AMT REIT - Specialty
American Tower Corporation
American Tower is a real estate investment trust that owns about 131,600 cell towers and operates about 17,200 more across the U.S., Latin America, Africa, Asia-Pacific, and Europe, leasing space on them to wireless carriers under long-term contracts with built-in rent increases. It also owns U.S. data centers (CoreSite). FY2025 revenue was $10.6 billion, nearly all from property leasing, and net income $2.6 billion. Revenue is concentrated: T-Mobile, AT&T, Verizon, and Telefónica together made up 59% of the total. American Tower sold its India business in 2024.
Last updated
Analysis last edited: October 7, 2026 · Financial data fetched: October 7, 2026 12:03 (SEC EDGAR) · Source 10-K filed: February 24, 2026
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
01
Company profile
- Legal name
- AMERICAN TOWER CORP /MA/
- Headquarters
- BOSTON, MA
- Incorporated in
- Delaware
- Fiscal year end
- 12/31
- Exchange & ticker
- NYSE: AMT
- Industry
- REIT - Specialty
- CIK
- 1053507
Workforce (as of FY2025 year-end)
Employees
4,866
Source: Form 10-K (FY2025) cover page and business description
02
Earnings calendar
When the company reports each quarter: the quarter-end date, the day results were released, and when the 10-Q or 10-K was filed.
Next report
Q3 FY2026
Quarter end: September 2026. In past years, Q3 results were released 26–29 days after quarter end (Oct 28, 2025; Oct 29, 2024; Oct 26, 2023). No date has been announced in the sources this site uses.
Reporting pattern
- Fiscal year ends around December 31.
- Reports four times a year: three quarterly reports (10-Q) and an annual report (10-K) for Q4.
- Earnings releases came 26–58 days after quarter end over the last 12 quarters.
| Quarter | Quarter ended | Earnings release (8-K) | Report filed (10-Q / 10-K) |
|---|---|---|---|
| Q2 FY2026 | Jun 30, 2026 | Jul 28, 2026 (+28 days) | Jul 28, 2026 10-Q (+28 days) |
| Q1 FY2026 | Mar 31, 2026 | Apr 28, 2026 (+28 days) | Apr 28, 2026 10-Q (+28 days) |
| Q4 FY2025 | Dec 31, 2025 | Feb 24, 2026 (+55 days) | Feb 24, 2026 10-K (+55 days) |
| Q3 FY2025 | Sep 30, 2025 | Oct 28, 2025 (+28 days) | Oct 28, 2025 10-Q (+28 days) |
| Q2 FY2025 | Jun 30, 2025 | Jul 29, 2025 (+29 days) | Jul 29, 2025 10-Q (+29 days) |
| Q1 FY2025 | Mar 31, 2025 | Apr 29, 2025 (+29 days) | Apr 29, 2025 10-Q (+29 days) |
| Q4 FY2024 | Dec 31, 2024 | Feb 25, 2025 (+56 days) | Feb 25, 2025 10-K (+56 days) |
| Q3 FY2024 | Sep 30, 2024 | Oct 29, 2024 (+29 days) | Oct 29, 2024 10-Q (+29 days) |
| Q2 FY2024 | Jun 30, 2024 | Jul 30, 2024 (+30 days) | Jul 30, 2024 10-Q (+30 days) |
| Q1 FY2024 | Mar 31, 2024 | Apr 30, 2024 (+30 days) | Apr 30, 2024 10-Q (+30 days) |
| Q4 FY2023 | Dec 31, 2023 | Feb 27, 2024 (+58 days) | Feb 27, 2024 10-K (+58 days) |
| Q3 FY2023 | Sep 30, 2023 | Oct 26, 2023 (+26 days) | Oct 26, 2023 10-Q (+26 days) |
Source: SEC EDGAR filing history. Release dates are the dates the earnings release was furnished to the SEC on Form 8-K (Item 2.02), which is normally the day results are announced. Fiscal years are labeled by the calendar year in which they end.
03
Flagship products & services
Property
Tower space
Examples: Macro towers, rooftops, DAS networks
Space and power for carrier equipment.
Data Centers
CoreSite data centers
Examples: U.S. colocation and interconnection
Facilities housing network and server equipment.
