American Tower Corp Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component American Tower Corp (NYSE:AMT) will unveil its latest earnings on Tuesday, August 2, 2011. American Tower Corporation is a wireless and broadcast communications infrastructure company that develops, owns, and operates communications sites throughout the country. Among its holdings are wireless communications towers, broadcast communications towers and distributed antenna system. Sprint Nextel Corporation Earnings Cheat Sheet: Loss Widens, Falls Below Estimates>>

American Tower Corp Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 23 cents per share, a decline of 8% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 24 cents. Between one and three months ago, the average estimate moved down, but it has been unchanged at 23 cents during the last month. For the year, analysts are projecting profit of 96 cents per share, a rise of 4.3% from last year.

Past Earnings Performance: The company met estimates last quarter after beating the forecasts in the prior two. In the first quarter, the company reported net income of 23 cents per share versus a mean estimate of profit of 23 cents per share. In the fourth quarter of the last fiscal year, the company beat estimates by one cent.

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Wall St. Revenue Expectations: On average, analysts predict $584.7 million in revenue this quarter, a rise of 24.4% from the year ago quarter. Analysts are forecasting total revenue of $2.38 billion for the year, a rise of 20.2% from last year’s revenue of $1.98 billion.

Analyst Ratings: Analysts are bullish on this stock with 15 analysts rating it as a buy, none rating it as a sell and one rating it as a hold.

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past four quarters. Over that span, the company has averaged growth of 18.2%, with the biggest boost coming in the most recent quarter when revenue rose 23.8% from the year earlier quarter.

The decrease in profit in the first quarter breaks a streak of three consecutive quarters of year-over-year profit increases. Net income fell 4.6% in the first quarter from the year earlier, while the figure rose 29.8% in the fourth quarter of the last fiscal year, 38.7% in the third quarter of the last fiscal year and 77.1% in the second quarter of the last fiscal year.

Competitors to Watch: Crown Castle Intl. Corp. (NYSE:CCI), SBA Communications Corp. (NASDAQ:SBAC), Syniverse Holdings, Inc. (NYSE:SVR), AT&T Inc. (NYSE:T), Neustar, Inc (NYSE:NSR), WPCS International Inc. (NASDAQ:WPCS), Telephone & Data Systems, Inc. (NYSE:TDS), Sprint Nextel Corporation (NYSE:S), and Verizon Communications Inc. (NYSE:VZ).

Stock Price Performance: During May 31, 2011 to July 27, 2011, the stock price had fallen $4.26 (-7.7%) from $55.48 to $51.22. The stock price saw one of its best stretches over the last year between January 31, 2011 and February 11, 2011 when shares rose for 10-straight days, rising 11.5% (+$5.87) over that span. It saw one of its worst periods between May 10, 2011 and May 19, 2011 when shares fell for eight-straight days, falling 3% (-$1.61) over that span. Shares are down 42 cents (-0.8%) year to date.

(Source: Xignite Financials)

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