Inc. (ARE) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-23	AMT	VICI Properties Inc. VICI is slated to report third-quarter 2023 results on Oct 25 after the closing bell. Its quarterly results are expected to exhibit growth in revenues and funds from operations (FFO) per share. In the last reported quarter, this New York-based experiential REIT, which owns the portfolios of market-leading gaming, hospitality and entertainment destinations, reported adjusted FFO per share of 54 cents, beating the Zacks Consensus Estimate by 1.89%. Over the preceding four quarters, the company’s adjusted FFO per share surpassed the Zacks Consensus Estimate on three occasions and met once, the average beat being 1.45%. This is depicted in the graph below: VICI Properties Inc. Price and EPS Surprise VICI Properties Inc. price-eps-surprise \| VICI Properties Inc. Quote Factors at Play VICI Properties owns a geographically diverse portfolio, which includes a mix of gaming, hotel and entertainment assets that are located in the high barriers-to-entry markets across the United States and Canada. It enjoys ownership of three of the most iconic entertainment facilities on the Las Vegas Strip, namely Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas. The rebound in demand for its gaming facilities and other hospitality and entertainment destinations in the wake of the pandemic is likely to have aided VICI’s Properties performance in the quarter. VICI’s healthy relationships with the highest quality experiential operators are likely to have paid off well. The long-term triple-net leases with such tenants that are embedded with CPI-based rent escalators are likely to have aided stable revenue generation during the quarter, boosting its top-line growth. Moreover, continuing with its accretive asset-base expansion, in September, VICI concluded the earlier announced buyout of four real estate assets from Century Casinos, Inc. for C$221.7 million or U$162.4 million. The assets, collectively known as the Century Canadian Portfolio, comprise Century Casino & Hotel Edmonton, Century Casino St. Albert and Century Mile Racetrack and Casino, each in Edmonton, Alberta, and Century Downs Racetrack and Casino in Calgary, Alberta. Post the completion of the transaction, the annualized rent increased by C$17.3 million or US$12.7 million as a result of the addition of the existing triple-net master lease agreement between VICI Properties and Century. Earlier in July, the company acquired an interest in the land and buildings associated with Rocky Gap Casino Resort in Flintstone, MD, from Golden Entertainment, Inc. for $203.9 million in cash. Further, the company’s robust balance sheet position is likely to have supported its growth endeavors. Q3 Projections The Zacks Consensus Estimate for quarterly revenues is pegged at $899.5 million, suggesting growth of 19.7% from the prior-year quarter’s reported figure. Income from sales-type leases is currently pegged at $558.8 million, indicating an increase of 12.8% from the prior quarter’s $495.4 million and 48.6% from the year-ago quarter’s $376.1 million. Income from lease financing receivables and loans stands at $310.3 million, down 16.8% sequentially and 11.6% from the year-ago period. Revenues from golf operations are estimated at $7.9 million, down 29.3% from prior quarter’s $11.2 million but 17.8% above the year-ago quarter’s $6.7 million. The Zacks Consensus Estimate for the quarterly FFO per share has been unchanged at 53 cents over the past month. However, the figure indicates growth of 8.2% from the year-ago quarter’s reported figure. What Our Quantitative Model Predicts Our proven model predicts an FFO beat for VICI Properties this time. The right combination of two key ingredients — a positive Earnings ESP and Zacks Rank #3 (Hold) or higher — increases the odds of a beat. That is just the case here. Earnings ESP: VICI has an Earnings ESP of +1.50%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: VICI currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Other Stocks to Consider Here are some stocks that are worth considering from the broader REIT sector, as our model shows that these, too, have the right combination of elements to deliver a surprise this reporting cycle: Digital Realty Trust DLR is scheduled to report quarterly figures on Oct 26. DLR has an Earnings ESP of +2.09% and a Zacks Rank #3 currently. American Tower AMT is slated to report quarterly numbers on Oct 26. AMT has an Earnings ESP of +0.59% and carries a Zacks Rank #3 presently. SBA Communications SBAC is slated to report quarterly numbers on Nov 2. SBAC has an Earnings ESP of +0.27% and carries a Zacks Rank #3 presently. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Top 5 ChatGPT Stocks Revealed Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. Today you can invest in the wave of the future, an automation that answers follow-up questions … admits mistakes … challenges incorrect premises … rejects inappropriate requests. As one of the selected companies puts it, “Automation frees people from the mundane so they can accomplish the miraculous.” Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report SBA Communications Corporation (SBAC) : Free Stock Analysis Report VICI Properties Inc. (VICI) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-23	AMT	Digital Realty Trust DLR is slated to report third-quarter 2023 earnings on Oct 26, after the closing bell. While the quarterly results are expected to reflect year-over-year growth in revenues, funds from operations (FFO) per share might exhibit a decline. This Austin, TX-based data center real estate investment trust (REIT) reported core FFO per share of $1.68 in the prior quarter, beating the Zacks Consensus Estimate by 1.82%. The quarterly results reflected better-than-anticipated revenues aided by strong enterprise leasing activity, robust renewal spreads and healthy organic growth. Over the trailing four quarters, Digital Realty’s core FFO per share surpassed the Zacks Consensus Estimate on two occasions, met once and missed it in the remaining one, the average beat being 0.16%. This is depicted in the chart below: Digital Realty Trust, Inc. Price and EPS Surprise Digital Realty Trust, Inc. price-eps-surprise \| Digital Realty Trust, Inc. Quote Factors to Consider Data center infrastructure demand has remained robust on the back of accelerated digital transformation strategies by enterprises. With growth in cloud computing, the Internet of Things and Big Data, and elevated demand for third-party IT infrastructure, the data center market is booming. Moreover, emerging demand drivers like AI, edge computing and 5G technology are likely to have spurred the need for digital infrastructure globally. Digital Realty’s portfolio of data centers located all over North America, Europe, South America, Asia, Australia and Africa is likely to have capitalized on this upbeat trend, benefiting its third-quarter earnings. Moreover, this data center REIT has a high-quality, diversified customer base comprising tenants from cloud, content, information technology, network, other enterprise and financial industries. Most of the company’s tenants are investment grade, and numerous customers use multiple locations across the portfolio. This is anticipated to have aided stable revenue generation for the company during the to-be-reported quarter, driving its top line. The Zacks Consensus Estimate for quarterly rental revenues is pegged at $894.45 million, up 13.5% from $787.84 million reported in the year-ago quarter. We project the metric to increase 15% year over year this quarter. The consensus mark for revenues from tenant reimbursement utilities is pegged at $348.5 million, up 38.6% from $251.4 million reported in the prior-year quarter. Our estimate for quarterly revenues from tenant reimbursement utilities suggests growth of 22.4% from the prior-year period. Also, Digital Realty’s interconnection solutions are expected to have gained from solid demand in the quarter under discussion. The Zacks Consensus Estimate for interconnection & other revenues currently stands at $106.6 million, indicating an 11.6% increase from the year-ago quarter. We expect interconnection & other revenues to exhibit growth of 12.6% year over year. The consensus estimate for quarterly total revenues is pegged at $1.39 billion, indicating a 16.9% year-over-year jump. The company, continuing with its accretive asset-base expansion to meet data center demand, in September 2023, expanded into the Italian market by purchasing land in Rome and commenced the pre-development planning for a new colocation and connectivity hub. The move further strengthens its position as the leading provider of digital infrastructure capacity in the Mediterranean region, a key gateway between Europe, Africa, the Middle East and Asia. However, higher interest expenses and adverse foreign currency fluctuations are anticipated to have cast a pall on its quarterly performance to some extent. We expect interest expense to flare up 41% year over year in the to-be-reported quarter. The Zacks Consensus Estimate for the company’s quarterly FFO per share has been revised marginally downward over the past two months to $1.62. Moreover, the figure indicates a year-over-year decline of 3%. Q3 Developments In July, DLR, Brookfield Infrastructure and Reliance Industries Ltd. entered into a three-way JV — Digital Connexion: A Brookfield, Jio and Digital Realty Company — to develop high-quality, highly-connected scalable data centers to address the needs of Indian enterprises and digital services companies. At the initial point, the JV will execute the development of data center campuses on existing strategic land parcels it owns in Chennai and Mumbai. The move is expected to help unlock value for India’s untapped data center market, providing DLR immense scope to capitalize on the country’s growing data center demand. In August, Digital Realty announced the availability of high-density colocation services across its global data center platform, PlatformDIGITAL. The newly introduced services are equipped with high-performance computing-ready infrastructure configurations. These will empower businesses to overcome processing and proximity challenges linked to unstructured and exponential data growth. Further, these will enable the utilization of AI. In September, the company announced that it will provide connectivity through Oracle Cloud Infrastructure FastConnect to the newly launched Oracle EU Sovereign Cloud. The interconnection offering is brought about by its proprietary interconnection and orchestration solution — ServiceFabric™. This will help customers establish secure and reliable connectivity to the Oracle EU Sovereign Cloud regions in Frankfurt and Madrid. They will also be able to interconnect their Oracle EU Sovereign Cloud-based applications and workloads to other cloud platforms via Digital Realty. What Our Quantitative Model Predicts Our proven model predicts a surprise in terms of FFO per share for Digital Realty this season. The right combination of two key ingredients — a positive Earnings ESP and Zacks Rank #3 (Hold) or higher — increases the odds of a beat. That is just the case here. Earnings ESP: Digital Realty has an Earnings ESP of +2.09%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: Digital Realty currently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Other Stocks That Warrant a Look Here are some stocks that are worth considering from the REIT sector, as our model shows that these, too, have the right combination of elements to deliver a surprise this reporting cycle: VICI Properties VICI is slated to report quarterly numbers on Oct 25. VICI has an Earnings ESP of +1.50% and carries a Zacks Rank #2 (Buy) presently. American Tower AMT is slated to report quarterly numbers on Oct 26. AMT has an Earnings ESP of +0.59% and carries a Zacks Rank #3 presently. SBA Communications SBAC is slated to report quarterly numbers on Nov 2. SBAC has an Earnings ESP of +0.27% and carries a Zacks Rank #3 presently. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Top 5 ChatGPT Stocks Revealed Zacks Senior Stock Strategist, Kevin Cook names 5 hand-picked stocks with sky-high growth potential in a brilliant sector of Artificial Intelligence. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. Today you can invest in the wave of the future, an automation that answers follow-up questions … admits mistakes … challenges incorrect premises … rejects inappropriate requests. As one of the selected companies puts it, “Automation frees people from the mundane so they can accomplish the miraculous.” Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report SBA Communications Corporation (SBAC) : Free Stock Analysis Report VICI Properties Inc. (VICI) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-21	AMT	Like it or not, inflation remains higher than Americans have been accustomed to, and the impacts of last year's price surge have not gone away. As of September, inflation as measured by the Consumer Price Index rate stood at 3.7%, and average prices were 12.2% higher than they were two years earlier. Indeed, consumers' costs are now more than 18% above where they were at this point in 2020. It is taking a toll on people's pocketbooks. There are measures that investors can take to combat the impact of higher prices, however, and perhaps even outrun their rises. Buying the right dividend stocks could help even if their current dividend yields are modest. With that in mind, here's a look at three such dividend stocks to consider adding to your portfolio if you've got the inflation blues. Merck Its dividend yield of just under 2.9% at the current share price is respectable, but not exactly thrilling. Think bigger picture, though. Merck (NYSE: MRK) is a solid income-producing stock with great potential for capital appreciation. Let's also not forget how consistently (and how much) this company has grown its dividend payments. Merck, of course, is one of the world's top pharmaceutical companies. Diabetes treatment Januvia, HPV vaccine Gardasil, and MMRV vaccine Proquad are all parts of its portfolio, although its biggest breadwinner right now is cancer-fighting drug Keytruda. That drug accounts for more than one-third of Merck's total revenue, yet its reach is still growing. Keytruda is currently either being studied or being considered by regulators for approval in an additional 14 oncological indications. Drug industry research outfit EvaluatePharma estimates Keytruda's annual revenue will reach $24.3 billion by 2026 -- versus last year's tally of $20.9 billion -- en route to $30 billion in sales in 2030. Its R&D pipeline looks quite promising as well. With its recent purchase of Prometheus Biosciences, Merck acquired a promising autoimmune disease treatment, and its 2021 purchase of Acceleron Pharma brought sotatercept into its portfolio. Just last month, Merck posted an encouraging update on sotatercept's development as a potential treatment for pulmonary arterial hypertension, positioning the company to address a market that could be worth on the order of $12 billion by 2030. That's more than twice that market's current size. The point is, even before it absolutely has to have it, the company is setting itself up for future revenue growth. This habit is the key reason Merck has been able to reliably expand its annual dividend payouts at an annualized pace of more than 7% for the past five years. Coca-Cola You certainly know the brand name. Coca-Cola (NYSE: KO) is one of the world's biggest distributors of beverages, and the biggest when it comes to soft drinks. It isn't just a seller of carbonated beverages, however. Coca-Cola owns an array of brands including Dasani water, Gold Peak tea, and Minute Maid juice. Its workhorses are its fizzy bottled drinks though. The thing is, The Coca-Cola Company may not quite be the company you think it is. As a consumer, you can't tell (nor would you care), but Coca-Cola probably didn't bottle your favorite Coca-Cola