Property
Fiber and power solutions
Examples: Fiber in select international markets, shared generators
Complementary infrastructure.
Descriptions are from the FY2025 Form 10-K's Item 1.
04
Recent strategic focus
FY2025 developments from the 10-K.
Exit from India
In 2024 American Tower sold ATC TIPL, its India business, to Data Infrastructure Trust (sponsored by a Brookfield affiliate) for up to about $2.5B of total consideration; it is reported as discontinued operations.
Source: Form 10-K (FY2025) MD&A
Data center growth
Data Centers revenue grew 14% and gross margin 22% in 2025.
Source: Form 10-K (FY2025) MD&A
New sites
About 2,230 communications sites added globally in 2025 through acquisition and construction.
Source: Form 10-K (FY2025) MD&A
Capex ÷ D&A (FY2025)
0.82x
Roughly matches depreciation — mostly maintenance/replacement
formulacapital expenditures ÷ depreciation & amortization
e.g.$1,680M ÷ $2,042M = 0.82x
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
M&A spend (5-year total)
$20.6B
Latest year: $454M
Cash-flow-statement spending on acquisitions, net of cash acquired
Where the money goes, over time
Unit: $M. Capex went from $1.38B in FY2021 to $1.68B in FY2025
- Capex
- M&A spend
formulacapital expenditures ÷ depreciation & amortization
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-24
05
Key figures at a glance
FY2021–FY2025, 5 years.
Revenue (FY2025)
$10.64B
As reported in the 10-K
Revenue CAGR (4 years)
+3.3%
formula(last-period revenue ÷ first-period revenue) ^ (1 ÷ years) − 1
e.g.($10,645M ÷ $9,357M) ^ (1÷4) − 1 = 3.3%
termsCAGR · ^ (exponent) · Revenue (net sales)
Operating margin (FY2025)
45.5%▲favorable
+12.1pt vs. 4 years ago
formulaoperating income ÷ revenue × 100
e.g.$4,846M ÷ $10,645M × 100 = 45.5%
ROE (FY2025)
74.7%▲favorable
5-year average: 49.1%
As reported in the 10-K
P/B (FY2025 end)
22.41x
formulaP/E × EPS ÷ BVPS (= period-end share price ÷ book value per share)
e.g.32.5x × $5.40 ÷ $7.83 = 22.41x
Period-end (fiscal year-end) value, not today's P/B
EV/EBITDA (FY2025 end)
17.1x
formula(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization)
e.g.($85,453M + $33,833M − $1,475M) ÷ ($4,846M + $2,042M) = 17.1x
termsEV/EBITDA · Market capitalization · Interest-bearing debt · EBITDA · Depreciation & amortization (D&A)
Period-end (fiscal year-end) value, not today's multiple
- ―
Revenue grew +3.3% a year over 4 years (modest growth)
From $9.36B in FY2021 to $10.64B in FY2025. The annualized rate (CAGR) makes it possible to compare growth pace across companies of different sizes.
- ▲
Operating margin improved: 33.5% → 45.5%
How much operating profit is left per $100 of revenue. It moved +12.1 points over 4 years — pricing power, cost control, and product mix all show up here.
- ▼
Equity ratio is 5.8% (relatively heavy reliance on debt)
The share of total assets funded by equity rather than debt. 50%+ is often read as low bankruptcy risk, though the right level varies by industry (real estate and leasing run lower, for instance).
- ▲
Free cash flow was positive in 5 of 5 years
Operating cash flow minus capital expenditures: the cash left over after funding the business’s own investment, available for dividends, buybacks, acquisitions, or debt paydown. A negative year can mean heavy investment, or weak core earnings — worth distinguishing.
- ▲
ROE averaged 49.1% over 5 years (latest: 74.7%)
How much profit was generated on shareholders’ equity. Roughly 10%+ is often cited as solid for a U.S. company, though this varies a lot by industry and capital intensity.
06
Business model
Tower leasing (U.S. & Canada, Latin America, Africa & APAC, Europe)
American Tower leases space on its towers and other communications sites to wireless carriers, broadcasters, and others, who install their own equipment. Adding a tenant to an existing tower costs little, so most extra revenue flows to profit.
