Market Overview

American Tower Downgraded Ahead Of Earnings

Share:

American Tower Corp (NYSE: AMT) reports its second-quarter earnings July 31, but it may not be anything to phone home about.

The Rating

Guggenheim analyst Robert Gutman downgraded American Tower to Neutral and cut his price target from $156 to $154.

The Thesis

American Tower is expected to profit long-term from its innovation initiatives as well as the Federal Communication Commission’s push for spectrum expansion.

At the same time, Gutman forecasts improvements in domestic performance and 2018 year-over-year growth as the nation’s four major carriers ramp spending. Larger equipment deployments should drive organic growth.

“Though we believe the company is well positioned longterm, we think investor sentiment will be weighed down near-term pending the outcome of negotiations with an exiting customer in India, while FX presents an increasing headwind to prior estimates,” the analyst wrote in a Tuesday note.

Tata Teleservices’ pullout from India, American’s Indian property, and its 26-percent stake in ATC India are seen to compound consolidation churn. Meanwhile, progress in Europe, the Middle East, Africa and Latin America may be partially offset by near-term currency headwinds.

Price Action

At time of publication, shares were trading down marginally at a rate of $141.39.

Related Links:

Analysis: The M&A Thesis On Sprint Will Play Out Imminently

Wells Fargo: 27 Stocks To Play Real Estate In 2018

Latest Ratings for AMT

DateFirmActionFromTo
Sep 2019MaintainsEqual-Weight
Sep 2019MaintainsNeutral
Aug 2019MaintainsOverweight

View More Analyst Ratings for AMT
View the Latest Analyst Ratings

Posted-In: Guggenheim Robert GutmanAnalyst Color Downgrades Price Target Analyst Ratings

 

Related Articles (AMT)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
PVBCCompass PointInitiates Coverage On13.0
GPSCredit SuisseDowngrades14.0
TWTRMKM PartnersAssumes44.0
MCredit SuisseDowngrades12.0
LBCredit SuisseDowngrades14.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

Goldman Sachs: Goodyear Tire Has 20% Downside Potential

Waters Has Limited Upside Potential To Growth Expectations; Janney Steps to The Sidelines