Summary of American Tower Corporation Conference Call Company Overview - **Company**: American Tower Corporation (NYSE: AMT) - **Event**: TD Cowen 10th Annual Communications Infrastructure Summit - **Date**: August 13, 2024 Key Points Strategic Priorities - **Sales Growth**: Focus on driving organic growth globally as a top priority [2] - **Selective Investments**: Increase investments in developed markets while decreasing in emerging markets [3] - **Cost Control**: SG&A expenses expected to be $35 million lower than the previous year, with a focus on maintaining best-in-class margins [4] - **Investment-Grade Balance Sheet**: Aim to reduce leverage below the 3x to 5x range to enhance M&A opportunities and shareholder value [5] - **Board Refreshment**: Ongoing efforts to refresh the Board with new members and committee chairs [6] Market Activity and Performance - **U.S. Carrier Activity**: Notable uptick in activity for the second half of the year compared to the previous year, with Q1 application volume up 70% over Q4 [8] - **5G Rollout**: Carriers are primarily focused on coverage expansion, with mid-band 5G deployment expected to reach near 100% [26] - **New Leasing Guidance**: Guidance of $180 million to $190 million in U.S. new leasing, with $90 million tracked in the first half of the year [17] International Operations - **Emerging Markets Strategy**: Shift in capital allocation towards developed markets due to macroeconomic challenges in emerging markets [38][39] - **India Operations**: Anticipated closing of a sale following approval from the Competition Commission, with expected higher SG&A and maintenance CapEx of about $15 million each prior to close [34][36] - **Africa and Latin America**: Continued demand for wireless infrastructure in Africa, while Latin America faces escalated churn due to carrier consolidation [44] Data Center Business - **CoreSite Performance**: Strong demand for data center capacity, particularly driven by hybrid cloud deployments and AI applications [55][58] - **Power Constraints**: Current power needs secured for development, with plans for future power sourcing to address constraints [63] M&A and Capital Allocation - **M&A Landscape**: No significant changes in seller expectations; still a dislocation between private and public multiples [71] - **Capital Allocation Strategy**: Focus on long-term shareholder value, evaluating all potential uses of capital when leverage falls below 5x [67] Challenges and Opportunities - **Churn in Latin America**: Expected low single-digit growth rates through 2027 due to ongoing churn, but potential for recovery post-consolidation [49] - **Power as a Service Model**: Expertise in power management in Africa may lead to future opportunities in developed markets [80] - **Underwriting Standards**: Raised underwriting standards across emerging markets to mitigate risks associated with foreign exchange and economic challenges [82][83] Conclusion - American Tower Corporation is strategically focusing on organic growth, cost control, and selective investments in developed markets while navigating challenges in emerging markets. The company is well-positioned to capitalize on the ongoing demand for wireless infrastructure and data center capacity, particularly in the context of 5G and AI advancements.

Shares of American Tower Corporation (AMT) have risen 20.6% in the past three months compared with the industry’s growth of 11.5%.The company is poised well to ride the growth curve with wireless carriers increasing capital expenditure due to rising wireless penetration, accelerated 5G network deployment efforts and spectrum auctions. The long-term leases with its tenants assure stable cash flows. Moreover, its continued efforts toward macro-tower investments are encouraging. A decent financial position als ...

Dragon Claws Many investors seem to think that REITs (VNQ) are facing severe difficulties due to the recent surge in interest rates. The whole sector has crashed, and the headlines have been very negative for 2 years in a row: Data by YCharts But in reality, most REITs are doing very well because: Leverage is at an all-time low, with the average LTV at just around 35%. Nearly all REIT debt has a fixed interest rate. Debt maturities are also long, at 7 years on average, and well-staggered. Rents keep on ris ...

Morsa Images On July 9th, uniQure N.V. (NASDAQ:QURE) announced 24-month trial data for its Phase 1/2 clinical trials for AMT-130, an investigational gene therapy for Huntington’s Disease. Despite only enrolling 29 patients in the trial and having data for only 9 at the high dosage, the reduction of disease progression of 80% was so great that it was still statistically significant. The market obviously liked this news, as the two trading days following its release saw QURE move from $3.78 to $10.12. I b ...

