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AMT (American Tower) Piotroski F-Score : 6 (As of Oct. 31, 2024)


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What is American Tower Piotroski F-Score?

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

American Tower has an F-score of 6 indicating the company's financial situation is typical for a stable company.

The historical rank and industry rank for American Tower's Piotroski F-Score or its related term are showing as below:

AMT' s Piotroski F-Score Range Over the Past 10 Years
Min: 4   Med: 6   Max: 7
Current: 6

During the past 13 years, the highest Piotroski F-Score of American Tower was 7. The lowest was 4. And the median was 6.


American Tower Piotroski F-Score Historical Data

The historical data trend for American Tower's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

American Tower Piotroski F-Score Chart

American Tower Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Piotroski F-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.00 5.00 6.00 5.00 5.00

American Tower Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Piotroski F-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.00 5.00 6.00 6.00 6.00

Competitive Comparison of American Tower's Piotroski F-Score

For the REIT - Specialty subindustry, American Tower's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


American Tower's Piotroski F-Score Distribution in the REITs Industry

For the REITs industry and Real Estate sector, American Tower's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where American Tower's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Sep24) TTM:Last Year (Sep23) TTM:
Net Income was 84.9 + 917.4 + 900.3 + -792.3 = $1,110 Mil.
Cash Flow from Operations was 1141.9 + 1283.6 + 1338.5 + 1469.4 = $5,233 Mil.
Revenue was 3588.1 + 2834.1 + 2900.3 + 2522.3 = $11,845 Mil.
Gross Profit was 2253.3 + 2045.8 + 2078.4 + 1870.5 = $8,248 Mil.
Average Total Assets from the begining of this year (Sep23)
to the end of this year (Sep24) was
(65653 + 66027.6 + 66679 + 65837.8 + 62816.8) / 5 = $65402.84 Mil.
Total Assets at the begining of this year (Sep23) was $65,653 Mil.
Long-Term Debt & Capital Lease Obligation was $40,451 Mil.
Total Current Assets was $3,400 Mil.
Total Current Liabilities was $7,070 Mil.
Net Income was -683.8 + 335.8 + 475.7 + 586.9 = $715 Mil.

Revenue was 2705 + 2767.2 + 2771.7 + 2521.1 = $10,765 Mil.
Gross Profit was 1900 + 1961.1 + 1944.4 + 1883.1 = $7,689 Mil.
Average Total Assets from the begining of last year (Sep22)
to the end of last year (Sep23) was
(66512.8 + 67194.5 + 66817.7 + 66879 + 65653) / 5 = $66611.4 Mil.
Total Assets at the begining of last year (Sep22) was $66,513 Mil.
Long-Term Debt & Capital Lease Obligation was $42,879 Mil.
Total Current Assets was $3,850 Mil.
Total Current Liabilities was $6,869 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

American Tower's current Net Income (TTM) was 1,110. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

American Tower's current Cash Flow from Operations (TTM) was 5,233. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Sep23)
=1110.3/65653
=0.01691164

ROA (Last Year)=Net Income/Total Assets (Sep22)
=714.6/66512.8
=0.0107438

American Tower's return on assets of this year was 0.01691164. American Tower's return on assets of last year was 0.0107438. ==> This year is higher. ==> Score 1.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

American Tower's current Net Income (TTM) was 1,110. American Tower's current Cash Flow from Operations (TTM) was 5,233. ==> 5,233 > 1,110 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Sep24)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Sep23 to Sep24
=40451/65402.84
=0.61848996

Gearing (Last Year: Sep23)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Sep22 to Sep23
=42879.1/66611.4
=0.64372014

American Tower's gearing of this year was 0.61848996. American Tower's gearing of last year was 0.64372014. ==> This year is lower or equal to last year. ==> Score 1.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Sep24)=Total Current Assets/Total Current Liabilities
=3399.6/7069.5
=0.48088266