01 what it draws on
Inputs & resources
- About 131,600 owned and 17,200 operated towers
- Ground leases and land interests
- About 4,900 employees in more than 20 countries
02 what it does
Activities
- Leasing tower space and colocations
- Building and acquiring new sites (about 2,230 in 2025)
03 who it serves
Customers
- Wireless carriers such as T-Mobile, AT&T, Verizon, Telefónica, Airtel, MTN, and América Móvil
04 how money comes in
How it earns
- Long-term tenant leases with annual escalators
- Pass-through of power and ground rent costs in many international markets
Tower leasing (U.S. & Canada, Latin America, Africa & APAC, Europe): how it makes money
- U.S. & Canada property revenue $5.25B (flat) with a $4.38B gross margin; Africa & APAC grew 18% to $1.42B; Latin America fell 4% to $1.64B.
- Property was 97% of total revenue in 2025.
Data Centers (CoreSite)
U.S. data center facilities providing space, power, cooling, and interconnection, often at points of network interconnection.
01 what it draws on
Inputs & resources
- Data center buildings in the United States
02 what it does
Activities
- Leasing space, power, and interconnection
03 who it serves
Customers
- Enterprises, cloud, and network providers
04 how money comes in
How it earns
- Colocation and interconnection fees
Data Centers (CoreSite): how it makes money
- Revenue $1.05B (+14%) and gross margin $651M (+22%) in FY2025.
Services
Site acquisition, zoning, permitting, structural analysis, and construction management, mainly for tenants installing equipment on towers.
01 what it draws on
Inputs & resources
- Engineering and permitting staff
02 what it does
Activities
- Site development services
03 who it serves
Customers
- Wireless carriers
04 how money comes in
How it earns
- Service fees
Services: how it makes money
- Revenue $340M (+75%) in FY2025.
Revenue by segment (FY2025)
Unit: $M — bar length = revenue, (%) = share of total company revenue, margin = segment profit ÷ segment revenue × 100
U.S. & Canada property
5,249 (49%)profit 4,379 · margin 83.4%
Latin America property
1,643 (15%)profit 1,132 · margin 68.9%
Africa & APAC property
1,423 (13%)profit 976 · margin 68.6%
Data Centers
1,053 (10%)profit 651 · margin 61.8%
Europe property
938 (9%)profit 594 · margin 63.3%
Services
340 (3%)profit 166 · margin 48.8%
Source: Form 10-K (FY2025) — MD&A, Results of Operations Profit is segment gross margin (revenue minus direct operating costs), before SG&A, depreciation, and interest.
07
Contract structure
Short-term or spot sales carry different earnings quality than long-term or auto-renewing contracts — this shows how the company actually contracts with its customers.
Tower leases with wireless carriers generally have initial non-cancellable terms of five to ten years with multiple renewals, and rent rises periodically — typically annually — at a fixed escalator averaging about 3% in the U.S. In many international markets, tenants also reimburse power and ground rent.
- Multi-year / recurring
Tower tenant leases
Most of FY2025 property revenue ($10.3B)
Typical term: Initial non-cancellable terms of five to ten years, with multiple renewals and annual escalators
Communications sites were 82% of property revenue.
Data center contracts
Data Centers: $1.05B
Typical term: Colocation and interconnection
Source: Form 10-K (FY2025) — Item 1
08
Customers & suppliers
Who the company sells to and buys from. Companies rarely name either, so named counterparties come only from the company's own filings and press releases; otherwise this lists the concentration figures the 10-K discloses.
Customers
Wireless service providers, broadcasters, and data center tenants.
Named by the company
- T-Mobile, AT&T, Verizon Wireless, Telefónica — 18%, 17%, 14%, and 10% of FY2025 total revenue.Form 10-K (FY2025) — Item 1
- Airtel and MTN — 81% of Africa & APAC property revenue.Form 10-K (FY2025) — Item 1
- América Móvil, AT&T, Telefónica, TIM — 71% of Latin America property revenue.Form 10-K (FY2025) — Item 1
What the filings disclose
- AT&T, T-Mobile, and Verizon accounted for 85% of U.S. & Canada property revenue. (Form 10-K (FY2025), Item 1)
Suppliers
Landowners leasing ground under towers, tower construction contractors, and power suppliers.