drink. More likely than not, an independent bottler licensed to use the flavor and brand name did the work, paying the company a small royalty fee for the right to do so. Although the drinks giant did much of its own bottling at one point in time, it has spent the better part of the last few years easing its way out of the bottling business so it could focus almost exclusively on licensing. End result? Less revenue, but more profit. As it turns out, profit margins on royalties and licensing are much higher than they are for bottling and packaging beverages. KO Normalized Diluted EPS (TTM) data by YCharts. This strategic shift has proven particularly prescient since 2021. Although inflation has soared since then, it's the bottlers bearing the brunt of the financial pain. Royalties and licensing agreements don't have operating and input costs. It's a dynamic with significant implications for income-minded investors, too. The underlying income supporting Coca-Cola's dividend is well-protected as the company is not really feeling the pinch of inflation to the degree that others are. As long as consumers keep drinking the company's drinks, bottlers will keep paying Coca-Cola for the right to manufacture them -- even if they are selling those drinks for thinner profits. At the stock's current price, Coca-Cola's dividend yield is 3.4%. American Tower Last but not least, inflation-weary income investors may want to take a closer look at American Tower (NYSE: AMT) while it's yielding nearly 3.9%. If you're not familiar with the company, American Tower owns 226,000 mobile phone towers spread all over the world. The company is a real estate investment trust, or REIT. That just means it's a landlord of sorts, renting out space on its towers to wireless service providers like AT&T, Deutsche Telekom, and France's Orange. REITs offer a particularly advantageous thesis to income-focused shareholders. A REIT does not have to pay income taxes on the income that it passes along to shareholders in dividends, but in order to qualify for that favorable tax status, it must distribute 90% of its earnings via dividends every year. The durability of this business is unquestionable. In the United States and around the world, people are practically addicted to their mobile devices. We literally suffer anxiety when we don't have them in reach. Even if the populace manages to curb our unhealthy levels of smartphone usage, demand for wireless connectivity is never going to go away. That's good news for American Tower, as it sets the stage for a perpetual income stream which will in turn generate perpetual dividend payments. Not only has this company made dividend payments every quarter since the beginning of 2012, it has raised its annual payout every year since then at an inflation-beating average clip of around 4%. AMT Normalized Diluted EPS (Quarterly) data by YCharts. Its recent slowdown in dividend growth stems from a comparable slowdown in earnings growth. Analysts expect next year's bottom line growth to reaccelerate to the REIT's historical norms, though. American Tower's dividend will likely follow suit. 10 stocks we like better than Coca-Cola When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Coca-Cola wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 16, 2023 James Brumley has positions in AT&T. The Motley Fool has positions in and recommends American Tower and Merck. The Motley Fool recommends the following options: long January 2024 $47.50 calls on Coca-Cola. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-20	AMT	The latest trading session saw American Tower (AMT) ending at $160.09, denoting a +0.41% adjustment from its last day's close. This move outpaced the S&P 500's daily loss of 1.26%. Elsewhere, the Dow saw a downswing of 0.86%, while the tech-heavy Nasdaq depreciated by 1.54%. Shares of the wireless communications infrastructure company have depreciated by 5.84% over the course of the past month, outperforming the Finance sector's loss of 5.97% and lagging the S&P 500's loss of 3.67%. Investors will be eagerly watching for the performance of American Tower in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on October 26, 2023. The company's earnings per share (EPS) are projected to be $2.35, reflecting a 0.42% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $2.76 billion, indicating a 3.29% increase compared to the same quarter of the previous year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $9.72 per share and revenue of $11.06 billion. These totals would mark changes of -0.41% and +3.26%, respectively, from last year. Investors should also note any recent changes to analyst estimates for American Tower. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability. Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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 varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.02% higher within the past month. At present, American Tower boasts a Zacks Rank of #3 (Hold). In terms of valuation, American Tower is currently trading at a Forward P/E ratio of 16.41. This valuation marks a premium compared to its industry's average Forward P/E of 9.98. Also, we should mention that AMT has a PEG ratio of 1.16. 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 2.03 as of yesterday's close. The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 164, putting it in the bottom 35% of all 250+ industries. 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. Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions. 4 Oil Stocks with Massive Upsides Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold." Zacks Investment Research has just released an urgent special report to help you bank on this trend. In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations. Download your free report now to see them. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-20	AMT	Equinix, Inc. EQIX is scheduled to report third-quarter 2023 results on Oct 25, after market close. The company’s quarterly results are likely to reflect year-over-year growth in revenues and funds from operations (FFO) per share. In the previous quarter, this Redwood City, CA-based data center real estate investment trust (REIT) reported a surprise of 7.06% in terms of adjusted FFO per share. Its quarterly results reflected steady growth in colocation and inter-connection revenues on the back of strong demand for digital infrastructure. Over the preceding four quarters, EQIX’s FFO per share surpassed the consensus estimate on all occasions, the average beat being 6.75%. This is depicted in the graph below: Equinix, Inc. Price and EPS Surprise Equinix, Inc. price-eps-surprise \| Equinix, Inc. Quote Factors at Play Data center infrastructure demand has remained robust amid growth in cloud computing, the Internet of Things and Big Data, and elevated demand for third-party IT infrastructure. Moreover, the growth in artificial intelligence, autonomous vehicles and virtual/augmented reality markets has created a solid base for data centers. Against this backdrop, Equinix’s geographically diverse portfolio of International Business Exchanges (IBX) data centers is expected to have benefited from enterprises’ growing reliance on technology and acceleration in digital transformation strategies. The company has a recurring revenue model, which comprises colocation, related interconnection and managed IT infrastructure services. This is expected to have supported stable cashflows in the to-be-reported quarter, boosting the data center REIT’s top line. Also, solid demand for Equinix’s interconnected ecosystem in the to-be-reported quarter is likely to have given it an edge. The Zacks Consensus Estimate for interconnection revenues is pegged at $354.19 million, suggesting growth of 11.3% from the prior-year period’s reported figure. For the third quarter, Equinix has projected revenues between $2.039 billion and $2.069 billion. The Zacks Consensus Estimate stands at $2.06 billion, implying an increase of 11.9% from the year-ago period’s reported figure. EQIX estimated adjusted EBITDA in the range of $908-$938 million for the quarter. Our estimate is pegged at $920.9 million, implying a year-over-year increase of 5.7%. We expect Equinix to have continued with its asset-base expansion during the quarter via acquisitions and development activities. Its robust balance sheet position is likely to have enabled it to capitalize on long-term growth opportunities. EQIX’s activities during the to-be-reported were adequate to garner analysts’ confidence. The Zacks Consensus Estimate for quarterly FFO per share has been revised marginally upward over the past month to $7.79. Moreover, it suggests a slight increase from the prior-year quarter’s reported figure. However, higher interest expenses and adverse foreign currency fluctuations might have partly impeded the company’s quarterly performance. Our estimate for the quarter’s interest expense implies a year-over-year increase of 4.9%. Q3 Developments In September, Equinix expanded its partnership with Southern Cross Cables Limited to serve as a vital U.S.-based interconnectivity access point for the Southern Cross NEXT (“SX NEXT”) submarine cable system. This development is set to redefine digital connectivity among Australia, New Zealand and the United States while addressing the growing demand for low-latency, high-capacity subsea cables. The SX NEXT cable offers the lowest latency path from Australia and New Zealand to Los Angeles in the United States. By connecting to Equinix's LA4 Los Angeles IBX data center, it enables rapid provisioning and cost savings for Southern Cross. Moreover, the SX NEXT cable boosts network performance across multiple industries in the region and bolsters the aggregate capacity of Southern Cross' existing Trans-Pacific ecosystem by an impressive 500%. This move aligns perfectly with Equinix's strategy of providing state-of-the-art subsea infrastructure. In August, Equinix announced a $42 million investment to establish its fourth IBX data center in Mumbai. The new facility, MB4, is poised to address the escalating demand for cutting-edge data centers and interconnection services while supporting local and overseas businesses in their digital transformation endeavors. MB4, scheduled to be available in the fourth quarter of 2023 (subject to regulatory approvals), is set to address this heightened demand, bolstering Equinix's digital infrastructure capacity in India. The facility will offer expanded connectivity options to major telecom networks. It will also enable Metro Connect availability, strengthening Equinix's network by integrating with the highly connected Equinix data center sites of MB1 and MB2. Initially offering a capacity of 350 cabinets in its first phase, the facility's full potential is projected to encompass 700 cabinets upon completion. Earnings Whispers Our proven model does not conclusively predict a surprise in terms of FFO per share for Equinix this season. The combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or higher — increases the odds of a beat. However, that’s not the case here. Earnings ESP: Equinix has an Earnings ESP of -0.32%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter. Zacks Rank: EQIX currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. Stocks That Warrant a Look Here are some stocks from the REIT sector, which according to our model, have the right combination of elements to deliver a surprise this reporting cycle: VICI Properties VICI is slated to report quarterly numbers on Oct 25. VICI has an Earnings ESP of +1.50% and carries a Zacks Rank #2 (Buy) presently. American Tower AMT is slated to report quarterly numbers on Oct 26. AMT has an Earnings ESP of +0.59% and carries a Zacks Rank #3 presently. Digital Realty Trust DLR is scheduled to report quarterly numbers on Oct 26. DLR has an Earnings ESP of +0.85% and a Zacks Rank #3 currently. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 4 Oil Stocks with Massive Upsides Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold." Zacks Investment Research has just released an urgent special report to help you bank on this trend. In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations. Download your free report now to see them. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report VICI Properties Inc. (VICI) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-19	AMT	Below is Validea's guru fundamental report for AMERICAN TOWER CORP (AMT). Of the 22 guru strategies we follow, AMT rates highest using our Multi-Factor Investor model based on the published strategy of Pim van Vliet. This multi-factor model seeks low volatility stocks that also have strong momentum and high net payout yields. AMERICAN TOWER CORP (AMT) is a large-cap growth stock in the Rental & Leasing industry. The rating using this strategy is 56% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest. The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria. MARKET CAP: PASS STANDARD DEVIATION: PASS TWELVE MINUS ONE MOMENTUM: NEUTRAL NET PAYOUT YIELD: NEUTRAL FINAL RANK: FAIL Detailed Analysis of AMERICAN TOWER CORP AMT Guru Analysis AMT Fundamental Analysis More Information on Pim van Vliet Pim van Vliet Portfolio About Pim van Vliet: In investing, you typically need to take more risk to get more return. There is one major exception to this in the factor investing world, though. Low volatility stocks have been proven to outperform their high volatility counterparts, and do so with less risk. Pim van Vliet is the head of Conservative Equities at Robeco Asset Management. His research into conservative factor investing led to the creation of this strategy and the publication of the book "High Returns From Low Risk: A Remarkable Stock Market Paradox". Van Vliet holds a PhD in Financial and Business Economics from Erasmus University Rotterdam. Additional Research Links Top Large-Cap Growth Stocks Factor-Based Stock Portfolios Dividend Aristocrats 2023 High Insider Ownership Stocks Top S&P 500 Stocks About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-19	AMT	Shares of Crown Castle Inc. CCI lost 3.22% in the after-hours trading in response to dismal third-quarter 2023 results. Adjusted funds from operations (AFFO) per share of $1.77 lagged the Zacks Consensus Estimate by a whisker. The reported figure declined 4.3% from the year-ago quarter. Results reflect lower-than-anticipated revenues. Higher interest expense and lower contribution from adjusted EBITDA were undermining factors. While CCI maintained its outlook for 2023, it issued 2024 AFFO per share guidance below the consensus mark. Net revenues of $1.67 billion, too, missed the Zacks Consensus Estimate of $1.71 billion. Moreover, the figure fell 4.5% year over year. Per Jay Brown, chief executive officer of the company, “Our third quarter results continue to demonstrate the resiliency of our business, allowing us to keep our full year 2023 outlook consistent with expectations of 5% tower organic revenue growth and delivering on 10,000 small cell nodes. Based on our customers' continued investments to meet increasing data demand, we expect full year 2024 organic growth excluding the impact of Sprint Cancellations of 4.5% from towers, 13% from small cells, based on plans to deliver approximately 14,000 small cell nodes, and 3% from fiber solutions to generate consolidated organic revenue growth of 5%.” Quarter in Detail During the third quarter, CCI’s site-rental revenues came in at $1.58 billion, marginally up from the prior-year quarter. The organic contribution of $53 million to the site rental billings reflected 3.9% growth and was not materially impacted by the Sprint Cancellations. Our estimate for site-rental revenues was pegged at $1.57 billion. On the other hand, services and other revenues plunged 49.4% year over year to $90 million. We estimated the metric at $158.6 million. CCI’s quarterly operating expenses increased 3.2% year over year to $1.18 billion. The operating income fell to $486 million from $602 million recorded a year ago. The quarterly adjusted EBITDA of $1.05 billion slipped 2.8%. Interest expenses on debt obligations rose 22.4% year over year to $213 million. The company reported capital expenditures of $347 million in the quarter. This comprised discretionary capital expenditures of $325 million and sustaining capital expenditures of $22 million. Discretionary capital expenditures primarily attributable to Fiber were around $273 million, and that to Towers was roughly $47 million. Balance Sheet Crown Castle exited the third quarter of 2023 with cash and cash equivalents of $117 million, down from $276 million reported as of Jun 30, 2023. Moreover, debt and other long-term obligations aggregated $21.9 billion as of Sep 30, 2023, increasing 1.4% sequentially. Guidance Crown Castle maintained its guidance for 2023 AFFO per share in the range of $7.50-$7.58. The Zacks Consensus Estimate is pegged at $7.53, which is within the guided range. The company reiterated its expectations for site rental revenues between $6.488 billion and $6.533 billion, and adjusted EBITDA in the band of $4.399-$4.444 billion. CCI also issued its guidance for 2024. It expects AFFO per share in the range of $6.85 to $6.97. The Zacks Consensus Estimate stands at $7.21. Site rental revenues are projected between $6.347 billion and $6.392 billion, while adjusted EBITDA is estimated to be in the band of $4.138-$4.188 billion. Crown Castle currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Crown Castle Inc. Price, Consensus and EPS Surprise Crown Castle Inc. price-consensus-eps-surprise-chart \| Crown Castle Inc. Quote Upcoming Earnings Releases We now look forward to the earnings releases of other REITs like Equinix EQIX and American Tower AMT, slated to report on Oct 25 and Oct 26, respectively. Meanwhile, Boston Properties BXP is scheduled on Nov 1. The Zacks Consensus Estimate for Equinix’s third-quarter 2023 FFO per share is pegged at $7.79, implying a marginal year-over-year increase. EQIX currently carries a Zacks Rank #2 (Buy). The Zacks Consensus Estimate for American Tower’s third-quarter 2023 FFO per share stands at $2.35, indicating a marginal fall year over year. AMT currently has a Zacks Rank #3. The Zacks Consensus Estimate for Boston Properties’ third-quarter 2023 FFO per share is pegged at $1.85, suggesting a year-over-year fall of 3.14%. BXP currently carries a Zacks Rank #2. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows. It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Boston Properties, Inc. (BXP) : Free Stock Analysis Report Crown Castle Inc. (CCI) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-19	AMT	Shares of SL Green Realty Corp. SLG lost 3.71% in the after-market trading hours in response to dismal third-quarter 2023 results and cut its earnings guidance for 2023. Funds from operations (FFO) per share of $1.27 missed the Zacks Consensus Estimate by a whisker. The figure also declined 23.5% from the year-ago quarter. The results reflect lower-than-anticipated revenues despite decent leasing activity in its Manhattan portfolio. Higher interest expense during the quarter acted as a dampener. Expecting higher severance and stock-based compensation costs during the fourth quarter of 2024, SL Green lowered its guidance for 2023 FFO per share. Net rental revenues of $131.5 million, too, missed the Zacks Consensus Estimate of $143.8 million. Moreover, the figure slipped 8% from the prior-year quarter. In September, SL Green completed the development of One Madison Avenue, a 27-story, 1.4 million-square-foot premier office tower located in Manhattan's Midtown South submarket, three months ahead of schedule and significantly under budget. Apart from securing the Temporary Certificate of Occupancy for the property, it received $577.4 million in cash, signifying the final equity payment from its joint venture partners. The funds were deployed to repay unsecured corporate debt. Quarter in Detail During the third quarter, the same-store cash net operating income (NOI), including SL Green’s share of same-store cash NOI from unconsolidated joint ventures, increased 10.4% year over year to $165.2 million. This excludes the lease termination income. For its Manhattan portfolio, SL Green signed 50 office leases encompassing 355,831 square feet of space in the reported quarter. The mark-to-market on signed Manhattan office leases decreased 3.8% from the previous fully-escalated rents on the same spaces in the quarter. The average lease term for the Manhattan office leases signed was 6.3 years, while average tenant concessions were 5.8 months of free rent with a tenant improvement allowance of $63.64 per rentable square foot. This excludes the leases signed at One Vanderbilt Avenue. As of Sep 30, 2023, Manhattan’s same-store office occupancy, inclusive of 119,409 square feet of leases signed but not yet commenced, was 89.9%, up from 89.8% at the end of the prior quarter but down from 92.8% at the end of the year-ago quarter. As of the same date, the carrying value of the company’s debt and preferred equity portfolio was $334.3 million. This marked the lowest balance since the third quarter of 2004. The company’s interest expense (net of interest income) jumped 25.7% year over year to $27.4 million. Liquidity SL Green exited the third quarter with cash and cash equivalents of $189.8 million, down from $191.9 million recorded as of Jun 30, 2023. 2023 Guidance Lowered Anticipating increased severance and stock-based compensation costs, to be realized under general and administrative expenses during the fourth quarter of 2023, SL Green lowered its guidance for 2023 FFO per share to the range of $5.05-$5.35 from $5.30-$5.60 guided earlier. The Zacks Consensus Estimate is currently pegged at 5.55. SL Green currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. SL Green Realty Corporation Price, Consensus and EPS Surprise SL Green Realty Corporation price-consensus-eps-surprise-chart \| SL Green Realty Corporation Quote Upcoming Earnings Releases We now look forward to the earnings releases of other REITs like Equinix EQIX and American Tower AMT, slated to report on Oct 25 and Oct 26, respectively. Meanwhile, Boston Properties BXP is scheduled on Nov 1. The Zacks Consensus Estimate for Equinix’s third-quarter 2023 FFO per share is pegged at $7.79, implying a marginal year-over-year increase. EQIX currently carries a Zacks Rank #2 (Buy). The Zacks Consensus Estimate for American Tower’s third-quarter 2023 FFO per share stands at $2.35, indicating a marginal fall year over year. AMT currently has a Zacks Rank #3. The Zacks Consensus Estimate for Boston Properties’ third-quarter 2023 FFO per share is pegged at $1.85, suggesting a year-over-year fall of 3.14%. BXP currently carries a Zacks Rank #2. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s credited with a “watershed medical breakthrough” and is developing a bustling pipeline of other projects that could make a world of difference for patients suffering from diseases involving the liver, lungs, and blood. This is a timely investment that you can catch while it emerges from its bear market lows. It could rival or surpass other recent Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Equinix, Inc. (EQIX) : Free Stock Analysis Report Boston Properties, Inc. (BXP) : Free Stock Analysis Report SL Green Realty Corporation (SLG) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-19	AMT	There's no wrong way to make money on Wall Street, but some methods are more reliable than others. If it's a stream of passive income you're after, then dividend-paying stocks are hard to beat. During the 50-year stretch between 1973 and 2022, the average dividend-paying stock in the S&P 500 index returned 9.18% annually. The average non-dividend payer in that benchmark index rose at an annualized rate of just 3.95% over the same time frame, according to research from Hartford Funds and Ned Davis. Image source: Getty Images. A 9.18% average annual return is nothing to complain about. That said, we can probably do even better by purchasing above-average dividend stocks like these three. Ares Capital Ares Capital (NASDAQ: ARCC) is a business development company (BDC) that sports a huge 9.9% dividend yield at recent share prices. An investment of around $4,967 would be enough to secure $500 in annual dividend income from this stock. BDCs are essentially banks that lend to middle-market businesses -- companies with between $10 million and $1 billion in annual revenue. BDCs are popular portfolio holdings among income-seeking investors because those companies legally avoid paying income taxes by distributing at least 90% of their profits annually to shareholders as dividends (much like real estate investment trusts do). Still, when you see a double-digit percentage yield, it usually means the market is concerned about the company's ability to sustain its payout. The stock market is nervous about Ares Capital because more than two-thirds of its outstanding loans collect interest at floating rates that have risen sharply over the past couple of years. Ares Capital generally limits its investments to companies with private equity sponsors and the profits they need to keep up with loan payments. So far, its careful underwriting appears to be working as intended. At the end of June, loans on non-accrual status represented just 2.1% of total investments compared to 1.7% six months earlier. Realty Income Realty Income (NYSE: O) is an iconic real estate investment trust (REIT) that distributes dividends to investors monthly. Like BDCs, REITs are tax-advantaged businesses that must distribute nearly all of their profits to shareholders. Realty Income offers an unusually large 6.1% dividend yield at recent share prices. With an investment of $4,958, you can secure $300 in annual dividend income from this stock. Realty Income buys and develops retail and industrial properties that it rents out under long-term leases. The company uses a net lease structure that transfers all the variable costs of building ownership -- such as taxes and maintenance -- to the tenant. Its net lease strategy, plus a property portfolio spread throughout the U.S. and abroad, and occupied by a diverse variety of businesses, makes this REIT's cash flows highly predictable. Since it went public in 1994, it has raised its payouts 122 times. Rising interest expenses could hinder Realty Income's pace of dividend growth, but that is a temporary challenge of the sort that it has overcome in the past and will likely overcome again. Taking advantage of its beaten-down share price looks like a smart move right now. American Tower American Tower (NYSE: AMT) is a specialized REIT that owns multitenant telecommunications towers all over the world, plus dozens of data centers across the U.S. At its current share price, it offers the smallest yield on this list -- but it's also the fastest dividend grower. Unlike the buildings in Realty Income's portfolio, many of American Tower's real estate assets support multiple tenants. This unique feature has helped it raise its dividend faster than almost any REIT around. It has boosted its quarterly payout by 93% over the past five years and 459% over the past decade. This REIT's tenants need to constantly upgrade their technology, but the towers that they mount that new equipment on rarely need updating. Rising interest expenses will most likely limit American Tower's earnings growth, but that will be a temporary problem for it. American Tower offers a 3.9% dividend yield at recent prices, which is much higher than usual for this stock. An investment of $5,176 is all it would take to secure around $200 in annual dividend income. If the payout rises at its usual pace in the years ahead, though, American Tower could be providing your biggest passive income stream once you're ready to retire. 10 stocks we like better than Ares Capital When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Ares Capital wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 13, 2023 Cory Renauer has positions in American Tower. The Motley Fool has positions in and recommends American Tower and Realty Income. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-18	AMT	Oct 18 (Reuters) - Wireless tower operator Crown Castle CCI.N forecast 2024 site rental revenue slightly below Wall Street estimates on Wednesday, as telecom firms reduce spending after years of pouring money into building out their 5G networks. The company also announced the exit of CFO Dan Schlanger effective March 31. Crown Castle's shares fell more than 2% in extended trading, after the Houston, Texas-based company said it expects annual site rental revenue of $6.37 billion, compared with estimates of $6.38 billion, according to LSEG data. A shift to 5G mobile technology from 4G has in recent years amplified demand for towers and network infrastructure, but the slowdown in spending by telecom firms over the past few quarters has hit demand for the cell tower site development services offered by companies such as Crown Castle. Crown Castle, which competes with American Tower AMT.N and SBA Communications SBAC.O, posted third-quarter revenue of $1.58 billion, compared with analysts' average estimate of $1.70 billion. Its adjusted funds from operations stood at $1.77 a share for the July-September period, compared with $1.85 per share a year earlier. Services revenue fell about 49% to $90 million at Crown Castle, which mainly caters to U.S. telecom giants T-Mobile US TMUS.O, AT&T T.N and Verizon VZ.N. The telecommunications infrastructure firm had said in July it would cut about 15% of its workforce of about 5,000 people and discontinue its tower installation services as a part of its restructuring plan to cut costs due to lower tower activity. (Reporting by Jaspreet Singh in Bengaluru; Editing by Devika Syamnath) ((Jaspreet.Singh@thomsonreuters.com; https://twitter.com/i_jass;)) The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-17	AMT	Fintel reports that on October 17, 2023, Citigroup maintained coverage of American Tower (NYSE:AMT) with a Buy recommendation. Analyst Price Forecast Suggests 37.51% Upside As of October 5, 2023, the average one-year price target for American Tower is 232.63. The forecasts range from a low of 199.98 to a high of $284.55. The average price target represents an increase of 37.51% from its latest reported closing price of 169.18. See our leaderboard of companies with the largest price target upside. The projected annual revenue for American Tower is 11,220MM, an increase of 2.79%. The projected annual non-GAAP EPS is 4.72. American Tower Declares $1.62 Dividend On September 20, 2023 the company declared a regular quarterly dividend of $1.62 per share ($6.48 annualized). Shareholders of record as of October 11, 2023 will receive the payment on October 27, 2023. Previously, the company paid $1.57 per share. At the current share price of $169.18 / share, the stock's dividend yield is 3.83%. Looking back five years and taking a sample every week, the average dividend yield has been 2.20%, the lowest has been 1.60%, and the highest has been 4.01%. The standard deviation of yields is 0.55 (n=236). The current dividend yield is 2.97 standard deviations above the historical average. Additionally, the company's dividend payout ratio is 3.12. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5. The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time. What is the Fund Sentiment? There are 2824 funds or institutions reporting positions in American Tower. This is a decrease of 67 owner(s) or 2.32% in the last quarter. Average portfolio weight of all funds dedicated to AMT is 0.67%, a decrease of 3.52%. Total shares owned by institutions decreased in the last three months by 7.58% to 486,258K shares. The put/call ratio of AMT is 0.47, indicating a bullish outlook. What are Other Shareholders Doing? VGSIX - Vanguard Real Estate Index Fund Investor Shares holds 19,637K shares representing 4.21% ownership of the company. In it's prior filing, the firm reported owning 20,462K shares, representing a decrease of 4.20%. The firm decreased its portfolio allocation in AMT by 12.56% over the last quarter. VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 14,527K shares representing 3.12% ownership of the company. In it's prior filing, the firm reported owning 14,418K shares, representing an increase of 0.75%. The firm decreased its portfolio allocation in AMT by 11.77% over the last quarter. Wellington Management Group Llp holds 12,292K shares representing 2.64% ownership of the company. In it's prior filing, the firm reported owning 13,452K shares, representing a decrease of 9.44%. The firm decreased its portfolio allocation in AMT by 17.24% over the last quarter. VFINX - Vanguard 500 Index Fund Investor Shares holds 11,096K shares representing 2.38% ownership of the company. In it's prior filing, the firm reported owning 10,865K shares, representing an increase of 2.09%. The firm decreased its portfolio allocation in AMT by 12.21% over the last quarter. Geode Capital Management holds 9,986K shares representing 2.14% ownership of the company. In it's prior filing, the firm reported owning 9,734K shares, representing an increase of 2.52%. The firm decreased its portfolio allocation in AMT by 11.94% over the last quarter. American Tower Background Information (This description is provided by the company.) American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of approximately 186,000 communications sites. Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds. Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits. Click to Learn More This story originally appeared on Fintel. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-17	AMT	InvestorPlace - Stock Market News, Stock Advice & Trading Tips REITs are down bad this year. REIT stocks across nearly all sectors are down by double digits since January. The worst-performing sector, infrastructure, is down 24.6%. At the same time, the “best” performer among 13 categories (healthcare REITs) is up a measly 3%. Compare that paltry performance to the S&P 500, which remains up almost 15% since January despite recent losses. Clearly, REITs as a collective group are suffering most from credit crunches and higher rates. Couple that marketwide struggle with industry-specific risks like reduced leasing interest and falling property values, and it’s clear why many REITs are having a tough time adapting to today’s economy. But the news isn’t all bad. Although you should likely avoid commercial real estate and many residentials, some REITs dragged down alongside the rest represent a great buying opportunity. These undervalued REITs generate passive income through yields competitive with fixed-income investments. At the same time, their pricing beatdown is likely an overcorrection, providing upside opportunities at today’s entry points. If you’re worried about a housing crisis or shielding your portfolio from risky real estate, these seven undervalued REITs are perfect cornerstones for a well-rounded portfolio. Park Hotels & Resorts (PK) Source: Shutterstock Park Hotels & Resorts (NYSE:PK) operates more than 26,000 rooms across 41 upper-end hotels across the United States. While luxury hotels may seem a strange play in today’s economy, PARK is positioned to maximize that market’s potential. You may remember that, in 2017, PARK spun off from Hilton Worldwide Holdings (NYSE:HLT). Hilton and PARK’s managerial team intended for the move to serve as a forcing function that let PARK focus on a specific, upper-end market while eschewing lower-end hotels that drained time and resources from their core mission. Narrowing your operational focus is nearly always the best management strategy and were it not for the pandemic and subsequent economic turmoil, PARK’s divestiture may have paid off handsomely by now. But the hospitality sector is rebounding. Last year, national occupancy rates climbed closer to 2019, reaching 62.7%. Analysts expect that stat to climb further by 2023 despite economic tightening. At the same time, the average daily rate exploded in 2022. The new high is due, of course, partly to inflation. But more occupants paying higher rates is a series of stats that will pay off for PARK as we enter the holiday season. Macerich (MAC) Source: rblfmr / Shutterstock Macerich (NYSE:MAC) is another apparent contrarian in the world of undervalued REITs. The company owns and operates Class A malls. Although malls as a broad category are undeniably in the middle of a downswing, Class A malls tend to outperform. These malls often maintain decent foot traffic, steady revenue, and long-term leasing. To envision a Class A mall, picture a destination mall — somewhere you go to visit and spend a day, rather than a physical location you run into for a quick item that could be bought online. Like PARK, Macerich is on a steady path toward streamlining its business interests. Since 2010, Macherich has reacted to online selling growth by cutting out less profitable stores and low-quality assets to focus on the high-end malls that matter most. And, like PARK, the pandemic did a number of MAC’s bottom line. But even that is rebounding as we head into the holiday sales season. Mall visitation and foot traffic is exploding across the board. As Class A malls reinvent themselves to serve as coffee shop destinations, co-working spaces, and more, MAC is an undervalued REIT positioned to capture upside from an adaptive industry. American Tower (AMT) Source: T. Schneider / Shutterstock American Tower (NYSE:AMT) is a globally diversified cell tower company that owns and operates more than 225,000 towers. It goes without saying that cell service is a necessary utility, making this undervalued REIT a staple in today’s market. To that end, these distinct properties are likely to remain resilient, even in the face of broader fluctuations in the real estate market. Cell tower functionality and presence will only grow as the “Internet of Things” continues to connect an increasing number of consumer devices. This bodes exceptionally well for AMT’s future, cementing its position as a top undervalued REIT today. Beyond pure functionality, American Tower’s geographic diversity is a notable strength. The company effectively operates towers in developed nations like the United States and manages towers in emerging markets such as Africa. With the world’s growing digital connectivity, these emerging markets offer a promising avenue for substantial growth. As with all REITs, AMT’s dividend is appealing to income investors is the enticing dividend it offers to investors. However, American Tower’s consistent track record of increasing its dividend over the past 20 distribution cycles sets it apart. This remarkable reliability underscores the company’s resilience and its capability to weather economic storms, making it a strong and secure investment choice. Realty Income (O) Source: Shutterstock Income-focused investors hunting for undervalued REITs should first look to Realty Income (NYSE:O). Realty Income is called the “monthly dividend company” for a reason. O’s current yield stands at 5.57% and it’s monthly distribution hovers around $0.25 per share — not bad considering high fixed-income investment rates today. Realty Income offers a suite of sustainable businesses within its leasing portfolio for investors shying away from residential REITs or riskier luxury properties. Customers include consumer staples like FedEx (NYSE:FDX), CVS Health (NYSE:CVS), and Lowe’s (NYSE:LOW). Companies like these are steady even amid economic turbulence, and Realty Income is an ideal opportunity to capture real estate upside while protecting against economic cycle downswings. Ventas (VTR) Source: Monkey Business Images / Shutterstock.com Ventas (NYSE:VTR) is a healthcare REIT, notable since — as we mentioned above — healthcare is the only sector generating positive REIT returns this year. Yet Ventas remains undervalued today, with Morningstar pegging the stock 40% below its fair price. Furthermore, Ventas’ properties, spanning 1,400 locations, target a key segment in a growing healthcare economy. Its primary customer base includes senior housing, among other segments. The 80+ healthcare segment is poised to grow by nearly 80% by 2030 and by 2050, those patients will need three caregivers for every senior receiving care. A growth trajectory like that is enough to cement Ventas’ position as an undervalued healthcare REIT today, but this stock has more upside. Per Morningstar, this healthcare REIT “stands to disproportionately benefit from the Affordable Care Act” due to “an increased focus on higher-quality care in lower-cost settings.” As healthcare legislation stands among Americans’ top priorities, shifting emphasis to that value proposition makes Ventas an ideal healthcare REIT play for tomorrow’s economy. Iron Mountain (IRM) Source: Shutterstock Iron Mountain (NYSE:IRM) is a dual threat — it’s a physical security-based REIT that also serves on the periphery of artificial intelligence and machine learning stocks. IRM has already established itself as a significant player in the realm of extensive data center and cloud solutions. It boasts a clientele that includes over 90% of Fortune 1000 companies entrusted with storing a wide array of information, including historical documents such as photographs, contractual agreements and audio recordings. However, what truly beckons to investors is the surging demand for increased data processing and storage capacity. Iron Mountain’s cutting-edge subterranean and above-ground data centers are equipped to cater to a diverse range of clients, ensuring efficiency, uninterrupted uptime and unwavering reliability for both conventional computing operations and machine learning endeavors. In the context of machine learning, it’s not just the ample space, size and capacity that matter; it’s also the stringent security measures surrounding proprietary data. Equinix (EQIX) Source: Ken Wolter / Shutterstock.com Equinix (NASDAQ:EQIX) shares similarities with American Tower, but instead, it specializes in data center ownership and management. Equinix’s extensive portfolio comprises ownership and leasing rights to more than 240 data centers across regions, including the Americas, Europe, the Middle East and the Asia-Pacific markets. Notably, Equinix has forged strategic partnerships with major players in the realm of cloud computing and digital technology. With a prestigious client roster featuring industry giants like Cisco (NASDAQ:CSCO), Oracle (NYSE:ORCL), Amazon (NASDAQ:AMZN) and others, Equinix’s services are so integral to these corporate operations that it possesses the resilience to weather economic downturns effectively. The company’s recent Investor Day materials further underscore its position as a stalwart within the industry. Company executives proudly highlight Equinix’s rapid growth rate, deep market penetration, and its ability to adapt to the often turbulent macroeconomic landscape. If the management’s vision holds true, Equinix is primed to sustain its impressive growth trajectory. Moreover, the company may experience a snowball effect as more businesses embrace cloud computing and embark on large-scale digitization initiatives. All in all, it firmly establishes itself as a reliable choice among Real Estate Investment Trusts (REITs) for market stability. Equinix’s trailing twelve-month dividend stands at a substantial $3.41 per share. While the share price may appear steep to some investors who cannot take advantage of fractional investing platforms, it’s worth noting that Equinix’s stable dividend payments and reasonable payout ratio set it apart from its REIT peers. On the date of publication, Jeremy Flint held no positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Jeremy Flint, an MBA graduate and skilled finance writer, excels in content strategy for wealth managers and investment funds. Passionate about simplifying complex market concepts, he focuses on fixed-income investing, alternative investments, economic analysis, and the oil, gas, and utilities sectors. Jeremy’s work can also be found at www.jeremyflint.work. More From InvestorPlace Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In. The #1 AI Investment Might Be This Company You’ve Never Heard Of The Rich Use This Income Secret (NOT Dividends) Far More Than Regular Investors The post 7 Undervalued REITs to Protect Against a Housing Crisis appeared first on InvestorPlace. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-17	AMT	Fintel reports that on October 17, 2023, Wells Fargo maintained coverage of American Tower (NYSE:AMT) with a Overweight recommendation. Analyst Price Forecast Suggests 37.51% Upside As of October 5, 2023, the average one-year price target for American Tower is 232.63. The forecasts range from a low of 199.98 to a high of $284.55. The average price target represents an increase of 37.51% from its latest reported closing price of 169.18. See our leaderboard of companies with the largest price target upside. The projected annual revenue for American Tower is 11,220MM, an increase of 2.79%. The projected annual non-GAAP EPS is 4.72. American Tower Declares $1.62 Dividend On September 20, 2023 the company declared a regular quarterly dividend of $1.62 per share ($6.48 annualized). Shareholders of record as of October 11, 2023 will receive the payment on October 27, 2023. Previously, the company paid $1.57 per share. At the current share price of $169.18 / share, the stock's dividend yield is 3.83%. Looking back five years and taking a sample every week, the average dividend yield has been 2.20%, the lowest has been 1.60%, and the highest has been 4.01%. The standard deviation of yields is 0.55 (n=236). The current dividend yield is 2.97 standard deviations above the historical average. Additionally, the company's dividend payout ratio is 3.12. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5. The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time. What is the Fund Sentiment? There are 2824 funds or institutions reporting positions in American Tower. This is a decrease of 67 owner(s) or 2.32% in the last quarter. Average portfolio weight of all funds dedicated to AMT is 0.67%, a decrease of 3.52%. Total shares owned by institutions decreased in the last three months by 7.58% to 486,258K shares. The put/call ratio of AMT is 0.47, indicating a bullish outlook. What are Other Shareholders Doing? VGSIX - Vanguard Real Estate Index Fund Investor Shares holds 19,637K shares representing 4.21% ownership of the company. In it's prior filing, the firm reported owning 20,462K shares, representing a decrease of 4.20%. The firm decreased its portfolio allocation in AMT by 12.56% over the last quarter. VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 14,527K shares representing 3.12% ownership of the company. In it's prior filing, the firm reported owning 14,418K shares, representing an increase of 0.75%. The firm decreased its portfolio allocation in AMT by 11.77% over the last quarter. Wellington Management Group Llp holds 12,292K shares representing 2.64% ownership of the company. In it's prior filing, the firm reported owning 13,452K shares, representing a decrease of 9.44%. The firm decreased its portfolio allocation in AMT by 17.24% over the last quarter. VFINX - Vanguard 500 Index Fund Investor Shares holds 11,096K shares representing 2.38% ownership of the company. In it's prior filing, the firm reported owning 10,865K shares, representing an increase of 2.09%. The firm decreased its portfolio allocation in AMT by 12.21% over the last quarter. Geode Capital Management holds 9,986K shares representing 2.14% ownership of the company. In it's prior filing, the firm reported owning 9,734K shares, representing an increase of 2.52%. The firm decreased its portfolio allocation in AMT by 11.94% over the last quarter. American Tower Background Information (This description is provided by the company.) American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of approximately 186,000 communications sites. Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds. Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits. Click to Learn More This story originally appeared on Fintel. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-17	AMT	Wall Street watches a company's quarterly report closely to understand as much as possible about its recent performance and what to expect going forward. Of course, one figure often stands out among the rest: earnings. We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when it comes to stock prices, especially in the near-term. This means that investors might want to take advantage of these earnings surprises. Hunting for 'earnings whispers' or companies poised to beat their quarterly earnings estimates is a somewhat common practice. But that doesn't make it easy. One way that has been proven to work is by using the Zacks Earnings ESP tool. The Zacks Earnings ESP, Explained The Zacks Expected Surprise Prediction, or ESP, works by locking in on the most up-to-date analyst earnings revisions because they can be more accurate than estimates from weeks or even months before the actual release date. The thinking is pretty straightforward: analysts who provide earnings estimates closer to the report are likely to have more information. With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb. Bringing together a positive earnings ESP alongside a Zacks Rank #3 (Hold) or better has helped stocks report a positive earnings surprise 70% of the time. Furthermore, by using these parameters, investors have seen 28.3% annual returns on average, according to our 10 year backtest. Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank. Should You Consider American Tower? The final step today is to look at a stock that meets our ESP qualifications. American Tower (AMT) earns a #3 (Hold) nine days from its next quarterly earnings release on October 26, 2023, and its Most Accurate Estimate comes in at $2.37 a share. American Tower's Earnings ESP sits at +0.59%, which, as explained above, is calculated by taking the percentage difference between the $2.37 Most Accurate Estimate and the Zacks Consensus Estimate of $2.35. AMT is also part of a large group of stocks that boast a positive ESP. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. AMT is just one of a large group of Finance stocks with a positive ESP figure. AvalonBay Communities (AVB) is another qualifying stock you may want to consider. Slated to report earnings on October 25, 2023, AvalonBay Communities holds a #2 (Buy) ranking on the Zacks Rank, and it's Most Accurate Estimate is $2.66 a share eight days from its next quarterly update. For AvalonBay Communities, the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $2.64 is +0.76%. AMT and AVB's positive ESP metrics may signal that a positive earnings surprise for both stocks is on the horizon. Find Stocks to Buy or Sell Before They're Reported Use the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >> Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 5 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale. Download FREE: How To Profit From Trillions On Spending For Infrastructure >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report AvalonBay Communities, Inc. (AVB) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-16	AMT	Wall Street watches a company's quarterly report closely to understand as much as possible about its recent performance and what to expect going forward. Of course, one figure often stands out among the rest: earnings. The earnings figure itself is key, of course, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb and vice versa. The ability to identify stocks that are likely to top quarterly earnings expectations can be profitable, but it's no simple task. Here at Zacks, our Earnings ESP filter helps make things easier. The Zacks Earnings ESP, Explained The Zacks Earnings ESP is more formally known as the Expected Surprise Prediction, and it aims to grab the inside track on the latest analyst estimate revisions ahead of a company's report. The idea is relatively intuitive as a newer projection might be based on more complete information. Now that we understand the basic idea, let's look at how the Expected Surprise Prediction works. The ESP is calculated by comparing the Most Accurate Estimate to the Zacks Consensus Estimate, with the percentage difference between the two giving us the Zacks ESP figure. In fact, when we combined a Zacks Rank #3 (Hold) or better and a positive Earnings ESP, stocks produced a positive surprise 70% of the time. Perhaps most importantly, using these parameters has helped produce 28.3% annual returns on average, according to our 10 year backtest. Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank. Should You Consider Enova International? The final step today is to look at a stock that meets our ESP qualifications. Enova International (ENVA) earns a #3 (Hold) eight days from its next quarterly earnings release on October 24, 2023, and its Most Accurate Estimate comes in at $2.04 a share. ENVA has an Earnings ESP figure of +2.26%, which, as explained above, is calculated by taking the percentage difference between the $2.04 Most Accurate Estimate and the Zacks Consensus Estimate of $2. Enova International is one of a large database of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. ENVA is part of a big group of Finance stocks that boast a positive ESP, and investors may want to take a look at American Tower (AMT) as well. American Tower, which is readying to report earnings on October 26, 2023, sits at a Zacks Rank #3 (Hold) right now. It's Most Accurate Estimate is currently $2.36 a share, and AMT is 10 days out from its next earnings report. For American Tower, the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $2.34 is +0.94%. ENVA and AMT's positive ESP metrics may signal that a positive earnings surprise for both stocks is on the horizon. Find Stocks to Buy or Sell Before They're Reported Use the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >> Zacks Reveals ChatGPT "Sleeper" Stock One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more. Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Enova International, Inc. (ENVA) : Free Stock Analysis Report American Tower Corporation (AMT) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-16	AMT	Prologis PLD, the leading industrial REIT, is slated to report third-quarter 2023 earnings on Oct 17 before the bell. In anticipation of the announcement, industry analysts and investors are eager to assess the company's performance and prospects in the current economic climate. In the last reported quarter, this REIT delivered a surprise of 8.93% in terms of core funds from operations (FFO) per share. Results reflected robust leasing activity and solid rent growth. Over the trailing four quarters, Prologis beat the Zacks Consensus Estimate in terms of FFO per share on all occasions, the average beat being 3.96%. This is depicted in the graph below: Prologis, Inc. Price and EPS Surprise Prologis, Inc. price-eps-surprise \| Prologis, Inc. Quote Let’s see how things have shaped up before this announcement. US Industrial Real Estate Market in Q3 Per a Cushman & Wakefield CWK report, the U.S. industrial real estate market experienced a softening of fundamentals in the third quarter of 2023. There were record construction deliveries, with 171.8 million square feet (msf) of new industrial space completed, an 18.7% increase from the previous quarter. However, the increasing supply, coupled with moderating demand and occupiers optimizing their space, has caused a rise in overall vacancy, standing at 4.7% in the third quarter. While this represents a 70-basis point increase from the previous quarter, it remains well below the 15-year average of 6.8%. 40 out of 83 markets boast vacancy rates at 4% or lower. The industrial sector is experiencing a shift in demand, primarily due to the waning effects of the pandemic-induced goods boom and the anticipation of slower economic conditions. Absorption totals continued to moderate in each of the last four quarters, though net growth is still taking place. Net absorption declined 12.7% sequentially in the third quarter to 46.2 (msf). Rent growth is also cooling off, with the average asking rental rate increasing only 0.9% sequentially to $9.73 per square foot. On a year-over-year basis, rent growth slowed for the fourth straight quarter to 12.3% in the third quarter of 2023. At the same time, the fresh influx of speculative inventory, commanding prices significantly higher than the market average, has persistently pushed up average rental rates in markets that have experienced robust delivery volumes. Amid the substantial influx of new deliveries, the nationwide under-construction pipeline contracted by 96.7 msf (-15.3%), reducing it to 537.6 msf. Factors to Note Despite the softening in the overall industrial real estate market, there is substantial demand for Class A logistics facilities. Given Prologis’ capacity to offer high-quality facilities in key markets, it is well-poised to capitalize on this trend. With its differentiated customer offerings and strategic investments in the to-be-reported quarter, the REIT is likely to experience healthy rent and occupancy levels. Prologis’ expansion efforts through acquisitions and developments in recent years are likely to have boosted the top line in the to-be-reported quarter. In June 2023, Prologis acquired nearly 14 million square feet of industrial properties from opportunistic real estate funds affiliated with Blackstone for a cash consideration of $3.1 billion. In October 2022, Prologis closed the acquisition of Duke Realty in an all-stock transaction valued at $23 billion, thereby boosting its presence in the key markets. In addition, PLD is likely to have gained from its industry-leading cost structure. Furthermore, Prologis possesses a robust balance sheet that empowers its expansion initiatives. As a dominant player in the industrial REIT sector, it can secure capital at advantageous rates. It is likely to have maintained financial strength with liquidity during the period in discussion. Projections for Q3 2023 The Zacks Consensus Estimate for third-quarter revenues is currently pegged at $1.71 billion, suggesting a nearly 48.36% year-over-year jump. We project a 45.5% increase in rental revenues in the third quarter to $1.67 million. Our estimate for development management and other revenues is presently pegged at $5 million for the quarter. Our estimate for third-quarter average occupancy is 97.3%, implying a 10-basis point decline from the prior quarter. Moreover, the same-store net operating income is expected to increase 7.5%. Prologis’ activities during the soon-to-be-reported quarter were not adequate to gain analysts’ confidence. The Zacks Consensus Estimate for the third-quarter FFO per share has been unrevised at $1.26 in the past month. However, it suggests a 27.17% decline year over year. Here Is What Our Quantitative Model Predicts: Our proven model predicts a surprise in terms of FFO per share for Prologis this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an FFO beat, which is the case here. Prologis currently has a Zacks Rank of 3 and an Earnings ESP of + 0.18%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Other Stocks That Warrant a Look Here are two other stocks from the broader REIT sector — Crown Castle Inc. CCI and American Tower Corporation AMT — you may want to consider as our model shows that these also have the right combination of elements to report a surprise this quarter. Crown Castle is slated to report quarterly numbers on Oct 18. CCI has an Earnings ESP of +0.70% and carries a Zacks Rank of 3 presently. You can see the complete list of today’s Zacks #1 Rank stocks here. American Tower Corporation is slated to report quarterly numbers on Oct 26. AMT has an Earnings ESP of + 0.94% and a Zacks Rank of 3 presently. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Reveals ChatGPT "Sleeper" Stock One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more. Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Prologis, Inc. (PLD) : Free Stock Analysis Report Crown Castle Inc. (CCI) : Free Stock Analysis Report Cushman & Wakefield PLC (CWK) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-16	AMT	Crown Castle Inc. CCI is scheduled to release third-quarter 2023 results on Oct 18 after the closing bell. In anticipation of the announcement, industry analysts and investors are eager to assess the company's performance and prospects in the current economic climate. In the last reported quarter, this Houston, TX-based real estate investment trust’s (REIT) adjusted funds from operations (FFO) per share outpaced the Zacks Consensus Estimate by 3.02%. Results reflected better-than-anticipated revenues aided by robust site-rental revenue growth. However, the company lowered its outlook for 2023, citing that it expects a decline in tower activity for the remainder of the year due to reduced network spending by wireless carriers. Over the preceding four quarters, CCI’s FFO per share surpassed estimates on three occasions and missed once, the average beat being 0.91%. This is depicted in the graph below: Crown Castle Inc. Price and EPS Surprise Crown Castle Inc. price-eps-surprise \| Crown Castle Inc. Quote Let’s see how things have shaped up before this announcement. Factors to Note In recent years, the advancement in mobile technology, such as 4G and 5G networks, and the proliferation of bandwidth-intensive applications have steered the growth in mobile data usage globally. Also, the rampant usage of network-intensive applications for video conferencing and cloud services and remote-working scenarios have fueled the rise. This has led to greater capital spending by wireless carriers due to incremental demand from global 4G and 5G deployment efforts, growing wireless penetration and spectrum auctions, aiding the demand for CCI’s wireless communication infrastructure. Further, CCI’s solid balance sheet position is likely to have supported its small cell deployment efforts required to increase the capacity and density of the wireless network for 5G deployment. However, according to management, the initial surge in tower activity related to the early stage of the 5G investment cycle has waned. As a result, management expected a decline in tower activity for the remainder of the year due to reduced network spending by wireless carriers. Moreover, the T-Mobile Sprint network rationalization is likely to weigh on the third quarter of 2023. Amid these, our estimate for quarterly site rental revenues stands at $1.57 billion, implying only 0.4% growth year over year. We estimate revenues from the network services and other segment to decline 10.9% year over year during the quarter. The Zacks Consensus Estimate for third-quarter revenues is pegged at $1.71 billion, indicating a decrease of 2.28% from the year-ago reported number. Also, high interest expenses are likely to have been a spoilsport for CCI during the to-be-reported quarter. We expect third-quarter 2023 interest expenses and amortization of deferred financing costs to rise 20.8% year over year. Crown Castle’s activities in the quarter were inadequate to garner analysts’ confidence. The Zacks Consensus Estimate for the quarterly FFO per share has been revised 1.1% downward over the past month to $1.78. The figure also suggests a 3.78% decrease from the prior-year quarter’s reported figure. Here Is What Our Quantitative Model Predicts: Our proven model predicts a surprise in terms of FFO per share for Crown Castle this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an FFO beat, which is the case here. Crown Castle currently has a Zacks Rank of 3 and an Earnings ESP of +0.70%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Other Stocks That Warrant a Look Here are two other stocks from the broader REIT sector — Prologis PLD and American Tower Corporation AMT — you may want to consider as our model shows that these also have the right combination of elements to report a surprise this quarter. Prologis is slated to report quarterly numbers on Oct 17. CCI has an Earnings ESP of +0.18% and presently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here. American Tower Corporation is slated to report quarterly numbers on Oct 26. AMT presently has an Earnings ESP of + 0.94% and a Zacks Rank of 3. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Zacks Reveals ChatGPT "Sleeper" Stock One little-known company is at the heart of an especially brilliant Artificial Intelligence sector. By 2030, the AI industry is predicted to have an internet and iPhone-scale economic impact of $15.7 Trillion. As a service to readers, Zacks is providing a bonus report that names and explains this explosive growth stock and 4 other "must buys." Plus more. Download Free ChatGPT Stock Report Right Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Prologis, Inc. (PLD) : Free Stock Analysis Report Crown Castle Inc. (CCI) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-16	AMT	Fintel reports that on October 16, 2023, Morgan Stanley maintained coverage of American Tower (NYSE:AMT) with a Equal-Weight recommendation. Analyst Price Forecast Suggests 39.33% Upside As of October 5, 2023, the average one-year price target for American Tower is 232.63. The forecasts range from a low of 199.98 to a high of $284.55. The average price target represents an increase of 39.33% from its latest reported closing price of 166.96. See our leaderboard of companies with the largest price target upside. The projected annual revenue for American Tower is 11,220MM, an increase of 2.79%. The projected annual non-GAAP EPS is 4.72. American Tower Declares $1.62 Dividend On September 20, 2023 the company declared a regular quarterly dividend of $1.62 per share ($6.48 annualized). Shareholders of record as of October 11, 2023 will receive the payment on October 27, 2023. Previously, the company paid $1.57 per share. At the current share price of $166.96 / share, the stock's dividend yield is 3.88%. Looking back five years and taking a sample every week, the average dividend yield has been 2.19%, the lowest has been 1.60%, and the highest has been 4.01%. The standard deviation of yields is 0.54 (n=236). The current dividend yield is 3.14 standard deviations above the historical average. Additionally, the company's dividend payout ratio is 3.12. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5. The company's 3-Year dividend growth rate is 0.42%, demonstrating that it has increased its dividend over time. What is the Fund Sentiment? There are 2824 funds or institutions reporting positions in American Tower. This is a decrease of 114 owner(s) or 3.88% in the last quarter. Average portfolio weight of all funds dedicated to AMT is 0.67%, a decrease of 5.14%. Total shares owned by institutions decreased in the last three months by 7.57% to 486,289K shares. The put/call ratio of AMT is 0.46, indicating a bullish outlook. What are Other Shareholders Doing? VGSIX - Vanguard Real Estate Index Fund Investor Shares holds 19,637K shares representing 4.21% ownership of the company. In it's prior filing, the firm reported owning 20,462K shares, representing a decrease of 4.20%. The firm decreased its portfolio allocation in AMT by 12.56% over the last quarter. VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 14,527K shares representing 3.12% ownership of the company. In it's prior filing, the firm reported owning 14,418K shares, representing an increase of 0.75%. The firm decreased its portfolio allocation in AMT by 11.77% over the last quarter. Wellington Management Group Llp holds 12,292K shares representing 2.64% ownership of the company. In it's prior filing, the firm reported owning 13,452K shares, representing a decrease of 9.44%. The firm decreased its portfolio allocation in AMT by 17.24% over the last quarter. VFINX - Vanguard 500 Index Fund Investor Shares holds 11,096K shares representing 2.38% ownership of the company. In it's prior filing, the firm reported owning 10,865K shares, representing an increase of 2.09%. The firm decreased its portfolio allocation in AMT by 12.21% over the last quarter. Geode Capital Management holds 9,986K shares representing 2.14% ownership of the company. In it's prior filing, the firm reported owning 9,734K shares, representing an increase of 2.52%. The firm decreased its portfolio allocation in AMT by 11.94% over the last quarter. American Tower Background Information (This description is provided by the company.) American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of approximately 186,000 communications sites. Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds. Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits. Click to Learn More This story originally appeared on Fintel. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-16	AMT	The real estate investment trust (REIT) space has been under severe pressure for over two years. Undoubtedly, the stiff headwind of higher interest rates has continued to weigh on shares of the entire REIT scene. The good news is that when shares of REITs go down, their yield tends to rise - opening up an excellent window of opportunity for investors brave enough to weather the storm. Although rates on the 10-year Treasury note (ZNZ23) have retreated from their recent peak (just short of 5%), there's still concern that rates could move even higher. Indeed, the Fed has conditioned investors for more interest rate increases at its meetings. But will they pull the trigger? For now, high inflation remains sticky. Meanwhile, interest rates continue to climb to levels that only the oldest and most seasoned investors have ever encountered. All this hawkishness is not the best news for the REITs, which have continued to crumble. Activist investor Bill Ackman recently argued that the Fed may be done with rate hikes, given evidence that the economy has begun to slow. If you believe that rates won't keep skyrocketing, it's hard to argue that many plays within the REIT space look more than enticing at current levels. American Tower Corporation American Tower Corporation (AMT) is a communications tower firm that leases to some of the country's top telecoms. The stock is down about 45% from its all-time high above $300 per share, briefly hit back in mid-2021. It's been a vicious decline, thanks in no small part to higher interest rates. www.barchart.com Even if rates do finally peak, it's hard to tell when tower leasing demand will pick up again significantly, especially if the economy slows in such a way that we land in a recession - and perhaps in a bumpy fashion. Along with its July earnings results, the company increased its full-year guidance by 2-4%. This indicates potential relief to be had going into year's end. Even with the upbeat forecast, investors don't seem all enthused about the firm - at least, not until we have more certainty about rate hikes. In the meantime, AMT's yield of 3.78% is enticing for those looking to play the multi-year rise of next-generation wireless infrastructure. As the metaverse, cloud-based artificial intelligence (AI), and other trends continue to take off, it's not hard to imagine data usage surging over the next five years. For now, a recession could impact usage - but on the other side of the downturn, nascent technologies that go mainstream could drive demand for faster, lower-latency wireless. BMO Capital Markets analyst Ari Klein is a significant bull on AMT, assigning the shares a rating of Outperform. Klein cites American Tower as "the best way" to play the space. He's also upbeat on the international prospects, which account for around 45% of sales. Crown Castle International Crown Castle (CCI) is another wireless infrastructure leasing REIT that's crashed hard in recent years. The stock has fallen over 55% from its highs, and the negative momentum isn't slowing down. www.barchart.com Unfortunately, the company's latest (second) quarter, where funds from operations (FFO) of $2.05 surpassed the consensus estimate, did not provide any relief for the falling knife of a stock. Second-quarter revenue came at $1.87 billion, which was flat sequentially but narrowly above Wall Street forecasts. The company was forced to slash its guidance amid disappointing revenue growth in small cells (a business that differentiates it from American Tower, which is all-in on cell towers). Although the firm expects double-digit sales growth days to return as early as next year, many investors are rushing for the exits. And it's hard to blame them as high rates and a sluggish economy weigh on CCI's results. Looking ahead, CCI's latest quarterly report is due out this Wednesday, Oct. 18. The main attraction to the REIT is the juicy 6.62% yield, which is safe and likely poised to grow from here, once small cells and towers experience a growth re-acceleration on the other side of this economic slowdown. The Bottom Line In many ways, Crown Castle and American Tower are up against it. If rate hikes pause or stop, we'll be faced with a sagging economy that has the alarm of the Fed. And if the economy continues going strong, more rate hikes will likely be in the cards. For investors, the two REITs are in a lose-lose scenario. Still, it's a mistake to overlook them at current levels, now that shares of both REITs have crashed so violently. On the date of publication, Joey Frenette did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-12	AMT	American Tower (AMT) closed the most recent trading day at $164.24, moving -0.83% from the previous trading session. This change lagged the S&P 500's 0.63% loss on the day. Elsewhere, the Dow lost 0.51%, while the tech-heavy Nasdaq lost 0.63%. The wireless communications infrastructure company's stock has dropped by 6.4% in the past month, falling short of the Finance sector's loss of 2.46% and the S&P 500's loss of 2.35%. The investment community will be closely monitoring the performance of American Tower in its forthcoming earnings report. The company is scheduled to release its earnings on October 26, 2023. The company is predicted to post an EPS of $2.34, indicating a 0.85% decline compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.76 billion, up 3.29% from the year-ago period. In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $9.72 per share and a revenue of $11.06 billion, indicating changes of -0.41% and +3.26%, respectively, from the former year. Any recent changes to analyst estimates for American Tower should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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, 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. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, American Tower possesses a Zacks Rank of #3 (Hold). In terms of valuation, American Tower is currently trading at a Forward P/E ratio of 17.05. This denotes a premium relative to the industry's average Forward P/E of 10.35. Investors should also note that AMT has a PEG ratio of 1.21 right now. 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. As of the close of trade yesterday, the REIT and Equity Trust - Other industry held an average PEG ratio of 2.21. The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 172, putting it in the bottom 32% of all 250+ industries. The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. 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. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-11	AMT	In afternoon trading on Wednesday, Utilities stocks are the best performing sector, higher by 0.8%. Within that group, NextEra Energy Inc (Symbol: NEE) and Public Service Enterprise Group Inc (Symbol: PEG) are two of the day's stand-outs, showing a gain of 2.8% and 2.3%, respectively. Among utilities ETFs, one ETF following the sector is the Utilities Select Sector SPDR ETF (Symbol: XLU), which is up 0.9% on the day, and down 13.94% year-to-date. NextEra Energy Inc, meanwhile, is down 35.10% year-to-date, and Public Service Enterprise Group Inc is up 0.15% year-to-date. Combined, NEE and PEG make up approximately 15.7% of the underlying holdings of XLU. The next best performing sector is the Financial sector, higher by 0.1%. Among large Financial stocks, American Tower Corp (Symbol: AMT) and Boston Properties Inc (Symbol: BXP) are the most notable, showing a gain of 2.8% and 2.2%, respectively. One ETF closely tracking Financial stocks is the Financial Select Sector SPDR ETF (XLF), which is down 0.3% in midday trading, and down 1.93% on a year-to-date basis. American Tower Corp, meanwhile, is down 21.85% year-to-date, and Boston Properties Inc, is down 11.21% year-to-date. Comparing these stocks and ETFs on a trailing twelve month basis, below is a relative stock price performance chart, with each of the symbols shown in a different color as labeled in the legend at the bottom: Here's a snapshot of how the S&P 500 components within the various sectors are faring in afternoon trading on Wednesday. As you can see, two sectors are up on the day, while five sectors are down. SECTOR % CHANGE Utilities +0.8% Financial +0.1% Technology & Communications 0.0% Industrial 0.0% Energy -0.3% Services -0.4% Materials -0.7% Consumer Products -0.9% Healthcare -2.0% 25 Dividend Giants Widely Held By ETFs » Also see: Top Stocks Held By Ken Griffin EXC Dividend History ETFs Holding N The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-11	AMT	In trading on Wednesday, the iShares Cohen & Steers REIT ETF is outperforming other ETFs, up about 1.2% on the day. Components of that ETF showing particular strength include shares of American Tower, up about 2.9% and shares of Boston Properties, up about 2.3% on the day. And underperforming other ETFs today is the iShares U.S. Medical Devices ETF, off about 4.8% in Wednesday afternoon trading. Among components of that ETF with the weakest showing on Wednesday were shares of Silk Road Medical, lower by about 50%, and shares of Outset Medical, lower by about 22.4% on the day. VIDEO: Wednesday's ETF Movers: ICF, IHI The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-11	AMT	American Tower Corporation’s AMT subsidiary and a leading hybrid IT solutions provider — CoreSite — recently launched new capabilities to its software-defined networking platform, Open Cloud Exchange (OCX). The enhancements will enable clients to quickly create higher-bandwidth virtual connections to Google Cloud and between CoreSite data centers, including 20G and 50G services. Given that wireless connectivity usage is on the rise on the back of the advent of next-generation technologies, including edge computing functionality, autonomous vehicle networks and the Internet of Things, along with the rampant usage of network-intensive applications for video conferencing and cloud services and hybrid-working scenarios, the move seems like a strategic fit. The key features include accelerated data transfer to cloud applications by nearly five times for improved machine learning (ML)-ops and visual effects, simplification of the process to rapidly scale network capacity between the enterprise edge and public cloud providers, and reduced operating expenses by right-sizing the client’s network to meet current and future business needs. Clients will also benefit in terms of reduced time required for organizations to augment network capacity and support the next wave of high-bandwidth, low-latency hybrid applications like artificial intelligence, ML and digital media production. Particularly, CoreSite launched the new OCX capabilities as part of an initiative to support a global streaming media and entertainment (M&E) client. With improved functionality, the client can support its burst operations in peak production season, increasing operational agility to meet stringent movie launch schedules. Per Juan Font, president and CEO, CoreSite and SVP of U.S. Tower, “Businesses are looking for innovative ways to improve agility and optimize their operations. By providing enhanced connection capabilities through our proprietary Open Cloud Exchange with Google Partner Interconnect, CoreSite is delivering the platform customers require to meet the growing need to access and manage their data effectively.” It may be noted that American Tower acquired CoreSite in December 2021 for a total consideration of $10.4 billion. Through the buyout, AMT added more than 20 data center facilities and related assets in eight U.S. markets to its portfolio. With this, American Tower capitalized on CoreSite’s highly interconnected data center facilities and critical cloud on-ramps, and banks on the robust demand from enterprises, the cloud, network and IT service providers in the major U.S. markets. Shares of the Zacks Rank #3 (Hold) firm have lost 18.9% in the past three months compared with its industry’s decline of 10.9%. Image Source: Zacks Investment Research Stocks to Consider Some better-ranked stocks from the REIT sector are Welltower WELL, Boston Properties BXP and Vornado Realty Trust VNO, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for Welltower’s 2023 funds from operations (FFO) per share has been revised marginally upward over the past month to $3.56. The Zacks Consensus Estimate for Boston Properties’ ongoing year’s FFO per share has been increased marginally over the past month to $7.30. The Zacks Consensus Estimate for Vornado Realty’s current-year FFO per share has moved 1.2% northward over the past month to $2.59. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 7 Best Stocks for the Next 30 Days Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops." Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.3% per year. So be sure to give these hand-picked 7 your immediate attention. See them now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report Boston Properties, Inc. (BXP) : Free Stock Analysis Report Vornado Realty Trust (VNO) : Free Stock Analysis Report Welltower Inc. (WELL) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-10	AMT	Shares of American Tower Corp. (NYSE:AMT) are currently hovering near their five-year lows following an extended decline over the past year. Despite recent share price losses, AMT, which owns and leases nearly 226,000 communication towers, maintains strong potential for robust dividend growth. Combined with the fact that the stock offers a respectable 4% yield at its current levels, I believe that American Tower can be a dividend powerhouse for prospective investors. Hence, I am bullish on the stock. What Has Put AMT Under Pressure? The surge in interest rates over the past year has cast a significant shadow on American Tower Corp, dampening the company’s profitability outlook. It's noteworthy that this challenge is recurrent among all REITs, given their reliance on both debt and equity for expanding property portfolios. In its quest to broaden its tower portfolio, American Tower has steadily accumulated substantial debt, which reached $47.2 billion by the end of Q2. To put this into perspective, the company's total debt stood at $27.9 billion and $16.2 billion during the same periods in 2019 and 2015, respectively, underscoring the company’s consistent expansion efforts. The impact of escalating interest rates on the company’s indebted balance was apparent in its most recent quarterly report. In Q2 2023, American Tower’s interest expenses amounted to $348.1 million, reflecting a 25.8% increase compared to the previous year’s $276.6 million. This surge is directly attributable to the higher variable interest rate on the company’s notes. The substantial rise in interest expenses, unfortunately, overshadows American Tower's otherwise robust performance. The company posted revenues of $2.77 billion for the quarter, signifying a year-over-year increase of 3.6%. Despite an elevated inflationary environment, the company also maintained its cash allocation for SG&A relatively stable year-over-year. This aided an adjusted EBITDA margin expansion of about 60 bps to 63.1%. Thus, Adjusted EBITDA outpaced revenues, growing by 4.7% to $1.74 billion. However, factoring in interest expenses, American Tower’s adjusted funds from operations (AFFO) dipped by 0.4% to $1.15 billion. On a per-share basis, this metric declined by 2% to $2.46 due to additional shares issued over the past 12 months to facilitate the company’s acquisitions. Looking ahead to Fiscal 2023, management anticipates AFFO/share to fall between $9.61 and $9.79, with the midpoint implying a year-over-year decline of 0.6%. This marks the first time in over a decade that the company’s AFFO/share is set to experience a decline. The Dividend Remains Attractive Despite the challenging environment created by fluctuating interest rates, American Tower's dividend remains notably resilient. Sure, management's guidance suggests a modest decline in AFFO/share compared to the previous year. However, the forward payout ratio still stands at a comfortable 67%, based on the current dividend run rate of $6.48. In the meantime, with shares sinking toward their five-year lows, American Tower's dividend yield now stands at 4%. It's the highest yield the stock has ever had. Note that American Tower's most recent dividend increase took place a couple of weeks ago, in late September. While the hike was by just 3.2%, it underscores management's commitment to a growing dividend. It was a prudent hike, but it shows that the company's payout ratio can support hikes even during a challenging year. Thus, a re-acceleration to the dividend growth rate once the current macro headwinds ease is not unlikely. Overall, the current 4% dividend yield, combined with the potential for continued increases and the broad strength and enduring qualities of the company, presents a compelling case for income-oriented investors. These qualities include the resilience and predictability of cash flows attributed to the essential and mission-critical nature of the telecommunications industry. Additionally, the industry's oligopolistic structure, driven by substantial capital requirements, further solidifies American Tower's position and provides a robust platform for sustained and predictable growth. Its ability to grow its revenues and expand its EBITDA margin in Q2, despite the tough REIT landscape, is a testament to these strengths. Is AMT Stock a Buy, According to Analysts? According to analysts, AMT stock comes in as a Strong Buy based on nine Buys and two Holds assigned by analysts in the past three months. The average AMT stock price target of $228.20 implies 43.9% upside potential. The Takeaway In conclusion, while American Tower is currently navigating challenges posed by rising interest rates affecting its profitability, the company's resilient performance and strategic industry position present a compelling opportunity for investors seeking reliable income. The blend of a 4% dividend yield, a recent dividend hike, and a comfy 67% forward payout ratio create a robust foundation for promising income prospects. This is despite the anticipated decline in AFFO/share for Fiscal 2023. Further, the enduring qualities of the telecom towers industry, marked by essential service provision and oligopolistic dynamics, enhance American Tower's potential for sustained and predictable growth. Thus, the stock stands out as an appealing choice for those seeking a growing income and stability. Disclosure The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-09	AMT	American Tower Corporation’s AMT extensive and geographically diversified communication real estate portfolio positions it well to ride the growth curve amid the rise in capital spending by wireless carriers on the incremental demand from global 4G and 5G deployment efforts. Its expansionary efforts and disciplined capital-allocation strategy augur well for long-term growth. However, customer concentration and high interest rates pose key concerns for the company. What’s Aiding It? With the advancement in mobile technology, such as 4G and 5G networks and the proliferation of bandwidth-intensive applications, mobile data usage has increased significantly globally. The excessive usage of network-intensive applications for video conferencing, cloud services and hybrid-working scenarios fueled the rise. This has led to greater capital spending by wireless carriers on the back of incremental demand from global 4G and 5G deployment efforts, growing wireless penetration and spectrum auctions, aiding demand for AMT’s wireless communication infrastructure. This upbeat trend is likely to continue in the upcoming period, boosting demand for the company’s assets and driving healthy leasing activity. AMT has a resilient and stable business model. It generates most of its revenues from non-cancellable, long-term (typically 5-10 years) tower leases with major wireless carriers and has multiple renewal period options. This assures stable revenue generation for the company. To capitalize on the secular trends of the industry, the company is consistently focusing on macro-tower investment opportunities and expansionary efforts across global markets. It has built more than 45,000 international sites since it began expanding internationally. Around 8,000 of these sites have been built in Africa as carriers continue to invest in their network coverage and densification needs. In the six months ended Jun 30, 2023, AMT purchased 68 communications sites, as well as other communications infrastructure assets, in the United States, Canada, France, Poland and Spain. This real estate investment trust (REIT) maintains a healthy balance sheet with ample financial flexibility. It exited the second quarter of 2023 with $8.2 billion in total liquidity and a net leverage ratio of 5.3. The company also enjoys investment-grade credit ratings of BBB- and Baa3 with a stable outlook from Standard & Poor’s and Moody’s, respectively, rendering it access to the debt market at a favorable rate. With a solid financial footing, AMT remains well-placed to bank on long-term growth opportunities. Solid dividend payouts are arguably the biggest enticement for REIT shareholders and American Tower remains committed to that. This September, the company announced a 3.2% hike in its quarterly dividend on its common stock to $1.62 per share from $1.57 paid out earlier. Moreover, in the last five years, AMT has increased its dividend 19 times and its five-year annualized dividend growth rate is 15.10%. Such efforts boost investors’ confidence in the stock. What’s Hurting It? American Tower has a high customer concentration, with T-Mobile TMUS, AT&T and Verizon Wireless contributing 16%, 14% and 12%, respectively, of its property revenues for the second quarter of 2023. The loss of any of these customers, consolidation among them or reduction in network spending could adversely impact the company’s top-line growth. Given the contractual lease cancellations and non-renewals by T-Mobile, including legacy Sprint Corporation leases, management expects the churn rate in its U.S. & Canada property segment to remain elevated. Amid a high-interest rate environment, American Tower may find it difficult to purchase or develop real estate with borrowed funds as the costs are likely to be on the higher side. We expect a year-over-year rise of 24.8% in the company’s interest expenses this year. Shares of this Zacks Rank #3 (Hold) company have lost 17.6% in the past three months compared with the industry’s fall of 11%. Image Source: Zacks Investment Research Stocks to Consider Some better-ranked stocks from the real estate investment trust sector are Welltower WELL and Americold Realty Trust COLD, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for Welltower’s 2023 funds from operations (FFO) per share has been raised marginally over the past week to $3.56. The Zacks Consensus Estimate for Americold Realty Trust’s ongoing year’s FFO per share has been increased marginally over the past month to $1.26. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs. 4 Oil Stocks with Massive Upsides Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold." Zacks Investment Research has just released an urgent special report to help you bank on this trend. In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations. Download your free report now to see them. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Tower Corporation (AMT) : Free Stock Analysis Report T-Mobile US, Inc. (TMUS) : Free Stock Analysis Report Americold Realty Trust Inc. (COLD) : Free Stock Analysis Report Welltower Inc. (WELL) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-09	AMT	There’s no one investing style guaranteed to generate big returns but for those looking to make headway in the markets, it’s worth checking out the systems used by the best in the business – the ones whose investing endeavors have pocketed billions in the process. For example, Steve Cohen, the founder of point72 Asset Management, has favored a high-risk, high-reward style, an aggressive mode of investment that has obviously worked wonders, given he has a net worth of $19.8 billion. On the other hand, Fisher Investments founder Ken Fisher has built his $7.1 billion fortune on being able to identify data that is not commonly known or interpret well-known information in a unique and accurate manner compared to other participants in the market. While their paths to success might be different, both strategies have seen the pair reach the same conclusion at times and there are specific equities that take up space in both market sages’ portfolios. That is bound to pique investor’ interest, and with that in mind, we decided to check out 2 stocks held by both and see why they are such fans. We ran these tickers through TipRanks' database and found that both are rated as 'Strong Buys' by the analyst consensus. Let’s see what makes them so. American Tower (AMT) First up, a big name in the real estate investment trust (REIT) sector. American Tower is one of the largest global operators of wireless and broadcast communication infrastructure. The company is a key player in the telecommunications industry and owns and manages a vast portfolio of cell towers, rooftop sites, and other communication infrastructure assets, providing essential support to wireless carriers and broadcasters. Its extensive network spans across the United States and numerous international markets, making American Tower a crucial part of the modern telecommunications ecosystem. American Tower's business model revolves around leasing its infrastructure assets to a diverse range of tenants, including major wireless carriers like AT&T, Verizon, and T-Mobile, as well as radio and television broadcasters. This strategy has allowed the company to generate steady and recurring revenue streams. In Q2, these streams reached $2.77 billion, amounting to a 3.7% year-over-year increase, surpassing the Street’s call by $50 million. Similarly, Q2 AFFO (adjusted funds from operations) of $2.46 also exceeded analyst expectations by $0.04. Both Cohen and Fisher are heavily invested here. During Q2, Cohen nearly doubled his stake; he now owns 850,703 shares, worth ~$136 million at the current share price. Fisher’s holdings are even larger, totaling 1,219,731 shares, representing a market value of approximately $195 million. They are not the only ones showing confidence. Goldman Sachs analyst Brett Feldman points out how this name stands out from the crowd. "The structure of AMT’s comprehensive agreements has enabled the company to maintain both its 2023 outlook for ~5% domestic organic growth and its longer term domestic organic growth outlook (averaging >=5% in 2023E - 2027E). This stands in contrast to CCI, which recently lowered its 2023 outlook for tower core leasing activity with its 2Q23 results. We remain constructive on AMT, as we expect that it will have the highest domestic organic growth rate of any US tower operator over the next five years (5.6% vs. ~4% for peers), which should drive peer-leading AFFO/share growth (~7.5% CAGR vs. 3% to 6% for peers),” Feldman opined. These comments underpin Feldman’s Buy rating while his $232 price target implies shares will