American Tower Corporation (AMT) Faces Dish Wireless Lease Default, But Analysts Remain Cautiously Optimistic

American Tower Corporation (NYSE:AMT) is one of Goldman Sachs’ top REIT stock picks. On January 28, in regulatory filings, American Tower Corporation (NYSE:AMT) reiterated that Dish Wireless has defaulted in lease payments. Consequently, the company is in default under the Strategic Collaboration Agreement entered into in 2021.

American Tower Corporation insists that the default will not affect its 2025 financial results. It has also sought a declaratory judgment that Dish is not to be excused from its obligations and that it must be required to perform all of them. In addition, the company accused EchoStar’s Dish Wireless of trying to get out of its long-term deal following the planned $40 billion spectrum sale to AT&T and SpaceX.

On January 20, UBS analyst Batya Levi reduced its price target for American Tower (AMT) to $254 from $260, while maintaining a Buy rating on the stock. In a research note, Levi noted that the risk-reward profile for tower stocks in 2026 remains favorable.

Earlier in the year, analysts at BMO Capital Markets downgraded American Tower to Market Perform from Outperform and cut the price target to $185 from $210. The downgrade came amid concerns about issues related to the Dish Network deal. The research firm has warned that American Tower could face a material discount to the net present value of its DISH-related business upon its end.

American Tower Corporation (NYSE:AMT) is a global Real Estate Investment Trust (REIT) and a leading independent owner, operator, and developer of wireless and broadcast communications infrastructure. It leases spaces in over 200,000 sites—including cell towers, rooftops, and data centers—to mobile providers, broadcasters, and government agencies to support 5G and data expansion.

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