AMT - Embedded Expectations Analysis - 2020 01 29
ï€ American Tower Corporation (REIT) (AMT:USA) currently trades above corporate averages relative to UAFRS-based (Uniform) Earnings, with a 32.3x Uniform P/E, implying bullish expectations for the firm. However, management may be concerned about 5G technology, new build revenue growth, and their ability to develop an innovation programï€ Specifically, management may be overstating the potential of macro-related uses for 5G technology, and they may be concerned about the timeline of mid-band spectrum deployment. Furthermore, they may be concerned that 4G is positioned as the primary network technology for years to come, and they may be downplaying concerns about the timing of contracts. In addition, management may lack confidence in their ability to develop a well-organized and integrated innovation program, sustain new build run rate revenue growth, and expand the addressable market of buildings that can support DAS systems
American Tower is a holding company. Through its subsidiaries, the company is a real estate investment trusts and an independent owner, operator and developer of multitenant communications real estate. The company's primary business is the leasing of space on communications sites to wireless service providers, radio and television broadcast companies, wireless data providers, government agencies and municipalities and tenants in a number of other industries. The company also provides tower-related services, including site acquisition, zoning and permitting and structural analysis, which primarily support the company's site leasing business, including the addition of new tenants and equipment on its sites.
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