Named by the company
None named in the 10-K or the company’s press releases.
09
Competitors & peers
Competitors the 10-K names, and the peer group the company itself chose in its proxy statement. Nothing here is this site's own pick.
American Tower's 10-K says the industry is highly competitive and names public tower companies it competes with for new business and acquisitions, alongside carrier consortia, private equity-backed firms, carrier-affiliated tower companies, and owners of rooftops and other structures. Its data center and services businesses face separate competitors.
Competitors named in the 10-K
Peer group the company chose
Peer group for 2025 compensation decisions, from the proxy statement. Peers are companies the board considers comparable — for example when setting executive pay — not necessarily direct competitors.
Communications companies, other REITs, and companies with comparable revenue, business models, scale, and global complexity, and from which American Tower would recruit; NVIDIA was removed for 2025.
- Adobesite ↗
- Booking Holdingssite ↗
- Broadcomsite ↗
- BXPsite ↗
- Crown Castlesite ↗
- Digital Realtysite ↗
- Equinixsite ↗
- Equity Residentialsite ↗
- FIS (Fidelity National Information Services)site ↗
- Intuitsite ↗
- L3Harris Technologiessite ↗
- Mastercardsite ↗
- Motorola Solutionssite ↗
- NextEra Energysite ↗
- Prologissite ↗
- Public Storagesite ↗
- Salesforcesite ↗
- SBA Communicationssite ↗
- Simon Property Groupsite ↗
- Texas Instrumentssite ↗
- Ventassite ↗
- Welltowersite ↗
Company names link to this site’s analysis where one exists; “site ↗” opens the company’s own website.
10
M&A history
Companies acquired over the last five years, plus older large acquisitions that still anchor a current business — what each was bought to do, and what happened afterward. From the 10-K, 8-Ks, and the company's press releases.
American Tower has grown by acquiring tower portfolios and data centers; recently it has been selling non-core international assets.
Cash spent on acquisitions, FY2021–FY2025: $20.6B
2024 (sale)
ATC TIPL (India operations) — sold to Data Infrastructure Trust
Up to about INR 210 billion (about $2.5B) of total consideration
Since divestedAmerican Tower's India tower business.
- Stated purpose (company)
- Exiting the India market; the 10-K reports a $1.1B reclassification of cumulative translation adjustment on exit.
In 2025 American Tower also sold its South Africa fiber business.
11
Five years of financials
Each chart's axis holds a single unit (never mixing dollars, %, and $/share). The table's per-period header links to the filing the numbers came from.
Revenue over time
Unit: $M
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-24
Profit over time (operating → net)
Unit: $M
- Operating income
- Pretax income
- Net income
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-24
Margins over time
Unit: %
- Operating margin
- Net margin
formulaoperating income ÷ revenue × 100
formulanet income attributable to the company ÷ revenue × 100
Cash flow over time
Unit: $M (below zero = cash went out)
- Operating CF
- Investing CF
- Free CF
formulacash flow from operations − capital expenditures
termsFree cash flow (FCF) · Cash flow from operations (operating CF) · Capital expenditures (capex)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-24
Financial stability & capital efficiency
Unit: %
- Equity ratio
- ROE
formulatotal equity ÷ total assets × 100 (as reported in the 10-K)
termsStockholders’ equity · Total assets
formulanet income ÷ average equity (beginning + ending, ÷2) × 100 (as reported in the 10-K)
termsNet income (attributable to the company) · Stockholders’ equity
Earnings per share (EPS) and dividend per share
Unit: $
- EPS
- Dividend per share
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-24
| Line item | FY202110-K on EDGAR ↗ | FY202210-K on EDGAR ↗ | FY202310-K on EDGAR ↗ | FY202410-K on EDGAR ↗ | FY202510-K on EDGAR ↗ |