Henrik Sorensen “Jobs Report Should Put a Jumbo Fed Rate Cut on the Table” is what Bloomberg’s Jonathan Levin wrote after the surprisingly poor nonfarm payroll numbers hit the wire. The markets were surprised by the highest unemployment rate in almost three years, as the rate jumped to 4.3%, up from 4.1% in June. This beat the estimates of all 69 economists that were surveyed by Bloomberg. While 4.3% is still a low number (it’s 6.0% in Germany), the rate of change matters. According to the Sahm Rule, th ...

Core Insights - The article emphasizes the importance of selecting stocks with durable assets, competitive advantages, and strong financials for long-term investment success [1] Company Analysis: American Tower (AMT) - American Tower is the largest cell tower REIT with a network of 224,000 communications sites and a strong presence in the U.S. and internationally [2] - In Q2 2024, AMT reported property revenue growth of 4.6% YoY, adjusted EBITDA growth of 8.1% YoY, and AFFO per share growth of 13.4% YoY, driven by its core cell tower business and data center operations [2] - CoreSite, AMT's data center business, achieved its second-highest quarter of signed new business, with 60% of projects under development pre-leased, indicating strong demand [4] - Management raised the full-year AFFO per share guidance from $10.42 to $10.60, reflecting a 7.4% YoY growth [4] - AMT's capital allocation strategy has shifted, with Asia representing only 14% of 2024 capital investments, down from 35% in 2021, while data centers now comprise 34% of investment capital [5] - AMT maintains a solid balance sheet with a BBB- credit rating, a net debt to EBITDA ratio of 4.8x, and $9.2 billion in total liquidity [6] - The current dividend yield is 2.9%, with a payout ratio of 61%, and the stock is trading at a forward P/FFO of 20.8, below its historical average of 23.0 [7][8] Company Analysis: Alexandria Real Estate (ARE) - Alexandria Real Estate holds a strong portfolio of office properties in innovation clusters, primarily serving the biotech sector, with 92% of rental revenue from investment-grade tenants [9] - In Q2 2024, ARE reported same property NOI growth of 3.9% YoY and FFO per share growth of 5.4% YoY, with a solid FFO/share growth of 6.3% for the first half of the year [10] - Management is guiding for an AFFO per share of $9.47 for the full-year 2024, representing 5.6% growth from 2023, supported by strong leasing activities [10] - ARE's balance sheet is robust, with a BBB+/Baa1 credit rating, a net debt to adjusted EBITDA ratio of 5.1x, and $5.6 billion in liquidity [10] - The current dividend yield is 4.4%, with a payout ratio of 55%, and a history of 13 consecutive years of dividend growth [10] - ARE is attractively valued at a forward P/FFO of 12.4, significantly below its historical average of 17.9 [11] Investment Summary - Both American Tower and Alexandria Real Estate present strong investment opportunities with mission-critical assets and solid financial performance [12] - AMT benefits from its extensive network and data center strategy, while ARE's strategic portfolio caters to the biotech sector, making both companies appealing for long-term investors seeking growth and income [12]

Buying real estate is one of the oldest ways of investing, and it has changed along with the evolution of the financial system. Renting out your space looks like a great option if you don’t see it as passive income, because constant visits to check on the condition of the property can turn into a full-time job. Real estate stocks can take the burden of property maintenance off investors’ shoulders and help with diversification, even when the capital is low. 36% of Americans believe that renting out commerci ...

The momentum is shifting for American Tower.American Tower (AMT -1.19%) has hit a speed bump in recent years. The communication infrastructure operator's adjusted funds from operations (FFO) slowed considerably last year, rising only 2.1% for the full year after growing at a double-digit pace for years. As a result, the company's dividend growth rate has also slowed, from a 10% annualized rate at the end of last year to 3.2% annualized in the second quarter. That slowdown has weighed heavily on its shares, ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One): ☒ Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. For the quarterly period ended June 30, 2024. ☐ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. | --- | --- | --- | |-------------------------------------------------------------------|---------------------------------------------------------------------------------------------------- ...

American Tower Corporation’s (AMT) shares have gained nearly 2.5% in today’s trading session on stellar second-quarter results.Adjusted funds from operations (AFFO) per share, attributable to AMT common stockholders, of $2.79 beat the Zacks Consensus Estimate of $2.53 and climbed 13.4% 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 5.3% and total tenant bill ...