American Tower (AMT) Stock Forecast & Price Target

American Tower is positioned for positive growth, driven by its robust data center revenue, which is projected to grow at approximately 11% year-over-year in 2024, marking the third consecutive record year since acquiring CoreSite in 2021. The company is expected to benefit from strong industry tailwinds, including an increase in data consumption and carrier infrastructure spending, leading to mid-single-digit core organic revenue growth. Additionally, the accelerating carrier activity and increased densification efforts in the U.S. market suggest a favorable outlook for American Tower’s tower operations, with significant deployment of mid-band spectrum on its towers.

American Tower's outlook faces negative pressure due to anticipated capital expenditures declining by 21% year-over-year in 2025, reflecting a significant drop from 2021 levels as current commitments are fulfilled. The company's 2025 AFFO guidance of $10.405 per share represents a slight year-over-year decrease of 1.3% and falls short of consensus estimates, signaling potential challenges from foreign exchange headwinds and increased customer churn in international markets, especially in Latin America. Furthermore, the lowered growth forecast and elevated churn rates indicate that operational stability may be compromised, which might ultimately strain the company’s financial performance moving forward.