Current Ratio (Last Year: Sep23)=Total Current Assets/Total Current Liabilities
=3849.9/6868.7
=0.56049908

American Tower's current ratio of this year was 0.48088266. American Tower's current ratio of last year was 0.56049908. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

American Tower's number of shares in issue this year was 468.261. American Tower's number of shares in issue last year was 467.161. ==> There is larger number of shares in issue this year. ==> Score 0.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=8248/11844.8
=0.69633932

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=7688.6/10765
=0.71422202

American Tower's gross margin of this year was 0.69633932. American Tower's gross margin of last year was 0.71422202. ==> Last year's gross margin is higher ==> Score 0.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Sep23)
=11844.8/65653
=0.18041521

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Sep22)
=10765/66512.8
=0.16184855

American Tower's asset turnover of this year was 0.18041521. American Tower's asset turnover of last year was 0.16184855. ==> This year's asset turnover is higher. ==> Score 1.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+1+1+1+0+0+0+1
=6

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

American Tower has an F-score of 6 indicating the company's financial situation is typical for a stable company.

American Tower  (NYSE:AMT) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


American Tower Piotroski F-Score Related Terms

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American Tower Business Description

Address
116 Huntington Avenue, 11th Floor, Boston, MA, USA, 02116
American Tower owns and operates more than 220,000 cell towers throughout the us, Asia, Latin America, Europe, and Africa. It also owns and/or operates 28 data centers in 10 us markets after acquiring CoreSite. On its towers, the company has a very concentrated customer base, with most revenue in each market being generated by just the top few mobile carriers. The company operates more than 40,000 towers in the us, which accounted for almost half of the company's total revenue in 2023. Outside the us, American Tower operates over 75,000 towers in India, almost 50,000 towers in Latin America (dominated by Brazil), 30,000 towers in Europe, and nearly 25,000 towers in Africa. American Tower operates as a REIT.
Executives
Sanjay Goel officer: EVP & President, Asia-Pacific 116 HUNTINGTON AVENUE, BOSTON MA 02116
Eugene M Noel officer: EVP & President, U.S. Tower 116 HUNTINGTON AVENUE, BOSTON MA 02116
Olivier Puech officer: EVP & President, LatAm & EMEA 116 HUNTINGTON AVENUE, BOSTON MA 02116
Steven O Vondran officer: EVP & President, U.S. Tower 116 HUNTINGTON AVENUE, BOSTON MA 02116
Meyer Robert Joseph Jr officer: SVP & Chief Accounting Officer 61 SCHOOL STREET, ARLINGTON MA 02476
Robert D Hormats director 85 BROAD STREET, NEW YORK NY 10004
Rodney M Smith officer: EVP, CFO & Treasurer 116 HUNTINGTON AVENUE, BOSTON MA 02116
Reeve Pamela D A director C/O AMERICAN TOWER CORPORATION, 116 HUNTINGTON AVE, BOSTON MA 02116
Samme L Thompson director C/O TELIT ASSOCIATES, INC., 333 NORTH MICHIGAN AVENUE, CHICAGO IL 60601
Joann A Reed director C/O AMERICAN TOWER CORP, 116 HUNTINGTON AVENUE, BOSTON MA 02116
Raymond P Dolan director 108 GOVERNOR DRIVE, BASKING RIDGE NJ 00924
Ruth T Dowling officer: EVP, Chief Admin Ofr, GC & Sec 116 HUNTINGTON AVENUE, BOSTON MA 02116
Edmund Disanto officer: EVP, Chief Admin Ofr, GC & Sec C/O AMERICAN TOWER CORPORATION, 116 HUNTINGTON AVENUE, 11TH FLOOR, BOSTON MA 02116
Bruce L Tanner director 214 N TRYON STREET, CHARLOTTE NC 28202
Kelly C Chambliss director C/O CORESITE REALTY CORPORATION, 1001 17TH STREET, SUITE 500, DENVER CO 80202