Why merican Tower Corp (AMT) Is Surging In 2025

We recently published a list of Why These 15 Real Estate Stocks Are Surging In 2025. In this article, we are going to take a look at where merican Tower Corp (NYSE:AMT) stands against other real estate stocks that are surging in 2025.

For years, real estate stocks have been a source of anxiety for investors due to the scars of the Great Recession. That crisis has led to lingering skepticism, and many see real estate as a no-go zone today due to GDP growth turning negative quarter-over-quarter and expectations of a recession. Investors fear that a recession could drag these stocks down once more.

However, these companies have learned from the Great Recession, and some of them have delivered stellar gains so far. It is a good idea to keep an eye on the winners, as they could outperform during market downturns.

Even during bear markets, there are pockets of the market that perform exceptionally well. For example, I identified 15 Healthcare Stocks that are up the Most in 2025 in another article

Methodology

For this article, I screened the best-performing real estate stocks year-to-date.

I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

American Tower Corp (NYSE:AMT)

Number of Hedge Fund Holders In Q4 2024: 70

American Tower Corp (NYSE:AMT) is a global real estate investment trust that owns, operates, and develops wireless and broadcast communications infrastructure, including cell towers and data centers, enabling connectivity for mobile and broadcast networks.

The most significant recent news driving American Tower’s stock higher in 2025 is its strong first quarter results, which showed total revenue rising 2% to $2.56 billion and adjusted funds from operations (AFFO) per share, as adjusted, increasing 6.6% year-over-year. This performance was fueled by robust leasing trends, especially in the United States, where mid-band 5G deployments and new site demand led to the highest quarterly services revenue since 2021.

The company also benefited from favorable leasing and pricing at its CoreSite data center business, steady international activity, and disciplined cost management. These factors combined to deliver higher profitability and resumed mid-single-digit dividend growth.

Another key factor was the completion of the sale of its India operations in late 2024, which allowed American Tower to pay down $2 billion in debt.

The consensus price target of $233.07 implies 5.35% upside.

AMT stock is up 21.67% year-to-date.

Overall, AMT ranks 6th on our list of real estate stocks that are surging in 2025. While we acknowledge the potential of AMT, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AMT but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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