The dividend yield of American Tower Corp. (NYSE: AMT), a real estate investment trust (REIT) that specializes in wireless infrastructure, is about 2.2 percent. This is already greater than the 1.7 percent yield on the S&P 500, but AMT has the potential to enhance dividends in the long run.
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Although American Tower’s dividends are consistently increasing in size, the payout ratio is a conservative indication. It also implies that the corporation is putting money aside to invest in growth.
American Tower Corp. (AMT) has several long-term growth drivers. The business, in particular, may continue to add new tenants to existing cell towers. Furthermore, the investment fund will continue to invest in the building of additional cell towers to assist the network development of its tenants. 3,300 towers will be erected just to support the expansion of one tenant in Europe and Latin America.
The development of infrastructure projects will be a major source of growth for American Tower Corp. (AMT). With the acquisitions of CoreSite Realty and DataSite last year, the REIT infrastructure moved into the data center market. As the need for data processing grows, it may offer value to the organization in the long run.
American Tower Corp. (AMT) has a good financial profile, which allows for both corporate expansion and increased dividend payments. The corporation intends to raise its dividend by 12.5 percent this year, however, as the investment fund increases, the rate of payout growth may drop.
American Tower Corporation (NYSE: AMT) shares are down -12.68 percent year to date (YTD) but are up 2.27 percent or $5.66 in the most recent trading session. However, the stock’s 12-month performance is still almost -8.87 percent down. The stock is up 2.57 percent over the last six months and down -4.56 percent over the last three months. When we look at the week’s performance, it is down -0.43 percent and 3.46 percent over the month.