|---|---|---|---|---|---|
| Income statement ($M) | |||||
| Revenue | 9,357 | 9,645 | 10,012 | 10,127 | 10,645 |
| Operating income | 3,132 | 2,739 | 3,126 | 4,517 | 4,846 |
| Pretax income | 2,829 | 2,086 | 1,529 | 3,625 | 3,044 |
| Net income (attributable) | 2,568 | 1,697 | 1,367 | 2,280 | 2,629 |
| Revenue growthcalc(this year’s revenue − last year’s revenue) ÷ last year’s revenue × 100 | — | 3.1% | 3.8% | 1.1% | 5.1% |
| Operating margincalcoperating income ÷ revenue × 100 | 33.5% | 28.4% | 31.2% | 44.6% | 45.5% |
| Net margincalcnet income attributable to the company ÷ revenue × 100 | 27.4% | 17.6% | 13.7% | 22.5% | 24.7% |
| Balance sheet ($M) | |||||
| Total assets | 69,888 | 67,195 | 66,028 | 61,077 | 63,190 |
| Total equity | 9,070 | 12,409 | 10,865 | 9,649 | 10,355 |
| Interest-bearing debtSum of short- and long-term borrowings, notes/bonds payable | 43,498 | 38,902 | 35,734 | 32,809 | 33,833 |
| Equity ratio | 7.3% | 8.3% | 6.4% | 5.5% | 5.8% |
| ROE | 50.5% | 31.9% | 28.0% | 60.2% | 74.7% |
| Cash flow ($M) | |||||
| Operating CF | 4,820 | 3,696 | 4,722 | 5,291 | 5,464 |
| Investing CF | -20,692 | -2,355 | -1,695 | 411 | -1,860 |
| Financing CF | 16,425 | -1,423 | -3,097 | -5,452 | -4,208 |
| Free cash flowcalccash flow from operations − capital expenditures | 3,443 | 1,823 | 2,924 | 3,701 | 3,784 |
| Cash and equivalents | 1,950 | 1,549 | 1,754 | 2,000 | 1,475 |
| Per share & other | |||||
| EPS ($) | 5.66 | 3.82 | 3.18 | 4.82 | 5.40 |
| BVPS ($) | 11.15 | 11.97 | 9.00 | 7.24 | 7.83 |
| Dividend per share ($) | — | 5.86 | 6.31 | 6.56 | 6.72 |
| Payout ratiocalcdividend per share ÷ diluted EPS × 100 | — | 153.4% | 198.4% | 136.1% | 124.4% |
| P/E (x) | 51.7 | 55.5 | 67.9 | 38.1 | 32.5 |
| EV/EBITDA (x)calc(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization) | 31.9 | 22.3 | 20.9 | 18.0 | 17.1 |
| P/B (x)calcP/E × EPS ÷ BVPS (= period-end share price ÷ book value per share) | 26.24 | 17.70 | 23.98 | 25.34 | 22.41 |
P/B and EV/EBITDA use each period’s period-end (fiscal year-end) figures, not the current share price. Figures without a "calc" tag are as reported in the Form 10-K (five-year selected financial data and the consolidated financial statements), pulled automatically from SEC EDGAR. Where a later filing restated a prior period, the restated figure is used.
12
Is ROIC above WACC?
ROIC (the return on money invested in the business) above WACC (the cost of raising that money) means the company is creating value. WACC is an estimate, so its assumptions can be adjusted below.
ROIC (FY2025)
8.8%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
e.g.$4,846M × (1 − 21%) ÷ $43,323M × 100 = 8.8%
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
WACC (this site’s estimate)
5.07%
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
e.g.Equity weight: $85.45B ÷ ($85.45B + $33.83B) = 71.6%
e.g.Debt weight: $33.83B ÷ ($85.45B + $33.83B) = 28.4%
e.g.WACC: 5.8% × 71.6% + 4.0% × (1 − 21%) × 28.4% = 5.07%
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
WACC 5.07% is this site’s estimate under the assumptions below (not a figure the company has published)
- Risk-free rate
- 4%
- β
- 0.33 (price-derived adjusted beta, but correlation with the market is low (R² 0.00), so reliability is limited)
- Equity risk premium
- 5.5%
- Cost of equity
- 5.82%
- Cost of debt
- 4.02%
- Effective tax rate
- 21%
- Capital structure (equity : debt)
- 72% : 28%
ROIC over time, vs. WACC
Unit: % — bars = each period's ROIC, horizontal line = latest WACC. Bars above the line are green, below are red
- ROIC (above WACC)
- ROIC (below WACC)
- WACC 5.07%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
Try different WACC assumptions
β and the equity risk premium are estimates with a real range of plausible values — move the sliders to check whether ROIC > WACC still holds. The defaults reflect 2026-09.
