Mizuho Increases American Tower (AMT) Price Target to $217, Affirms "Outperform"

American Tower Corporation (NYSE:AMT) is one of Goldman Sachs’ top REIT stock picks. On July 2, Mizuho raised its price target on American Tower to $217 from $204. The firm maintained its “Outperform” rating on the stock, citing American Tower’s “strong growth outlook.”

Mizuho noted the American Tower’s “stable revenue base,” supported by long-term lease agreements with major wireless carriers, which provide predictable cash flows. The analysts also highlighted the company’s “portfolio expansion,” particularly its growing presence in data centers and international markets, as a key driver of future growth. They further pointed to the company’s first-quarter 2025 performance, with organic tenant billings growth of 4.3% domestically and 6.1% internationally, as evidence of operational strength.

At the same time, Mizuho increased its Adjusted Funds From Operations (AFFO) estimates to $10.53 for 2025 and $11.43 for 2026, up from prior estimates of $10.47 and $11.27, respectively. The upward revision is attributed to a lower-than-expected foreign exchange impact and stronger services revenue. The firm projects approximately 5% organic growth in tenant billings for American Tower’s entire portfolio. Additionally, Mizuho’s analysis suggests that growth in U.S. and Canadian operations is anticipated to be around 4.3%, resulting in approximately $182 million in colocation and amendment revenue.

American Tower Corporation (NYSE:AMT) is a global infrastructure REIT that owns and operates over 148,000 wireless communication sites across 22 countries on five continents. This includes a growing portfolio of U.S. data center facilities. Headquartered in Boston, the company leases multitenant towers and rooftop sites to wireless carriers, broadcasters, and government agencies, generating stable, long-term recurring revenue.

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Disclosure: None. This article is originally published at Insider Monkey.