UPDATE: Morgan Stanley Downgrades American Tower Corp

In a note published Wednesday morning, Morgan Stanley analyst Simon Flannery downgraded shares of American Tower Corp AMT from Overweight to Equal-weight and maintained a $98 price target.

Flannery noted that American Tower has outperformed peers Crown Castle International and SBA Communications year to date at +24 percent versus +8 and +23 percent, respectively. At this level, Flannery sees American Tower as being fairly valued.

Looking for growth, Flannery believes the company could benefit from expansion into emerging markets but acknowledges risks include a smaller wireless market, a lack of zoning and volatility.

Alternatively, Morgan Stanley currently rates both Crown Castle and SBA Communications at Overweight.