Initial β: 0.33 (price-derived adjusted beta. Raw β 0.01, R² 0.00, 130 weeks)
formula0.67 × β + 0.33 (β = the slope of weekly stock returns regressed on weekly market returns)
e.g.0.67 × 0.006 + 0.33 = 0.334
termsβ (beta)
Period 2024-04-12–2026-10-06, using S&P 500 ETF (SPY) as the market proxy. Source: Yahoo Finance price history.
formularisk-free rate + β × equity risk premium
e.g.4.0% + 0.33 × 5.5% = 5.8%
termsCAPM · Risk-free rate · β (beta) · Equity risk premium (market risk premium)
formulaP/E × net income ≈ period-end share price × shares outstanding (= market cap)
termsP/E · Net income (attributable to the company) · Market capitalization · Market value of equity
formulainterest expense ÷ interest-bearing debt × 100 (clamped to 0–10%; falls back to the risk-free rate if there’s no debt)
13
What the price implies (DCF)
A company's value can be written as its free cash flow divided by (cost of capital − perpetual growth). Working that backwards from the market's valuation shows how much growth the share price assumed — compared here with the company's actual past growth.
Growth the price implies (FY2025)
1.9%
Perpetual FCF growth: g = r − FCF ÷ EV = 5.1% − 3.2%
Past FCF growth (FY2021–FY2025)
+2.4%
Compound annual rate, 4 years
Past revenue growth (FY2021–FY2025)
+3.3%
Compound annual rate, 4 years
Inputs (FY2025): free cash flow $3.78B (operating CF − capex); enterprise value $117.81B = market cap $85.45B + debt $33.83B − cash and short-term investments $1.47B; r = WACC of 5.1% using this page’s default assumptions (β 0.33, risk-free 4.0%, market premium 5.5%).
Try your own assumptions
V = FCF ÷ (r − g). It starts at the implied growth rate, where the theoretical value equals today’s enterprise value.
Theoretical enterprise value
$118.24B
FCF $3.78B ÷ (5.1% − 1.9%)
Theoretical ÷ actual enterprise value
1.00x
Above 1x: these assumptions value the business above the market did
How sensitive the answer is
Theoretical ÷ actual enterprise value for each combination of r and g.
| g \ r | 3.1% | 4.1% | 5.1% | 6.1% | 7.1% |
|---|---|---|---|---|---|
| 0% | 1.04x | 0.78x | 0.63x | 0.53x | 0.45x |
| 2% | 2.92x | 1.53x | 1.04x | 0.78x | 0.63x |
| 4% | — | 32.12x | 2.92x | 1.53x | 1.04x |
| 6% | — | — | — | 32.12x | 2.92x |
| 8% | — | — | — | — | — |
A simplified model for seeing what the market price assumes, not a forecast or a target price. It treats free cash flow as growing at one constant rate forever; the result swings widely with small changes in r and g, and is undefined when g reaches r. Free cash flow here is operating cash flow minus capex, which is after interest — a full DCF of enterprise value would use cash flow before interest. Market cap and enterprise value use the fiscal year-end price, not today’s.
14
Earnings quality
The same reported profit can mean different things depending on whether it's backed by cash, driven by the core business, or the result of a one-off item. Four checks below.
- ✓
Operating CF ÷ net income: averages 2.38x
Profit is backed by cash coming in.
- ✓
Accrual ratio (latest): -4.6%
A small share of profit rests on accounting estimates.
- ✓
Core-earnings share (operating income ÷ pretax income): 159%
Most profit comes from core operations.
- ✓
Days sales outstanding: 28 → 22 days
No major slowdown in collecting on sales.
