American Tower stock price target raised to $249 by TD Cowen on mixed results

Investing.com - TD Cowen has raised its price target on American Tower (NYSE:AMT) to $249.00 from $241.00 while maintaining a Buy rating following the company’s second-quarter 2025 results. The $100 billion market cap company, a prominent player in the Specialized REITs industry according to InvestingPro, currently offers a 3.2% dividend yield and has maintained dividend payments for 15 consecutive years.

The telecommunications infrastructure company reported mixed results for the quarter but raised its 2025 guidance for property revenue, EBITDA, and AFFO per share. American Tower also increased its 2025 net organic growth guidance for Latin America and Africa/Asia Pacific regions. The company maintains a "GOOD" overall financial health score on InvestingPro, with revenue growing at 4.3% over the last twelve months.

The company lowered its 2025 U.S. net organic growth guidance due to slower than expected commencements from AT&T. TD Cowen noted this slowdown might reflect AT&T’s potential shift in focus toward fiber investments following the passing of the Big Beautiful Bill, especially considering AT&T recently increased its long-term fiber-to-the-home targets.

Despite these concerns about AT&T’s slower commencements and potential implications for broader carrier activity, TD Cowen expressed encouragement from management commentary indicating increasing activity levels.

The research firm maintained its positive long-term view on American Tower, supporting its Buy rating despite the mixed quarterly performance.

In other recent news, American Tower Corporation reported its second-quarter 2025 earnings, which revealed a significant miss on earnings per share (EPS) expectations. The company’s EPS was $0.78, falling short of the forecasted $1.68, marking a 53.57% negative surprise. However, the revenue reached $2.63 billion, slightly exceeding the anticipated $2.59 billion. Additionally, HSBC downgraded American Tower’s stock from Buy to Hold, citing a lack of strong catalysts in the near term and adjusting its price target to $235. In contrast, JMP Securities maintained a Market Outperform rating with a $260 price target, highlighting the company’s strong position to benefit from global network expansions. BMO Capital also adjusted its price target to $245 while keeping an Outperform rating, noting mixed second-quarter results with strengths in international markets, data centers, and services segments. These developments reflect a mixed outlook for American Tower, with varying analyst perspectives on its future performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.