gain 45% over the one-year timeframe. (To watch Feldman’s track record, click here) Elsewhere on the Street, the stock claims an additional 8 Buys and 2 Holds, all coalescing to a Strong Buy consensus rating. Moreover, the $228.20 average target suggests shares will be changing hands for ~43% premium a year from now. As an added bonus, AMT pays a forward annual dividend yield of 4%. (See AMT stock forecast) Las Vegas Sands (LVS) We'll now shift to the world of hospitality and entertainment, and take a look at Las Vegas Sands, a company famous for its opulent resorts and casinos. The brainchild of the late billionaire Sheldon Adelson, LVS was instrumental in transforming the Las Vegas Strip into a center of opulence and luxury. Although they sold their Las Vegas properties in 2021, they have expanded their presence worldwide, with properties in Macau (including The Venetian Macao, Sands Macao, and The Londoner Macao) and Singapore (Marina Bay Sands). Ken Fisher has been heavily invested here for a while and currently owns 9,567,353 shares worth ~$427 million. As for Steve Cohen, he made a recent big addition, more than doubling his holdings in Q2, which now stand at 2,425,516 shares, currently worth ~$108 million. LVS shares, though, are down for the year, having retreated by 30% since the May peak. The bulk of the pullback took place following the company’s July Q2 results. At first, that might look strange as LVS posted beats both on the top and bottom line. Revenue soared by 142% compared to the same period a year ago, reaching $2.54 billion and surpassing analyst expectations by $160 million. Additionally, adj. EPS stood at $0.46, exceeding the consensus estimate by $0.03. Investors, however, were disappointed by the 6.7 million visitors in Macau during the quarter, a figure representing about 68% of the 9.9 million visitors recorded in the second quarter of 2019, which serves as the last comparable period before the Covid-19 pandemic started affecting operations. However, Deutsche Bank analyst Carlo Santarelli argues that investors shouldn't be worried here and advises to stay focused on the long-term opportunity at play. "We see considerable value in LVS shares at current levels and we believe some of the concern around the trajectory of the recovery in Macau is misguided, with too much being read into short term and somewhat inconsequential datapoints,” the 5-star analyst said. “We see this rationalizing over time and believe LVS, from both a fundamental and valuation perspective, represents a compelling long idea moving forward.” Quantifying his bullish stance, Santarelli rates LVS shares a Buy, backed by a $65 price target. This suggests the stock will climb 45% higher in the year ahead. (To watch Santarelli’s track record, click here) Almost all of Santarelli’s colleagues agree. Barring one fencesitter, all 8 other recent reviews are positive, making the consensus view here a Strong Buy. At $68.61, the average target is more bullish than Santarelli will permit and makes room for one-year gains of 53%. (See LVS stock forecast) To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights. Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-07	AMT	If you're just getting started with dividend investing, congratulations: You could hardly have picked a better time. Dividend stocks have been getting beaten down this year through no fault of their own. Now that interest rates have risen sharply to combat inflation, institutional investors can receive risk-free returns from Treasuries that are hard to pass up. With less demand from big buyers, many dividend-paying stocks with long track records of annual payout raises have been in free fall. Image source: Getty Images. These two dividend-paying stocks are trading near 52-week lows. Here's why picking them up now and holding them through never-ending interest rate cycles gives you a great chance to outperform. 1. Realty Income Realty Income (NYSE: O) is a real estate investment trust (REIT) that owns over 13,000 commercial properties. It has raised its monthly dividend payout for 29 consecutive years, but that hasn't stopped its stock price from sliding about 27% in 2023. At its recently depressed price, the stock offers a 6.2% dividend yield. The last time a plummeting stock price caused its yield to rise this high was early 2020. Realty Income uses net leases that transfer all the variable costs of owning its buildings, such as maintenance and taxes, to the tenants that lease them. With an average remaining lease term of roughly nine years, the REIT's cash flows are generally predictable. Increased interest expenses are limiting growth, but it's hardly the catastrophe you'd expect from looking at Realty Income's stock price chart. Management expects adjusted funds from operations (FFO) to rise from $3.92 per share in 2022 to a range between $3.94 and $4.03 this year. Interest expenses have risen for Realty Income's tenants, but they aren't buckling under the pressure. The REIT had about a 99% occupancy rate at the end of June, and management expects to finish 2023 above 98%. Taking advantage of the unusually high yield this dividend payer offers right now and holding for the long run looks like a smart move. 2. American Tower American Tower (NYSE: AMT) is another beaten-down REIT with a strong track record of dividend raises over time. The company increased its payout by about 459% over the past decade, and it's unusual to see it offer a yield above 2%. But shares of American Tower have fallen by about 49% from their peak in 2021, and at recent prices, the stock offers a previously unimaginable 4.1% dividend yield. American Tower finished June with $38.8 billion in debt, and servicing that debt got a lot more expensive over the past year. Second-quarter interest expenses rose 26% year over year to $348 million, and net income plummeted. Luckily for long-term shareholders, signs of inflation have subsided and the Federal Reserve isn't forecasting rapid interest-rate raises in the foreseeable future. In other words, there's a good chance earnings can return to growth in the quarters ahead. American Tower owns heaps of data transmission towers, but don't be fooled by its outdated name: The company owns about 226,000 communications sites, and four out of five are outside of the U.S. market. The REIT is also getting attacked on the top line by a dollar that's risen against foreign currencies. This year, the company expects total property revenue to grow just 3.9%, but it also thinks the effects of currency exchange will reduce its international growth rate by 3% this year. Currency exchange rates might work against American Tower's top line this year, but it's always just a matter of time before foreign currencies gain ground on the dollar again. With an expanding presence on multiple continents, and towers that can host multiple tenants, there are still plenty of opportunities for growth. Over the long run, you could regret not taking advantage of this REIT's historically low valuation. 10 stocks we like better than Realty Income When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Realty Income wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of October 2, 2023 Cory Renauer has positions in American Tower. The Motley Fool has positions in and recommends American Tower and Realty Income. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-06	AMT	Looking at the universe of stocks we cover at Dividend Channel, on 10/10/23, American Tower Corp (Symbol: AMT) will trade ex-dividend, for its quarterly dividend of $1.62, payable on 10/27/23. As a percentage of AMT's recent stock price of $156.36, this dividend works out to approximately 1.04%, so look for shares of American Tower Corp to trade 1.04% lower — all else being equal — when AMT shares open for trading on 10/10/23. In general, dividends are not always predictable; but looking at the history above can help in judging whether the most recent dividend from AMT is likely to continue, and whether the current estimated yield of 4.14% on annualized basis is a reasonable expectation of annual yield going forward. The chart below shows the one year performance of AMT shares, versus its 200 day moving average: Looking at the chart above, AMT's low point in its 52 week range is $155.61 per share, with $235.57 as the 52 week high point — that compares with a last trade of $156.09. In Friday trading, American Tower Corp shares are currently off about 1.5% on the day. Click here to learn which 25 S.A.F.E. dividend stocks should be on your radar screen » Also see: Consumer Services Dividend Stock List Top Ten Hedge Funds Holding LE VGM Average Annual Return The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
2023-10-05	AMT	Thursday, October 5, 2023 The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Alphabet Inc. (GOOGL), Sanofi (SNY) and Mondelez International, Inc. (MDLZ). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today. You can see all of today’s research reports here >>> Shares of Alphabet have outperformed the Zacks Internet - Services industry over the year-to-date period (+53.3% vs. +50.9%). The company’s strong cloud division is aiding substantial revenue growth. Moreover, expanding data centers will continue to bolster its presence in the cloud space. Further, major updates in its search segment are enhancing the search results. Also, strong focus on innovation of AI techniques and the home automation space should aid business growth in the long term. Further, its deepening focus on its wearables category remains a tailwind. Alphabet’s expanding presence in the autonomous driving space is contributing well. Its growing efforts to gain a foothold in the healthcare industry can be considered other positives. However, sluggishness in the company’s Network advertisement business remains a headwind. Additionally, its growing litigation issues and increasing expenses are concerns. (You can read the full research report on Alphabet here >>>) Sanofi’s shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the year-to-date period (+14.2% vs. +4.9%). The company beat Q2 estimates for earnings but missed the same for sales. Sanofi’s Specialty Care unit is on strong footing, particularly with the outstanding growth trajectory of Dupixent, which has become the key top-line driver for Sanofi. Dupixent enjoys strong demand trends across all approved indications and geographies. Sanofi possesses a leading vaccine portfolio, which has become the primary top-line driver. Its R&D pipeline is strong. Several data readouts are expected in 2023. The company has also launched several new drugs in the past couple of years and is expanding its pipeline through M&A deals. However, headwinds include the weak performance of diabetes drugs and recent negative pipeline developments. (You can read the full research report on Sanofi here >>>) Shares of Mondelez International have outperformed the Zacks Food - Miscellaneous industry over the year-to-date period (+4.8% vs. -14.9%). The company has been benefiting from strength in emerging markets and its core chocolate and biscuit categories. It has also been focused on strengthening areas with higher growth potential via prudent acquisitions (like Clif Bar and Ricolino) and divestitures. These upsides, together with pricing actions, fueled second-quarter 2023 results, wherein the top and bottom lines increased year over year and surpassed the Zacks Consensus Estimate. Backed by the stellar year-to-date performance, management raised its 2023 organic net revenue and earnings guidance. However, Mondelez has been battling challenges related to global cost inflation. The company continues to anticipate double-digit inflation in 2023 stemming from continued elevated costs of packaging, ingredients and labor. (You can read the full research report on Mondelez International here >>>) Other noteworthy reports we are featuring today include Uber Technologies, Inc. (UBER), Airbnb, Inc. (ABNB) and American Tower Corp. (AMT). Mark Vickery Senior Editor Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>> Today's Must Read Solid Momentum in Cloud Business Benefits Alphabet (GOOGL) Dupixent to Remain Sanofi's (SNY) Key Top-Line Driver Mondelez (MDLZ) Gains on Solid Chocolate & Biscuit Categories Featured Reports Airbnb (ABNB) Banks on Strong Nights & Experiences Bookings Per the Zacks analyst, strengthening gross nights booked in high-density urban areas, and recovery in both long-distance and cross-border travel are benefiting Airbnb's Nights & Experience bookings. Solid Tower Demand Amid 5G Hype to Aid American Tower (AMT) Per the Zacks Analyst, American Tower is well-poised to benefit from the solid demand for its wireless communication assets as U.S carriers ramp up their investments in 4G and 5G networks. Eni (E) to Gain From Gas Find at Indonesia's Kutei Basin Per the Zacks analyst, Eni's latest gas discovery in Indonesia's Kutei Basin, with 5 Tcf of gas and 400 million barrels of condensate, supports its shift toward a gas and LNG-focused portfolio. Investments & Higher Fee-Based Earnings Aid ONEOK (OKE) Per the Zacks analyst, ONEOK is set to benefit from fee-based earnings and midstream assets located in productive regions. Investments made to expand pipelines will further drive its performance. Markel (MKL) Benefits From Strategic Buyouts, Organic Growth Per the Zacks analyst, strategic buyouts have aided Markel to achieve growth in insurance operations and expand reinsurance product offerings. Organic initiatives also strengthen its portfolio. Ericsson (ERIC) Poised to Benefit from Accelerated 5G Rollout Per the Zacks analyst, rapid 5G expansion in India and multiple deal wins in South East Asia will likely boost Ericsson's margins. Strong emphasis on developing new 5G use cases is a tailwind. Product Innovation Aids Acuity Brands (AYI), Macro Woes Ail Per the Zacks analyst, Acuity Brands benefits from product innovation and in-organic moves. However, high cost and volatile business environment are concerns. New Upgrades Uber Rides on Strength Across Delivery & Mobility Business The Zacks analyst likes Uber's efforts to expand its Delivery operations in response to the surge in business. Continued recovery in the Mobility business is also encouraging. Strong Demand for Live Events to Aid Live Nation (LYV) Per the Zacks analyst, pent-up demand for live events, robust ticket sales and the sponsorship and advertising business likely to aid Live Nation performance. FDA Nod to Sarepta's (SRPT) DMD Gene Therapy Fuels Growth The Zacks Analyst is encouraged by the recent FDA approval to Sarepta's Elevidys, the first DMD gene therapy. Based on this approval, it has started exploring opportunities in the gene therapy space New Downgrades Increasing Expenses and Labor Competition Hurt ABM Per the Zacks analyst, ABM's operating expenses have grown yearly due to labor shortages, rising wages, and fierce labor market competition, potentially causing higher costs . Soft Demand and Destocking to Hurt Celanese (CE) Per the Zacks analyst, Celanese is facing challenges from weak demand, destocking and a competitive landscape, which will continue to weigh on its volumes, pricing and margins. Overdependence on SET Platform Continues to Ail Masimo (MASI) The Zacks analyst is worried about Masimo's overdependence on its SET platform to derive the majority of its revenues. Its operation in a tough competitive space is an added issue. Zacks Names #1 Semiconductor Stock It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom. With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028. See This Stock Now for Free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Sanofi (SNY) : Free Stock Analysis Report American Tower Corporation (AMT) : Free Stock Analysis Report Mondelez International, Inc. (MDLZ) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report Uber Technologies, Inc. (UBER) : Free Stock Analysis Report Airbnb, Inc. (ABNB) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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