Operating CF vs. net income
Unit: $M — operating CF above net income means profit is backed by cash
- Operating CF
- Net income
formulacash flow from operations ÷ net income attributable to the company
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formula(net income − operating CF) ÷ average total assets × 100
termsNet income (attributable to the company) · Cash flow from operations (operating CF) · Total assets
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-24
Profit bridge (FY2025)
Unit: $M — what moved profit from operating income to net income
- Profit (each stage)
- Pushed profit up
- Pushed profit down
formulaoperating income ÷ income before income taxes × 100
termsOperating income · Income before income taxes (pretax income)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-24
Receivables & inventory days
Unit: days — days grow when receivables or inventory build up faster than sales
- Days sales outstanding
formulaperiod-end receivables ÷ revenue × 365
formulaperiod-end inventory ÷ revenue × 365
termsInventory · Revenue (net sales)
Worked examples (latest period)
formulacash flow from operations ÷ net income attributable to the company
e.g.$5,464M ÷ $2,629M = 2.08x
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formulaoperating income ÷ income before income taxes × 100
e.g.$4,846M ÷ $3,044M × 100 = 159%
termsOperating income · Income before income taxes (pretax income)
formulaperiod-end receivables ÷ revenue × 365
e.g.$650M ÷ $10,645M × 365 = 22 days
15
Strengths & weaknesses
Strengths
1. High-margin, contracted revenue
Long-term leases with annual escalators, and incremental tenants add little cost — the U.S. & Canada segment converts about 83% of revenue to gross margin.
Evidence: Form 10-K (FY2025) Item 1 and MD&A
2. Global scale
About 131,600 owned towers in more than 20 countries, with about 2,230 new sites added in 2025.
Evidence: Form 10-K (FY2025) Item 2 and MD&A
3. Growing data center business
Data Centers revenue grew 14% to $1.05B and gross margin 22% in 2025.
Evidence: Form 10-K (FY2025) MD&A
4. Low maintenance capex
Towers require relatively low annual capital spending to maintain.
Evidence: Form 10-K (FY2025) Item 1
Weaknesses
1. Customer concentration
T-Mobile (18%), AT&T (17%), Verizon (14%), and Telefónica (10%) made up 59% of 2025 revenue.
Evidence: Form 10-K (FY2025) Item 1
2. Flat U.S. revenue
U.S. & Canada property revenue was flat in 2025, as tenant billings growth was offset by lower straight-line revenue.
Evidence: Form 10-K (FY2025) MD&A
3. High leverage
About $33.8B of debt against $10.4B of total equity at year-end 2025.
Evidence: SEC EDGAR XBRL
16
What draws investors to it
Why the stock can look attractive to investors — each point paired with what has to hold for it to stay true, and the opposing view. This is this site's analysis, not a recommendation to buy or sell.
P/E (FY2025)
32.5x
Price at fiscal year-end ÷ diluted EPS
Dividend yield (FY2025)
3.83%
Dividends per share ÷ fiscal year-end price
Payout ratio (FY2025)
124%
Dividends per share ÷ diluted EPS
FCF yield (FY2025)
4.4%
(Operating CF − capex) ÷ market cap
1. Infrastructure-like income
Contracted leases with escalators and a REIT structure support a dividend that rose from $5.86 (FY2022) to $6.72 per share (FY2025).
- What has to hold
- Carriers keep adding equipment and renewing leases.
- The other side
- Revenue depends on a few carriers, and U.S. revenue was flat in 2025.
Evidence: SEC EDGAR XBRL; Form 10-K (FY2025)
2. Low market sensitivity
The stock's beta is close to zero (0.01) over 2.5 years.
- What has to hold
- Tower demand stays steady through cycles.
- The other side
- R² of 0.00 means the beta explains nothing; REITs are sensitive to interest rates instead.
Evidence: This site's beta calculation
P/E, dividend yield, and payout ratio use the FY2025 year-end share price. To keep its REIT status, American Tower must distribute most of its REIT taxable income, so its payout ratio relative to GAAP EPS is high.
17
Resilience
How well the company could absorb a bad year: its financial buffer, how its revenue and profit held up in the worst year on record, and what the 10-K says about the business's exposure to shocks. Figures and filing statements only — no overall rating.
1. Financial buffer (FY2025)
Cash & short-term investments ÷ debt due within a year
0.4x
$1.47B vs. $3.39B
Interest coverage (operating income ÷ interest expense)
3.6x
$4.85B vs. $1.36B
Free cash flow ÷ dividends paid
1.2x
$3.78B vs. $3.18B (FCF = operating CF − capex)
2. Worst year in the record, and the recovery
| Figure | Worst year-over-year change | Back to the prior level? |
|---|---|---|
| Revenue | No decline in the record | — |
| Operating income | -12.6% in FY2022 ($3.13B → $2.74B) | Yes, by FY2024 |
Covers only the 5 fiscal years on record (FY2021–FY2025), which may not include a full recession — the worst year here isn’t necessarily how the company would fare in a severe downturn.
3. Business resilience (from the 10-K)
Contracted cash flows
Initial lease terms of five to ten years with renewals and annual escalators.
Source: Form 10-K (FY2025), Item 1 · See Contract structure
Cash generation
Operating cash flow of $5.5B in 2025.
Source: SEC EDGAR XBRL
Leverage
About $33.8B of debt; refinancing depends on credit markets.
Source: SEC EDGAR XBRL
Customer concentration
Four carriers provide 59% of revenue.
Source: Form 10-K (FY2025), Item 1
18
Risks (including geopolitical)
Starting from the 10-K's Risk Factors section, organized by category — geopolitical, currency, raw materials, regulatory, disaster, and more — with impact and likelihood assessed by this site.
Risk map
Vertical = impact on results, horizontal = likelihood. Upper right = most severe. Numbers match the list below (placement is this site’s own assessment).
Likelihood →
"Company disclosure" vs. "this site’s assessment"
The description and mitigation for each risk are this site’s summary of the 10-K’s "Risk Factors" section. Impact and likelihood are this site’s own assessment, not the company’s — where the company discloses its own likelihood assessment, that is noted in the summary.
Impact is judged from how large the affected business is relative to total revenue/profit, and from the risk’s track record of moving results in the past. Likelihood is judged from the filing’s wording and the current business environment (already occurring, or recurring).
Geopolitical risk highlights
- [2]International markets
- 1Customer/supplier concentration
Carrier consolidation and spending
- Company disclosure (summarized from the 10-K)
- A small number of carriers provide most revenue, so mergers, network sharing, or lower carrier spending would hurt growth.
- Company’s stated mitigation
- Long-term non-cancellable leases.
- This site’s assessment
- Impact High / Likelihood Med
- 2Geopolitical
International markets
- Company disclosure (summarized from the 10-K)
- Operations in Latin America, Africa, and Asia expose American Tower to currency swings, political risk, and customer credit issues, such as revenue reserves in Burkina Faso and Kenya.
- Company’s stated mitigation
- Pass-through of some costs and contractual escalators.
- This site’s assessment
- Impact Med / Likelihood Med
- 3FX & interest rates
Interest rates and refinancing
- Company disclosure (summarized from the 10-K)
- Large debt must be refinanced regularly; American Tower issued new notes several times in 2025–2026.
- Company’s stated mitigation
- Long-dated contracted cash flows.
- This site’s assessment
- Impact Med / Likelihood Med
- 4Competition & technology shift
Competition
- Company disclosure (summarized from the 10-K)
- Competes with other tower companies, carrier consortia, private equity-backed firms, and alternative structures for new business and acquisitions.
- Company’s stated mitigation
- Scale and site locations.
- This site’s assessment
- Impact Med / Likelihood Med
19
What to watch going forward
- U.S. carrier leasing activity and churn.
- Data center growth and capital spending.
- Currency effects in Latin America and Africa.
- Refinancing costs.
20
Source documents
This page's financial figures come from the Form 10-Ks listed below. Check the original filings for full detail.
Last updated
Analysis last edited: October 7, 2026 · Financial data fetched: October 7, 2026 12:03 (SEC EDGAR) · Source 10-K filed: February 24, 2026
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
This page is this site’s own analysis based on public information, and does not represent American Tower Corporation’s views. It is not a recommendation to buy or sell any security, and this site does not guarantee the accuracy of any figure or statement here. Always verify against the original source documents before making an investment decision.